Surely you have browsed various online stores thanks to all the advantages they offer us. However, perhaps you do not know all the modalities that exist, since one of them is called dropshipping. If you are interested in knowing what it is about, we recommend you continue reading this article.
What is the dropshipping
When we refer to dropshipping we are referring to a type of online business where there is a retailer and a wholesaler.
What does it mean? That the retailer is the one who creates the online store and the one who offers the different products that are part of the wholesaler or supplier, therefore, the retailer acts as an intermediary in the sales process between the supplier and the end customer.
The term dropshipping comes from English and means something like “dropper shipping” which is nothing more than a metaphor for this e-commerce system.
How dropshipping works
One of the great advantages of having a dropshipping style online store is the fact that it is not necessary to have a stock of products, so there are no costs derived from it. It will also not be necessary to have a transportation service since all of this is assumed by the wholesaler's distributor.
The benefit that the retailer, that is, the creator of the online store, will obtain is the percentage established of the final price of the product.
For this reason, today creating dropshipping is one of the resources required by entrepreneurs who want to have an extra income of money.
The steps that dropshipping follows are very simple:
- The user enters the website and places an order.
- The creator of the online store receives it and manages the collection of the money.
- Sends the order to the supplier and purchases the necessary units.
- The order is passed to the dropshipping distributor and the final management is done.
- The product is sent.
As you will see, at no time does the product pass through the hands of the creator of the online store, so you will not have to worry about that logistics itself.
Even so, it is important to be aware that the distributor is a good company that makes deliveries in a timely manner, since otherwise the person who customers are going to complain to is the creator of the online store.
Now that you know what dropshipping is, think about it as an alternative for your online store.
