From a seo prospective dropshipping is better than affiliate and before I explain farther let just review the two systems :
Affiliation : (The customer will click on the product on your site and then go to the vendor s site where they will handle everything, payment and shipping )
1- You just can promote the URL of the site that you are affiliated with which contains your affiliate ID
2- Some affiliates offer RSS feed to the products with images ad descriptions, but changing the information of the product still beyond your ability
3- Search engines don t like affiliate sites and keep developing their algorithms to filter them
4- The customer will go to the site that you are affiliated with when he needs to buy, and will not memories your website and get back to shop form it again, so you will not have loyal customers
5- You can list your products on EBay of Froogle
6- You can t control your earning margin cause it is controlled by the site that you are affiliated with, besides you can t get your earnings after the customer buy and you need until your earning reach a specific amount or for the time schedule that they have for payment
7- You don t need to have Ecommerce website, any website will work for you and even if you don t have one you still can do it through Google Adsense or Overture
Dropshipping: (You list the products and the customer buy them through your site them you contact your vendor and send the shipping information and the money to your vendor to get the shipping done )
1- You can promote your product on your website, you have control over everything
2- You can put the images you want and change the attributes of the products and make it more search engine friendly
3- No problem for search engines about dropshipping sites, they can t even identify them
4- The customer will stay on your site and finish the payment on you site, so you can start build a good reputation for your site and earn loyal customers who will refer your site to others
5- You can list your products on Froogle and EBay
6- The prices are under your control you can just name them and change them again as you like
7- You need to have Ecommerce website and your own payment getaway
As you can see that dropshipping is more flexible and it is a real business, so may be you are just confused about item 7 which is establishing Ecommerce website, the good news we want to tell you is that you can have your Ecommerce website ready to sell just from $400, us the contact us button to contact us and get a free quote