Why Magento CMS for Integrating DropShipping with E-commerce Business?

February 27, 2020 | Author: Ashley Brown

It is not a hidden fact that E-commerce is the best platform to sell niche products. Whether you are a startup or a big brand, there’s always room to grow business. Magento is the most trusted CMS to build an E-commerce website, being a store owner, it is always important to look for a business model that doesn’t need high capital, something that is easy to manage and provides flexibility.

One of the finest ways to grow your E-commerce performance is to integrate extensions. These software codes help to boost website performance, speed and security. You can invest in Magento 2 extension development to get a customized extension solution for your store. Here, we will discuss the DropShipping business model and its benefits for an online selling store.

Why Magento CMS for Integrating DropShipping with E-commerce Business?

Introduction to Dropshipping Business Model

DropShipping is a great way to expand your product line, manage your inventory as well as begin the new online startup. It gives entrepreneurs an opportunity to invest less and get a good return. In this store owners import products from third-party sellers and list them on their stores. This approach helps in cutting the costs of stocking the merchandise. It has a simple process to manage and products can be shipped to the customers with a few clicks.

Why Choose Magento for Dropshipping?

Magento has a significant impact on the online selling business. It is explicitly developed for the E-commerce industry. It has the power to support all kinds of online stores. The platform has several features that give out-of-the-box support. These innovative features make Magento the first choice when compared with other development platforms in the industry.

The main reasons to opt Magento Dropshipping platform over other CMS(s) like BigCommerce or Shopify are:

  • No commission charged for any order
  • Self-hosted data
  • Transparent Billing
  • No limitation on the number of orders

Dropshipping is a tricky process to implement, thus consulting Magento 2 development company is always a good choice. Let’s look at some advantages of DropShipping solutions for the Magento store.

Advantages of Dropshipping Business Model

  • No need to concern about storing and managing the product inventory. It works as an intermediary saving a lot of operational costs.
  • Less overhead costs ultimately saving you from paying rent and maintaining the warehouse to store the stock. This is a great way to grow an E-commerce conversion rates & ROI.
  • With DropShipping, different kinds of products can be listed. This helps to serve a niche market as well as expand the product line.
  • It is troublesome to deliver products outside the country because of high shipping rates, time constraints, and extra costs. Instead, make an agreement with different vendors that are closer to the buyer for delivering products faster than ever.
  • With several advantages, it is easy for the store owners to launch an E-commerce business in no time. With a small investment, you can set up your store and start selling on local as well as the global front.

Magento Dropshipping Solutions for E-commerce Stores:

1. Dropshipping Orders Manually

For startups having a few orders on a daily basis, you can implement manual Dropship service. This means when received an order on your store, you can simply send a manual email to the specific supplier for shipping it to the buyer.

This helps to try new or multiple suppliers. In this case, no need to invest too much in the technology until everything is set up perfectly and Dropshipping is the best solution.

2. Magento 2 Dropshipping Extensions

Once you start receiving orders in large numbers and it is not possible to handle the orders manually, there are several Magento 2 Dropshipping Extensions allowing you to accomplish your goal. An extension will help to focus on other aspects of your business, and you will be able to save time as well as the efforts.

However, before consulting Magento 2 development for Dropshipping Extension, here are some parameters to keep an eye:

  • Reliable Company: Make sure you get only trusted Magento extensions from trustworthy sources.
  • Price: Pay for the extension that is worth your store. Do a detailed comparison between the features and pricing of the extensions.
  • Integrations: Make sure the extension is compatible with your store and has a secure integration method. It should integrate the orders across all the sales channels.
  • Feedback/Support: Look for the extension offering timely Magento Support to users in case of any trouble. Look for the feedback and extension ratings to proceed in the right direction.

Frequently Asked Questions

1. What is E-commerce Drop Shipping?

Dropshipping is a popular business model where a store doesn’t keep the products it sells in the stock. Instead, when a store implements this model, it purchases the item from a third-party and simply ships it straight to the customer.

2. How do I start a dropshipping business?

The best part of this business model is it doesn’t require too many funds to begin. It needs your time & efforts to start the business.

  • Select a niche.
  • Perform competition research.
  • Choose a supplier.
  • Build your E-commerce website.
  • Make a customer engagement strategy.
  • Analyze and optimize.

3. How profitable is Dropshipping?

Dropshipping is highly profitable because of the growth of E-commerce businesses all around the world. It is not only profitable as well as thriving. Magento E-commerce store integrated with dropshipping has reached over $5 billion, which is almost growing at a 7 percent rate for the last 5 years.

Wrapping Up:

Dropshipping is a unique approach in which the store owners don’t have to maintain the stock. Instead, they share order details to the suppliers who deliver products straight to the customers. As a result, the store owner is free from handling the product inventory as delivery is made by the supplier. Store owners when getting the benefit of Magento Dropshipping, can simply get started with minimum capital and efforts. If you are looking to start an E-commerce store, make sure you read everything discussed above and share your experiences with us by commenting below.