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16.12.2019
Business

How to Make Money by Wholesale Dropship

1. How to Make Money by Wholesale Dropship

A wholesale dropship is a great way to make money online. This form of ecommerce removes many of the stresses of selling items online and has become a great way to start a trade business, so find out how to make money by wholesale dropshipping.

During the last decade the internet has reached the homes of most people around the planet, and it has revolutionized the way we buy and sell products. During that time people have been looking for ways to make money from internet trading, and one of the most promising ways is to enter into wholesale dropshipping. By using a wholesale dropship you can buy and sell items and make money online, but how?

Firstly it is important to understand what a wholesale dropship is. Dropshipping is a new and exciting way to conduct ecommerce and works by a dropship company buying goods directly from the manufacturer, at pre-sale rates, which it then stores. Clients of the dropship company can then sell the goods they have in stock and make the after sale profit, before giving a percentage to the dropship company of course.

Save on Shipping

Perhaps the major advantage of using a dropship company is the fact that they handle the goods, and they distribute the goods. As the seller you do not have to worry about seeing the products and more importantly shipping them, it is a business model that allows you to profit but never have the worry of whether the goods make it to their destination, because the expert dropshipping company will do that for you.

Basically the dropshipping company becomes your personal stock holder and distributer, and it is possible to build a strong working relationship together. If this does indeed happen you can get your distributer to place your company logo onto boxes, which further advertises your brand and products.

Get more Customers

If you are an online seller then you will likely have a website that advertises your goods, and using the wholesale dropship model you will be a fully-fledged ecommerce store. Search engines love a quality ecommerce store, and you could well rank highly on Google search which ultimately will bring more customers, more sales, and more revenue.

Easy to do

Everything about the wholesale dropship business is easy, from not handling goods, to not dealing with distribution. Also it is very easy to find a droppshipping company, in fact there are hundreds of them available, and all offer you the chance to distribute goods worldwide for profit without ever having to deal with the stresses of normal business practises. Think of wholesale dropshipping as a different kind of selling, you are like the checkout assistant, you just deal with the money and the customers while other take care of the stress, but the big difference is that you will be reaping a great reward. This is still a relatively new way to make money online so there is still plenty of money to be made in a growing market that is still open for new businesses

2. Dropship Items – Must-Know Info to Know Before You Dropship Items

You have decided to dropship items. You’ve seen other people making good money being a dropshipper and you want to have your slice of the pie. That’s a good idea. Make sure to read this article before you dropship items though; it will save you a ton of headaches. One of the main advantages of dropshipping is that you don’t need to have much capital before you make a sale. You pay the wholesaler only after you got the money from the customer. You also don’t have the expense of warehousing the products. Basically, the only thing that you will be responsible for will be serving the customer. If you have an e-bay auction site or even if you have a regular site, customer service is usually minimal. That is if the quality of the dropship items that you sell are good and also if the wholesaler is legitimate. If your supplier won’t have the item in stock and a customer has placed an order you will be the one that will have to take care of it. Continue reading to find out the risks involved with dropship items and also how to solve the one major problem regarding dropshipping

Selling dropship items does entail some risks. If a certain product is not in stock your wholesaler has to let you know because you can’t sell an item that the wholesaler won’t be able to ship. If a product is backordered or it’s not delivered timely to the end customer, you might get a negative rating in e-bay. Negative feedback needs to be avoided of course… we all know that.

Being a dropshipper entails the risk of not inspecting the quality of the dropship items being sold. What if the quality is really poor and there are lots of returns? What if some customers are not happy and they leave negative feedback…. Your whole business can get ruined this way.

So what can you do about this?

Here’s the solution.

The fact is that a lot of dropshippers are very successful… so what’s their secret? They found reputable wholesalers that give them good quality dropship items. How do you know when a seller is honest? We all know that prior to finishing a deal all sellers look honest but once you have placed your order and they’re dishonest, the problem is on your shoulders. Finding good wholesalers requires time and effort and trial and error. There’s a learning curve involved: in the beginning you place your orders and from good & bad experience you learn which wholesalers are honest and which sellers are just fly by the night kinds of scammers – here today, gone tomorrow.

