How does dropshipping work?
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Drop shipping is a term used to describe a manufacturer shipping a product direct to consumers on behalf of a 3rd party who is making the sale.
Often times, this is done by people in the US posting items for sale on social media shops, Shopify accounts, or Amazon. Those sellers then have a manufacturer, typically in China or other cheap labor country, produce the items and ship directly to the buyer.
The seller in this instance does not ever touch the product, all they do is process the transaction.
An example of this occurring domestically is the recent bed in a box phenomenon in the mattress industry. At their onset, a company like Casper was just a marketing and sales company. They advertised and took orders from consumers, but had a third party actually produce the mattress and ship it directly to the consumer.
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