Drop Shipping should be the first place you look when doing business online. It’s talked about a lot as a method because it works, plain and simple. If you know how to dropship, you know the basics of ecommerce, and you’re well on your way to making money online. In addition, you can make boatloads of money drop shipping without even looking into other business models. About one quarter of E-Commerce sales come from drop shipping. If you know what you’re doing, you can make as much money as you need to live a beautiful life using drop shipping.
So, What Is Drop shipping?
Drop shipping is a business model in which the person selling the product does not actually build it. Instead, they are in direct contact with a manufacturer, one who mass produces consumer products. The drop shipper lists these consumer products and collects a small commission on the price of the product. So, they are basically marketers in this new age. Rather than being hired by the companies as salespeople or ad writers, people are forming their own marketing teams and working for companies in the new age.
What Makes Drop Shipping Worth It?
There’s no reason in particular you should drop ship, it’s just a business model, and you should do whatever suits your business and plans best. That being said, if you’re selling things online, you should definitely look into drop shipping. The first reason for this, is because when you dropship, you don’t need to manufacture or hold inventory. Your supplier handles the manufacturing, and they frequently also own the warehouses. This removes two very important costs from your expense lines and makes it so all you need to do is make your sale and handle shipping. Since the supplier is also responsible for the shipping, all you need to do is apply the correct price and make it so that you can earn a profit or break even on the shipping. As such shipping becomes a task rather than an expense line.
In terms of marketing, your main costs are going to be advertising and content creation. If you’re a top-notch marketer, you won’t even need to do much of the former, simply running a solid social media page will get you all of the attention you need. So basically, drop shipping is worth it if you have no money, are a savvy marketer, and want to sell products to people over the internet. You’re going to be running a brick-and-mortar business, but even better, one in which you have practically 0 overhead.
Should I Start Drop shipping?
If you have a bit of cash and a pre-existing skillset, I suggest getting into drop shipping. This is because e commerce is future. As more people are connecting to the internet, more and more products are being bought there. Drop shipping products from eBay is probably not going to work as AI and increased adoption cause things to standardize, but big companies will always need people to market and move their products. Drop shipping allows them to do this without hiring too many employees and doing too much marketing. You as a consumer or entry-level internet entrepreneur may not see this, but at the corporate level, businesses appreciate not having to put people on payroll and depend on them following through. The upside and downside of drop shipping is that you eat what you kill. However, with the exception of government, this is true for all aspects of capitalism. Some companies standardize the risk by offering 9–5 jobs, but it makes rational sense that those would be few and far between, especially with the full-time protections that are frequently afforded in the 1st world.
I personally don’t recommend doing drop shipping or sales after the age of 21. Between the ages of 18 to 21, you can do these jobs if you take them seriously and make sure to learn. You’ll be teaching yourself how to hustle, and that’s OK when you’re just starting out. When you get older, you’re going to want to have a skill. As such, I recommend you dropship when you have some savings under your belt. In the short run, it might be better to be a bookkeeper, animator, or computer programmer. This way, you can get cash in exchange for your work, and allow you to surive more easily. When you’re young, cash is king. You won’t have a high net worth till your 30s and 40s, unless you come from money. Good things take time in this world. Work hard and build your skills, but also look into drop shipping as a side hustle.
