If you’re looking for a way to make money online, you might have come across the term ‘dropshipping’. But what does this mean? Is it possible to make money online by
dropshipping? How does it work? And is it worth it?
What is Dropshipping?
Dropshipping is a way to sell products online without owning or maintaining a physical inventory. Usually, with this business model, you don’t have to worry about storing or maintaining products. Instead, when a customer orders an item, you purchase the product from a wholesaler or supplier, who delivers it to your customers.
How Does It Work?
You will find that most dropshippers offer a variety of products for sale, so you can choose to sell anything from books to electronics to clothing to home décor, toys and more. You can also decide to sell items from a supplier specialising in a particular niche, such as toys, video games, computers, etc.
A significant advantage of dropshipping is that you can start small, with a few items and expand as your business grows. Furthermore, there’s no need to buy the items until someone orders them from you. Instead, you list your goods for sale in your catalogue or website and direct your customers to them.
By directing customers to your goods, I mean sending traffic. This can be free traffic such as Facebook Marketplace or paid advertising on Facebook, Google Ads, Microsoft etc.
Is Dropshipping Worth It?
There are several benefits to dropshipping.
Firstly, depending on which model you use, you don’t have to invest any money in building an inventory since the product is only sourced from a wholesaler when someone orders an item. This means you don’t need to worry about storage space, purchasing new products, or any of the usual costs associated with owning a business selling physical products.
Secondly, the whole process can be automated. Of course, the degree of automation depends on your platform. For example, some platforms integrate with several suppliers and can draw product descriptions straight into your catalogue. Still, it might be advantageous to modify the product description a little to make it unique to you.
Another benefit is that you can start a dropshipping business with little experience. You can start with a few items and add more as your business and expertise grows. This allows you to see the types of things people are looking for and the prices they are willing to pay.
Much of the work of setting up your catalogue or website will be done before starting to trade. Then once you start trading, you can concentrate on finding new suppliers and listing their items in your catalogue.
You will also spend some time dealing with customer queries. If you keep your customers happy, they will come back again and again.
Is It Possible to Make Money Online by Dropshipping?
Yes, it is. There are thousands of people who have found success through dropshipping. If you are interested in starting your own dropshipping business, here are a few tips to help you get started:
- Choose a reputable supplier. This is critical if you want to be successful. I think you should use suppliers in your home country to make sure shipping is on time. Even then, check that the items can be delivered within seven days.
- Determine your niche. This is important if you want to focus on specific products, though having a general store is also acceptable for a startup. Once you see what sells, you can create a specialist store.
- Set up a website. This is essential if you want to market your products effectively. However, there are dropshipping platforms (such as Shopify and Cartzy) that you can join that do not require you to set up your separate website. When comparing platforms, check what’s included and the price of each add-on feature, as this could significantly affect the overall cost.
- Start marketing your products. The best way to do this is through article marketing and social media.
With so many different options available to you, from creating your website to using a dedicated dropshipping platform, it isn’t easy to be specific about each part of the process. However, the above should give you an overview of what is entailed.
One last thing, this is not a set-and-forget business. You must constantly check that supplies are available and keep looking for new items. And remember to build a relationship with your customers.
P.S. There are many ways to make money online. Dropshipping is just one of them and could be a challenging way to start your online journey. There is probably no easy way – they all take hard work. However, you might want to check out an alternative approach that my mentor teaches. Click here to find out more.
