Dropshipping is an evolving idea that is getting adopted by sellers around the globe. Furthermore, it offers leverage to sellers that attracts customers to trust their brands and services.
In this article, you will learn about dropshipping on Amazon, a guide to start drop shipping, and lastly advantages of dropshipping. Let’s explore.
Dropshipping on Amazon
Dropshipping is an eCommerce method where the seller doesn’t have to directly handle the product for the customers. Instead, sellers get orders on behalf of third parties such as manufacturers, suppliers, and distributors. Further, stores use a dropshipping model to sell a product. Also, the benefit of dropshipping is that customers get their products sooner with the fastest shipping. This method is followed by several eCommerce websites such as eBay, Amazon, and Shopify.
We’ve listed the process in points for you to understand this mechanism in a proper way:
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A Step-by-Step Guide to Start Dropshipping on the Amazon Platform
Follow these mentioned steps to learn how you can start dropshipping:
Step 1: Create a Seller Account
Visit sellercentral.amazon.com and create a Seller account on the Amazon platform. You have to select between individual or professional seller accounts.
Step 2: Look for low-competition or a high demand product
The next thing is to select a product or item that you want to sell on the Amazon platform. To initiate this step, you can use tools such as Jungle Scouts’ Opportunity Finder. Further, this tool will help you to find the product with low competition or high demand.
Step 3: Explore site call Aliexpress to check product’s availability
After you decide your selling item or product then you have to find a supplier. Interestingly, the major connection of dropshipping products is with Aliexpress. Further, it is a B2B website that helps entrepreneurs to get in touch with those suppliers who are looking for dropshipping goods.
Step 4: Amazon Listing
You have to create an Amazon listing once you select a product or item idea and a supplier. Now, you have to go to the Seller Central Account. Then tap on Inventory and click on Add a product. Then tap on the ‘Create a new product listing.’
Once you have decided on a product category then you have to input the information for the listing. Further, make sure to account for Amazon’s charges when you set the cost for drop shipped products. Also, note that you have to pay 8-15% referral fees if you are a professional seller. On the other hand, if you are an individual seller, you have to pay an additional fee of $1.00 per sale.
Benefits of Dropshipping on Amazon
Amazon has certain methods of selling including dropshipping. However, we have listed certain benefits of dropshipping. Check them out:
1. No Cost for Warehouse
The biggest advantage of dropshipping business on Amazon is that you don’t have to pay anything for the cost of the warehouse. Moreover, there are many sellers on Amazon that decide to make their items or products FBA(Fulfilled by Amazon). With this method, shipping takes place from sellers to Amazon. Then Amazon delivers the products out for them.
2 . Low Cost of Start-up
Unlike other eCommerce methods such as wholesaling or private label, dropshipping does not require sellers to have their own inventory. Further, when you receive a payment from consumers then you proceed to sellers to purchase the products. And, ship them to buyers.
3. Easy way to set up
It is fast and easy to set up as you do not require to have your own inventory. Only thing that is required is a sale for the process to proceed.
4. Automated Business
You will get certain plugins and apps that will help you to fully automate the dropshipping process on Amazon. So, you will be free of all the hassle.
Lastly, we hope this guide will help you to start your dropshipping business on Amazon with ease. All the best!
We hope this article will help you to get necessary information about Dropshipping on amazon! To make your business a huge success, get in touch with the Asinwiser team today!