Have you ever searched online for easy and effective ways to increase your income? In some cases even start an income? I believe that most of us have! We are looking for ways to make our lives stress-free with any way possible, since for most of us our 09-17 jobs can only cover the basics. And who wants to live having only the basics? For some people, even a 09-17 occupation sounds like a dream. They are working long, long, long hours to finish their tasks, and money do not always reflect their hard work. Sounds familiar, right?
After loads of hours of research, I found out the one site job all articles have in common. Dropship! Have you heard of it? Well, most of us have! Do we truly know what it is and how it really works?
I can say for sure that dropshipping has a great ranking for best site jobs, for all of us who want to raise their bank accounts’ balances and increase our income. You are more than welcome to take a look on it.
Dropshipping is the perfect choice for someone to use as a site hustle and earn as much money as they want, depending on the time and effort they want to dedicate and their commitment. Dropship is also a perfect choice for people who don’t have a job or even for stay-at-home moms. There are no specific skills required for someone to start dropshipping. All you need is to be determine, focused and organized.
So let’s take it from the top. Dropship. What is it exactly?
Dropshipping is a business model, which you can use to run your store without ever holding an inventory. You have numerous products available in your online shop. When you receive an order from a buyer, you will place this order to your supplier, and once you have made the order, the supplier will take the products from his warehouse and ship them straight at your customer’s doorstep. Simple as that.
Here are some tips you will find useful.
Create an online shop
You will need an online shop for sure, to be able to maintain your dropshipping business. You need to have a place, where your customers will be able to see your products and proceed to their orders. They might need to ask you some questions or see reviews for your products from people who have already bought them. There are many ways to create and maintain a store online. The fastest and most operational way, to do this is to subscribe as a seller to a multi-vendor marketplace platform.
With a multivendor marketplace platform, you will avoid all the expenses of creating your own webpage and you will be able to maximize your chances for buyers to actually find your products. Most platforms give you a list of FAQ so you will not face any problem on creating the store. Some of those are joom, vova, aliexpress, wish, ebay, snatchu.
Find which products you will sell
You should ask yourself what is it that you need the most? Or even, what is it that people around you, in your close environment need the most? This question will definitely answer your question and you will be ready to start your research. Then you will make your research online, you will find products that you would like to sell and add them in your online shop. You will soon realize how easy is this dropshipping business. You can thank us later! (Just kidding. Or not?)
Keep record of everything
As we have already discussed, with dropship you will sell products of a third part vendor. So you will be the person of communication in every case from the very first moment you will receive an order form your customer, until the moment the product is actually in the buyer’s hands.
In order for you to avoid any problem with your product’s stock you will have to keep a record of the product, the vendor from whom you will order the product and of course have a clear picture regarding his inventory. In case he runs out of a product, you should know it, and of course mark it as unavailable or out of stock in your webpage. This will save time, since you will not need to contact your customers to inform them that you cannot proceed with their order, due to inventory issues. And for sure you will endure your good image to your customers.
Avoid under pricing your products.
Keep in mind that you are in the middle of this trading procedure. We have the vendor on one hand, the customer on the other hand. In this picture you are the one who is in the middle. You have to handle your customers’ orders and keep a record of the vendors’ inventory. Droppshipping products allow you to maintain a lower product cost and be as profitable as possible. You will have the chance to buy the products from the vendors, almost at cost price and sell them in order to make as much profit as possible. Do not forget though that you still need to be modest with your competition.
Offer EXCEPTIONAL customer service
At this point you should have in mind that your products will not be so unique and special. Lest face it! When we look online for a product on the internet we get so many options. Most common case scenario we get the exact same product, but from different supplier, or products with above recognition differences. Since this is the case, the best way to stand out is to offer excessive customer service. Proposing refunds and responding to customer inquiries is vital but it does not really separate you from the big brans out there.
Joke around with your customers. Write them thank you cards if they order from your store several times. Run monthly giveaways exclusive to customers who have ordered from you in the past. It will seem like they have been included in a VIP customers’ list. Do whatever it takes to make each customer feel treasured and valued. If it were not for them, you would not become a success. Start this customer gratitude habits from your very first sale.
Here’s what you need to know
To sum up the aforementioned, dropship rocks! It is one super easy way for startups to create an income and the process is as easy as it sounds.
You receive an order.
You forward the order to your supplier.
Your supplier fulfills the order.
While Dropshipping has many benefits, it also has many drawbacks.
Below we will explore both.
Pros of dropshipping
Low startup costs
The first and most important advantage of dropshipping is the fact that the only thing you need to actually start is an online store (which will cost nothing if you choose a multivendor marketplace) and some money for advertising. You will need to set up some facebook, Instagram or even google ads to attract as many visitors to your store, increase your trafficking and make your store known. After all you need your store to gain a place in the market.
Low cost of inventory
The cost of inventory is one of the highest costs you will have if you own warehouse stock.
You may finish up with outdated inventory – pushing you to find ways to decrease your stock- or you will end up with not enough inventory – leading to stock outs and lost profits.
Dropshipping allows you to escape these concerns and focus on rising your customer base and building your brand.
Cons of dropshipping
Less control over order fulfillment and lead times
As mentioned in some points above, you the middle man in this business module. Which means that you are working with the stock of your partners. They will have to fulfill the orders you will place on behalf of your customers. Now in case they screw up, you’re the one who will receive a ton of complains and in some cases loose these customers to your competitors.
Reliance on other peoples’ stock
Being able to suggest new products directly or stop selling slow – moving products is a major benefit of dropshipping.
The drawback to this perk is that you do not control your supplier’s inventory. If they run out of stock, YOU run out of stock.
This will result in longer lead times and lost customers.
We believe that the dropshipping experience could be unique for each and every one of you. Try to keep up with the tips mentioned above and cherish all these information. We are more than sure that you will just have to give it a try, and the dropshipping module will convince you on its own.