The term drop shipping is used to refer to the practice of fulfilling orders whereby the distributor makes the product delivery to the consumer in the place of the retailer. The manufacturer may also make the delivery on behalf of the retailer. The business in drop shipping is very new, and many retailers are embracing it. Many people view it as an attractive business as it is associated with many benefits. For instance, with drop shipping, costs and risks are reduced while at the same time, offering a high level of convenience and practicality. Some of the benefits associated with drop shipping business from TheMarketingVibe have been discussed below.
Firstly, drop shipping reduces risks to the retailer. With drop shipping, acquiring of inventories does not require the retailer to send the money prior to. This means that the business does not lose money in the case where it pans out. Drop shipping also allows the retailer to operate at zero inventory. As a result, factors such as the changes in tastes and preferences on the side of consumers does not affect the business as there are no excess inventories.
Secondly, drop shopping from TheMarketingVibe allows the business to reduce costs. When the business is launching a new product, for instance, the costs of launching are minimal as there is no need for investment before the sale of a new product. Additionally, a business can get better rates on shipment through drop shipping compared to when it would have shipped the products to the consumer on its own. The cost incurred as a result of damaged goods is also minimized. This is because the number of times the products have to change hands is reduced.
Thirdly, drop shipping offers convenience to the business. With drop shipping, everything to do with product packaging in preparation for shipment lies in the hands of the drop shipper. As a result, you save time which you can use to process and offer new products offerings to new customers. Lastly, the business in drop shipping provides a lot of practicality. In this case, a business does not need to set-up warehousing facilities for inventories. All is needed is a functional website which acts as a channel where the goods are sold. When compared to a physical store, a website is able to offer a wide range of products offerings. It also becomes easier to sell bulky and perishable products. Get more facts about marketing, go to http://www.ehow.com/way_5162017_real-estate-marketing-ideas.html.