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Drop Shipping – An Advantageous Way Of Retailing

By Expert Author: Roy Lau

A lot of retailers who have been selling their products in brick and mortar shops have taken advantage of the internet and e commerce. Many people strive to expand their customer base by setting up an online store by self or selling on popular online stores and auction stores. In the traditional stores usually people drop in to the store to have a look at a product and compare the product with the same kind from other manufacturers. It also helps them have hands on look at the product which in turn eases the process of making a buying decision.

These days it is becoming increasingly difficult to rent a place and set up a warehouse owing to the increasing costs of rent and other prices. Sometimes a retailer may get a large scale order for a single product. Dropshipping has come as a boon to the retailers and seems to be the optimal delivery solution.
Drop shipping is the process in which the retailer places an order to the manufacturer or the wholesale dealer and the products get shipped directly to the customer. The customer earns the commission for the sale and earns a profit on the price in the difference between the manufacturing price and the retail price.
It is very advantageous of the fact that if the retail seller gets the shipment from the manufacturer or the wholesaler then they have to find a place to stock the goods in good condition. Apart from this they also have to take care of the shipping to the customer. This makes the task cost more and also one has to make sure the way of transportation does not inflict any damages to the product.
When it comes to drop shipping, the task is fairly simple. The retailer has to find the audience for the product and market it in such a way that there are sales for the product. The retailer has to attract the audience and ensure that the product gets the visibility and promotions. Then the retailer can place the order to the manufacturer or the whole sale dealer and ask them to ship the content directly to the customer.

Let us take ebay for an example. There are a lot of sellers on the site who would not have a warehouse or a transport medium to ship their goods but they would indeed be interested in selling products and making a living out of it. Drop shipping can help bridge the problems as the seller simply needs to project their product and then they will ensure that the product figures for the right search and at the top of the list. Then they can either let the buyers bid and sell it for the highest price or fix a price with a margin and then sell it. Here the seller can simply ask the drop shipping agency to ship the goods to the customer and get the payment for the good and pay the manufacturer too.
For more information about Dropshipping and Dropship , please visit the website :-http://www.tgoal.com/

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