Five Little Steps! How Dropshipping Works
LYNNIE VERSION
Would you like to read this article in more grown-up words, still easy to understand? Jump here.
Hi! I’m Lynnie! Today I’m explaining how dropshipping works, step by step. Done the fair way!
Grown-ups call it a process flow. Five steps, starting and ending with you!
Step 1: new job, testing, ads
First, you notice a new job for an existing product. You test it. Then you show it with paid ads that lead to your own website. Our value-added dropshipping article explains this. Your ads tell the product’s new story!
Step 2: somebody buys
People see your ads. If they like the product, they buy it on your website. For them, you’re the shop!
Step 3: the order zooms to the helper
The purchase sends an order to the helper company automatically. Zoom! It goes through the connection you set up in the back of your website. That’s an order the helper would never have gotten without you!
And the helper gets paid right away, at the price you agreed before. That price is lower than what the customer paid you.
Step 4: the helper delivers
The helper sends the real product straight to your customer. You never touch the package! How long it takes depends on the helper and where the customer lives.
Step 5: you help the customer
Then come customer questions. About the product, or anything else. Since they bought from you, they write to you!
An important reminder
Remember why some people don’t like dropshipping? Customers could often buy the same thing cheaper straight from the helper, if they knew where. That’s a real, fair worry.
That’s why Lynnaider cares so much about real added value, a clear idea, and being honest. Our ethical dropshipping article explains more.
Where the money goes
The customer pays you the full price. The helper gets paid the making price right away. From what’s left, you pay for ads, your shop, payment fees and refunds. What’s left after THAT is yours.
Let’s do pretend math! You sell something for 30 dollars. The helper charges 12, with shipping. 18 left! If your ads cost 10 per sale, you keep about 8, before other little fees.
So always do the math before you buy ads!
Where your time goes
Mostly into step 1 (finding, testing, making ads) and step 5 (helping customers). Steps 2, 3 and 4 run by themselves once your shop is set up.
How long does delivery take?
Close helpers can deliver in days. Far ones might take weeks! Always write real delivery times on your website. Surprise waits make people grumpy!
Three oopsies
- Ads before testing the product and delivery.
- Not counting the ad cost per sale. It can gobble up your whole margin!
- Slow customer help. That brings refunds and grumpy reviews.
A story
A shop owner shows a little clip-on fan as a summer cooling helper for baby strollers. She tests it from two helpers and picks the quieter one. Her ads go to parents in the first hot weeks.
A parent buys, the order zooms to the helper, and the helper ships it. When the parent asks about the battery, she answers within an hour!
What’s next?
The next article explains why dropshipping needs your own website, and what being the seller means. The whole module is in the book on our products page. Want a grown-up to help map it out? Go to our services page.
What grown-ups usually ask (and I answer)
How does dropshipping work?
New job and ads, somebody buys, order to the helper, helper ships, you help.
When does the helper get paid?
Right away, at the agreed price.
Who ships?
The helper, straight to the customer.
Who helps customers?
You do!
Why do some people criticize it?
Because customers could often buy it cheaper. That’s why added value matters.
How do dropshippers bring visitors?
Mostly with paid ads.
Do I need to test first?
Yes! It’s part of step 1.
Will there be step-by-step lessons for each of the ten ways?
Maybe! If lots of people want them. Join the waitlist and you’ll know first.
Is there a cheap way to start?
Lynnaider shows you ways that cost nothing, or very little. You’d be surprised! And a free robot helper called Lynnaider Compass helps you step by step.
Disclaimer: This article is for general informational purposes only and should not be regarded as legal, tax, or business advice. Pursuing an online business does not guarantee income; results depend on many factors including the business environment, individual effort, skills, and consistency. Some links on this site may allow Lynnaider to earn a commission at no additional cost to the reader.
