[Note: Valuable tips for bootstrapped ecommerce entrepreneurs.]
by Jennifer Xue
The dropshipping business model comes with pros and cons: The major pros are the convenience, low startup capital and freedom to experiment with products to sell. The biggest con with dropshipping, however, is having less control over the entire fulfillment process. When it comes to dropshipping, though, the most important question is: Which products will sell well?
Unlike in conventional ecommerce stores where you must have certain types of products to sell and stick to those products because you’ve already ordered plenty of stock, the dropshipping business model allows you to test the market without keeping any inventory. This being said, if selling a certain product doesn’t work, you can easily switch to another product without worrying about unsold merchandise or lost revenue.
However, you probably don’t have all the time in the world to experiment with figuring out which dropshipping products sell well and which don’t. I hear you. It’d be ideal to already have some idea of which products sell well before using this business model.