Dropshipping is a retail sales method where the online store doesn't carry any stock. Instead, when an online retailer sells a product, it purchases the item from a dropship supplier and has it shipped directly to the customer. As a result, the retailer never sees or touches any of the products.
This gives new ecommerce startups who use the dropshipping method the advantage of being cash positive when making sales. This is simply because the retailer doesn't have to buy and hold stock.
Dropshipping will soon become the standard way to retail goods online, rather than the exception.
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