Are you someone who is wondering about how to make money online? Then you are on the right spot. Covid-19 pandemic made us physically ill and made us suffer mentally due to loss of jobs, creating financial burdens among us.
There could be days which you were lying on the bed without knowing what to do, just scrolling your phone up and down. But, did you ever think that you could use your smartphone as an online money maker?
Buckle up, guys; It’s going to be a doozy! Drop servicing is a term which was popped up with Covid-19. There is a buzz going on virally about this among most millennials.
What the heck is this drop servicing?
It’s as same as drop shipping, there you deal with tangible products, but here it’s intangible services instead. It is a servicing platform where you act as an intermediary between the buyer and the actual service provider. You make the service provider complete the project without fulfilling it by yourself.
Is Drop Servicing legal?
You must be thinking about whether it is a legal business to start it. Yes, as long as you have clients agreeing to pay your price and service providers who would like to render their service at a lesser amount. Fiverr is an excellent example of a drop servicing platform where it links businesses with freelancers who provide digital services in more than 300 categories.
Drop Servicing Ideas
If you are a beginner, these are some drop-servicing ideas you could look into when starting a business.
- Website Design
- Blogpost Writing
- Technical Support
- Video Creation & Editing
- Writing & Proofreading
- Graphic Design
- Social Media Management
- Ad Copywriting
And there are many more ideas. But, first, you have to do thorough background research through Google trends on what services users search these days.
Is Drop Servicing profitable?
Indeed, everything mentioned above must be right. But is this profitable? What more benefits can I get by running a drop servicing website? These are some of the questions that you might come across while reading this article.
Let me clarify your doubts here. Yes, drop servicing is profitable once the service is rendered on time and providing a high quality of work. However, unlike drop shipping, you don’t need a space to store goods. Further, you can market services online and work remotely.
If you render the work high-quality, you can’t stop clients from coming to get your service. They will also spread the word to others, being your advocates. You don’t need a huge budget to start this off as you are just in the position of taking the order from the client and placing the order to the freelancer.
Drop Shipping Vs. Drop Servicing: Which one is Better?
Well, you must be someone who has already being in the dropshipping business and wondering whether to shift to drop servicing. My advice is not to quit drop shipping but to start advertising your drop servicing platform on the same website operating both the business models.
But if you have neither of these, thinking which one is the best, either drop shipping or drop servicing, let’s see the pros and cons and their options of each model to find the best approach.
Drop Shipping: Pros and Cons
Pros
- No inventory management.
- Right products bring you profits.
- More Apps are available for drop shippers.
Cons
- The wrong product makes you lose or low profits.
- Risk of not delivering the product to the end-user even though the buyer made the payment.
- Delays in delivery time can make the online customers unsatisfied.
- Sometimes have to deal with refunds, returns.
- Poor packaging leads to poor quality service.
Options Available: Drop Shipping
- Requires to have an e-commerce website.
- It needs a trustworthy supplier who can be relied upon to deliver products.
- Dropshipping platforms: Shopify, AliExpress
Drop Servicing: Pros and Cons
Pros
- I need very little investment to start the business.
- Only a few skills are required to start a business.
- It’s not riskier than drop shipping because you don’t have to keep an eye on your physical goods.
Cons
- You might have to rely on the ability of freelancers.
- Sometimes the delivery time might vary.
- You have to be very careful in making both customers and freelancers happy by being proactive. Otherwise, the service quality will be affected.
Options Available: Drop Servicing
- You can have your own website, but this needs a certain amount of investment as you might have to get help from a website developer in designing the website.
- But you can sign up with one of the drop servicing platforms as well.
- Drop Servicing platforms: Fiverr, Legit
Yet, at a glance, no one can jump and tell which model is the best. Both models have pros and cons making them challenging at times. So the best option is to know where your skill lies.
For example, one might be good at handling physical goods. In contrast, another would be an expert in dealing with services having a piece of sound knowledge in the area of service delivery.
However, there is no hard-and-fast rule that you must choose only one model. Suppose you are capable of running two things at once. There you go.
How do I create a Drop Servicing Site?
If you are interested in building your drop servicing website, hiring someone, or building a WordPress yourself, these tips are for you, my champ. So let’s get started.
Choose a Service to Drop
First, all you have to do is to choose a service which you are familiar with. It’s your business. So it is good to know what exactly your business is. If you ask ten people, they will say ten different things. One would ask you to choose the most profitable service to drop or the niche to be catered to. But this so-called profitability differs from one another.
Because one could earn hell a lot of profits by dropping website development services to his clients being an expert of that service, but that doesn’t mean you also should start dropping the same unless you know even the basics.
Because your understanding of the service will bring you more clients for your business, would you like to get their service if you were a client of your business? This is precisely how you should give your thoughts on the selection of service for your business.
Choose where you can outsource
Oh right!!! Imagine you have your service to drop at hand by now.
But how can I get this work done? That would be the very next question that comes to your mind. Don’t worry at all. There are a lot of ways in which you can outsource your work. You can give it to someone you already know, or you can search for someone who does it through Fiverr or any other drop servicing platforms, freelancers, agencies, and whatnot.
