![]() Yes, you can make a lot of money dropshipping! Though dropshipping businesses traditionally have low margins, there is a lot of opportunity for creating a profitable business. The reseller doesn't need to worry about overhead expenses growing when they increase eCommerce sales, so all efforts can be directed toward this goal. Customers place orders with the reseller, which are then passed along to the supplier for order fulfillment (see order fulfillment meaning).The reseller also only pays for the products as they are sold, along with a dropshipping fee.ĭropshipping is a business model with tremendous opportunity for quick growth. In this model, the business that sells the products never owns or touches them. How dropshipping works is by having a supplier handle inventory ownership, storage, and fulfillment while another business sells the products. Read on to learn how dropshipping works, how profitable it is, how to increase your margins.
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