How to Start a Drop shipping Business for Beginners | Guideline

Hi, just sharing my personal experience.

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I attempted dropshipping for a few months during covid period. It went on for a good 6 months before switching the business model to the typical inventory e-commerce business.

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During the dropshipping phase, although profit margins are higher since there are no upfront costs except for marketing the products in various places, the competitiveness is high & orders were low. This is always due to the shipment timeline vs other platforms where their inventories are already here and promise 2-3 days delivery. This model didn't last long hence the transition. It is only sustainable if you don't chase orders and intend to simply take it slow, but for the time and effort invested personally, I felt it wasn't fruitful to constantly invest hours daily for marketing, and replying quires to only have 3-5 orders a month. You will either need a very good price to stand out from the rest or offer a very good product that is in high demand but has a low supply.

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After transiting to those inventory-managed businesses, although upfront costs were high the cash flow too was pretty decent as multiple orders came in weekly. Things were more smooth in this phase IMO and easier to manage. Although this then brings about other issues whereas the products you now bring in are at your capital costs, you risk inventory getting lost, damaged, or not moving.

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If you intend to try this out, start small but do plenty of research. It has worked out thus far for me and a few others, hence why not give it a try?

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With so many online marketplaces, lowered prices and ease of getting items, dropshopping is getting obsolete unless the products stand out.