The internet has unlocked a treasure trove of business opportunities, and drop servicing is one of the shining gems. With drop servicing, you can expand your reach and build your business without getting your hands dirty. It’s the ultimate business hack for the modern entrepreneur!

What Drop Servicing Really Is

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Also known as service arbitrage, drop servicing is the business model wherein a company sells its service to customers. They then hire freelancers or agencies to do the work at a lesser price. In a nutshell, the drop servicing company acts as a go-between for the client and the freelancer to complete orders.

To explain it further, say a company sells its service for $1,000. They will now delegate the work to a freelancer or agency to complete the job for $500. The drop servicing company then pockets the difference of $500 as profit.

While some companies choose to keep their drop servicing a secret, there are those that are open about it. Either way, the concept of drop servicing has been around without many of us noticing it. And now that it has been given a name and its benefits are proven rewarding, it’s sure to gain more traction.

Drop Shipping and Drop Servicing

Another service that has surfaced and gained popularity lately is dropshipping. Many people confuse the two, and it comes as no surprise as they are practically the same. Both involve partnering with a company or individuals to fulfill orders.

The only difference is that with dropshipping, you sell physical products and goods, while in drop servicing, you sell services. With dropshipping, you don’t have the products on hand as your suppliers will be the ones to send them to your customers directly.

With drop servicing, you will provide the service but won’t be the one to do them. You will hire others to do the service for you. You only have to deliver them to your clients. Below are the services that most businesses do for drop servicing:

  • Graphic design
  • SEO (Search Engine Optimization)
  • Content writing
  • Copywriting
  • Video Creation
  • Video Editing
  • Social media management
  • Voice over
  • Lead generation
  • Virtual assistance
  • Guest posting
  • Podcasting

There are many more that you can drop service, you can even start something new to add to this list. As drop servicing is a concept that has already been around for some time, there are many case studies you can find with success stories that will inspire you.

How Do You Make Money in Drop Servicing?

As mentioned earlier, with drop servicing, your income is not tied to your time. You can take in as many clients as you can and let the freelancers do the work for you. You may now ask, why would freelancers or agencies charge you less when they can do it and keep the profits for themselves?

Freelancers and agencies can sometimes find it hard to land projects. Searching for clients that can keep them busy is strenuous. It would be ideal if someone would take that equation away from them so they could concentrate on their work.

This would be your challenge as a drop servicing business. These freelancers would be willing to lower their rates as long as you can provide them with a steady supply of work. In essence, drop servicing is like finding good construction workers to build someone else’s house.

Why Use Drop Servicing?

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Many brands and companies have been drop servicing and have been successful with it. If you want to start a business, you may want to create a drop servicing company. Here’s why:


A drop servicing company makes money. If you think about it, drop servicing may be the easiest way to profit from your business. You offer services and market them to potential clients. You then outsource them to others who can do the job better but for less cost. As the middleman, you can mark up the prices, allowing you to set prices on services and negotiate freelancer fees.


With drop servicing, you can grow your business more than if you do all the work yourself. Without a team to handle your services, you will only earn what your time allows you to. Outsourcing the bulk of the work to others lets you take in more instead of getting only what you can fit in your time.

Easy to Set Up

There are many factors that prevent people from starting their own businesses. Finding enough funding, checking out office locations, and recruiting workers who can come to the office daily are some of these. With drop servicing, you can start without these and start your business right at the comfort of your home.

Less Risk

Having no physical store, office, or products to take care of, drop servicing offers less risk than dropshipping or some traditional businesses. With less capital involved, there is also less risk and loss. If the company does not go as planned, you can always reinvent, start anew, and do things differently with little to no deficits.

Work Remotely

One of the most appealing reasons for starting a drop servicing business is the benefits remote working offers. Using only the internet, you can easily find freelancers or agencies willing to take on your projects. You can also find those who would complete your orders at the price you can have high-profit margins. Furthermore, you can find clients, promote your business, and advertise your wares without ever having to leave home.

The Benefits of Drop Servicing

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If the list above doesn’t explain more why brands are drop servicing, here are more advantages to having a drop service business:


With drop servicing, you can ditch going to the office or following a strict work schedule. You can work according to the hours you set yourself with. You can also work from any location as long as you have good internet connectivity.

Recurring Income

When you constantly deliver quality work, your drop servicing business will continue to provide recurring income. Clients will stay with you and will steadily grow as soon as word gets out about what you do.

No Particular Skills Required

If you’re business-savvy but lack skills in copywriting, you can still provide stellar content with drop servicing. All you have to do is hire writers that can create amazing content that your clients will love. You don’t have to brush up on your writing and researching skills, others will do it for you.

Why Work with Penji for Your Drop Service Business

Penji provides unlimited graphic design services to our clients. We then send the work on to our team of professional designers who come from all over the world. A perfect set-up for your graphic design drop service business.

If you’re running a graphic design drop service business or need designs for your clients’ projects, Penji can be your design partner. Your client sends you the design brief, you send the design brief to Penji, and Penji does the job. Here’s how it works:

penji drop service

Penji hires graphic designers online. We recruit, test, and train them, all thanks to the magic of the internet. The costs are minimized, so we are able to give our designers fair wages, benefits, and perks. We can then pass on the savings to our clients while the company takes in a considerable profit.

The primary benefit of outsourcing work online is that workers get access to higher-paying jobs, and that is what Penji is doing exactly. 

If you need high-quality graphic design at a fraction of the cost, work with us at Penji. Watch our demo video here to learn all about us and what we do. And if you like what you see, click here to get us working!