It is an alternative to internet business that allows us to promote until selling physical products. It is a method of sale and delivery, which is based on promoting products distributors, taking the benefit of the wholesale price, so that when the client makes the purchase over the internet, it does so directly with the promoter, who later purchase the product selected to the Distributor, who in turn, shipped to the customer the product selected. The outstanding advantages of this system is that it does not require the purchase or maintenance of inventories, since products on sale (clothes, shoes, cell phones, MP4, jewelry, cameras, toys, etc.), are at our disposal in the cellars of the distributed, wholesalers or manufacturers; as a consequence the budget available to negotiate on the internet is significantly reduced. To promote products previously selected on the basis of profitability, and publish them via your web page, classified ads, your store online, auctions, and other media pages, of your choice, to support the marketing, working system allows users of the internet, to find your listings, websites or the means by which you decide to publish products, the distributed property. The user (client) pays you the product, to capitalizing on you so that in the same way you buy the product selected by your client, to the wholesaler or manufacturer (dropshipper), who upon receiving payment of the item selected, send the product to the customer’s door; you leaving the economic benefit of buying at wholesale prices and selling at price of detail. Unlike affiliate programs this method allows us to define the profit margin for each of the products that we select. This system prevents us logistical complications such as bodegas handling, packing and clearance orders, customs, administration of carriers, etc., since distributors and/or manufacturers (dropshiper) provide all this business structure, in fact the dropshiper, warned and send in your name, not used their brand.
As well as this system presents advantages, I think that it has a primary disadvantage, and to which we must pay close attention, which occurs at the end of each transaction stage, when the dropshiper sends the product to the customer. Note that the client has negotiated with the promoter, the owner of the web page where you found the product, in the eyes of the customer, good business or a fault in this, is responsible for the supplier. We consider our customer if you received the exact product you buy, however, it was delivered with a delay beyond normal, it is evident that this buyer us hardly will grant their confidence. Is why we also talk the selection of dealers with which we will work, with the aim of minimize the maximum risk that falls on our reputation. In conclussion, in my experience the dropshipping is a system that allows us to work on line, without much budget, and safely if our commercial Alliance is made to formally established merchants and that within its structure of business include the dropshipping.