Why You Should Start Your Dropshipping Business Now
The world is going online and its time that you start thinking of using your WordPress skills to make the most out of this opportunity. It is expected that by the year 2021, over 65% of the things will be shopped online. The trend is only going to increase over time as everyone now has the means to make the most out of it.
The same trend will be for companies that have embraced the shift to eCommerce. Whereas, businesses who failed to take advantage of it and did not move their focus with time will suffer because of it. One way to use your WordPress skills is to launch your own drop-shipping business.
What is Dropshipping?
Drop shipping is conducting sales online. You list and sell products from an online store. In dropshipping, you do not store any products with yourself. So, you don’t have to buy or rent or worry about any storage issues.
In essence, dropshipping is bridging the gap between the customers and the suppliers. You act as a mediator between the two spectrums and promote the sale.
How Does It Start?
The first step for starting your drop shipping business is to create partnerships with well-known and reliable suppliers. The reliability of suppliers is of utmost importance as the reputation of your website depends on their performance and products. So, find good suppliers and look for their products that you will display on your website.
After that, you are going to display the products that your suppliers have to offer on your website. Through the website, you are going to receive orders for the multiple products from customers everywhere. The suppliers will receive the order, package it and send it in its way to the customers on the given address on your behalf.
This way you don’t have to do the hard labor of storing and processing the product. The logistics will be taken care of by the suppliers. Your role in the whole process is to design a platform where the customers can see the display by the suppliers. You take responsibility for customer services, product marketing, and advertising.
For developing a dropshipping website, an excellent way is to take advantage of WooCommerce. This can prove to be extremely beneficial for running your business. There are other marketing tools you should make use of to be able to penetrate the market and gain as many customers as possible. Adding Google Ad-sense to your website assists you in keeping track of all the movements on your site.
The Advantages of Dropshipping Business
Apart from earning large amounts of money, there are many benefits that drop shipping business can provide you with. As with the growing industry, it is something that will become highly prized within a short period.
- Low initial cost : Drop shipping is a low initial cost business. When starting it, you don’t have to worry about the capital investment that is going to help you set up machinery for manufacturing or set up shop. All the significant costs are already covered by the suppliers you have picked to feature on your websites. Without any significant investments and long waiting time, you will be able to earn almost immediately. As soon as you publish your website, you will be ready for business. The ideal situation is what an entrepreneur is looking to capitalize on.
- Positive cash flows : As you are only a middleman in the whole process, you will not have to pay anything out of your own pocket. You are also not storing anything, so you will not have to pay the cost to buy products and store them. Instead, you do not pay for the product until it has been sold and you get the money for it. You will only have to pay your suppliers for it only after the sale has been completed.
- Reduce expense : Through dropshipping, you can reduce your expenses to a minimal. Your business model works to optimize the given situations and choose the lowest cost options available to you. Since you are not responsible for any link in the supply chain, you don’t have to worry about its cost. You can eliminate and choose the options that work the best in your favor. You don’t spend a single dime for anything you don’t handle.
- Real-time market testing : Having no inventory again becomes an advantage for you in this case. You can analyze your website and note down the market trends towards particular products. The products with zero or low demand can be substituted with options that are high in demand. Since you do not have any physical inventory, you do not have to worry about the costs associated with replacing the products or worrying about the salvage costs. Your product range depends entirely on the market real-time demand.
- Infinite inventory : Since any supply constraint does not limit you, you can go on and procure as many suppliers as you want. You have an infinite source of suppliers ready to take advantage of your booming website. All you have to take care of is quality assurance.
- Work Anywhere : Dropshipping cuts any physical ties you can have to a workplace. You are not bound by any customers, suppliers or anything that happens in between. You are managing your dropshipping website through an online portal and you can access it anywhere, as long as you have internet access.
- Free time : Another advantage you get to enjoy is the amount of free time you have. Since you are not responsible for manufacturing, processing, storing, and transporting the product, you will have enough time to take on other tasks. Instead of shopping and delivering, you can go on to get more suppliers on board with your dropshipping website.
Like any other business, dropshipping is a business that carries its own challenges and details. Running a business is no child’s play. You have to give it your proper attention and time so you can succeed with your plan. However, dropshipping is something you can look into when starting your own business.
Visit Helpbot now to start working towards financial independence with your dropshipping business.