But keep one thing on your mind. Don’t look for someone who does the work at a lesser price, thinking that you can make higher profits because the quality matters too.
If the quality of the work doesn’t meet the client’s requirement, then there is a doubt whether they will come back to you with their second purchase. So, give some serious thoughts on this as well.
Create a client base
At last, you have your service and people to work for it, but how will you find clients to give your service. Furthermore, how will the clients get to know that you are offering this service? Let’s see how you can solve this problem.
One thing you can do is develop your website, as I said before, and also, you can run ads on your social media platform and get contacts from your social networks.
Can I Start Drop Servicing for free?
You must be someone who likes to start something on your own. Yet, the only factor that might bother you could be the money needed for the investment. No wonder, whatever the business you start, you need to make an initial investment for it.
But did you ever think that there are businesses which you could start for free? Drop servicing is one of those businesses.
Of course, you have to spend a little money if you want to have your website, but initially, you can sign up in one of the drop servicing platforms and start up your business. With time, you can decide how much budget you need depending on your advertising and marketing activities.
This alternative is better than just staying without doing anything. Because, sometimes, even if we invest a lot and start up a business, there is no guarantee that it would be a definite success. So, why do you put yourself at stake? Instead, isn’t this so simple?
How can I find clients for Drop Servicing?
Like I mentioned to you earlier, there are ways where you can find clients. In this section, you will get a clear idea of finding clients for your drop servicing agency? First, let’s try to make use of what’s freely available to us.
1. Signing up with a freelancing website for free
You can create a freelancer account on a freelancing website like Upwork, Fiverr, and so on. Superb!! Account created. Now clients will come to me like nothing if this is something that you are thinking.
Hell No. It won’t be that easy to close a deal!
Building a reputation and closing your first client with zero reviews and a fresh new account takes a little longer. All you need is to have patience and stay tuned with a never-give-up attitude. Introduce yourself and what you offer with confidence. Be precise in communicating with your client about your services and be unique in your customer service.
Also, in the beginning, you can set competitive prices. After that, it’s easy to start a drop-servicing business. This concept is very competitive as everyone enters the marketplace because there are no entry barriers. So, you should be able to differentiate what you offer from similar service providers.
Always make your clients pick you first on your quality service delivery. Initially, stop thinking about how much money you can make. Instead, focus on how better you can deliver your service for your clients. If you get this right first, no one can stop your money from working for you because good work will always speak for you. A satisfied client will recommend your service to their peers, but this could be vice versa.
2. Email Outreach
Here’s another method by which you can find your clients for free. Well, you know your target audience. It may be students, corporates, professionals, and so on. Get their email addresses and email them a proposal along with your profile. Check this website if you want to find email addresses – Hunter.io
3. Messages in LinkedIn
Create a professional business LinkedIn account because it is a fantastic B2B network to form professional partnerships. Amazing in these methods is that you can try all three approaches simultaneously to find clients as it doesn’t cost you a penny. Because the more people you interact with, the more likely you are to gain exposure. This organic reach will take you up to a certain extent. However, it comes to a point where you need to spend some money on advertising your business as you can spend even years and years catering to your clients using the above approaches if you are playing a monopoly.
But the actual situation is different. There are many service providers in the marketplace to cater to fewer clients willing to get the service by paying the asked price. So, if you want to reach them first before your competitors, below are some of the methods you could familiarize yourself with.
4. Google Ads
How can you use Google AdWords to find clients for your business? It’s pretty much easy and cheap. Here you’re using Google Ads to target buyer-intent keywords in the search results. Of course, you have to pay your ads to appear at the top of the search results page based on the keywords you want to target.
5. Facebook Ads
It is hard to find anyone not having a Facebook account these days. So speaking, Facebook is the most popular social media platform among online users. So you can start advertising your drop servicing agency on Facebook. Because Facebook advertising allows you to target specific audiences that are likely to be interested in your products and services by utilizing the vast amount of data Facebook has on its users.
Here, you can target your audience based on their age, gender, and other demographics.
Who can start a drop servicing business?
Can anyone start drop servicing? Is there any particular skill that I need to have to start this business? It’s natural to fill your mind up with these questions. If I were you, I would question the same. But, trust me. Anyone can start this quickly if you have clients and if you know how to deal with them.
This is a business model which you can start in your style as you don’t have to follow any specific rules. Suppose you have confidence in you your sales and marketing skills. This is a perfect fit for you. All you need to do is research your chosen area of service and be firm with your basics.
How much money can I make from drop servicing?
If you read ten blog articles on drop servicing, almost all the articles might say that drop servicing is profitable. But, this term profitability is a bit vague. Because the amount you are expecting to earn from operating this business model might vary from my expectations, likewise, another who is reading this article might have a different perspective. So, the portion of profit all of us are expecting might differ because you must be having a lot of clients at hand whereas another might have only a few to survive.
So your level of earning and their level of earning basically depend on the number of clients each of you has. More clients onboard make you more money. This business model helps you to achieve without any limit if you are ready for it.
Conclusion
This article could be the best handpick for someone looking around to start a drop servicing business because I have brought almost all the FAQs to the table, one might be having and doubting about before giving it a try.
Up Next – Drop Servicing Blue Print All in One – Part 02
