What is dropshipping?
It is a closed chain that has three elements: physical customers, suppliers (originally wholesalers), and virtual marketplaces/retailers. It’s an endless cycle. The customer orders products from a retailer that doesn’t have a real stock, then the retailer orders those products from the supplier. Money moves between the customer and the retailer, and between the retailer and the supplier. Suppliers usually deliver the product to the customer. Still, there is another way of shipping: supplier -> retailer -> customer, but when you use this method, you may need to rent a warehouse – but not necessarily. With drop shipping, you can be successful with your retail store in the long run with small capital investment.
Are you thinking about starting an online store, or you’ve already created that, and you’ve recently met dropshipping? It seems to be a good opportunity, and it is, but you need to know that there are more types of drop shipping as well. If you want to run your company for a long time successfully, putting just a small amount of money in it, you should take into consideration our advice mentioned below.
When you start your online store, you have to define what will be your main profile, what kind of products you will sell, and who will be your target audience. After the designation, you will need to find your sources too, especially those where your goods for sale will be coming from. You have the following options.
You can sell:
- products that you make on your own,
- products that you resell from other virtual retailers (and from marketplaces),
- products that come from real wholesalers.
When people talk about dropshipping, they usually think about the last two options (and selling their products can also work with those two). Still, if you want to use that particular method of dropshipping that can bring you long-term success, it is best to start working with real, local suppliers who have their websites and have unique products.
In Syncee, we list many dropshippers from all over the world with excellent products. Register now, and check the millions of products we offer from real suppliers!