Drop Shipping

What Is Drop Shipping?

If you’re looking at using Doba you probably already have a good idea of what drop shipping is, however, if you don’t know here’s a simple breakdown of it. Wikipedia describes it as:

“Drop shipping is a supply chain management technique in which the retailer does not keep goods in stock but instead transfers customer orders and shipment details to either the manufacturer, another retailer, or a wholesaler, who then ships the goods directly to the customer. As in retail businesses, the majority of retailers make their profit on the difference between the wholesale and retail price, but some retailers earn an agreed percentage of the sales in commission, paid by the wholesaler to the retailer.”

Drop shipping has multiple benefits for businesses, especially those just trying to start out or that are based online. Shopify lists several benefits of drop shipping including:

- Less Capital Is Required

- Easy to Get Started

- Low Overhead

- Flexible Location

- Wide Selection of Products

- Easy to Scale

You can learn more about drop shipping and why it can benefit your company on our site. You can also learn why Doba is the best drop shipping option for your business. Read some Doba reviews to find out more.