Dropshipping Makes It Easy To Start Your Business
The opportunities afforded by e-commerce have made the dream of owning a business a reality for millions of people. All across the internet there are e-commerce websites dealing in every kind of product possible. And a big part of what makes it all work is something known as dropshipping. E-commerce retailers can dropship direct to customers and make good money doing so.
If you are not familiar with the dropshipping model, it is actually quite simple. We will detail it in this post, followed by helpful information explaining how you can take advantage of the model yourself. You can own a business that dropships directly to retail buyers.
How Dropshipping Works
The dropshipping business model is based on a cooperative effort between wholesaler and retailer. For purposes of illustration, let us assume you are an e-commerce retailer and we supply your products at wholesale.
As a Safety Technology dealer, you have access to every product in our inventory. You might choose to build your own e-commerce site on which you will list our products as your own. Alternatively, you might decide to sell on a retail site like Amazon or eBay. You list the products, set the pricing, and deal directly with your retail customers.
A customer placing an order with you facilitates you logging on to your Safety Technology account and placing the same order with us. You furnish us with the name and shipping information provided by your customer. We then pack the order and dropship direct to the customer's address. You never handle the order yourself.
That's really all there is to it. The dropshipping model combines the best of what we offer as a wholesaler with your ability to sell at retail.
Start with Good Wholesalers
The first step in establishing an e-commerce business based on dropshipping is to find some good wholesalers to work with. If you are interested in selling personal safety and self-defense products, we believe your best option is Safety Technology.
Remember that your chosen wholesalers will play a crucial role in the success of your company. Wholesalers with extensive product lists, fair pricing, and a commitment to customer service will be a big part of your success.
Decide on Sales Channels
Next, you will need sales channels. Let's say you decide to set up your own website. You're going to need a shopping cart application along with space to host your site. Then you are going to have to build your site. As a side note, Safety Technology builds websites for a lot of our new dealers who don't want to do it themselves.
Know that an exclusive e-commerce site owned by you is not the only way for you to sell. You can also sell on the previously mentioned Amazon and eBay sites. You can sell through online classifieds too. You can even build a catalog of products and sell by distributing printed versions at home parties and other gatherings.
Determine Your Payment Options
Next, you need to determine how you are going to accept payment. E-commerce dictates that 99% of your payments are going to be digital in nature. That means credit cards and electronic payment systems like PayPal. We highly recommend electronic payment systems that offer some sort of seller protection.
Go Out and Sell
Your last step is to get out there and start selling. In the e-commerce arena, this often means taking advantage of online marketing techniques including SEO (search engine optimization), blogging, and direct advertising. Utilizing social media as a marketing tool is another great idea.
Remember that your goal is to sell as much merchandise as possible. You will be relying on your wholesalers to dropship direct to customers on your behalf. So the more you sell, the more product they will move. Strong sales make for happy wholesalers.
Make Sure Your Business Is Legal
One last thing we want to mention is the necessity of making sure your business is a legal entity. There isn't a single formula we can give you for doing so because state regulations vary. But know this: trying to run an e-commerce business under the radar is asking for trouble.
We recommend contacting your state taxing authorities to learn what is required of you as a business owner. You might want to also contact your county and city, just in case any special licenses are required. Finally, make sure you have all your documentation in order before you start selling.
You can make good money selling our products while leaving it to us to dropship direct to your customers. What we have explained here is a good introduction to get you started. Do not be afraid to do more research on your own. There is plenty of great information out there about starting your own e-commerce business.