by asc
24 replies
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Hi, anyone used this service to get started with e-commerce? Or anyone here with a good knowledge-base around this topic, who would care to throw any thoughts about inventorysource.com? It was recommended in another part of this forum and I am just trying to dig a bit further, as on the surface it looks like something worth a shot!

Thanks in advance

Alan
#inventorysourcecom
  • Profile picture of the author Gambino
    I haven't used inventorysource.com. But, I've looked around and I personally wouldn't join. I could be wrong, but from what I've read it seems like an all-in-one solution. It looks like they provide the dropshippers, products, website, and backend.

    In my experiences, companies like that often drive the cost up and the profit margins down for the business. Plus, everyone who signs up is getting access to the same products from the same companies - so you know there's competition. Plus, they'll have similar websites and resources through inventorysource.com.

    Your best bet would be to contact local or online business of products in your niche and inquire as to whether they currently dropship or are willing to.
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    • Profile picture of the author asc
      Originally Posted by PayLaterPlace View Post

      I haven't used inventorysource.com. But, I've looked around and I personally wouldn't join. I could be wrong, but from what I've read it seems like an all-in-one solution. It looks like they provide the dropshippers, products, website, and backend.

      In my experiences, companies like that often drive the cost up and the profit margins down for the business. Plus, everyone who signs up is getting access to the same products from the same companies - so you know there's competition. Plus, they'll have similar websites and resources through inventorysource.com.

      Your best bet would be to contact local or online business of products in your niche and inquire as to whether they currently dropship or are willing to.
      Thanks for your input, and yes it sounds exactly right that i should try to source local businesses and try to sell their wares, if they would dropship/post on.

      Reason i am considering them is the ease they sort of offer. And i hear that even with 20-30 people listing the same products, it still is feasable to get the odd sale here and there. I am considering amazon and playing the numbers game...even with a 1-2% conversion...if i listed say 2000 products, then it may be a 50-100 per day profit so still well worth the consideration.

      Any thoughts on this idea of a strategy?
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      • Profile picture of the author aduer
        Inventorysource is not a drop shipping company. They just represent drop shipping companies and provide services like data feeds, ebay listing, website development, product updates, etc.

        I joined inventorysource and subscribed to one company and it cost me 25$/month for data feeds only.

        I found out that the drop shipping company also offered data feed for free so I cancelled inventorysource subscription and use the money elsewhere

        My recomendation is to skip the middleman and go directly to the drop shipper.
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        • Profile picture of the author cheddarben
          So the trick is to stalk Inventorysource to find out who they have relationships with and then hit up the real inventory source?
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          • Profile picture of the author fmckinnon
            Actually, not at all --- not if you're wanting to do what this guy wants to do.
            InventorySource is not marking up the pricing -- they are NOT a dropshipper, they are NOT a middle man .. they are just a data content provider.

            For me, it's well worth maybe $30-40/month to have the supplier's data automatically pushed and formatted every day then for me having to do it.

            Of course you can get the same data directly from the supplier for FREE. It's all in if you see value in having them format the data for you.

            Just because the supplier has a .csv download doesn't mean you don't still have to format it, apply the correct, columns, come up with special pricing rules and markups to apply, etc.

            InventorySource allows you to add custom price tiers, customize category names, block SKU (ie. a brand is avail, but they don't wnat you selling on your site), apply MAP ... etc.

            And since you're probably dealing with dropshipping ... you better be updating that every day ...

            Not only is my time worth more than the $30-50/MONTH I can pay InventorySource to do that every single day ... I don't trust myself in Excel to not make a sorting mistake or data error and screw up the data. Believe me ... once you've accidentally sorted incorrectly and uploaded 20,000 products to Amazon with the prices all wrong ... you'll be happy to pay a small monthly fee to automate that. Nothing like waking up to cancel 200 orders for a $100 product that you sold all night for $20 because of a formatting mistake on your datafeed.
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            • Profile picture of the author morf13
              Originally Posted by fmckinnon View Post

              Actually, not at all --- not if you're wanting to do what this guy wants to do.
              InventorySource is not marking up the pricing -- they are NOT a dropshipper, they are NOT a middle man .. they are just a data content provider.

