WHAT IS DROP-SHIPPING?
Hey, guys today we’re going to be talking about drop shipping. So what is drop shipping? You probably hear it all the time about this brand new method of making money online without really putting any money up or without holding any inventory. Well, this is what really drop shipping is. It seems like an elaborate system but it’s really not and it’s quite simple. so if you allow me to explain here as you can see over here we have your supplier so that’s you’re going to be purchasing a wholesale from, and keep in mind there are two different prices inside there’s wholesale and there’s retail. Wholesale is what you the seller is buying for and retail is what you’re selling for. So your customer over here buys retail price and you buy wholesale price.
So here’s how the system works
First, you purchase or you find the product from a supplier. Some of the most convenient places to buy your products from are Aliexpress or eBay or even any American drop shipping company. So you just find the product and when you find your product then you list it on your website. But keep in mind you’re buying this product for wholesale say two dollars a piece and you’re selling it to your customer for retail say twelve dollars a piece okay.
The next step is your customer buys the product from you, so your customer goes to your store and he buys, he or she buys the twelve dollars priced item.
Okay, next step is you take that order and you send it to the supplier. Once the supplier has your order what they do then is they directly ship to your customer. What this means is throughout this whole process you’re not touching a single piece of inventory. All you are doing is hosting this service and driving the traffic to it. You’re driving the customer to your store and then you’re sending the order from your store to the supplier and they take care of the rest. It’s very simple very easy to do and I actually want to show you a couple examples right now. so we can see websites like this