What is Dropshipping?

You might have heard of a friend starting their online business. Then it’s likely you have heard of dropshipping.

Dropshipping is simply a model where you operate and market your online store. When there are purchases, your suppliers ship the products directly to your customers.

Here you can see the advantages of dropshipping:

  • Minimal start-up capital except getting a website up, and of course a laptop. No office or storage is required
  • No need to hold inventory
  • No need to ship the products yourself
  • Scale marketing for products that sell well

Its disadvantages are:

  • Margins can be slim in competitive niches
  • Important to find reliable suppliers, else you will have to manage lots of refunds or returns
  • If you source from multiple suppliers, logistics get complicated

Dropshipping makes it easy for someone to start an online business, as once it is set up, it can be managed with a few hours a day. You can scale it up once you reach the desired sales target.


Keen to start your own online business?  Join our eCommerce course, which includes learning digital marketing too (SEO, Google Ads)!

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Eng Yeow

About the author

Eng Yeow possess a vast and diverse digital experience with 10 years of programming background at Singapore Technologies and Agilent Technologies. His keen interest in running a digital business saw him moving on to digital marketing where he started up a comparison shopping site and advancing to data analytics tracking campaign performances and strategizing for online business performance.

Since then he has been a dedicated SEM consultant with over 6 years of experience –helping MNC and SME brands successfully drive leads to their websites and online campaigns. National Instruments, Fuji Xerox, Autodesk and e2i are some of the clients who have also engaged his expertise to conduct SEM corporate classes for their marketing teams.

An NTU graduate, Eng Yeow is a certified SEM professional with Google and Bing ads. He also possesses vast experiences in major online advertising platforms which include Google, Yahoo, Bing, Facebook and LinkedIn.