              For me, it's well worth maybe $30-40/month to have the supplier's data automatically pushed and formatted every day then for me having to do it.

              Of course you can get the same data directly from the supplier for FREE. It's all in if you see value in having them format the data for you.

              Just because the supplier has a .csv download doesn't mean you don't still have to format it, apply the correct, columns, come up with special pricing rules and markups to apply, etc.

              InventorySource allows you to add custom price tiers, customize category names, block SKU (ie. a brand is avail, but they don't wnat you selling on your site), apply MAP ... etc.

              And since you're probably dealing with dropshipping ... you better be updating that every day ...

              Not only is my time worth more than the $30-50/MONTH I can pay InventorySource to do that every single day ... I don't trust myself in Excel to not make a sorting mistake or data error and screw up the data. Believe me ... once you've accidentally sorted incorrectly and uploaded 20,000 products to Amazon with the prices all wrong ... you'll be happy to pay a small monthly fee to automate that. Nothing like waking up to cancel 200 orders for a $100 product that you sold all night for $20 because of a formatting mistake on your datafeed.
              Thanks, you are on the same page as me. Since it's dropshipped, and the products can quickly sell out, having a live product feed(or daily I should say)is very important, nothing worse than making sales you can't fulfill. I also do not have the time,or tech savy to do that formatting, loading myself. I definitely see the value of $30-$50 a month for their service, if it saves me hours and hours of work every day.

              Some of the suppliers on I.S. are good suppliers,with good products you can profit from,I have used a couple of them before. I am definitely going to try them out, and see where I stand in 6 months.

              Thanks for the replies
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      • Profile picture of the author Gambino
        Originally Posted by asc View Post

        Thanks for your input, and yes it sounds exactly right that i should try to source local businesses and try to sell their wares, if they would dropship/post on.

        Reason i am considering them is the ease they sort of offer. And i hear that even with 20-30 people listing the same products, it still is feasable to get the odd sale here and there. I am considering amazon and playing the numbers game...even with a 1-2% conversion...if i listed say 2000 products, then it may be a 50-100 per day profit so still well worth the consideration.

        Any thoughts on this idea of a strategy?
        I hear you. What kind of products are you looking to dropship (PM me if you don't want to post it here). Worldwide Brands may be another option to look at. They basically compile a bunch of companies that dropship products in all kinds of niches. Essentially they just make it easier for you to find dropshippers without a ton of effort.

        My personal opinion is quality over quantity if you're trying to build a business.
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        • Profile picture of the author asc
          Originally Posted by PayLaterPlace View Post

          I hear you. What kind of products are you looking to dropship (PM me if you don't want to post it here). Worldwide Brands may be another option to look at. They basically compile a bunch of companies that dropship products in all kinds of niches. Essentially they just make it easier for you to find dropshippers without a ton of effort.

          My personal opinion is quality over quantity if you're trying to build a business.
          Thanks for your input. I had a look at worldwide brands...they have a $300 start up charge - may well be worth it in the long run, but for a punt or a testing of water...bit much. Thanks for the thoughts though!
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          • Profile picture of the author fmckinnon
            Hey gang,
            I'm new here, but not new to e-commerce. Anyway, I've been using Inventorysource for several years. I actually think they are well worth it. True, you are accessing datafeeds for the same products everyone else is selling, but we've built a pretty big business out of that.

            If you are dropshipping, it's critical to keep your data updated. Sure, most suppliers offer their datafeed for free, but is it not worth $10-30/month (depending on how many suppliers you subscribe to) to have their entire datafeed formatted in the marketplace file that you need for you every day?

            For me, I would rather pay the $30 and have the file created to my specs... instead of having to download it every day, format it, copy/paste into the marketplace template, etc ... all that while HOPING I don't screwup and make a big sorting mistake. (done that before!).

