What are Drop Services?

Drop service is a business model where you provide on-demand services to clients. You do not have to maintain a team and there is no need for you to invest money in setting up a costly team.

What are Drop Services?
Photo by Luca Bravo / Unsplash

Drop service is a business model where you provide on-demand services to clients. You do not have to maintain a team and there is no need for you to invest money in setting up a costly team.

Drop service businesses are popular because they allow entrepreneurs to make money without having to purchase any assets or hire employees, but they can also be a great source of passive income if done right. In this article, we will discuss what drop service means, why it’s so popular among entrepreneurs today, how it works, and some examples of drop services that people are doing successfully nowadays!

What is drop servicing?

Drop service is no different from service arbitrage. It's easier to explain it with an example.

Let's say that you have a customer that requests a logo design, you can sell that logo design for $100 while your provider, who might be an outsourced freelancer, in-house designer, or an unlimited graphic design service like Kapa99, charges you $50. In this example, you'd pocket the difference.

How much can you earn with a drop service?

The amount your drop service will earn depends on a variety of factors, including:

  • How much time you spend on it. The more time you put into your drop service, the more money you can make.
  • How much effort goes into finding new clients versus keeping existing ones happy (and returning). You might have one client who pays well but only orders once every few months; one client who orders several times per month but pays poorly; or someone else who orders frequently but still isn't ready to give regular business yet (meaning they probably won't become regulars until their next order). Finding more customers generally means more work trying not only to do well with those specific people but also to keep them happy so that they'll come back again and again.

Can you make money with drop services?

The short answer is yes. The challenge with drop services is generating demand, however, once you have a solid system you'll have a business that's easy to maintain and highly profitable.