Wholesale Drop Shipping – What Makes Wholesale Drop Ship Business So Profitable?
Business is process of buying something and selling it at a price that is more than its cost price. So when we minus cost price from its selling price, the remainder is our profit. Higher profits mean better business. But you have to compete with the market price, if your selling price is more than the market price or at the same price, no one will buy your product! So the key to the success of any business is to get the product for very low rates, so that you may be able to sell it lower than the market price and still gain profit.
That is exactly what wholesale drop ship business offers to you! Since you are buying the product at wholesale prices, which is way lower than that at the retail stores, you can easily compete with the market that is the retail stores. Then you may sell if to your customers at a price a little below the retail price, and earn a great profit. Another attraction to the customers is that the product gets dropped at their doorstep!
For example you buy a wholesale original designer purse online for say $600 its original price at retail stores is $1,000. The Drop shipping company charges you say $150 for shipping it and you sell it to your customers at $900. Thus 600 + 150 is equivalent to 750. $750 is your cost price and $900 is you selling price. So selling price minus cost price that is, 900 – 750=150. Your profit is $150!
Why this business is so profitable.
. You do not need an office to work from
. You do not need a warehouse to store your items and maintain them,
Thus no electricity bills for these two extra rooms, or cleaning headache.
. No packing hassle, buying packing material, and then carefully packing them later cleaning the mess.
. No dropping hassle.
Thus car petrol, buying packing material and your time and energy is saved.
The only thing you do need to invest in is a computer; a telephone and a descent Internet connect. You most probably, have that available already!
This is why there are no hidden charges, clear-cut product and drop shipping charges, and the computers electricity bill! You just have to sit home and run this business, a complete worry and hassle free business! But always get the right wholesalers and drop shippers from well known directories like SaleHoo and business with so much profit could not be easier!