Drop Shippers> Drop
Ship Guides> What is Drop Shipping?
Drop Shipping has become very popular with Internet retailers as they
don't have to deal with the challenges or expenses of purchasing and storing
stock. They also don't have to pack and post orders as the drop shipping
company deals with all of it.
Drop Ship Company
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Drop Shipping companies are basically wholesalers that also
drop ship their merchandise. They receive individual orders
and payments from retailers and then send the product to the
Not only do people with online retailing websites profit from
the conveniences of using a drop shipping company, but so do
people selling products on online auctions like eBay. As long
as the products they list on eBay sell for more than the wholesale
cost of the product, plus shipping expenses, the person will
profit from auctioning merchandise. Successful eBay sellers
or Power Sellers have created large streams of income by auctioning
drop shipped products online.
The benefits of using a drop shipping company can be massive.
Depending on the number of products needed to function properly
as a business, it could cost tens of thousands of dollars just
to purchase your stock.
After purchasing your initial stock, you would then have to
rent a space to store the merchandise. Then you would have to
deal with postage and packaging which can be a very time consuming
job after you start getting a decent amount of orders each day.
But if you create a relationship with a drop shipping company,
they already have the wholesale products and the resources available
to deliver them to customers.
The drop shipping company benefits by selling more products
and the online retailer benefits by saving on the costs of purchasing
and storing stock. So both parties profit from drop shipping.
It has also been called "Blind Shipping" as it can
be merchandise shipped to the customer without a return address.
The wholesaler may also have his company information included
though. Good drop shipping companies also deal with returns,
which makes things easier for the customer and the retailer.
Drop Shipment or Drop Shipping can be a very rewarding and profitable
business to be in for both the drop shipper and the retailer,
but like any profitable business there is a lot of hard work
involved. Don't be conned into accepting offers that seem too
good to be true as there are a number of unscrupulous people
out there looking to take advantage of those that are new to
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