Sunday, 20 June 2010

What is Dropshipping

What is Dropshipping

Retailers can sell products to global sourcing partners against collect payment in advance and pass the orders 'as is' to a 'dropshipper' or wholesaler. While the wholesale charges his price and dispatches the orders straight to customers, retailers pocket the difference amount, while still being in export/import business. EBay is a popular platform for export and import dropshipping retailers.

Export and import merchants in dropshipping don't need to hold inventory of products and so are insulated from associated costs and price fluctuation as the entire export/import procedure is out of their scope.

Export/import retailers hide their source for the fear of stigma or loosing business. So, many retailers organize dropshipping wholesalers to ship merchandises by concealing origination address, a practice known as blind shipping. Wholesalers may also agree for sticking a customized return address in certain cases depending on the relation they share with the retailers. It isn't very surprising to have customized packing slip being included in dropshipping, depicting the source and entire contact details as the retailers'.

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