The Pros and Cons of Dropshipping
If you are looking to break into the retail sales business, dropshippers can be the way to go.
These wholesale dropshippers are different from a lot of wholesalers.
Rather than require you to place orders in bulk and do your own order fulfillment, a dropship wholesaler will accept individual orders and ship on your behalf.
This makes it possible for almost anyone to offer a plethora of items for sale and attack just about any niche that exists.
But before you jump in with both feet, there are a few things that you should know.
Using dropshippers has good points as well as bad ones, so I wanted to share the pros and cons with you here.
The pros are...
- No inventory to keep track of.
Your items are nearly always available and the possibility of out of stock is lessened.
This also means no inventory taxes, no physical counting and no detailed bookkeeping on your part.
- A dropship business can be opened very quickly.
Starting from scratch and including item selection, it is possible to be online and selling in 24 hours or less.
- You do not need a warehouse to keep inventory in.
Obviously, there is no rent, insurance or employees and salaries to worry about.
- In certain cases, a wholesale dropshipper may sell to you in what is called "light bulk" quantities so you can do your own order filling.
- Work when you want, when you want for as long as you want.
Change items, prices, offer sales and promotions whenever you want.
The cons are...
- Because of the massive amount of dropship wholesalers, there are a lot of scams to watch out for.
Be selective and do the homework before you choose.
- You cannot add promotional materials to the inside packaging since you are not physically doing the shipping.
- I have one word for this one - FEES.
Watch the fees charged by dropshippers and be sure you are on board with them and that you UNDERSTAND them prior to signing any agreement.
- Less discounts on single items as opposed to those purchased in bulk.
Some wholesale dropshippers offer methods and services to integrate the items onto your web pages or into auction type listings like eBay.
This may initiate fees that you should know before the agreement is signed.
All in all, it is a simple thing to open a dropshipping business and sell online or off.
Just be careful selecting a dropship wholesaler and make sure you are on board with the fees paid.
All dropshippers are not created equal, so take your time, do it right and ask questions.
The time you take now can mean a greater profit later.
Selecting the right dropship wholesalers is the first step.
Weigh the pros and cons to see if dropshipping is right for you.
These wholesale dropshippers are different from a lot of wholesalers.
Rather than require you to place orders in bulk and do your own order fulfillment, a dropship wholesaler will accept individual orders and ship on your behalf.
This makes it possible for almost anyone to offer a plethora of items for sale and attack just about any niche that exists.
But before you jump in with both feet, there are a few things that you should know.
Using dropshippers has good points as well as bad ones, so I wanted to share the pros and cons with you here.
The pros are...
- No inventory to keep track of.
Your items are nearly always available and the possibility of out of stock is lessened.
This also means no inventory taxes, no physical counting and no detailed bookkeeping on your part.
- A dropship business can be opened very quickly.
Starting from scratch and including item selection, it is possible to be online and selling in 24 hours or less.
- You do not need a warehouse to keep inventory in.
Obviously, there is no rent, insurance or employees and salaries to worry about.
- In certain cases, a wholesale dropshipper may sell to you in what is called "light bulk" quantities so you can do your own order filling.
- Work when you want, when you want for as long as you want.
Change items, prices, offer sales and promotions whenever you want.
The cons are...
- Because of the massive amount of dropship wholesalers, there are a lot of scams to watch out for.
Be selective and do the homework before you choose.
- You cannot add promotional materials to the inside packaging since you are not physically doing the shipping.
- I have one word for this one - FEES.
Watch the fees charged by dropshippers and be sure you are on board with them and that you UNDERSTAND them prior to signing any agreement.
- Less discounts on single items as opposed to those purchased in bulk.
Some wholesale dropshippers offer methods and services to integrate the items onto your web pages or into auction type listings like eBay.
This may initiate fees that you should know before the agreement is signed.
All in all, it is a simple thing to open a dropshipping business and sell online or off.
Just be careful selecting a dropship wholesaler and make sure you are on board with the fees paid.
All dropshippers are not created equal, so take your time, do it right and ask questions.
The time you take now can mean a greater profit later.
Selecting the right dropship wholesalers is the first step.
Weigh the pros and cons to see if dropshipping is right for you.
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