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How to start a drop shipping business!

The Real CBD Dropshipping Programme

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Estimated reading time: 6 minutes



Introduction

What is drop shipping? How does it work? How to start a drop shipping business! There is often a long list of questions when you want to start a new project, so if you are thinking about the drop shipping business and are not really sure – you have come to the right place. In this article we will share all the details with you of how the start a drops shipping business with The Real CBD. We have created features no one else has, and you won't find such high earnings any other place. 


1. What is drop shipping?

the real cbd online shop and wholesale europe

Drop shipping is a retail fulfilment method where the “shop” doesn't keep the products it sells in stock. Instead, when the shop sells a product using the drop shipping model, it purchases the item from a third party and has it shipped directly to the customer. As a result, the seller doesn't have to handle the product directly.

Drop shipping is great for entrepreneurs because it doesn't demand as much as the traditional retail model. You don't have to open a physical store, pay overhead, and stock products. Instead, you open an online storefront and buy wholesale from suppliers who already have products and warehouse space.

And best of allNo money out of pocket to buy products!

You only make your product purchases once your customer pays you first, then you're drop shipping supplier handles all of the fulfilment from there, making the entire process hands-free for you.

That also means you never risk trying to sell products nobody wants, so you avoid having dead inventory as well.

That's a huge advantage!

This means you can focus more on marketing and growing your e-commerce store and less on running everything.


2. How does drop shipping work?

In a nutshell, drop shipping works like this:

You open up an e-commerce store (website) and fill it with the products you wish to sell from vendors and suppliers who will allow you to sell their products, while they fulfil them on your behalf.

They store all inventory, then package, ship and send you the tracking information when you place your order with them.

You only pay your supplier once your customer places their order and pays you.


3. How do you set up a drop shipping business?

There are three key players in the drop shipping business model: the manufacturer, the retailer (you), and the customer.

The manufacturer's role in a drop shipping business model includes creating products, carrying inventory, shipping products to customers on behalf of the retailer, replacing defective products, and restocking them.

In the drop shipping business model, the retailer (you), sell the manufacturer's products on your website. You'll be responsible for choosing and marketing those products. Plus, you'll also be responsible for their shipping costs and setting prices that make you a profit. We do recommend that you don't keep the RRP +-5%. You will make your profit in the prices we offer to you.

Lastly, in the drop shipping business model, the customer buys the products directly from you, the retailer. If questions or issues arise, they contact the retailer they bought the product from – you deal 100% with the customers.

Read more about CBD drop shipping business here


4. How much can you earn with drop shipping?

money

Drop shipping can be the most profitable business model of all, as you are not responsible for the costs of shipping and manufacturing. Because of this profits can quickly be reaped once you have found the right suppliers.

There is no easy answer to that question, suppliers normally offer between 5% and 15% “commission”.  You are the retailer that has to put your efforts and strengths into the marketing of the products, and the better you are at that, the more sales will you generate.


5. Drop shipping vs. Affiliate

Drop shipping

You simply place an identical order with the distributor at a wholesale price and the distributor takes care of shipping the product to the end customer for you. The amount of profit you make is your selling price minus the wholesale price.

The main advantage of drop shipping of course is that you don't have to manage inventory or product fulfilment. However, since you are selling the product under your own store name, you are still responsible for customer support.

If you want to know more about The Real CBD drop shipping click here

Affiliate

With affiliate marketing, you are promoting other people's products similar to drop shipping. One of the big benefits to affiliate marketing though, and one of its biggest advantages that draws people in, is you do not have to handle orders.

Since you are simply referring people to someone else's online store, you won't be processing orders. You are not having to charge their credit card and their money is not going directly to your bank account. You don't have to deal with a potential customer calling you and saying, “Hey, my credit card isn't working.” That doesn't happen because you don't process the orders with affiliate marketing, making it one of the biggest benefits.

If you want to know more about The Real CBD's affiliate program click here



6. The Real CBD support to you!

Once you have agreed and signed the agreement, we will grant you access to the Drop shippers pack. This includes product pictures, videos, logo files, certificates of analysis, banners etc. If there is anything you would like us to create especially for you, we can, of course, do that too.

We are with you all the way!


The Real CBD Best Sellers


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