What is Dropshipping?
Dropshipping is a process of selling Products without having to stock any overhead. You would sell the merchandise at a cost you would determine. After the customer pays you for the item, you would pay the supplier their price and send them your customer’s details. They ship the product out to the customer, and the difference between your price and the suppliers price is your profit, all to keep!
In real life, to setup a business, retail trade, or shopfront, requires major planning and budget for retail space, warehouse to keep your inventory/goods, and some staff to entertain customers, and provide background services such as packaging the items, collecting payment, delivery. You know you have eliminated most of that such as Payment (you use Paypal which is fully automated), and you response to customers via email. Now the other major parts such as a warehouse, packaging the parcels, delivering to the postal service could be eliminated entirely – reducing further the cost of operating your business online. And this next level up is called “dropshipping”. Here is a brief summary and explaination of the meaning and the mechanism of dropshipping. In the rudimentary sense, dropshipping is the process of “shipping goods or services from a supplier directly to a seller’s customers” – WAIT A MINUTE – that sounds familiar?
Dropshipping is a process of selling Products without having to stock or store any items. You would sell the merchandise at a cost you would determine. After the customer pays you for the item, you would pay the supplier their price and send them your customers details. They send the product out to the customer, and the difference between your price and the suppliers price is your profit. This is known as dropshipping.
