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Drop shipping is a retail fulfillment method that allows an online store to sell a product even when it does not carry any inventory.
Instead, when an order comes in, the retailer purchases the product from a third-party supplier — be it a wholesaler or a manufacturer — and has it shipped directly to its customer.
Without seeing or handling the product directly, the retailer makes money by selling the item at a price higher than its cost, which is normally determined through a market survey in which he trawls through popular e-commerce sites.
Such a method, while still relatively new in the e-commerce world, is becoming increasingly popular among online business owners.
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