Imagine there’s a way that you can find out beforehand if a supplier is legitimate. Usually the successful dropshippers don’t let others know where they buy their dropship items. That’s understandable. After all, it’s their hard-earned business secret and also they don’t want you to sell the same things as they do. Here comes the good news: There are wholesale dropship directories. These are directories that have lists of wholesale dropshippers that are honest. They check and verify the wholesalers and present to you the legitimate ones. There are thousands reliable,

legitimate wholesalers with excellent prices that sell thousands of dropship items. Knowing these dropship directories before you start selling dropship items online will save you countless hours and tons of money and time. It’s definitely a win-win situation.

3. Use Dropship Review Websites to Identify the Right Dropship Firm

If you are planning to use a dropshipper, you should make the best use of dropship review websites to get feedback about the dropshippers you intend to do business with. In the recent past, a lot of retailers have being scammed by dropshippers. Therefore, it is important to do an extensive background research on dropshippers before choosing the right one for your business. How can dropship review websites help you identify the right dropshipping firm? An esources review website could tell you whether a firm is legitimate or scam. While dealing with an online dropshipping firm, there is always some risk involved due to anonymity. You must have heard several horror stories of how some fake online dropshipping firms completely disappeared after collecting fees from retailers. Therefore, to make sure that you are dealing with a legitimate firm, you should read reviews about it on a reliable dropship review website.

A dropship website could help you identify whether a firm is a genuine dropshipper or an agent of dropshipper. Most dropship lists do not provide information about true dropshippers. Rather, they contain references of agents of dropshipping firms. Finding whether you are dealing with a dropshipper or an agent is difficult. For this, you will need to do extensive research, like comparing product prices, fees, and delivery times. However, this task could be made easy by just visiting an esources review website and reading reviews on the firm.

A dropship website could help you know about the quality of dropshippers’ products and services. You could gain the most from using a dropshipper only if the quality of products and services offered is great. However, the word “quality” does not exist in the dictionary of most dropshippers. Therefore, it is important that you visit a website that has information and reviews on the dropshipper you intend to hire.

A dropshipping review website can give you information about the pricing of dropshippers’ products. You must have heard several times that you should compare the rates of dropshippers to make sure that you get products at wholesale prices. But, this is not so easy. How can you compare the rates of two generic products? For instance, if two dropshippers or wholesalers are selling hair accessories, you cannot compare their rates to know which deal is better as there could be differences in the quality of products. Apart from the quality of products, there could also be differences in the quality of services, like the dropshipper that is charging a little extra may have better packaging and customer service. Therefore, comparing the rates of dropshippers and wholesalers is easier said than done. However, you can get this information from a dropship website. They collect information from many reliable sources to make sure that the information provided by them is accurate and can help you to make the right decisions.

4. The Differences Between Dropshipping & Freelance Businesses

The internet enables millions of people to make money working from home, and while many of them choose dropshipping as a way to earn a living, others use their various skills and talents to work as freelancers. A freelancer is someone who is self-employed, and usually hired for a particular short term project. It can be a good way to make money use the training and skills you have developed, without all the downsides of being a full-time employee for a company. But while freelancing may offer earning potential with flexibility, could a dropshipping business be a better, more profitable opportunity?

It can be much harder to ‘sell’ a service

Many freelancers make a living by providing a certain service. While a client’s project may need a fairly specific service, the quality of the work provided by different freelancers could vary enormously – so many clients don’t know if the freelancer they hire is going to do a good job until the project is finished. If you’re a new freelancer, it can be difficult to get hired because the quality of your service is unknown.

However, because dropshippers are selling a tangible product that is the same from one seller to the next, with the right pricing and marketing, it can be a lot easier to to get new customers for your dropship business – because they know what they are going to get.

Freelancers often struggle to be competitive

Building a successful dropshipping business is relatively simple, if you get the basics right. Dropshippers need to find dropship products that are in demand, for the lowest price possible, and then market them in a way that makes them easy for customers to find. Because there is a certain cost for manufacturing these dropship products, most dropshippers are able to compete by sourcing good dropshipping suppliers, and marketing their products effectively.

