What Is Drop Shipping?

Drop shipping is an extremely profitable way to do business, however it is not nearly as well known in the online community as other revenue generating programs such as affiliate marketing.

Drop shipping means that you sell wholesale products but are not responsible for the production, inventory or shipping. In short, you would take orders and payments for products sold on your retail website, forward these orders on to the supplier. The items are shipped directly to your customer. You pocket the difference between the retail and the wholesale cost of the merchandise!!

It's that simple. You market wholesale products and make money on each and every sale. There is no need to invest any money for inventory before it is sold. This lets you devote all of your time to what you do best: selling! You also get these great benefits:

• No losses on unsold goods
• No packing and shipping expenses
• No warehouse costs
• Zero inventory to keep
• Sell unlimited products
• Reduce risk by selling first
• Sell to a global audience

5 Drop Shipping Essentials

1.) Domain Name

2.) Hosting Company

3.) Shopping Cart

4.) Merchant Account

5.) Wholesale Supplier(s)

Marketing Products

Successful business owners tend to do one of 2 things with the products they sell. They either:

a.) Have their own web store

OR

b.) Use eBayŽ (either with an eBayŽ Store or auction)

There are plenty of advantages and disadvantages to both scenarios...let's compare:

eBayŽ	Your own web store
220 million registered users	You must generate your own traffic
Tons of competition	Only your products are shown
Very little cost involved	Hosting fees, merchant account fees, marketing fees
No personal affiliate program	Have an in-house or network program
Must be very competitive with prices	You are in complete control of the pricing for your products

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