Drop Service: The New Money Maker for Digital Entrepreneurs

Darius Gaynor entered the world of “drop-in service” a little over a decade ago, when he was looking to make money online so he could quit his “cabin” job at a casino resort in Pennsylvania. Having achieved this, he said two years later that he then made a six-figure exit from the work that he built on this little-known practice.

Projection service includes reselling digital services, such as marketing, copywriting and creative work. Individuals act as online ‘brokers’, outsourcing clients’ projects to freelance online translators, and monetizing their profit. Over time, digital entrepreneurs can become the face of agency-style organizations, employ independent contractors, partner with white label providers (companies that sell rebranded services or software) and eventually hire employees.

The name of the term is a gouging of an e-commerce trend called “drop shipping,” in which online storefronts do not keep inventory themselves, but rather order products from third parties to be sent directly to customers.

Gaynor started helping crowdfunding campaigns with marketing and PR, finding freelancers on Fiverr, an online service marketplace, and a platform now called Upwork. “At first, the struggle was just getting clients. Then I learned how to build rapport with people. I learned how to improve these sales opportunities,” he says.

Since then, the 34-year-old has moved to Florida to spend more time with his parents, and says he’s making an average net income of $22,000 a month from his latest service venture. SumoGrowth, which specializes in search engine optimization and finding potential clients. “I just love digital services because there’s more to the top than to the bottom.” He believes that the higher your fee, the more your services will be considered excellent value.

Gaynor says the drop in service has enabled him to work remotely and changed his future prospects. “Financially speaking, it allows me to have more income to invest in building wealth.”

Yassine El Harochi has run at least 10 service businesses over the past four years, from reselling logo designs to Instagram growth management services.

Mary L Grayco-author of Stealth Action: How to Prevent Silicon Valley from Building a New Global Underclass, says the Drop Service isn’t as new as it might seem. “[It] It is a digital update of an old subcontracting practice. . . The understandable extension of what happens when we create platforms and technologies for the division of labor.” She expects the trend to grow over the coming years with the expansion of the hybrid business model.

Yassine El Harouchi, a Moroccan entrepreneur working in the service business, agrees. When the epidemic broke out, the 30-year-old said he started being contacted by more people asking about the practice – many of whom had lost their jobs or sources of income. “Now with Covid and the emergence of remote work, I think the decline in service is going to start to unfold more and more. But I tell you, to this day, very few people know that.”

Hrushi estimates that he’s ran at least 10 service businesses over the past four years, from reselling logo designs to Instagram growth management services. He doesn’t like or find satisfactory drop service, though: “I do it for the money,” he says.

Finding and commissioning qualified freelance translators has been challenging. Upon hiring, Harouchi encountered several applicants who submitted the exact same portfolio. It can also increase the time and effort involved in managing reviews or fixing issues for customers.

In terms of the drop service, Hrushi now focuses on email marketing, which he claims brings in a net profit of $5,000 per month. He says retailers can achieve a margin of more than 1,000 percent on “high-ticket” services, such as lead generation for locally owned businesses. Haroushi has used the practice to fund other businesses, including his dream of building an “Airbnb for Training”.

Professor Adrian Palmer, Head of Marketing and Reputation at Henley Business School, sees the benefits from buyers’ point of view as greater flexibility and cost savings, with potentially fewer tax obligations. “As in many sectors of the service economy, we are seeing the replacement of local markets by global markets.” Palmer also points out that the outsourcing culture that developed in Western economies – transactions traditionally between large firms – is now being passed down to individuals.

However, he believes that companies’ concerns could include whether those who perform services are being remunerated fairly or may be based in countries with little regulation. “Then it gets a bit more blurry,” Palmer adds. In fact, in some cases, companies and freelancers can’t be any wiser about who really sells or buys the service in these transactions.

Like some of her peers, Faiza Muhammad Arwa, 26, who works as a freelancer from Nigeria and offers a range of writing, audio and design services on Fiverr, she has mixed opinions about the practice. She appreciates what she describes as the “small” portion of distributors who are ahead of the curve on outsourcing, but claim cancellations can result from miscommunication about customer expectations. Mohammed Arwa adds, “Another person taking advantage of my hard work by literally doing nothing but reselling it leaves a very bitter taste in my mouth.” While some other freelancers say they accept setting their own rates, and can increase those rates, she says that rate hikes are not viable for new freelancers trying to establish themselves. The price of gigs on these platforms is often very low due to the competitive nature of the market.

Lazarus, a freelance artist from Greece on Fiverr, is largely against dropping the service. Not knowing who he works for is one of the main problems. “It lowers the final quality of service because [the] Communication gap, direct contact with the customer is the key. Additionally, Lazarus believes that original sellers, particularly in his field, should earn a percentage of the (re)sale price each time a transaction is made. [drop servicing] It happens without the consciousness of the Creator, it is immoral.”

Drop Service workers argue that they add value through expertise and experience, building relationships with customers and providing quality control. Mr Louis Heymanwhich is a member of Party Economy Data CenterShe believes they also face a risk that companies are increasingly discovering such platforms and hiring freelancers directly themselves.

However, the projected service business model appears to be on the rise. A prescriptive industry has mushroomed to educate and facilitate potential newcomers during the pandemic. Gaynor promotes a virtual course and paid mentorship via a Separate job site. Some like to sell hiroshi Create services on Fiverr. Wise money transfer group posted a file Article – Commodity About “How to Start a Drop Service Business” on their website.

Dylan Sigley, who runs several drop service companies, launched a Drop Service training program in 2019

Drop Service proponents have also turned to social media in an effort to become content creators and spread the word. Hyman cites the history of “You can also be rich doing this thing.” He asks, “If they can scale so easily, why don’t they just make money and not sell how do they do it?”

Dylan Sigley, 29, runsProjection Service Scheme’, a six-week program currently priced at $997. He says he has had more than 1,200 participants since its launch in 2019. According to Sigley, about three people join daily and students range from 16-year-olds from Finland to 70-year-olds from the United States.

Sigley got into service drop in 2015 after taking a $5,000 course while working in a call center in New Zealand. These days, he’s mainly focusing on his training program, but he also has three low-end service companies that focus on animated videos, Facebook ads, and graphic design, respectively. He claims that one business generates seven low figures in revenue each year, and the other two reach six high figures.

Sigley now lives as a digital nomad. He previously resided in Australia, Thailand, Poland and Hungary, and is currently in the United Kingdom. “these [drop servicing] Business is fully automated for me at this point,” he says. “The most important thing for me is the freedom to travel. You changed my life in every possible way.”