You’ve plateaued in your career. Selling insurance just isn’t cutting it for you anymore and you’re looking for a change.
The job you are working now is fine, you’re able to provide for the wife and kids, but you’re missing something.
You’ve heard about the recent success stories of e-commerce businesses and are thinking about starting your own company.
But where do you start? You don’t want to take on the financial and spatial burden of carrying inventory. After all, you are trying to put the kids through college.
In your research, you keep seeing the term, “dropshipping” and know it has something to do with e-commerce.
What is dropshipping anyway? In this article, we’ll give you everything you need to know about dropshipping so that you can be on your way to starting your new business.
To make things even easier, be sure to check out the dropshipping infographic below that explains the dropshipping process here!
E-commerce in a Nutshell
E-commerce has changed online retail forever.
In the past, starting your own retail store meant that you would have to spend a boatload of money to get things started.
The storefront, employee salaries, and utilities are all expenses required to open a physical store to sell your goods.
This means that to start your brick and mortar store, you’d likely have to take out a loan. This kind of risk isn’t something you wanted anyway.
Starting an e-commerce store means that you can get rid of a lot of these expenses. Instead of paying rent for your storefront, paying a clerk to stock products and check out customers, and paying for store utilities, you have a website.
This simplifies the process and makes it much more cost-effective.
In recent years, a new e-commerce business model has emerged that has changed the way many online stores operate. That’s where dropshipping comes in.
What is Dropshipping?
You may have noticed. In recent years, many e-commerce business owners have been using the dropship business model.
At its core, dropshipping can be thought of as being the most cost-effective e-commerce option available.
It is the same as starting a regular e-commerce store, except you don’t actually carry your own inventory.
You’re probably wondering how it is possible to run a business without actually carrying inventory.
As backward as it may seem, it’s actually a pretty smart business structure.
That’s where your wholesale suppliers come in. They are the ones who actually carry the inventory.
When a customer buys an item listed on your dropshipping website, you send the order to your wholesale supplier.
The wholesale supplier, who has every product you are selling, actually fulfills the orders. You are just the storefront where the customer finds the product.
Put Dropshipping into Perspective
You can think of dropshipping as starting a virtual storefront. Customers come in, see what they want and place an order.
Instead of having workers in the back of the store fulfilling orders and giving them directly to customers, you partner with a wholesale supplier.
They are the ones who receive the order and actually ship the inventory to your customer.
You might be wondering how this is more cost-effective than carrying inventory yourself.
Partnering with drop shipping wholesale suppliers means that you don’t have to worry about taking a loss from products that don’t sell or having to pay employees to actually mail the orders.
Everything is taken care of by the suppliers. After all, many suppliers focus on one thing, supplying. They don’t have fancy websites, they just process orders.
Designing an e-commerce website is very easy, especially on the website you are using to make them.
How Do You Find Wholesale Distributors?
Searching for wholesaler suppliers is an investment that pays off in the end.
Take your time researching companies that you can work with to start your dropshipping business.
After all, these are the companies who are actually going to be sourcing and shipping your products.
Here are a few things to look for when you are finding wholesale suppliers to work with.
Think about the types of products you’re going to sell on your dropshipping store. It is usually a good idea to come up with a niche market to sell to.
Look for products that have a good wholesale price, are of good quality, and look for brand names you’d like to stock in your store.
Avoid products that seem low-quality or knock-off. This could give you a bad reputation and result in fewer sales. Even more, you could be banned from online marketplaces such as Amazon for selling inauthentic goods.
Think about the types of people you want to appeal to and stock products that those groups would likely want.
Many wholesalers give you files to upload directly to your store. Essentially, this makes it easy to resell products in your store without having to manually upload them yourself.
When you are looking for wholesale suppliers to work with, think about where in the world they are located.
If they are shipping from China, this might result in lengthy shipping times. The shorter shipping times the better.
Also, be sure to use suppliers that you can trust. Since they are the ones actually fulfilling orders, you need to make sure that they will ship quickly and securely.
It might be a good idea to use USA wholesale suppliers. This will reduce the risk of having lengthy shipping times or shipping mixups.
GreenDropShip.com is a great wholesale supplier to work with. With fast shipping, reputable products, and files that make uploading easy, we have your dropshipping business covered.
Since your suppliers will be a crucial part of your operations, make sure that they will be able to meet the expectations of your customers.
Not only will you be constantly interacting with these suppliers, they might have to process returns. Make sure that communicating with your supplier is not an issue.
Be sure to ask about their return policy. Cover all of your bases and it will pay off in the end.
Finding the right suppliers to work with can be a complicated process. That said, they make the dropshipping business model possible.
Take your time researching wholesale suppliers. It will pay off in the end.
Since this might be your first time learning about dropshipping, take some time to research the process.
This could be a great way to get your feet wet and start your first e-commerce store.
Starting a dropshipping business can be a great way to earn additional revenue and help you put your kids through college or retire early.
If you are willing to take the time to find the right suppliers to work with, the process will become a lot easier after the initial startup.
Whether you decide to work with GreenDropShip or another wholesale supplier, hopefully, this article shed some light on dropshipping.
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