Dropshipping - An Introduction

 


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The internet is slowly transforming our consumer-based society into one in which everything is wanted ‘on-demand. ’ Almost anything can be ordered and paid for online, then shipped directly to the comfort of your own home. The average Joe’s ability to make money online is also expanding as well. One of the means by which normal people are more easily able to meet the needs of an ‘on-demand’ society is dropshipping.

Dropshipping is when a manufacturer or supplier ships a product directly to a customer on merchant’s behalf. If you as an individual want to start your own online business but are having trouble (or don’t want to) coming up with your own product idea, you can secure a dropshipping agreement with a manufacturer or other supplier, so that your product will be shipped to your customers from the manufacturer itself. Thus much of the financial risk associated with inventory storage and shipping costs are removed entirely from your business model.

Another added benefit of dropshipping is that it allows you to more easily offer more products. Since you don’t have to worry about stocking large amounts of merchandise nor deal with the shipping process of any of the products you sell, you are able to offer a much larger variety of products with much lower expenses. In fact, you could even outsource the entire process of order fulfillment to a third party or the manufacturer, and build a completely automated, hands-free business that just provides you with a monthly check for your bank account.

One final benefit of dropshipping is that the lower overhead costs garnered by an online merchant who dropships can be passed on to customers. As a result, customers will obviously be more willing to buy lower-priced products (well, sometimes) closer to wholesale value.

Jack Lowry is an online home business entrepreneur who recently developed a free 5-step course on learning how to start your own internet home business. If you are interested in learning more about his free ‘Learn To Generate Cash From The Internet’ course, please visit his website for more about dropshipping .

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