Today's most popular online auction site - eBay - offers many ways to make money both for wholesalers and retailers. There are categories literally for every type of items in the world, and you can sell any of them too, thanks to the activity of millions of people on eBay.
For wholesalers, there are two main ways of selling their products online:
So, if you want to make money online by dropshipping, here are the steps that you should follow:
Firstly, you have to strike up a dropshipping deal with a supplier: you do this by choosing a specific product, and striving to sell it efficiently. The way it goes is that the supplier has items in a quantity of dozens, hundreds, or thousands, but doesn't want to take the effort to advertise them, so they make a deal with simple retailers, who will just have to sell as many of the items as they can, and send the addresses of the buyers to the suppliers. The procedure of packaging and posting the products remains the job of the suppliers.
Then again, it is a good deal for the suppliers, too, as they just have to check the list of addresses sent by retailers; send the goods there, and collect the money. Of course it is highly profitable (and convenient) for the retailers, too, as they don't have anything else to do, just list the items on eBay, and advertise them properly.
So, if you plan to do well-earning dropshipping business, first research which products are currently popular on eBay (you may have to think in long-term too, depending on the supplier's stock), and contact a supplier that may have the product you chose. If you are done with this, the supplier will usually define the price they want to receive after each item. You should add your share to it, so if the supplier wants $1 for an item, it's recommended to put at least 30% extra on it as your share, thus you could list it for $1.30 on eBay. And finally, you just have to send the addresses of the eBay buyers to your supplier, and receive your share.
All in all, dropshipping is a very advantageous form of selling products both for wholesalers and retailers. This way you don't have to maintain a stock of goods, just take some time to advertise items, while at the same time the wholesaler doesn't have to take the hassle of marketing.