If you have ever thought about a way to make money online, one way is to setup an online store and sell a product. At first that may seem rather daunting, but there are pre-programmed software programs that make the physical aspects of setting up an online store fairly easy.
The bigger question that comes up is what you should sell. That too is a solvable problem as you can follow trends and keywords and find out what people are buying and what they will probably continue to buy.
An even bigger question than that is where are you going to get your products to sell, and what will you have to do in order to get the products to your customers once you do make a sale.
This is where a process called “Dropshipping comes in. Dropshipping is a term that is used to describe the process of sourcing and processing orders, one item at a time directly from the manufacturer. The order comes in to your online store, at this time since you have received payment already via your online store, the order is transmitted to your manufacturer along with payment to them and they ship the order to your customer.
This is a nice simple business model that allows you to have the relationship with your client via your online store and at the same time, you do not have to be in the shipping and fulfillment business. Since you have never ‘touched’ the product your profit for the shipment is secured, and your overhead costs are reduced, allowing you to focus on marketing your online website even further
One of the major online store building sites offers a guide called “The Ultimate Dropshipping Guide” which walks you through the process. In the guide, the author explains all of the intricacies and ins and outs of finding, and then forging a relationship with a dropshipping company or companies.
While the process can appear to be complex and may seem intimidating at first, this guide walks you through the process including what to say when you first speak with a drop shipping company.
You first have to look at your marketplace and it is suggested that you find your niche of where you want to market your products. For example, don’t just choose “Pets” for your niche, as that is way too large for you to even be found, let alone make any sales. The competition is just too fierce.
So, what you are taught to do is to find a subsection in the very large pet category, for example, Chocolate Lab Pet Collars. You can then do some research and find out if there is a market out there that is actually purchasing that kind of product. You can also use a tool such as the Google Keyword Planning Tool, which will furnish that information for you. It can also tell you if there is any competition and how tough it is.
If you find that you have a niche where there is a demand, and the competition is not overwhelming, you may have found you’re ‘sweet spot’ for potential success. Now you can start researching various dog collar manufacturers or wholesalers.
The guide also gives you ideas as to where you can find out about who makes the dog collars that you are looking for, and contact information. There are some online guides that actually list drop shipping companies for various specialty items, and offers comments about their reputations and service quality as well.
Once you have found your product area, in which you might have more than one product such as other auxiliary dog products to go along with your Chocolate Lab Dog Collar idea, then you can start researching drop shipping companies to gather their capabilities to ship to your potential consumers.
Once you have all of your information in place, you will have contacts and resources that will help you be successful and avoid mistakes with your online venture. The nice thing about the Ultimate Drop shipping guide is that you have all the information that you need to get started, which will help you set up important milestones along the way and to start developing relationships with your future vendors and dropshipping companies and partners.