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    Sep 05 2008                        Uncategorized

    What is the benefits of dropshipping in small business?

    Hi,
    I am in to small wholesale business, please explain me the advantages of dropshipping in small set up?

    Posted by : Nicole

    One Response to “What is the benefits of dropshipping in small business?”

    1. wiliam Says:

      HI Nicole,
      I am in to wholesale business for last three year and would like to update you on benefits of Dropshipping in small setup.

      First of all will like to tell you what is dropshipping, What is drop-shipping? It’s the practice of having the manufacturer ship the product directly to the customer. In today’s Scenario many merchants swear by it.

      How exactly it works?

      The Seller sets up a drop shipping account with a manufacturer or wholesaler. Next, seller generates orders for their products, establishing the retail price on its own.

      When an order is placed, seller forwards the sale information to the supplier. The supplier fulfills the order, sending it to the customer with seller business name on the label. Seller remits the wholesale price of the item to the supplier.

      Following are the two main benefits of dropshipping to a Online Storeowner:

      It can be a low risk Ecommerce business model when you are risk averse and still want to fetch respectable revenues.

      You maintain a Zero Inventory: Since you pass the orders to the drop shipper directly ,you are saved of building a strong inventory of the goods sold, as you do not need to manage the inventory or shipping related issues.

      All the order fulfillment issues are taken care by the dropshipper.

      Sell Unlimited Products: Since you are not maintaining any inventory , you can expand your business and sell unlimited products without getting bothered of inventory related issues.

      Hope this will answer your question.

      Regards
      Wiliam

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