Will Online Sellers Jump Ship to ‘Drop Servicing’?
The Signal: Searches for “drop servicing” are on the rise as a generation of internet entrepreneurs (and a planet stuck at home) seek new ways of creating an income.
Drop servicing — also called “service arbitrage” — is simple: Find a customer who needs a service, sell them that service, and then outsource the work to someone else for less, keeping the profit.
It’s not a new business model. Rather, it’s a recently coined buzzword used to describe old ideas in a new way. A drop servicer acts as a middleman, finding qualified freelancers and bringing them projects, while owning the entire client relationship. It’s similar to the work creative agencies have done for years.
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