Dropshipping is a great way for independent retailers to add items to their stores without taking on any additional expenses for storage and handling. The wholesale product manufacturer creates, packages, and ships the product out to your customer for you, making this a low maintenance business model.
When a retail customer orders an item, the dropshipping company blind ships the item to the customer. The dropshipping company is paid for the merchandise, and retailers collect payment from the shopper, adding a healthy profit margin.
In the current web-based world of retail and wholesale, dropshipping makes a lot of sense. Retailers add items to their online store and make more money without spending additional dollars up front.