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  4. Make Money with Drop Servicing: How To Get Started
Published 2 Jul 2023

Make Money with Drop Servicing: How To Get Started

Avatar photo Rebecca Fox

While dropshipping businesses (a business model in which the retailer does not have any goods in stock but transfers orders to a manufacturer or wholesaler) are all the rage at the moment, drop servicing is slowly starting to emerge as one of the best ways to make money online. So what’s all the fuss about?

What is a Drop Servicing Business?

While dropshipping involves selling physical products (albeit indirectly), drop servicing involves selling services. Unlike a freelancer, you do not complete any of the services yourself. Instead, you market the services and earn a profit from the orders. The business model can also be referred to as service arbitrage, as you find clients who need a service, while actually hiring or outsourcing the work. 

One of the reasons drop servicing is gaining popularity is because there are no physical goods involved, and therefore no headaches around shipping costs or delivery hiccups. You’ll also be able to monitor all the work your team produces to ensure it is of a high quality, therefore minimising customer complaints. Finally, drop service businesses are able to keep their overheads low, with the only costs usually being the cost of their website hosting or Shopify store, and any paid trials you wish to conduct before hiring a service provider.

What are Some Services I Can Sell?

There’s a myriad of different services you could provide as part of your drop servicing business. These include:

  • Search engine optimisation (SEO)
  • Backlinking
  • Website development
  • Social Media Management
  • Google Ads
  • Blog Writing
  • Graphic design
  • Copywriting
  • Video Editing

When you’re starting out, it could be a good idea to choose a niche to specialise in. For example, you might just focus on the backend of websites, such as WordPress development and Shopify customisation, or hone in on small business services like data entry and accounting. 

What Will I Need to Get Started?

Let’s break down how to get started, step-by-step.

  • Lock in your domain name and choose your desired platform for your online business. Shopify is by far the most popular ecommerce platform to host your business on, but also consider the benefits of hosting your own site or other platforms like Clickfunnels, GetResponse or Kartra.

  • Create a list of services using some of the ideas above.

  • Start developing a team of service providers you can rely on. Look for talent on sites like Fiverr, Freelancer.com, ProBlogger, HubStaff Talent, Upwork or specific Facebook pages.

  • Add a payment gateway, then list the services you are offering so customers can order and pay seamlessly.

  • Draw customers to your online store through a number of means, such as keyword research, email marketing, influencer or affiliate marketing, and Facebook ads. When it comes to SEO, search for and utilise buyer intent keywords, which are search queries that indicate someone is actively looking to buy a service.

How Can I Make More Money Through Drop Servicing?

Now that you’ve established your drop servicing business, you’ll of course want to optimise it to make as much money as possible. Some steps to consider for this include:


1. Create Upsells


This could include bonuses like delivery within 24 hours, revisions or another relevant service


2. Maximise Your Profit Margins


By creating a polished and professional online presence, you can charge significantly more for your services than what you buy them for. 


3. Make Sure They Know Your Service


Whatever you choose to offer as part of your drop servicing business should be something you’re genuinely interested and knowledgeable in. Not knowing what you’re talking about can easily backfire! 


4. Have a Plan B


After all the work you’ve put into your website and marketing, the last thing you’d want to happen is for a service provider to let you down. Always keep one or two backup service providers in mind in case one does not deliver on time or to a sufficient standard.

Creating a drop servicing business today will get you ahead of the curve, with most people not being aware of its money-making potential, or even that it exists. The most crucial elements are having a professional website and sales funnel, and strong buyer-intent keywords. Also make sure to work with quality suppliers, so that you are able to charge more for your services and ensure happy customers return time and time again.

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