However, freelancers are effectively selling their time, which has whatever value they want to put on it. Because of this, it can be difficult for some freelancers trying to make a decent living, to be competitive in a market where freelancers in less developed countries will charge a lot less in order to win the business. A Dropshipping Business provides a much more level playing field to do business on.

Fewer difficult clients to deal with

When a freelancer takes on a new client, they have to make sure they have a really good understanding of what it is the client requires, otherwise they could be heading for problems down the line. Even so, a freelancer may feel that they have done a good job, exactly as they were briefed, but the client might have other ideas. Whether reasonable or not, if the client isn’t happy, a freelancer has to do there best to put it right, or risk damage to their reputation, as well as not being paid. A good dropshipping business shouldn’t have any of these customer service hassles. Dropshippers who choose good, reliable dropshipping suppliers, should find that their customers are usually more than happy. Plus, because the customer knows what they are buying, there shouldn’t be any problems with them not getting what they wanted.

A freelancing business isn’t easily scalable

Another area where a dropshipping business can prove to be better than freelancing, is when you want to start growing your business. If you’re a freelancer, there’s only one of you, and you can only do as much work as you can fit into the time you have available. A dropshipping business is different. Dropshippers can scale their business very easily, once they have found the right dropship products that sell and make money. Using a variety of tools, a dropshipping business can continue to grow, without any of the restrictions that would hold a freelancing business back, which means much more profit potential.

Becoming a freelancer can be a great way to use the skills you have developed, to make a living on your own terms. However, a dropshipping business is also easy and inexpensive to start, and offers just as much flexibility, but without some of the challenges of being a freelancer. A dropship business can be a more enjoyable business, not too mention more profitable in the long run.

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5. Is Dropshipping Still the Business Opportunity it Used to Be?

Dropshipping used to be so easy

Going back a couple of years, most people looking to set up a dropship business would choose, what was at the time, the simplest business model for success. You would see what products were selling, find a supplier for your drop ship products, and then simply list them on one of the biggest marketplaces in the world, eBay, and wait for them to sell. With the millions of people who were looking to buy items on eBay everyday, as long as you had the drop ship products they wanted to buy, at the right price, it was one of the easiest and fastest ways to start making money with dropshipping.

eBay is no longer the key ingredient for dropship success

Fast forward a few years and for most dropshipping businesses, eBay no longer provides the opportunity it once did. As the world’s biggest online auction site has grown, there are more and more sellers offering the same items, and customers who are only interested in buying at increasingly lower prices. For dropship businesses who have to add their eBay fees onto the cost of sourcing and shipping their drop ship products to the customer, profit margins have got smaller and smaller, until it no longer makes sense to use eBay if they want to make a profit. Click, if you want to know more about drop shipping.

What’s changed, and what does this mean for the future?

So is this the end for dropship opportunities? Hardly. What is does mean is that those who have the right approach, and see it as a business rather than some kind of get rich quick scheme, have adapted to maintain the kind of profits that will sustain their dropshipping business. They now look at other ways of marketing their drop ship products; Amazon, their own websites, Search Engine Optimization and Social Media.

Has it become more challenging to develop a profitable dropship
business? Possibly. But running any business is a challenge, which is
why it’s worth it when you get it right. If anything, the changes in the
dropshipping market will mean that it becomes less attractive for
those looking for a quick buck, and who generally give the industry a
bad name. Which means that the professional dropship businesses
will continue to grow – great for them, and for the customers. Also,
more and more people will start to see dropshipping as a way to get
started, before developing their enterprise using other business
models. With its low cost of entry and sustainability, dropshipping is
a way for ecommerce businesses to establish themselves, so they
can gain the investment capital and experience needed to move on
and start using traditional wholesale suppliers, who offer greater
profit potential.

While the concept of dropshipping hasn’t really changed, how you need to approach it in order to be successful certainly has. Those who still see selling drop ship products as an easy way to make some quick money, will not doubt end up being the ones that say a dropship business can’t succeed. While those who approach it as they would any other new business startup, investing time and effort, and looking to grow their business with a view to the long term, will be the ones that prove a dropship business can still be a great opportunity.

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