Dropshipping is very much similar to the affiliate marketing business. In a web-based affiliate marketing business, we have a website where affiliate products are displayed. There is a certain commission against each product. We earn commission where there is the sale of each product we display on our website. However, the issue is that this commission is very low and as much as merely 3% to 5%.
Dropshipping on the other hand is a very profitable business. Here, we still have a web store, and also we don’t keep inventories as in the affiliate businesses. However, the process is when we receive orders from our customers on our web store, we transfer those orders to our suppliers. Our supplier doesn’t know how much profit we are keeping for each order. This profit might be as much as 100% of the cost price, or even more than that.
Dropshipping Store Through Shopify
Shopify is a content management platform that facilitates the dropshipping business greatly. On a Shopify store, we can display dropshipping items particularly taken from AliExpress and also from many other suppliers. There are the tools and Shopify plugins that help us in managing and displaying the products on to our Shopify store. These plugins also help us during the order processing procedure.
Normally another big challenge that we face while establishing a dropshipping business is to integrate a payment processor on our web store. Payment processors help us charging payments against the customer orders. Shopify provides us the suggested payment processors that are pertained to our particular region. Conclusively, we can say that dropshipping business is a remarkable idea that if we implement through the Shopify platform, then our success rate is definitely improved and we can expect great revenue.