If you are thinking of setting up a home business and want to do some buying and selling, then drop shipping could be the answer for you. Drop shipping allows you to buy and sell a gigantic assortment of products, without the aggravation of receiving stock, holding it and actually sending it out to paying customers.
But what is it all in relation to, why does it work and how can you retail the stock? Most importantly, where can you discover people willing to work with you and supply the items?
There are heaps of companies that run warehouses that for one cause or another are more than delighted to play a part in drop shipping. Your side of the contract is quite uncomplicated. You go out, unearth customers and take orders together with the payment. You then send the order particulars to the warehouse who will despatch the items for you.
Any decent company who is supplying drop shipping will at worst send the parcel directly to the customer with plain shipping information. That is, the enclosed paperwork will just give a return address and no company information. Some more well geared up drop shipping warehouses can in fact put in the company information of the person who generated the sale, but this is not really essential. The buyer should have your receipt or invoice so should find you again.
It sounds straightforward, what are the troubles? Well, some of the drop shippers have small print that you must watch such as hidden charges. Perhaps there’s more postage than you assume or minimum monthly orders. Just read cautiously before you sign up.
So the only question left is how do you sell the stock? Scores of people use Ebay, and alike systems, for this function. Ensure that the opening price and postage charge cover all of the fees involved and everything above that is your profit. With Ebay, it is in all probability safest and most comforting for buyers to use PayPal for getting payments.
Once you are established you might like to try using your own website to advertise the items. It’s quite simple to build a website, you can create the pages on your own selling just a couple of items per page. Add to this a Google Adsense or a system to maybe earn more cash whilst visitors are on your site and then get promoting the website. This can be relying on search engine visitors, so build links to your site, or it can be owing to Pay Per Click marketing and other schemes.
Using your own website just leaves the problem of how to accept payments? You can still use PayPal, it is relaxed to use and provides a basket. But Google Checkout is also a good alternative that doesn’t cost too much and is equally easy to set up, plus if you are running Per Per Click advertising, tie the accounts and you receive a discount.
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