There are many advantage to dropshipping, but these are commonly the top 3 benefits:
Inventory storage space is the space needed to store your products for sale. For many of us we don’t own a warehouse or have a large storage room where we keep a wide selection of inventory for extended periods of time. Dropshipping allows us to have a wide selection of different products to sell, without the burden of having to find warehousing space.
Packaging and Shipping
This is basically what defines dropshipping. If you are already selling on the web, you probably know the amount of work it takes to run a successful site. Doing your research, marketing, handling customer support, designing logos, and so on. The bottomline is there’s a lot of work, and there’s always room for improvement. When you’re working with a dropshipper, at least there’s one less thing you have to worry about. And that is the packaging and shipping part of your business operation, as your dropshipper usually handles that part.
And Finally dropshipping requires less risk capital to get started. This is probably the most important aspect of dropshipping to most people. Many people just can’t afford to pay for a bunch of inventory upfront, especially when your not even sure if it’ll sell. If you bought 50 IPod and only sell 15, you’re going to be in the hole for 35 of them. With dropshipping you sell, before you buy! You will never have to carry outdated inventory on hand that you can’t sell.