Posts Tagged drop shipper
The Flaws of Drop Shipping
Posted by Scott in Bulk Drop Shipping, Drop Shipping, Wholesale Sources on July 16th, 2009
Although it may defy common logic, some of the larger drop shipping companies are also some of the least cost-efficient. The sole consideration when choosing a drop shipper should be the price of the goods you are being supplied with.
Though they undeniably sell goods below retail price, the biggest drop shipping companies often do not reduce the cost as much as other comparable companies.
As opposed to wholesaling, purchasing in bulk is not necessarily the key to success when drop shipping. When drop shipping, chances are you are purchasing individual items as opposed to large amounts. Therefore, bulk discounts will be far less advantageous.
Often, those that utilize drop shipping from large drop shippers simply cannot compete with other companies that manage to acquire products directly from the supplier. Also, there are often monthly fees involved in drop shipping. That can take another major chunk out of your profits.
Above all else, make sure that you have thoroughly researched the possible options to ensure you make an informed decision and acquire your products at the cheapest possible price.
Avoid the Dangers of Drop Shipping
Posted by Scott in Bulk Drop Shipping, Drop Shipping on July 16th, 2009
Before beginning a business that is based on the practice of “drop shipping,” ensure that you look over these few things. The world of drop shipping can be extremely lucrative. It saves you money on inventory and eliminates storage costs. Sadly, there still remain some difficulties. It is often difficult for people to find truly reliable drop ship sources. Many fall victim to scams. There are several ways drop shippers could scam you. Most commonly, they deliver products of a lower quality than those agreed to. In even worse cases, they have been known to take your money and not deliver a product at all. A new scam involving drop shipping involves the creation of sites which claim to have reviewed various drop shipping sites. Sadly, these websites often charge absurd markups on sales. From there you can make little or no profits whatsoever.
It is imperative that you research your drop shipping company before you begin using its services. Look up what others have thought of the company. Quickly you will be able to determine whether or not complaints are plentiful.
Also, before you expand your business too far, test the services of your drop shipper. If your customers seem happy, you will then be able to purchase in larger bulks and sell more, reaping even greater profits.
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