How To Start Your Business With Amazon Dropshipping

Starting a business is usually expensive, but with your own Amazon Dropshipping business, you can start up without cash. That reads like a tagline for a scam, doesn’t it? However, you can put these danger alerts because this is an absolutely legitimate gig.

Amazon dropshipping a form of online business where you sell products on e-commerce platforms. But you don’t actually pay money for the product until a customer buys the product online and pays you.

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That means you only act as a middle-man between customers and suppliers. Amazon is the leading platform for dropshipping business due to its huge customer base and seller-friendly interface. We’ve surfed through a whole lot of info and brought you the details.

How Start A Business With Amazon Dropshipping

What Are The Benefits of Amazon Dropshipping?

Dropshipping is different as compared to the traditional reselling business model. You do not have to buy products beforehand and hoard inventory. And you don’t have to worry about facing losses as you only pay the supplier after you’ve received payment from your customer.

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Because of low-costs and no inventory, it’s easier to set up and takes as little time as 24 hours. Unlike dropshipping from your own store, you can piggyback on the huge customer base of Amazon.

How Does Amazon Dropshipping Work?

You’ll start off by making a seller account on Amazon. There are two ways in which you can dropship through Amazon. One is regular dropshipping and the other is fullfilled by Amazon (FBA) dropshipping.

  • If you’re a regular dropshipper, you’ll have to buy the product from your supplier after a customer has made a purchase. After that, you will have to ship the product all the way to the customer.
  • If you’re an FBA dropshipper, you’ll ship the product to Amazon. And it will make sure that the product is shipped faster to your customers.

FBA dropshipping is preferred as it not only gets you good visibility on the website but also adds credibility to your product. However, FBA sellers have to pay a certain fee to Amazon per product listing.

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Who Can Dropship On Amazon?

Although Amazon allows dropshipping as a method of selling, there are certain terms and conditions.

  • You should be the seller of records for your products.
  • All the packing slips and other information provided with the product should identify you as a seller without pointing out to the supplier.
  • This means, unlike regular dropshipping, your supplier can’t ship the product for you.
  • All the returns and refund processing come under your responsibility.
  • As a regular seller, you’ll have to agree with all Amazon seller terms and policies.

What Do You Need To Become An Amazon Dropshipper?

The best part of dropshipping business is that there are negligible monetary investments and no educational parameters to start off. You can do it while studying to cover tuition fees or while working in a corporate job to earn extra.

However, a little experience in B2C sales, time management, and great communication skills will work wonders for you. There are some documents required for registering as an Amazon seller.

  • Proof Of Verification – DL or Passport
  • Bank Account
  • Proof Of Address
  • Business details
  • Contact details
  • PAN and GST

Start A business with Amazon Dropshipping

How to Find Products and Sellers

After you’re set-up and ready to sell, here comes the most important part- finding products to sell. If you look closely at product listings on Amazon, you’ll find more than 15 sellers selling the same product.

Needless to say, the competition is huge. That is why it is advised that you choose products having less competition and higher margins. You can use supplier directories like Aliexpress, SaleHoo, and Dropship Direct to find dropshipping suppliers around the world.

How To Get Dropshipping Experience

If you want to get a little taste of what the dropshipping business is like, you can always work for an Amazon dropshipper. If you search online for dropshipping jobs, you’ll find titles like Supplier Agent or Product Sourcer.

If you work for a dropshipper, you can learn some of the ropes while getting paid. And then you can use that knowledge to start your own business when you are ready to.

How To Start Your Business With Amazon Dropshipping Conclusion

Just starting your dropshipping business is the first step to success. If you want to make significant profits by dropshipping, you should grow your online network. A mix of excellent marketing skills, customer service and a loyal following can have you rolling in the dough soon.