For many entrepreneurs, a drop shipping business is their stepping stone towards business success. By partnering with a dropshipping company, a new business owner can start marketing online even with a limited budget.
As customers order from your online retail store, all you have to do is contact your Dropshipper- who will in turn, prepare the orders for shipment. You get to purchase the item at a wholesale price and place your own mark-up price.
Most dropship Wholesale Suppliers practice “blind dropshipping” which means, you can use your own brand name in reselling the products. When customers purchase from your shop, they won’t even know that you are just a reseller.
Nevertheless, the concept of a dropshipping business is not without challenges. As the number of online retailers increase, you need to be a lot smarter to stay competitive and survive the business.
Challenges of Dropshipping
If you are an online retailer or planning to start your own dropshipping online business, you need to be ready to face up to the challenges. Below are some tips:
Make sure that you are dealing with a legal and trusted Dropshipper. Bear in mind that scammers abound in the industry. If you are not careful, you could be working with a middleman who is making a much bigger profit from the sales you make. See to it that you are dealing directly with a legitimate Wholesale Supplier, not just another retailer or another link in the chain.
Ensure your customer’s satisfaction. As a reseller, it is your reputation that is directly on the line. Therefore, it is your duty to ensure that your Wholesale Dropshipper can live up to its promises. Before reselling, make sure that you are confident about the products you will market. It is a must to order sample products from your dropshipper.
Can you be sure that only quality products will be shipped out to your customer? Can you monitor the status of the orders from your end? Will your customers be given guarantee for their purchases?
Watch out for dropshippers that charge fees. A legitimate dropshipper will never require upfront payment just to open an account. You will only be required to submit payment once you have made a sale from your site.
Offer more than one product. It is advisable to offer more than one type of product from your store. If your dropshipper offers only one kind of product, try to find other legitimate dropshippers with products to complement your store.