Drop shipping as a SKILL of generating income…
Ecommerce is a spot where we should enjoy the experience of buying and selling. Ecommerce never shows us opportunities but we can find a wide scope of opportunity from ecommerce. If we use that opportunity of e-commerce, we can find all ways of generating incomes. There are many opportunities hidden in ecommerce; ecommerce is a platform where we can implement our ideas into our success. Have you heard the word Drop Shipping?
WHAT is and HOW is?
From a wide range of possibilities we find to get a possibility to give rise to emolument from online, drop shipping is a concept of generating income by a customary man or by a group of people. Drop shipping is a scope that we can convert as our income. It can be said that selling others products as our product to get benefits to both the drop shipping seller and the original seller is drop shipping. We can make use of this scope by having an operating system in our hand to operate this process, and we can make our store more sound to the customers by providing the product of other sellers. The drop shippers also play the role of a mediator between the customer and the supplier by knowingly or unknowingly to the suppliers. “The drop shipping will not affect any causes like change in trends or seasonal change since drop shipping doesn’t have any product of its own, it can make any changes and can show any product in the store”.
A large number of ecommerce businesses depend on drop shipping for boosting up their profit level. Drop shippers show other vendors products on his platform with his profit margin and if the customers place an order, drop shippers convey that order to the seller with the shipping address. Most new ecommerce sellers use drop shipping for selling their products. Some countries use drop shipping as their mediator for selling their product. It is the easiest medium of making profit without much risk and the drop shipper can provide sound products to the customers without any product in his hand. It is a very easy routine of creating income.
Benefits of drop shippers
The most important advantage is to keep the store always sound that can make a great impact on the customers, and mostly every seller falls for it. Drop sellers can show any products at his store without having a single sample of that product. Time and risk of checking his inventory levels or searching space for the storage of the product is easily solved by the drop shipper method. There is a cycle structure for the drop shipping,
1) Add product to the store
2) Customer place an order
3) Sending the customer order to suppliers with the shipping address
4) The supplier sent product for delivery
5) Providing tracking ID to the customer.
These are the two types of drop shipping
· Black label
· White label
The drop shipping is done without the knowledge of the supplier; both the supplier and customer do not have any knowledge of their mediator (black label).
The drop shipping is done with the knowledge of the supplier; moreover, it is for the profit of both the seller and the supplier. Seller can give the product his own label and branding while delivering the product to the customer. It is for the welfare of both the supplier and the seller that the supplier gets additional sales to that product from the seller (drop shipping) , so he will get additional profit and the seller will get his profit without any risk.
WHY drop shipping?
While opening a store online, the main mess faced by sellers is to have products in stock. If the seller fails to provide the stock consistently it will make an underrated image among the customers. As it is a drop shipping concept store, his problem of product assembling has been solved as drop shipping doesn’t need a product in hand for running his store. He shows the product of other sellers in his store with his surplus. So drop shopping takes very less risk for making profits.
Drop shipping can be said in two ways “close shipping and open shipping”. It is because the customer places the order openly and the seller places the order to the suppliers secretly. As the seller doesn’t need a particular place for storing his product, he will not have any expense for managing his products, and he only needs an operating system and a network connection for handling his business.
Demerits of Drop shipping
Drop shippers should not have knowledge or proper details about the products since the products do not belong to the seller. Drop shippers cannot get the stock availability status lively because the seller cannot always check about the product in suppliers stores.
If a customer is cheated by the supplier, it will affect the seller (drop shipping).If the customer finds the original price of the product, it will get a negative impact on the store. It will be difficult to manage when the product is returned or replaced, and it also takes more time to refund the amount to the customer after getting the amount from the supplier.
The seller cannot measure the correct delivery charge , or whether he has a chance to make a loss to the seller or to the customer. If the customer registers any complaint about the product or delivery, it will be difficult to manage the process easily. All the default made by suppliers will affect the sellers and its impact. Sellers cannot always give satisfaction to the customers with the product suppliers deliver.
The seller will get only less profit from the drop shipping store, so he will be getting a very low savings. If it is white label drop shipping, the suppliers may think to give low quality products to the sellers. Then the bad impact from the customer will reflect on the seller, so choosing the suppliers and their product is a very difficult task in drop shipping to organize a better status for your store.
Easy to host and build
Although we experience or hear about many businesses which have high risk and need high capitals for the hosting stage itself and also will not be having any sure about the positive result, and these should have creative ideas and should plan more new upgrades. So drop shipping is a better option in all cases since it doesn’t need much tensions or risk. The seller can always be cool while running a drop shipping store and he doesn’t need to find any physical space. Drop shipper only needs to find the suppliers to his product, or he should have multiple suppliers and he does not want to waste much time spending in the drop shipping store.
