Guide to Free Drop Shipping Companies

Free drop shipping companies provide services to resellers. They then send products to customers, which is when they earn their money. Free drop shipping can both help a reseller and harm a reseller’s business, depending on how the drop shipping company handles transactions

General Information

A drop shipping company offers an order fulfillment service for resellers. As a reseller, you sit back while the company does the work. Basically, you set up a website or another customer ordering method, and then the shipping company sends out the product to the customer. The free companies offer the cost-free service to you, but charge the customer shipping fees and sometimes hidden charges. Non-free services charge the reseller a fee, either annually, per order or monthly. There are sometimes hidden fees involved with these establishments, as well. You, the reseller, do not purchase the items to sell, unlike a traditional business where you sell goods. Items that are commonly sold include jewelry, handbags, electronics and clothing.

Pros vs. Cons

One benefit is that you never have to keep an inventory and you are not responsible for the shipping charges. Additionally, you do not need to have a warehouse for storage, nor do you have to tend to an overabundance of leftover inventory. You also have the ability to change products whenever you want and sell many types of items at one time. There are not any types of limitations on how much or how little must be sold to receive wholesale prices.

One negative aspect of free drop shipping is that you do not qualify for any discounts for ordering in a large quantity, which may cost some profits. The amount you earn varies based on a few factors. Your products may not be as described, in addition to the fact that the company may deliver damaged goods. You also must worry about how timely the establishment delivers to your customers, and the way the company ships the items.