What are the advantages of Drop Shipping?

The advantages of drop shipping are focused on the ease of starting with it, as anyone can design their own online store and sell different products without any cost. Drop shipping in short is the retail system in which the online store owner redirects the purchase order to the seller or to Manufacturer The company will ship and deliver the product instead.

What are the advantages of dropshipping in Saudi Arabia?

• Storage costs
• Less risk
• Project costs
• Shipping costs
• Profits

No storage costs

The dropshipping retailer does not see or touch the product, so he does not need to purchase the products in advance, store, package or ship, as he displays the various products in a virtual online store, which ensures that his products reach the largest number of customers around the world without the need to hire storage warehouses.

Less risk

In drop shipping, there is no need to risk products, project capital, or even storage space, rents, etc., because you are only displaying products, not buying them, and the retailer is not responsible for the shipping process, which reduces the loss of unsold products.

Low start-up cost

Since the drop shipping retailer does not buy inventory or manage warehouse, the overhead is very low compared to a traditional store or other online shopping stores.

Lower shipping costs

One of the most advantages of drop shipping is the low shipping costs, especially when delivering products to geographical areas far from warehouses, thanks to the cooperation of factories and companies with a wide range of delivery service companies and the competitive prices that they can collect, which will certainly contribute positively to increasing sales.

Premium profits up to 40%

In traditional businesses, profits are distributed to several parties, such as employees, storage places, maintenance operations, and so on. It is also known that the higher the sales, the greater the volume of work and costs. However, in dropshipping, this theory is excluded. Processing, delivering, and processing orders does not fall on the shoulders of The retailer, but rather the freight supplier who gets a small percentage of the profit for his service compared to that which goes to the account of the retailer.