When starting an online business , one of the key elements is having products to sell. In the vast world of internet entrepreneurship, there are many answers to all of those questions.

You could create your own products — but that can be a long and time-consuming process. Or you could buy in bulk from a manufacturer and then ship out products to your customers as they buy. But that is an expensive solution, and you have to take the risk of investing that money in buying stock and not having sales.

There is a solution that allows you to sidestep all those hassles. And it makes the whole startup process for your online venture that much easier. And it has taken the online business world by storm. But industry watchers have found that between 20 percent to 30 percent of online retailers use drop shipping.

Even big retailers like Amazon use drop shipping. With drop shipping, you work with a wholesaler or distributor that offers this service.

Not all manufacturers and wholesalers offer drop shipping, but many do.

You tell them all about the products and how it will make their lives better. But when it comes time to actually send out the product… the drop shipper takes over.

How to Make Money With an Online Drop Shipping Business

They have the inventory in their warehouse. You send them the orders that come in, paying the wholesale price for each order. This can be done by email, submitted online, or through a spreadsheet file — it depends on the drop shipper. They put the order together and ship it to your customer. Of course, they do charge a fee for this service.

Just how much depends on the product. That can seem like a lot. If you want to increase your profits you raise your prices — at least as much as your market will bear. You can also sell more volume. And you can always contact your drop shipper to negotiate a lower handling fee.

You are only paying these fees if you actually sell a product. In the best-case scenario the niche you specialize in should also match one of your personal interests. If you have a passion for a certain market or type of product, that enthusiasm will make your marketing efforts… and by extension your business… will be stronger. Fortunately, there are drop shipping companies that work with just about every market, niche, and type of product. A great place to check for hot niches are big online ecommerce platforms like Amazon.

Whatever items are on the bestseller lists there could be a great fit for a drop shipping business. But also keep an eye on trends you see on Facebook and other social networks.

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You want to see how easy it is to order the product, how long it takes to ship, how the drop shipper deals with any problems. Of course, this will also give you the chance to also see the quality of the product.

If you are into this niche and have used other products that are similar, you can test the product yourself. Does it do what is promised? Is it made of quality material or ingredients? Check the reviews of others online to see if your experience matches up. And also be sure to thoroughly check online reviews, forums in that niche to see any comments from users, Facebook too.

Do your research, in other words. Knowing the product will also help you sell it. Yes, partnering with a drop shipper is great to start an online venture without investing much of your own money.

And you make it that much easier to run your business too. By not having to lay out a bunch of cash to buy products wholesale your not risking your money. Working with a bad drop shipper — and they are out there — could sink your business before it ever gets off the ground. Here are some key questions to ask to help you determine if they are the right fit for your business.

Drop shippers who have a bad reputation or have bad business practices will quickly be exposed, often in detail, so you can avoid them. A drop shipping online business is a quick, easy, and low-risk way to start selling online. And your drop shipping partner will handle delivery. Pick the right niche market and product, and you could have a profitable venture on your hands.

You could even expand into other niches and sell other products, too. Search the site GO. Online Business Basics Web Hosting Daily Operations Social Media Marketing Affiliate Marketing Email Marketing Driving Traffic Blogging.

Updated January 17, Here are some of the top drop shippers and drop shipper directories operational today: Sunshine Wholesale Dropship Direct Worldwide Brands Oberlo Key Questions You Should Ask a Potential Drop Shipping Partner Yes, partnering with a drop shipper is great to start an online venture without investing much of your own money.

Once a customer has placed an order, how long will it take to be processed and shipped out of their facility?

Why Dropshipping Isn't As Easy And Simple As You Think

What methods of shipping the products are available? This is especially important if they are located overseas and are shipping internationally. Do they use services like UPS and FedEx? Can a customer overnight an order?

Do they rely on the U.

Dropshipping en France - Fournissseurs Drop shipping

This is a big one: How do they deal with issues like lost shipments? And keep in mind that as the seller you are ultimately responsible for customer service.

And does the drop shipper guarantee the product… what happens if the product fails in some way? You want to make sure this matches up your philosophy.

After all, you are the one that sold the customer the product. Drop Shipping Really Is One of the Easiest Ways to Do Business Online A drop shipping online business is a quick, easy, and low-risk way to start selling online. The possibilities really are endless with a drop shipping business. Get Daily Money Tips to Your Inbox Email Address Sign Up.

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