Drop Shipping Basics

How does drop shipping work?

Drop shipping is the shipping of merchandise from a supplier directly to a retailer's customer. Meaning, you-the retailer-can ship to your customers directly from the suppliers' warehouses. This process minimizes the risk to you because you do not need to buy the product until it has sold. Suppliers take care of the warehousing, packaging, and shipping of products, saving you a great deal of money. To better find out just how much money you can save read our drop ship value article.

How does a drop shipping source benefit you?

• You can become a retailer without needing to invest large amounts of money.
• You can start a business with very little risk.
• You don't have to carry inventory or pay for inventory upfront-if the product doesn't sell, you never have to buy it.
• You don't have to buy packaging materials and shipping labels, nor will you need a shipping account.
• You don't have to manage product returns.
• You purchase products at wholesale pricing and set your own retail prices.

The product selling process with dropshippers

1. Find products you'd like to sell from our Product Catalog.
2. List those products on your web site or auction (you can use the descriptions and images on our site).
3. After the product sells collect your money from the buyer.
4. Place the product order through ownta after you've been paid. The difference between what you charged and the costs is your PROFIT to keep.
5. The product is shipped directly to your customer.
6. Sell again. Profit again.