Advantages of Shopify Dropshipping
“E-Commerce is not an industry; e-commerce is a tactic”- as so is said by the founder and the CEO of multinational e-commerce company shopify dropshipping, Tobias Lutke.
Everyone desires to be independent, and most of them start their first step by establishing a business of their own. And in today’s era of technology and the internet, online business is the first thought that crosses the person’s mind as it is easy to start with limited resources and guaranteed profit if planned strategically.
Out of all the kinds of e-commerce businesses, Dropshipping is the most popular one as it is easy to start and manage for an individual on its own. MyDepot is one such dropship supplier on Shopify, having a vast collection of home and furniture products, with inventory in the US to ensure fast delivery is one such emerging platform.
To understand in brief, Dropshipping is a simple method of retail business. The owner accepts the order from the customer on their website and then passes that order to the contracted supplier who further handles the packing and delivery of the product. Here the owner acts as the dropship supplier between the customer and the supplier. The website owner is only responsible for marketing and selling the product while not worrying about stock storage. But you need to set up a few things before starting your dropshipping business, like modeling a website, contacting the manufacturers or wholesalers and suppliers, setting up a payment method and a catalog for products.
Drop Shipping is the most affordable and cash-efficient business one can start online. And to make it easier, companies like Shopify provide online platforms to open a store with other services both for retailers and consumers. There are many advantages of using Drop Shipping for your online business.
Every business needs investment. Most of the retail businesses need more investment compared to others. But In Dropshipping, you don’t need a large sum of money to invest in the business. You can save up the costs of buying an inventory in bulk or by renting the location for your store, on the interiors, or hiring staff. You can invest a low amount and still expect the profit in return as much as any other physical business might earn.
Lower Management responsibilities
Because you are responsible mainly for the selling and marketing of the product, you need not concern yourself with the inventory management, packing and packaging, storage problems, or shipping of the product. Since you are free from other operations, you can entirely focus on maintaining and promoting your products online.
Since you are only acting as a mediator, you don’t need to maintain stock at your place. As you pass on the order to the supplier in Drop Shipping, the supplier is the one who maintains the stock and delivers it to the customer. And with this, you save yourself up from keeping track of the stock. This makes you avoid a lot of mental and physical work, from looking for a place to store the products to worry about the loss you might incur if not sold.
Another plus point of Drop Shipping is you can give a lot of options to your customers on your website by providing a broad range of variety of products offering hundreds to thousands of choices. And all without actually having them stocked up at your place. Which is quite difficult to accomplish in an offline store with a small-scale business. You have to open the options on your website and contact the concerned manufacturer, producers, or suppliers.
While an offline store requires a lot of your attention, Dropshipping is something you can do on your terms. You can avoid the whole licensing process and paperwork of establishing a business that takes a lot of time. It allows you to run a business from anywhere at any time, giving you the luxury of flexibility in your schedule. It is easy to plan, execute, establish, run, maintain, and manage without much of a hassle.
While you may be a beginner, Drop Shipping gives you the ability to stand on your own and learn new things in the process. Since it is an online process, you will be indulging yourself in new skills like digital marketing, Social media marketing and promotion, copywriting, SEO, and so on.
Bigger Return on Investment
If you have planned strategically and worked on each part with details, you may expect a bigger return on your investment. Since you don’t have much of the liabilities in Drop Shopping, you are at a minimal loss and maximum profit.