Like most people, you’d probably like to achieve financial independence. These days job security is a thing of the past. The only surefire way to get the income and security you desire, is to work for yourself. Drop shipping is a simple, low-cost way to achieve that goal.
The popularity of sites like eBay and Amazon have inspired many people to start an eCommerce business. And for those entrepreneurs who don’t want to invest in a ton of inventory dropshipping is the perfect business model.
It’s the only model I know of where you sell high, then buy low!
How Dropshipping Works
You might be asking… What is Drop Shipping?
Drop shipping is where you sell an item on eBay or Amazon without actually having the item on-hand. Once the item you list has sold, you then contact the supplier who sends the item directly to your customer. You keep the price difference from the transaction.
Drop-shipping is one of the easiest businesses you can start. Ecommerce is on the rise in the U.S. and the best (and most affordable) way to enter the market is by drop-shipping. The beauty of this model is you can become an online retailer in no time and have your eBay or Amazon store loaded with great products which you won’t have to stock or ship yourself. Almost everything will be taken care of for you by your supplier. Some of the most common benefits are:
- Low start-up costs
- No physical product handling
- eBay or Amazon provides the customers
- You can start a successful business in no time
- Work from home or run from anywhere with Internet
- No warehouse or employees to deal with
- Start earning serious amount of cash quickly
- Carry a wide selection of products or stick to a certain niche
- Set your own prices and hours
- Grow at your own pace
How many businesses do you know that you can start without having to lease a building, buy a lot of equipment, pay a franchise fee, bring on a lot of employees, and all the overhead that normally comes with a brick and mortar type store?
How Much Do You Want To Make?
What are your dreams and desires? Is it to retire young? Buy a new car, boat or motorcycle? Travel to other countries… or maybe you want to hope in an RV and take in the beauty of our own country! To be able to afford college for your kids? Go on vacation? How about some home improvement… or maybe a brand new home?
Whatever you want, you can achieve it with drop shipping, If you have someone to guide you past all the landmines and mistakes along the way! I will teach you and lead you, all the way to the success you want.
The great thing about this business model is that you can control the amount you of money make. From a few hundred extra a month to help pay down some debt up to a solid 6 figures of life changing income! You can start out as a side business and then up and quit your job to make a full-time business out of it. You decide…
- How much money do you need to make or want to make?
- What kind of lifestyle do you want?
- Do you want to work 40 hours a week or do you only want to work 10?
For example if wanted to make an extra $1,000/mo, you would need about 500 eBay/Amazon listings based on 20% of your items selling each month with an average of $10 profit. Some items won’t sell at all in a given month and some will sell multiple times. This is a very conservative example as you can sell items for as much as $100 profit and $20-$30 is a realistic average. So $2,000 to $3,000 per month is defiantly attainable with the same amount of listings and that’s just eBay. You can count on four times the amount of traffic on Amazon!
Now it may take you three months to find and list all those items working a couple hours a day, but it will be worth it as it’s almost nothing to maintain (fulfilling the sold items) especially if you outsource or use special Software to automate your drop-shipping business.
Plus, you can still run this type of business while working in your normal day to day job. However, if the business takes off, then you can work from home or anywhere with an internet connection. I have friends making multiple six figures with their e-commerce business.
Drawbacks Of Drop Shipping
Drop shipping isn’t all rainbows and butterflies. Like all models, it has its downsides. With some planning and awareness, these issues can be managed and need not prevent you from running a successful drop shipping business. Some of the common drawbacks are:
Competition: With the low barrier to entry this model has, there will be a lot of people entering the market. You can stand out by providing additional value to your customers. Selecting a low competition niche is also key here.
Low Profits Margins: High competition invites cut-thought pricing. You’ll want a lot of products/listings to offset this.
Drop Ship Companies Posing As Wholesalers: You will want to avoid the “turnkey” e-commerce businesses which are willing to sell you a package of products and charge you a membership fee.
These types of businesses are actually middlemen and you will soon discover that hundreds of other people are trying to sell the exact same items and are listing them for what you are paying for them so the only one making any profit is the drop-ship company.
Shipping & Stock Issues: Sometimes your supplier will be out of stock or will ship the wrong color or size.
Even the best suppliers make occasional mistakes. Most suppliers are fairly good about paying to remedy problems, but when they’re not, you need to be willing to spend what’s necessary to resolve the issue for your customer.
One of the costs of drop shipping convenience is the expense of remedying these problems. If you accept it as cost of doing business and always make sure to put your customer first, it shouldn’t be a long-term issue.
Having multiple suppliers for your products will also solve your “out of stock” issues
While all these are legitimate concerns, I think drop shipping is still a great choice when starting out. Your primary goals when starting out is to limit downside risk and prove market viability, both of which are easily accomplished with the right training and mentor.
If you want to avoid these issues and get access to the best training, trusted dropshippers and resources check out Drop Ship Domination. I will personally help you get started and grow your e-commerce business.
Create A Great Day,