What Is Drop Ship Service
Drop Shipping is a method of supply chain management (SCM). An online shopping store which works on a drop shipping model purchases its items from a third party manufacturer or wholesaler who fulfills the orders for the customers. In this business model, the store does not keep the items which are displayed on its website, instead it hires its suppliers to do the favour on their behalf. The merchant is not involved directly in handling and shipping of the goods.
As a customer you can review the products from the catalogue displayed on the e-commerce website such as Amazon, eBay, Shopee and orders the item of you add to cart. The product will reach you the same way it happens in other traditional online purchases. This differentiates the internet fulfillment services dropship model with the other standard retail model where the retailers are directly involved in fulfilling customer’s orders. fashion dropshippers helps the sellers in reducing its operating cost.
Ultimate Dropship Services Reviews
We are clear on mind that what is drop ship service so now Let us discuss the benefits and limitations of drop shipping model.
Benefits of Drop Ship Services
1. Easy to Start
To start drop shipping is one of the easiest ways for an online shopping store. One only needs to ensure that they are hiring or contacting a dependable third party that can fulfill their customers’ orders efficiently. As a merchant you don’t need to bother about:
Packaging and Shipping
Tracking the consignments
Handling reverse logistics or customer returns
Worrying about inventory levels
2. Minimum Risks
Spending large amounts on acquiring inventory can be risky. Since the merchant does not have a direct involvement in the whole process of drop shipping, the risk associated also minimizes. Unlike standard retail model, where huge cost is involved in acquiring inventory, internet fulfillment services dropship model is an inexpensive method.
3. Flexible Location
As a merchant you can sell the products from anywhere and everywhere. For example, you wish to sell an electronic item in another city or country, you can do it without any hassle. The only thing you need is your internet connection to manage the same.
4. Variety of Product Categories
Since you don’t need to worry about managing the inventory, you can deal in numerous product categories depending on the availability of product with other suppliers.
5. Low Cost of Operation
Drop shipping is high profitable way of cutting down the cost of manufacturing and stocking. Unlike other e-commerce website, you need to put less effort in gaining returns. By employing a third party, you don’t need to worry about the cost of operating, shipping, packaging, etc. All these costs are borne by dropship suppliers such as chinabrands.com. It helps you in freely expanding your business.
No doubt drop shipping has various advantages but as we know everything associates with it both pros and cons. We make full dropship services review with the disadvantages of drop shipping.
Related: how to start a dropshipping business