4 Outstanding Tips to Drop Shipping on Amazon

4 Outstanding Tips to Drop Ship on Amazon

4 Outstanding Tips to Drop Shipping on Amazon

For a person who is not very familiar with the term ‘drop shipping’ will be in a state of shock for some time. However, you do not need to worry anymore as we at AmazeRepricer will make sure that the process is very easy and will also show exactly how. Though there are various drop shipping ways depending on the channel, we will only focus on the drop shipping process of Amazon.

 

What is drop shipping in general?

Drop shipping takes place when you being a merchant avoid the stocking and shipping part involved in your business. Somebody instead of you would have to be in charge of the whole process. In this process, you really don’t need to worry about purchasing the inventory before you purchase it. Technically, your business will not have any stock. The only task that you have to do is listing the products and then leaving it all on the supplier to supply it to the seller – basically, you do not have to worry about the tricky process.

Also, drop shipping involves relatively low investment and for that reason, you can jump-start your business with drop shipping very easily.

How to do drop shipping in Amazon?

Technical aspects of drop shipping are much easier as compared to finding a market which will give your business high returns. Below we have made a list that you need to follow for drop shipping on Amazon.

  1. Contact with the supplier and get to know his opinion on drop shipping. Ensure that he is okay with shipping the products to the buyers directly. Once you have done it, make a list of all the things that you want to sell.
  2. Create the product list on Amazon as you normally would. Once the buyer presses the ‘buy’ option it’s all your responsibility to collect the amount and which will include price of the product sold as well as the shipping charge.
  3. The supplier will expect you to send him some money which is of course not 100% of the sell amount. However, some supplier may ask for some extra money as a handling charge.
  4. The hard work of shipping the product to the supplier is done now. All you are left to do is to sit back and count the profit. In the meanwhile focus on your next sell.

Amazon allows drop shipping or engagement of a third party for fulfilling your orders as long as you follow the below-mentioned rules:

  • Be the seller who keeps a proper record of the items he is selling.
  • Your name as a seller must be present on all the slips and on other documents which are included in online selling.
  • You must be responsible for handling customer returns.
  • Follow all the other rules mentioned in Amazon Drop shipping policies.

Pros and Cons of Drop Shipping

Drop shipping is of course not for everyone as it requires some personal traits which generally most sellers on Amazon do not have. Below is a list of all the pros and cons of drop shipping in Amazon.

Advantage:

One of the very known advantages of drop shipping on Amazon is that it is a global brand and you don’t need to explain anyone how it works. Apart from it, you also do not need to worry about the SEO, marketing, relationship building and much more. In drop shipping, you also do not need to worry about paying for the product and wait for it to sell. The process is actually much cheaper. Also, you can list an enormous amount of products virtually as you do not need to store the products in real.

Disadvantage:

There is surely no doubt that drop shipping is a much easier process but the profit margin is sometimes low as the supplier needs to be paid for the product. You only get a portion of the profit made. In this selling process, make sure that you have enough communication with the seller. You can always ask the seller the amount of inventory he is having with himself so that you can adjust your listing.

Most sellers chose drop selling as it gives them the opportunity to sell products online without spending a penny. As Amazon pays attention to things like low price, good customer relation and high sales. A person can earn a profit without investing anything on Amazon. Also, make sure that you use AmazeRepricer to make the prices of the products you are selling attractive. For becoming a drop selling superstar all you have to do is sign up for our 15 days free trail.  

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