How does Dropshipping work?
Dropshipping is a retail fulfillment method wherein a store doesn't actually stock the products it sells.
Instead, when a store sells a product, it purchases the item directly from a third party, like Shein.com. This third party then ships this item directly to the customer who purchased it.
Not holding inventory means not spending money on products that might not sell. Only buy from a third party what you’ve already sold for profit!
Dropshipping is an online retail business where you accept customer orders but don’t keep products in stock, you purchase them from third-party suppliers and ship them directly to your customers.
Since you run your dropshipping store online you don’t have to find a warehouse to store your products, maintain inventory, or worry about shipping orders directly.
With just a computer and an internet connection, you can run your business from anywhere in the world.
Dropshipping working process is quite simple and includes three main steps:
1. You got an online store where you publish products you wish to sell, but you don’t have any of these products in your store.
2. When the customer places an order on your dropshipping store, then you forward that same order directly to your dropship supplier.
3. Then your supplier prepares the package and ships the order directly to your customer.
So in this business model, your customers receive their orders straight from your dropshipping supplier, and you never touch products in between.
it’s a perfectly legal fulfillment model and many retailers have built successful brands that drive customer satisfaction around the world.