Dropshipping is a business model that lets you sell products by using a supplier.
Once I sell a product on my Shopify store and it needs to be shipped to the customer directly, do I need to pay for the shipping costs upfront from my own pocket? or is it that the customer will pay for the product, and from that money, I'll pay for the delivery? could you please clarify the payment and shipping process for dropshipping with AliExpress?
Hi @zohalqa16,
When you sell a product on your Shopify store and use AliExpress for dropshipping, the process generally works as follows:
Customer Purchase: A customer buys a product from your Shopify store and pays the total amount, which includes the product price and any shipping fees you have set.
Order Placement: You then place an order for the product on AliExpress through a third-party app like Zopi, providing the customer’s shipping address. At this point, you pay the supplier for the product and the shipping costs using the money received from the customer.
Shipping: The AliExpress supplier ships the product directly to your customer. You don’t need to handle the product physically.
Profit: The difference between what the customer paid you and what you paid the supplier (including shipping) is your profit.
So, you don’t need to pay for the shipping costs upfront from your own pocket. Instead, you can slightly increase your selling prices to cover the shipping costs and present it as free shipping to your customers. This way, you use the money received from the customer to cover these expenses.
This article will give you a few helpful formulas to follow: https://help.zopi.io/aliexpress-pricing-a-comprehensive-guide-for-profitable-dropshipping.html
Best Wishes,
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