This is one opportunity to make money from home. In case you don’t know, dropshipping is like usual trading activity where you sell goods to buyers. But it’s not you who deliver that goods. It’s your dropshipper or supplier. The products are shipped directly from your dropshipper’s warehouse to your buyer, rather than shipping first to you and then you resend them to the buyer.
That also means that you don’t need to stock any products on your hand. The package will be sent under your brand, as if you are the business owner. Yet, you’ll get the commission from the dropshipper. Or you may raise the price to get the better margin.
All you need to do is to promote, sell, and be a helpful customer support for the products. You answer every question from the buyers and potential buyers, including but not limited to inform the product’s stock in the (dropshipper’s) warehouse.
The good of dropshipping system
- Costless. You don’t hardly need capital to start up. Some dropshippers require registration fee, but it’s not much. Besides, when you fail to sell any product, you’re not going to suffer. And if any product is sold, it will be handled by your dropshipper.
- Risk free. Without a dropshipper, businesses have to take uncertain risks when they buy inventories. Since all the products are with the dropshipper, you’ll have exactly as many as your customer ordered.
- Easy to increase the variety. Add the new products from several dropshippers. Add again as you wish. Give your potential buyers a huge range of products. But if you want to success, definitely, you need a good plan in choosing specific niche products or popular best-sellers, or both.
- Flexible office. You are free to locate your business, since a storage space isn’t necessary. You can even has online office (such as website, Facebook fanpage, or Google+ page) only, without any physical building. However, I suggest you to have at least one representative real office or home base, so people trust you more.
The bad of dropshipping system
- You must spend time routinely to check products availibity, unless you will dissapoint them with N/A products. You must also know your on sale products and are willing to patiently answer the buyer’s questions.
- When a buyer is dissatisfied, she will contact you, rather than the company who shipped her order. Then, you will have to contact the dropshipper, delaying customer service time, which may anger the customer more. Morally, you will be responsible for any mistakes your dropshipper make.
- Dropshippers open their products to anyone. So, there will be a lot of retailers like you offering the same products. Sometimes, the competition is so tight.
- However you succeed as a retailer, this is not your business. You can’t brag it in businessmen meeting, or even in your name card. Keep in mind that the dropshippers can be change their policy anytime or stop their dropshipping.
How to find a (good) dropshipper
You know the advantages and disadvantages of dropshipping system. Now, you can insighfully decide to get in or get out.
In case you want to try, your very question must be, “How can I find a dropshipper?” Well, you can see Yellow Pages. Then contact them one by one to ask whether they have a dropship program or not. Make sure you get the detail information like:
- How long have you been in this business?
- Who do you use for shipping? What courier?
- Do you ship internationally?
- Do you send order notification emails?
- What is your return policy?
- How much will I be paying? Can I raise your dropship basic fee for my own profit?
- How can I be your seller through dropship program?
- How much the order fee? Is there any participation fee too?
- How do you accept payment?
- Are you up to answer my questions 24 hours and 7 days?
Then cross check it, find out what are people saying about that company.
Alternatively, you can find a dropshipper by browsing online. Just go to your favorite search engine and type in “dropshippers” or “wholesale” with some terms like “distributor”, “bulk”, “reseller”, “warehouse”, “supplier”, etc.
Unfortunately, it will take times. The dropshippers tend to have bad SEO. The best dropshippers you’re looking for may not show up on the first couple pages. So, keep on digging to sixth through tenth search engine result pages.
If you don’t have time to do that, or are not sure about your finding, don’t worry. You can spend a small pennies to buy a dropshipper list. Be aware that many of these sites are full of outdated links and dropshippers that are out of business.
I highly recommend you Blue Marble Directory. With a very good price, you’ll get monthly updated long list of good dropshippers you might be interested in. There are a lot of tips and tricks too to become a high profitable retailers.
After get enough information about dropshippers, you can register to one (or some) of them. Prepare your website as an online store or landing page.
Sure you don’t have to have a web to be good seller. You can sell your goods through social media, email, ads, phone line, group in BlackBerry, What’sApp, even face to face to your potential customers. But a website or blog is very recommended, since it can be optimized in search engines.
The rest of all this is basic marketing skill and tactic. OK, happy selling!