Dropshipping - the silent shipping in the background
Dropshipping means that a merchant can sell (third-party) goods or services without having to own them beforehand. As a rule, the end customer does not notice that he has been "dropshipped". This is not a disadvantage for the customer. On the contrary - it can even be an advantage! A good dropshipping provider is a real professional in logistics and shipping, because that is his core business. His only task is to immediately ship his stocked product, which has been ordered from him by another retailer, to his end customer. The advantages are clear: all three parties benefit from this model. Both the retailer and the dropshipping provider - and the customer anyway!
Who can do dropshipping?
In principle, any commercial trader. In Germany, there are still very few professional providers, but the system will become increasingly popular in the future. You share the logistics and the shipping process, so to speak. Either you use your own online store as a sales channel or you sell the products via dropshipping on sales platforms.
Dropshipping - sell and have it shipped!
The development of a well-running Internet trade requires, in addition to a lot of diligence, above all perfectly organized logistics. Only if the merchandise management and the stock are kept up to date, a fluent dispatch of the goods is possible. And only then is there a mostly satisfied end customer at the end of the chain. Wouldn't it be much easier if you could integrate already existing goods into your assortment?
Take over goods, expand sales!
The cost of goods, i.e. goods that have to be purchased beforehand in order to be able to sell them profitably afterwards, accounts for about one third of total sales in most companies. That doesn't sound like much at first, but it is quite a lot. Especially if the purchase has to be financed in advance. That's why it makes perfect sense to join other sales models. For small companies in particular, the dropshipping model can mean real sales hype.
Sell first, then pay!
Dropshipping is primarily about an efficient shipping process. The supplier delivers, and only then does the retailer pay. This completely eliminates the merchant's cost of goods. A good dropshipper delivers the goods very quickly to the retailer's end customer and only then issues the invoice to the retailer on the previously agreed terms of purchase. This means stable planning security, especially for the retailer. True to the motto: sell in advance, then pay and have delivered!
Author: schreibstil012. Translation. Image: planet_fox / pixabay.