You want to open an e-commerce site, you think that you have found the product that you will sell and will bring you profit after long efforts. However, it is not possible for you to produce this product or to find a place to store it. Moreover, you also have problems with the capital that will bring the product you will sell to you collectively. In this case, should you stop opening an e-commerce site and starting your ventures? No! With dropshipping, you can have e-commerce experience and make your life easier without having product supply problems!
The concept of e-commerce and dropshipping is nowadays almost inseparable. Even Amazon, which ranks first among the world's giants, serves millions of customers with dropshipping . If you want to get information about dropshipping, which reduces commercial costs and makes the life of e-commerce site owners easier, you can read our article! In this article, " What is Dropshipping? ", " How does the dropshipping system work? " and " What are the advantages of Dropshipping ?"
What is Dropshipping?
Adding your profit to the buyer and acting as an intermediary between buyer and seller on products that are not yours is called "dropshipping". Dropshipping; You can evaluate it as a whole of your marketing activities using digital marketing strategies. You can do dropshipping by agreeing with the supplier of one or more products you sell on your e-commerce site; You can deliver the products to the end consumer without buying them and earn your own commission.
How does the Dropshipping System Work?
In order to implement the dropshipping system, you must first determine the product groups you will sell. If you want, you can focus on a single product, or you can move forward with more than one product and brand. After determining the products you will sell on e-commerce sites, you need to make an agreement with the suppliers of these products. Thus, even if products are purchased from your site, you do not have to deal with shipping products or stocking products. If you are considering entering the dropshipping system, which has important advantages such as cost and time management; You should also consider on which e-commerce sites you will sell the products or whether you will set up your own e-commerce site. According to your final decision, you can increase the visibility of your products by using social media management and digital marketing strategies.
What are the Advantages of the Dropshipping System?
- Is Less Costly: The biggest advantage of the dropshipping system is its lower cost. This system, which enables e-commerce without investing thousands of TL and stocking products; It provides a great advantage for entrepreneurs who cannot give life to their ventures due to lack of capital.
- Getting Started is Easier: The dropshipping system is easier to start a business than traditional methods. After agreement with the suppliers of the products; It is possible to get rid of workloads such as cargo, return, stock count and storage.
- Easier to Manage: When you dropshipping, you do not need to establish a business, have an office or a warehouse. Therefore, as long as you have an internet connection, you can stay at your job anywhere in the world. Thus, you will take your life out of your business.
What are the Disadvantages of the Dropshipping System?
Although it is known for its advantages to entrepreneurs, the dropshipping method has some disadvantages It would not be the right approach to deny the truth. The biggest disadvantage of the dropshipping system is its low profit. The fact that it is easy to start may cause entrepreneurs to ignore web design services, not to apply enough digital marketing strategies and therefore to make effective promotion. Since consumers' price comparison may cause entrepreneurs to sell their intermediary products at low prices, profitability may decrease.
Working with more than one supplier and customers requesting the products of 4 different suppliers at the same time can increase shipping costs. Since the problems that may occur with the suppliers can damage the reliability of the e-commerce site, the dropshipping system will be negatively affected.