With the online marketplace booming with new entrepreneurs with a product to sell on the web, many wonder how they can get into this business with as little as possible and still make money. The answer is simple, dropshipping.
Dropshipping a product means that you don’t stock inventory, or deal with the shipping process, etc. You just do the minimum, which is sell the product and collect the profits. The process is simple and it’s a great way for someone to earn an extra income from home with much capital and headache from warehousing product.
A company that dropships for you does several things that you will not need to worry yourself about. The great thing is they do most of the work for you. I’ll explain further about how this process works. You advertise a product either at a website, classified ad, online auction, etc. A customer sees your product and wants to buy it. The customer sends you the $20 your product costs, which is all pretty normal in a business environment. But this is where it gets different. Instead of you sending the product to the customer, you’ll contact the dropship company and give them the details of the transaction. You will send them the price that they charge you for the product, take for instance $5 plus $5 shipping. Which costs you a total of $10 for the product. Now you’ve made $10 on the sale. Now that the dropship company has your order, they will ship the product to the customer. Without any marketing material and with your company or name as the shipper of the product, so that the customer will never know that you didn’t actually ship the product to them.
So, in the above example, all we did was sell the product, we didn’t stock or ship the product and we didn’t need much capital to purchase the product beforehand. This is how dropshipping can make running a home business easy and affordable. Of course some capital will be needed for expenses such as auction fees, advertising fees, etc. But none for stocking of products.
Many people already use dropshipping to earn an extra income. For instance, many sellers on ebay use dropshipping.
Finding dropship sources can be a bit tricky. Many people who have the dropship sources don’t want to share, and the ones that do want to charge for it. Luckily there are a few places you can go on the internet that give away these dropship sources for free. One of the websites is public-wholesale.net. There are other places and I encourage you to search and find that unique niche that you want to sell.