One of the simplest business models currently available that can allow you quickly set up an e-commerce store without having to spend a fortune on stock is drop shipping.
Drop shipping is a process whereby a wholesale distributor or supplier sends products that customers buy on your website on your behalf. This means you don't have to worry about renting warehouse space, dealing with fluctuating inventory, paying staff or the overheads associated with having a physical shop.
Your profit is made from the difference between the retail price (which your customer pays you) and the wholesale price (which you pay the supplier).
There are countless people who have e-commerce stores on platforms like eBay and standalone websites who are using this business model to great success. It really is one of the quickest ways to set up a business online without the hassle associated with having a brick and mortar business.
Key to starting a drop shipping business is to find a supplier who has the products you sell on your websites and can sell them for you. There are many ways to find drop shipping companies.
You can do a simple search on an online search engine like Google, Yahoo or Bing and type in the product you're selling and add drop shipper. This will bring up a multitude of results and you can pick the first ten to twenty results that come up and call or email the companies. Some of them will respond to your email favorably while others might decline your application either because they have stopped their drop ship program or because you did not fulfill one or more requirements they require to drop ship for you.
Contacting the Companies Directly
After doing your research, you may have settled on a particular product to sell on an online store. If the product is very niche and only sold by one or two companies, you could contact the manufacturer directly and ask if they can drop ship for you. Even if they don't have a drop ship program they could direct you to a wholesale distributor who has a drop ship program for their product.
Asking Online Store Owners who already sell the Products
This is a very tricky one but I have seen it done. I can attest to this as I receive several emails from people asking if I can drop ship for them or to ask if I know a drop shipper. When sending an email to a potential competitor, be formal, polite and honest.
These are some ways you can find drop shipping companies. There are many companies out there who would like to drop ship for you but you have to be careful to avoid the fraudsters and I would like to show you how.
Please Pay Close Attention
Finding the right drop shipping company can make or break your e-commerce business. Countless aspiring entrepreneurs have been duped by drop shipping scams that caused them to quit. There is one trusted place where you can get reputable drop shippers. Click on the link below to discover more about this company
Find More: China Wholesale Drop Shipping