            Their automation service is also very good, updating your shopping cart with new products, images, pricing, etc.
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      • Profile picture of the author twinkenterprises
        There are dropshippers like inventory source. I looked into inventory source and it seemed expensive to get started to me. I'd find a dropshipper that has the products you want to sell if I were you.

        Originally Posted by asc View Post

        Thanks for your input, and yes it sounds exactly right that i should try to source local businesses and try to sell their wares, if they would dropship/post on.

        Reason i am considering them is the ease they sort of offer. And i hear that even with 20-30 people listing the same products, it still is feasable to get the odd sale here and there. I am considering amazon and playing the numbers game...even with a 1-2% conversion...if i listed say 2000 products, then it may be a 50-100 per day profit so still well worth the consideration.

        Any thoughts on this idea of a strategy?
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        • Profile picture of the author asc
          Originally Posted by twinkenterprises View Post

          There are dropshippers like inventory source. I looked into inventory source and it seemed expensive to get started to me. I'd find a dropshipper that has the products you want to sell if I were you.
          Whilst i appreciate that it might be cheaper/free to go directly to a manufacturer, inventory source sort of package things well i think - or just could be packaging nothing and i am sucked into their sales pitch? But to say it is expensive? If the system does as it says and could easily get a decent income, then 20 dollars is surely just a drop in the ocean? In fact to get started, even if i dropped inventory source once i had found my feet, 20 dollars is still very little money - i am thinking that done right dropshipping could be VERY lucrative.....just seems like it could also be someone who has an idea and set themselves up as a middleman, and very little else....

          Guess i might just have to bite the bullet and subscribe, and learn from there. Was sort of hoping for someone to say something like 'this is a fantastic set up'...or 'what a pointless waste of time, and anyone who has even tried dropshipping could see this!'.....or guidance like that really!!
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  • Profile picture of the author wakeforce139
    They are alright to use. I have sold some stuff using suppliers on there. You can definitely go direct and if you want to use them as your directory (for free) that's a good move. As mentioned above, you can get some data files already formatted for the site you want to submit it on (they have options for a few cart platforms and Amazon) but really in my experience those files aren't ready to load. You still have to do your own data work if you want to mass load. I don't know - you just need to accept you need to do a lot of work no matter what.
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  • Profile picture of the author timpears
    I have not used them but also have looked round the site and find their prices to be in line with what the suppliers have on their own sites. These folks seem to offer additional services if you upgrade your account, which you don't have to. I don't see any downfall if you want to use them.

    Your suppliers are limited to what they have available, but there is a lot there to suit your needs. And plenty for anyone to start out with. So why not?
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    • Profile picture of the author morf13
      Hi all, I am new here,so this is my first post. (Looks like cool people,and a cool site so far). I have been looking at getting an online ecommerce store again. I had one about 3-4 years ago,my own site,and alot of selling on Ebay. The traffic to the site was slow. I didnt know as much about SEO, BACKLINKING,DEEDICATED IP's, PROMOTING THE SITE,etc. But I still managed to sell some stuff here and there. But the work was long and hard and took hours a day,not to mention I had a full time job. I soon realized it was way too much work for the little bit of sales. I decided to close the store and just kept my Ebay & Ecrater stores open. Again,same problem,time consuming. Ebay had lots of traffic and name recognition,but high fees,and it was around the time thatthey changed all their policies to sort of run the small guys out of town,like myself. Ecrater was great in that it was free,but nowhere near the traffic of Ebay. The problem with all of the above, was that many times I would sell things,and then order them from my dropshipper,only to find out they were out of stock. That happened more than a few times, and of course i would have to refund customers,apologize,etc, but it still got me bad feedback. I finally had enough,and closed up everything altogether.

      In the past few months, I have been thinking about starting back up again,just to make a few extra bucks eaach months. When I say a few,I mean as in $3,$4,$500 in profit,only as a side job. The same thing holds true,I cant,nor do I want to,spend hours a day trying to sell products that may wind up being out of stock. Luckily,I read an article about some of these 'pre-loaded' stores. The goal of alot less hours,along with updated live product inventory thats in stock was a pro. The fact that alot of people said these sites do not work,was a con.

