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dropshippingHave you ever wanted to open your own online store but really do not know where to start then dropshipping may be for you, dropshipping is a form of online shop that sells products but but does not handle or store the products in there store.

Instead the shop owner purchases the product from a third party wholesaler at a discounted price, then the shop owner adds there markup and the third party supplier ships the product out to the customer that purchased the product so the shop owner buys the products only when needed saving the expense of stocking inventory.

Content Management Systems

 There are many approaches to starting your own online shop you can use content management systems like Wordpress which use a plugin called Woocommerce to set up your online shop.

Joomla can also be used with many extensions available to build your store, Hikashop and Virtumart are the most popular and can also be used to sell products that you produce as well as drop shipping.

Dropshipping With Shopify

One system that we can fully recommend is Shopify for a price you can set up your drop shipping model very easily including website hosting all through one account, you can sign up for a free 14 day trial with a shopify account to get to know the system before you purchase.

The greatest advantage with Shopify is that you can join there partners Oberlo within your Shopify account, Oberlo is unique in that you can search for products to drop ship and import them automaticly to your Shopify account including product descriptions prices and images, this system makes setting up your online shop very easy to attain. please read our Shopify plus Obelo tutorial for more details

There are many benefits with drop shipping over other types of online stores, you can launch your online store with out the huge expense of spending thousands of dollars on inventory before you even sell any products, this is a great advantage as this money can be better spent on marketing your shop to attract new customers.

You do not need to rent a warehouse to store the goods, you save a huge amount of time in not needing to package the goods ready to ship to customers, you do not need to handle time consuming product returns and you do not need to worry about managing stock levels. 

Advantages Of Dropshipping

Other advantages of drop shipping include low overheads, you can run your entire drop shipping store from the comfort of your own home, the shop can be located in any city and in any country around the world with internet connection.

There is a massive range of products that can be sold from a dropshipping store and when your online store becomes successful you can scale up the dropshipping store very easily just by adding more products to your online shop, so as you can see there are alot of benefits to dropshipping over a retail store. 

Disadvantages Of Dropshipping

The disadvantages of dropshipping include low profit margins on the products you are selling as many merchants drop there prices to rock bottom in order to sell products, dropshipping is very competitive there are thousands of other online stores out there and they are all selling the same or similar products that you are selling.

You are relying heavily on your suppliers to keep enough stock to honer your orders if your supplier runs out of stock your customers will not be happy and sometimes the suppliers make mistakes that can impact your online store.