Top 6 Benefits Of Dropshipping
The average annual growth rate of the dropshipping market from 2020 to 2026 is expected to be 24%.
Here are all the benefits of dropshipping you need to know to make an informed decision.
1. No Risks Involved
‘What if I fail?’
This is one question that makes people avoid starting their own businesses. It is the fear of failure that stops most people from reaching their true potential.
While all of us understand the importance of being independent and having our own business, one can not simply wake up one day and quit their job to become an entrepreneur.
This is because starting a business requires a lot of investment and even after you make the investment, there is no guarantee that it will pay off.
This is where the first and one of the most important benefits of dropshipping come in.
In dropshipping, you do not have to make huge upfront investments because
- You are not manufacturing the products you are selling
- You do not have to order them in large quantities and then rent a warehouse to store them
- You do not have to spend money on shipping the product
As a drop-shipper with Markaz, all you have to do is resell the wholesale products that are already listed on the app.
Your job here is to promote your products through different social media platforms such as WhatsApp, Facebook, and Instagram and Markaz will take care of the rest.
From listing the products on the app to delivering them to the customer's doorsteps and sending the profits back to the reseller, we have got it all covered.
In dropshipping, you only buy a product after the buyer has placed an order.
All of this is what makes dropshipping so popular.
You can start your business with no low or no initial investment and make huge profits which is a significant benefit of dropshipping for students who may not have the capital required to start their own business.
2. Can Be A Part-Time Hustle
Did you know that dropshipping is being employed by around 27% of online retailers?
If you want to make some extra cash on the side, know that it is one of the most significant benefits of dropshipping businesses in Pakistan.
Not everyone has the luxury to quit their day job to work on a side business that may or may not work out for them.
This is where dropshipping with Markaz saves the day.
When you opt to become a reseller with Markaz, all you have to do is follow a few simple steps. These include:
- Download the Markaz app
- Sign up to become a reseller
- Select the products you want to resell
- Set a markup price on them to determine how much profit will you earn.
- This will help generate a purchasing link that you can then share on your social media channels.
- You can promote your product on different social media platforms using the purchasing link generated by Markaz.
In this way, you do not have to invest all your time and money in the business.
In fact, you can begin your business with no initial investment with Markaz and keep working on it as a part-time job.
It is also a benefit of dropshipping for students as they can manage to gain practical entrepreneurship skills and experience as well as earn to save money for their future.
3. Easier To Scale
Did you know that it is much easier to scale a dropshipping business because there is no need to raise capital or rent a warehouse or storage space?
One of the benefits of dropshipping is that you can start small and easily grow your business into a big, successful one without having to go through a costly trial-and-error process.
Did you know that Markaz covers over 90% of the cities in Pakistan? Our comprehensive doorstep delivery is facilitated by our logistics partners Leopard and Swyft.
They ensure that our products reach the customers in the quickest delivery time.
This enables you to spread your business all over the country which having to put in extra resources and capital.
4. No Warehouse Management
One thing that has helped dropshipping gain popularity over the years is that it saves you from warehouse management which can be an overwhelming experience for somebody who has just started their business.
You do not have to order products and store them in a warehouse before your customers place orders.
Starting a regular business requires you to store products, track inventory, label them, pack and then deliver them to the customers.
However, when it comes to dropshipping with Markaz, we take care of it all for you.
From warehouse management to delivering the products to the customers, none of it is a hassle that you need to take care of.
Moreover, according to a survey, the most significant challenge in initiating a dropshipping business, as stated by 84% of e-commerce retailers, is the difficulty of finding a reliable supplier.
This is no longer an issue when you collaborate with Markaz.
All you have to do is research what products your customers are looking for and select whatever you want to resell from the 100,000+ wholesale listed products on the app.
These products include:
- Men, women, and children’s clothing
- Jewellery
- Home decore
- Cosmetics
- Electronics
- Kitchen Appliances
- Shoes
- Bags
5. Develop Useful Skills
While ecommerce is simply a fulfillment method, it does not take away from the rest of the ecommerce business process which equips you with several useful skills.
These skills include:
- Product research
- Market analysis
- Problem-solving
- Financial management
- Social Media Marketing
- Digital Marketing
- Copywriting
With the ever-evolving digital landscape, these skills will come in handy even if you decide to not go ahead with your dropshipping business as the future of marketing seems to be in the digital realm.
6. No Location Constraints
With everything going digital, you no longer need to be present in a specific vicinity in order to run your business efficiently.
When it comes to dropshipping all you need is a good internet connection, and some amazing marketing and sales strategies and you are good to go.
This is what makes you a digital nomad as you can smoothly run your business as long as you are able to efficiently communicate with your suppliers and customers.
This would help streamline the process and ensure that the bridge between your suppliers and customers remains well-ordered.
However, it is important to know that like every other thing in the world, dropshipping advantages and disadvantages both exist side by side.
Dropshipping Limitations
Dropshipping limitations include:
- Low profit margin
- Lack of control over the suppliers
- Communication issues
- Limits to branding
- High competition
Final Thoughts
Now that you know about the different dropshipping advantages and disadvantages, you are in a much better position to make a decision regarding whether or not you should start your dropshipping business.
It is quite evident that dropshipping benefits outweigh the disadvantages or even if they don't, there is no harm in giving dropshipping a try and seeing it for yourself since there are no initial investments or risks of failure involved.
Join the fastest growing community in Pakistan which has over 2 million+ downloads today.
Download the Markaz app and earn up to PKR 45,000 per month.
%202.svg){kind=small}
