There are many if not millions of online stores and merchants. Most of these e-commerce shops use drop shipping as a way to get the product to the customer. Drop Shipping means that the customers purchased product gets shipped directly from the manufacturer to their door. For many businesses drop shipping is a dream come true. The retailer does not need to keep stock, have a warehouse, or even handle the goods. There are no products to package, postage to figure out or runs to UPS. Running an online store really doesn’t get much easier. The retailer collects the money, sends it to his supplier and the supplier drop ships to the customer.
Most drop shippers will ship the goods in unbranded packaging with your companies details on any labels. By doing so, the customer is never made aware that the package originated elsewhere. If you order many products from a drop shipper, you may even request that they use packaging with your logo on it or insert sales materials and offers into the shipped package.
Since drop shipping is normally done at the wholesale level and you sell the products retail, the difference is your profit. Drop shipping your products will cost more than if you had bought them yourself and shipped them, however, those costs are offset by the money you are saving by not having to operate a warehouse, keep stock and handle the packaging and shipping.
For many small and new businesses, drop shipping is their only choice. Few stratups have the funds to lease space and buy multiples of every product they want to sell. Drop shipping allows them to expand their catalogs since they can sell thousands of products they would not have been able to otherwise. A
Another plus to drop shipping is that the time that would have been used for inventory, stocking and shipping can now be put into marketing and growth.
One of the biggest obstacles to overcome is to find suppliers that have the items you want and are willing to drop ship.