      I did alot of research into a few sites,including netdepot/depotnet (always mix it up),and Inventorysource,shoppingkart,etc.

      Seems like the most common complaint from people is that these sites dont work because they are 'cookie cutter' sites,with hundreds of other people like you with the same site and same products,and that this was bad for search engine recognition and sales. Another complaint I read was that people say many of the products did not have a good profit center.

      After much deliberating,reading,and asking other people,I have decided to go with Inventorysource for a few reasons,and I want opinions from people here to see if my reasons make sense.

      First, regarding the suppliers,and profit of the products,some of the inventorysource dropship suppliers were suppliers that I have worked with before,and I DID make pretty good profits sometimes when I did make sales. I like the idea of the live automation,live inventory,etc,so that I am not selling out of stock. Plus their prices are somewhat reasonable, and they actually have phone support which i didnt see with any others.

      Regarding the 'cookie cutter' site problems of not ranking in the search engines,and getting traffic,etc, I think inventorysource may be a little less cookie cutter than some of the others. For example,many of these pre-loaded sites include CART,KART,DEPOTNET,etc in the domain name. I think that's a killer,and that anybody using these sites may want to use their own domain(like I plan to do). Plus, when you get a pre-loaded,pre-packaged site, you are getting exactly the same thing as dozens,or hundreds,of other sites. I am using my own site,and setting it up myself. Of course,much of the products and contents I have in my site will be the same as many others, I think thru a strong marketing campaign,backlinks,good SEO optimization, etc, I may be able to overcome much of the cookie cutter aspects.

      Again,I have a full time job,and merely want to make some extra money, maybe an extra $500 a month profit. Does anybody think this is realistic based on what I presented above? The way I see it,if I give it 6 months,and lay out a couple hundred bucks a month,and lose it all,at the end of 6 months,I lose it,then it's not that much of a loss in my opinion as far as a business goes. I plan to really try and promote the site, do some SEO enhancements, backlinks, etc. I will be selling electronics,cables,stuff like that,which I understand willbe pretty competitive,but the profit margin is better too. I always have the option to move into more of a niche market.

      So,again, does anybody think that it's possible I can turn a $500 profit each month realitically thru inventorysource? Hey,if it takes off and does even better,that's fine too. I would like to hear from people, especially people that have used inventorysource,thanks in advance
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      • Profile picture of the author pingsters
        Banned
        Would the benefit outweigh the cost.

        I think the best way to judge them is to read their terms of service and compare that information to what they say on their site.

        Registration is apparently free and there are some free services. The fine print says there will be fees imposed. Unfortunately there doesn't seem to be any specific information regarding what these fees are for or how much they are. As a businessman, I need to know that info or I can't plan my business very well. Lack of specific information is always a deal breaker for me. I can't say they are a scam, since I never tried them.
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        • Profile picture of the author fmckinnon
          Hey, I think I replied to your PM, but I think that's quite feasible. It all depends on how well you develop the site and market it.

          I can't speak for their turnkey storefront ... but I'd use an ecommerce platform that they readily support. We used to have Magento (ZenCart before that) and recently switched to BigCommerce which we absolutely LOVE. I think we finally found our home for carts.

          InventorySource's automation will push the inventory, product details, images, etc to the cart for you 1x per day, and since you're using your own storefront, you can customize it.

          Also ... if you take the extra time to optimize some of the product data, it will help. W/ the automation ... as long as you don't change the SKU, your optimization won't be overwritten.

          Meaning ... if the supplier feed title from InventorySource pushes to your cart as: 2M Tent

          You can go in and change it to "Cabelas 2-Man Dome Tent, Orange" (if you found more details from actual supplier) and don't have to worry about that revised title being overwritten.

