A Step-by-Step Guide to the Dropshipping Business

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The Dropshipping thing: it’s not new!

Acquisition of goods is not at new; it started since centuries just now the method of doing has changed. When our ancestors were involved in exporting and importing of goods from one area or one major port of a country to another port of different countries, at that time the major worry was whether the product is in its best condition or not. Moreover, it was difficult to return it back and took a lot of time. Nowadays nothing got changed just the procedure and focus of the acquisition of goods is different from earlier days.

In the digital era of marketing where shops and shopkeeper both are present online and consumer, without going to the market can buy from home so they order online and wait for their product to arrive. The main role in this e-marketing is of drop shipment. Yes! These days the drop shipment business is so prominent in metro cities that there is a growth seen in this business in recent years.

Here, the online retail stores use drop shipping method to deliver the product from shop to the customer. Let’s understand more about the drop shipping and how does the business of drop shipment actually work?

What is drop shipping?

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Drop shipping is the fastest method to deliver any product from a particular shop to the customer. Here the focus is on maintaining a bonding with all those businessmen involved in this market chain.

In drop shipping the retailer does not keep the stock in his/her store the retailer just transfers the online booked order to the manufacturer or another retailer or the wholesaler than the 2nd party orders the 3rd party i.e., the suppliers to deliver the product to the customer. Therefore the customer had to pay extra charges called as shipping charges.

Here, the task of delivering a good is divided between a retailer, manufacturer/ wholesaler, and supplier. The business now becomes more transparent and is being highly adaptable across the globe.

How does drop shipping business work?

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Business starts on risks whether it will sustain or fall depends on the idea of doing the business. However, you need to understand that so as to make a business successful consistent is the key.

Generally, to start a business good amount of cash is needed; however, in drop shipment minimal amount one needs to invest hardly INR 2000-3000 at the beginning.

The best way to do this is, a customer purchases a product from your store and the retailer orders the supplier to drop the good to the customer, that means the retailer should not have to keep the stock, the retailer just uses an online platform and tie up with a manufacturer so that they can supply goods under your name.

The popular online marketplace such as Aliexpress, Amazon, and Snapdeal etc. uses the similar business model.

Here the problem arrives when the product costs are raised due to the supply chain in between, for example, a product actual price is INR 100 will be raised up to INR 500 on an online store because the manufacturer, the supplier will add their cost in the product.

Therefore, a customer perhaps prefers manual shopping at a cheap price rather than buying it online at a doubled price.

Still, the business of drop shipping is booming in India, as it is a fair and transparent business to do.

Another way to do drop shipment is to have a good knowledge of online marketing and secure bonding with the manufacturer. Here, a retailer can be a supplier too.

For example, a company Aliexpress is engaged in online marketing at the same time this company take the product from the manufacturer and supply it to the customer, here the area of doing business becomes extensive and thus profits doubles.

How to start drop shipping business?

Other than a business mind, one must have a positive attitude, smart outlook and genuine behavior with customers or suppliers to run a business. Work ethics too plays a vital role to boom a business.

Apart from these tangible things to start a drop shipment business one must have

  • Products to sell
  • A group of suppliers
  • Tie up with the eminent online stores
  • A sales tax ID

Best Drop Shipping Product 

  • Everything from a toothpick to Jewellery, online products to stationery products anything is possible to drop ship. Regardless some products are more suitable to drop ship as they are used extensively and businessmen can churn very good profit over it.

How to choose best drop shipping products?

  • The product should be light weighted and not so big in size to avoid extra payment while shipping
  • Non- seasonal products have fewer chances to get sold. So avoid those goods too.
  • Those goods which can give high margin as low margin goods demands hard work and in return with minimal cost, one gets.
  • Those products which are not dominated by the prestigious brands in the market such as- in the case of laptops, Dell and Apple dominate the whole market so if one starts a retail business of electronic items and keep less dominated laptops brand the business may affect.


A business either small or big exists on the risk, it is uncertain that a business will sustain forever or not. However, an idea helps to maintain the decorum of doing the business all the ages.

Drop shipment is a new and running business in the entire world. Ever country is involved in e-commerce these days so to keep own business on track and updated one must look to drop shipment business. To become successful in doing business or to make own company at the apex one must take the risk to start it. Eventually, a calculated attempt is important to build up a fortunate life.


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