Dropshipping is a convenient and most easy way to start and set up a million dollars business, in which any person can become a seller by having their own E-Commerce Store without bothering to carry the product itself or ship it to the consumer himself. A Dropshipping business owner can set the products’ prices at which he wants to sell his goods to the consumer and forward the orders to the manufacturers. Rest, the manufacturer must manufacture the product and ship it to the consumer at a price fixed by the Seller.
The biggest difference between Dropshipping and having an own online retail unit (or other marketplaces seller account) is, there is no need to have the physical inventory or stocks. Unlike, online retail sellers need to purchase goods from third-party suppliers, stock and offers to the consumers.
There are some e-commerce websites that facilitate dropshipping such as Dropshipping in Amazon, Shopify, eBay, etc. But, as per the popularity, Amazon Dropshipping is one of the favorable platforms to start with. The biggest reason for Amazon Dropshipping is “you can select Amazon FBA to fulfill orders with a trusted name of Amazon”. This will benefit a lot of Amazon Dropshippers and we’ll more talk about this.
As an Amazon Consultancy, we will peel every layer of Dropshipping here and provide you the better insights to grow the dropshipping business. But before getting deep into this, first understand how Amazon Dropshipping works?
Amazon Dropshipping: How It Works To Earn Profits?
Amazon Drop shipping is the most used and favorable platform to start and provide ease, especially to the Amazon Sellers. The entire process of Dropshipping on Amazon is stated step-wise below:
- An Amazon Customer will purchase any product listed by the Seller on the website and settle the payments.
- Once the Seller receives the customer’s payment, he buys the product from the manufacturer directly.
- When the product is ready, the Seller provides the details of the customer directly to the manufacturer.
- The manufacturer, with the details of the customer, delivers the product directly to the customer without engaging the Seller in between.
- The difference between the amount at which the seller purchases the product from the manufacturer and the amount at which he sells it to the customer is the net profit he makes during the process without even carrying or shipping the goods.
This is how Amazon Dropshipping works, and the Seller (or the drop shipper) makes the right amount of profit sitting back at home. Amazon also creates a separate policy for Amazon Dropshipping but it may vary as per the country.
Why prefer Amazon Dropshipping over others?
- Amazon Dropshipping Services are considered better than other such as Shopify because Amazon takes care of all the packaging and shipment related concerns of the seller under an Amazon FBA Model as well as the customer for Amazon listed products.
- With Fulfilments by Amazon Scheme, the seller gets a huge customer base for their products and thus can make a huge profit as well without putting much effort, unlike other Dropshippers.
- Customer Satisfaction is the prime motive of Amazon. It provides easy replacement and refund facility to the customers of the sellers who opted for dropshipping. It could be for packaging, defects, shipment related issues, and other such ground, which most of the other Drop Shipping Company fails to provide.
- Amazon Dropshipper don’t need to collect inventory and store as their own that saves a cost to hire an amazon seller central experts but yes you must in need to hire an amazon seo expert to strategically optimize your amazon dropshipping store.
Amazon Dropshipping: How to Setup Million Dollars Business?
Before starting an Amazon Dropshipping business, there are some points that you have to measure such as on which industry you’re looking to target, which are the profitable products in your selected niche and who are the best suppliers. These are such points that you have to figure out first and we’ll guide you in this step-by-step. So, let’s start…
- Amazon Account Setup – To start Dropshipping with Amazon requires an Amazon Seller Account by submitting all the required details like Address Proof, Bank Accounts Details, etc.
- Sourcing High-Profitable Products – The most important task is to find the profitable and demanding products to start with and offers to the consumers. Finding the highly-profitable products could be challenging and Services4Amazon will help you in this. We have experienced and dedicated Amazon Dropshipping professionals that will help to find high-profitable products that actual generates bucks.
- Finding Best Suppliers – After sourcing the profitable products, than next step is to find the best suppliers for the same products that you’re looking to promote. There are some tools such as Jungle Scout, Sellics or Hellium 10 that support to search for the best suppliers and best products for profit-making by filtering the competition, average sales, etc. Also, the seller can search for their own supplier or products using the keyword-based search option.
- Amazon FBA Model – While setting up accounts as a seller on Amazon, the seller should opt for Amazon FBA (Fulfillment by Amazon) Service to get better services by Amazon on Packaging, Shipment & Delivery. You must opt an Amazon FBA Consulting Services to know more about the Amazon FBA model (how it works, what the charges, etc.).
- Amazon Virtual Assistant (VA) – To fulfil your requirements more effectively, you must hire an experienced Amazon Virtual Assistant that will deliver and setup or arrange all the things such as to find products, contact suppliers, close the deal and so on, on the behalf of you.
Above are some of the main points that must complete first and before starting selling. As Services4Amazon is a certified best Amazon SPN has a specialization in all the above steps of Amazon Dropshipping, we help many sellers in amazon dropshipping from creating a dropshipping store to finding products and suppliers as well as we cater other Amazon solutions such as amazon store creation or amazon store optimization services and amazon EBC / amazon a+ cataloging. Also, our amazon seller central consultants offer amazon store management services and amazon advertising services (amazon PPC services). Our Amazon seller central consultants help amazon sellers to boost their sales by providing strategic amazon sales boost consulting.
In addition, we have a dedicated team of Amazon Vendor Central Consulting for amazon vendor account management and provide amazon vendor central optimization solutions as well as we will guide sellers on how to access amazon vendor accounts and participate in amazon vendor registration process.
Read to know more about Amazon Vendor Account Management at Amazon Vendor Central Help.
Final Words with a Tip…
Amazon facilitates a lot of tools for its sellers to make their selling experience lucrative and automated. With different tools, sellers can profit by selling their listed products without even bothering to place orders to the manufacturer again and again. Still, Amazon allows sellers to sell only pre-existing products purchased directly from the manufacturer, which can be easily tracked using Jungle Scout and Sellics. These tools help in enhancing your research of products as a seller and are a complete package for a beginner seller.
Tip: Seller has to find the best products from the best manufacturers dispatching the products on time. For beginners, it is recommended to keep the low-cost products (say less than $10) listed on their account such as keychains, perfumes, cables, storage accessories, etc. because these products are beneficial for the customers and are highly profitable as these are manufactured in bulk and are low priced from the manufacturers.
If you want to start an Amazon Dropshipping Business or know more about our other Amazon Solutions, just drop your query at info@services4amazon.com or visit www.services4amazon.com.