Drop Shipping (2)

You don’t have to use drop shipping to be successful in e-commerce. You can find success with just one simple, inexpensive product with a relatively small upfront investment.

You can also find success investing a great deal upfront in stock and offering a wide variety of items. It’s totally up to you and your circumstances.

However, if you want to have a full e-commerce site, and you don’t have a lot of money to invest in the beginning, drop shipping is the perfect business model to help you get started. You can always invest in inventory later, once your business is profitable enough.

Keep in mind that drop shipping is not a perfect business model. There are a few issues you need to keep an eye out for, which we will address in the next chapter. But there are some big benefits, too.

Let’s take a look at some of the biggest benefits of drop shipping.

  1. For one thing, you don’t have to invest a huge amount of money in the beginning to get started. All you need to get started is a domain, website, and the software to run your shop. In most cases, you can get started for less than a hundred bucks.
  2. Also, you don’t have to spend as long sourcing products. One of the most time-consuming elements of e-commerce is finding the right products for your shop, and when you use drop shipping, you’ll often be able to source multiple products from the same supplier.
  3. It’s also very easy to add inventory to your shop, because most major drop shipping suppliers either have a plugin you can use to automatically add inventory to your shop, or they have CSV files you can import into your software to control your stock. This is a huge time saver.
  4. Another great thing about drop shipping is that there is much less risk involved. Since you aren’t investing in product upfront, you don’t have to worry about getting stuck with unsold inventory if you buy something that turns out to not be as popular as you anticipated.
  5. It’s also very nice to not have to worry about having warehouse space, managing inventory, and sending out packages. These are all things that are expensive and time-consuming, and they are completely avoided by using drop shipping.

These are just a few of the biggest benefits, and you can probably already see how great it can be for someone who’s just getting started!


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