The dropshipping is a variant of electronic commerce, also known as ecommerce, in which it is not necessary that the seller has the products in stock, but also promotes them via the web and it is the provider who sends it direct to the customer.
Therefore, the online store is responsible for the promotion of the product, its sale, billing and management of the databases, but does not work directly with the product. It is the supplier or wholesaler who is responsible for storage, packaging and shipping of products.
One of the factors that you should take into account if you decide on this business model is the choice of providers. An intensive search in Google or get in contact with the manufacturer are good systems to know the market and select the most effective and cost-effective.
Keep in mind that who ends up giving the face to the customer if there are problems with the condition of the product, delays in shipment or loss of the package is the seller and not the one who sends him.
Four advantages of dropshipping:
- Need a small capital to start the business. It may be a good formula to make contact with the e-commerce because they do not oblige to invest large sums of money, as you don’t have to buy the product until it has been sold. They do not require an additional space for storage.
- Paperwork reduction. With this formula business, avoid making orders based on the inventory and the sales forecasts, the storage and the organization of the product.
- Greater creativity and sales strategy more effective. The need to invest less in procedures, and purchase of product in advance helps the seller to focus its efforts to employ online marketing strategies to improve the results. In addition, you can invest in a web page more creative and effective and promote it by using SEO, SEM and other types of online advertising.
- Variety of products. Not having to store the products or buy them in advance allows the seller to offer a wider range of products, and even diversify the market towards different types of articles.
Shopify: the best way to create your business
Shopify is a platform to set up businesses online which makes it easier for vendors the creation of your store, and avoid technical problems. It also offers advice for finding the right suppliers and the steps needed to start the business.
In addition, the platform, with 325 thousand vendors entered, it allows you to customize the domain and the design of the web page and makes it easy to work with a wide range of templates and functionality to offer to customers. Offers a 70 payment gateways, support for taxes, gift cards and discount codes and search engine optimized among others.
On the other hand, Shopify offers various ways of selling, from shop, button shop to install in any website, package, retail, commerce on Facebook, and even e-commerce for businesses.