2. WHAT IS DROP SHIPPING ?
• keeptheproductsitsellsin
stock.Instead,thesellerpurchases
inventoryasneededfromathird
party—usuallyawholesaleror
manufacturer—tofulfillorders.
•Thebiggestdifferencebetween
dropshippingandthestandardretail
modelisthatthesellingmerchant
doesn’tstockorowninventory—they
actasthemiddleman.
3. • The dropshipping process is essentially a relationship between
a customer-facing store and a supplier.
• There are two common approaches to adopting a dropshipping
business model. The first is to seek out one or more wholesale
suppliers located in North America (or anywhere else in the
world) on your own using a supplier database. Examples of
popular online supplier databases include AliExpress, SaleHoo,
and Worldwide Brands.
• If you’re not interested in finding suppliers for all of the products
you plan to sell, you can use an app that connects you and your
store to thousands of suppliers. For this, we recommend DSers,
a Shopify app that helps independent business owners find
products to sell.
How does dropshipping work?
4. So what are
the benefits
of
dropshippin
g?
• Here are a few other
reasons why
dropshipping is such
a popular ecommerce
business model for
both large and small
businesses.
6. Less upfront capital
required
• Probably the biggest advantage to
dropshipping is that it’s possible to launch an
ecommerce store without having to invest
thousands of dollars in inventory.
Traditionally, a brick-and-mortar or
ecommerce retailer has to tie up huge
amounts of capital purchasing inventory.
9. Easier to test
Dropshippingisauseful fulfillmentmodelforbothlaunchinga
newstoreandforbusinessownerslookingtotesttheappetite
customershaveforadditionalproductcategories,e.g.,accessories
orwhollynewproductlines.Themainbenefitofdropshipping is,
again,theabilitytolistandpotentiallysell
products beforecommittingtobuyingalargeamountofinventory.