Dropshipping is becoming a popular business model that many people are using as a way to start a business of their own and/or earn money on the side. With approximately 96 percent of Americans shopping online, dropshipping has really taken off and there is plenty of opportunity in the space to step in and build a successful business of your own. In comparison to other business models, dropshipping is more affordable to get started, easier to operate, can be run from anywhere at any time, and more. You can even dropship with Shopify sites and through other retail sites like Amazon and eBay.
If you’re looking into starting a side hustle or a business of your own, then here are seven reasons why you should consider starting a dropshipping business:
Startup Costs are Low
The cost of starting up a business will vary depending on the type of business you want to start, but studies have found that you will generally need at least $30,000 in order to get your business going. Unless you’re starting a dropshipping business, that is. When you opt for a dropshipping model, you don’t have to rent a building, hire on a full staff, find warehouse space and purchase inventory, etc. You simply facilitate purchases between the manufacturer and customer, so all you really need is a supplier, a website and domain name, and some marketing.
You Can Offer a Wide Variety of Products
When you start a business, it’s generally a good idea to keep control of your product offering and only offer products that are related to your brand and niche. While it’s good advice to follow and you can definitely stick to it with a dropshipping model, you don’t always have to. Dropshipping allows you to offer a wide variety of products from household cleaners and hygiene products to tech gadgets and apparel.
Scalability is a big issue that many businesses face. As they grow, they may not have the systems or tools necessary to meet the new demands being place on their business, which can cause some serious growing pains and sometimes even major setbacks. With a dropshipping business, though, it’s easy to scale. Since you simply take and submit orders to the manufacturer, you won’t necessarily need to upgrade your systems, expand your inventory, etc.
You may need to upgrade the plan on your website to accept more orders, but you shouldn’t have to do a whole lot else in order to scale as your business grows.
You Can Reach More Customers
Last year, the estimated 1.66 billion online shoppers worldwide spent over $2 trillion. With so many shoppers online these days, it’s important to get your business online too. Since dropshipping is a business that is done through the Internet, it’s easier than ever to get in front of more shoppers than you would if you were simply operating a brick and mortar store. Additionally, when you dropship, you can market to customers all over the nation, or even all over the world, helping you expand your market and reach more customers on a regular basis.
You Can Dropship from Anywhere
A lot of people dream of starting their own business and breaking free of their regular jobs. One of the biggest reasons people want to start their own business is to take control of their schedule and work on their terms. You do get a certain amount of control and flexibility when you start a business of your own, but when you start a dropshipping business, you have more flexibility than you would if you started another type of business. Since you’re not tied down to an office or a warehouse, you can dropship from anywhere, allowing you to travel, (for business or for pleasure), and get work done on your own terms.
There’s Plenty of Opportunity and Need in the Space
As more and more people turn to the Internet to do their shopping, there are plenty of dropshipping opportunities that open up. Not only that, but people will often look for niche, or specific items, creating even more need and opportunity in the space that is just waiting to be taken advantage of. Starting a dropshipping business now will give you the chance to get into the market and establish yourself, build up authority, and grow your business over the coming years.
It’s Easy to Manage
Between the finances, the products, the marketing, the employees, the building, and everything else that goes into running a business, they can sometimes be difficult to manage, especially on your own. When you start a dropshipping business, though, you don’t have to deal with a lot of that stuff, making it easy to manage yourself and keep control of, even as it grows and gets bigger.
Dropshipping is a great business model to consider if you’re looking into starting a business of your own. From enabling you to work from anywhere on your terms and letting you manage it on your own even as it grows to allowing you to offer a wider variety of products than you might otherwise have been able to, dropshipping is a good way to go for many entrepreneurs.
What other reasons are causing you to consider a dropshipping business?