          Since so few people take the extra time to optimize, it does give you a leg up in the search rankings.
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      • Profile picture of the author Importexport
        Originally Posted by morf13 View Post

        The problem with all of the above, was that many times I would sell things,and then order them from my dropshipper,only to find out they were out of stock. That happened more than a few times, and of course i would have to refund customers,apologize,etc, but it still got me bad feedback. I finally had enough,and closed up everything altogether.
        morf, join the hundreds of people who have complained on this forum about bad feedback because their dropshipper was out of stock.

        The best way to avoid that is to take total control of your own business by carrying inventory. I know all the routine objections to that:
        1. Takes up too much space.
        2. Requires too much cash.
        3. Takes up too much time packing and shipping.
        4. Can only cater for a small product range.

        The answers are easy.
        1. Handle small, high value items or use Amazon's fulfillment service.
        2. Place frequent small orders. For 22 years before retirement I did that and so did my franchisees in 4 countries. They still use my "Just In Time" ordering system and they place those small orders with manufacturers in China, Malaysia, Vietnam, Italy, and Turkey. You can't say it can't be done, because I have helped people in 35 countries do exactly that.
        3. If your profit per sale is high enough it is worth the small effort, but anyway you can use Amazon's fulfillment service.
        4. Would anyone not prefer to handle a small product range for less work and more profit? If you have to offer a huge range of products to try to make a bit of profit, then you have never experienced the massive margins you can get from small scale importing direct from the factories in China and other countries.
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        Use emotions and perceptions to build a great brand. Ask me about my book LabelsThatExploit. For safe sourcing and easy importing from 41 countries globally, see https://provenglobalsourcing.com
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        • Profile picture of the author bluefoot
          Originally Posted by Importexport View Post

          2. Place frequent small orders. For 22 years before retirement I did that and so did my franchisees in 4 countries. They still use my "Just In Time" ordering system and they place those small orders with manufacturers in China, Malaysia, Vietnam, Italy, and Turkey. You can't say it can't be done, because I have helped people in 11 countries do exactly that.
          Importexport,

          Can you point me to more information about your "Just In Time" ordering system? Is it part of your "Import Direct From China" report?

          Thanks,
          Phil B
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          • Profile picture of the author Importexport
            Originally Posted by bluefoot View Post

            Importexport,

            Can you point me to more information about your "Just In Time" ordering system? Is it part of your "Import Direct From China" report?

            Thanks,
            Phil B
            Hi Phil B,

            Yes it is one chapter of my book.

            Very briefly it involves placing small orders frequently, with the timing depending on how well sales are progressing.

            Orders are delivered via air couriers and this cost is factored into your pricing calculations to ensure that you still make high profit margins.

            The main benefits are
            • Smaller inventory levels save space.
            • Can be stopped when sales begin to wane.
            • Smaller capital outlay.
            • Stock never far away even if you have temporarily sold out.
            Regards,
            Walter
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            Use emotions and perceptions to build a great brand. Ask me about my book LabelsThatExploit. For safe sourcing and easy importing from 41 countries globally, see https://provenglobalsourcing.com
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            • Profile picture of the author bluefoot
              Originally Posted by Importexport View Post

              Yes it is one chapter of my book.
              Thank you Walter. I am still researching if importing from China will be viable for me before I actually spend any money. But I have decided my first purchase will be your report.

              Thanks Again,
              Phil B
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              • Profile picture of the author morf13
                After careful consideration, I have decided to take a shot on this product,and will let everybody know how I do. I want to stick with it for 6 months,and see where I am at. Building my site now,hopet o launch it in a few weeks.
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                • Profile picture of the author Nile Vincent
                  Hey Morf13,

                  If you get a chance, take a look at Worldwide Brands, it's an all-inclusive
                  manifesto on just about everything there is...and it doesn't cost anything
                  to peruse the website...and get a feel of what's offered...

                  And they've got lots of free stuff...(info etc)...that you might want to grab
                  and study...

                  Just another lead...looks like you do a lot of research before you jump into
                  something...smart! ...

                  Hope this helps...good luck!
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                  • Profile picture of the author Importexport
                    Originally Posted by Nile Vincent View Post

                    Hey Morf13,

                    If you get a chance, take a look at Worldwide Brands, it's an all-inclusive
                    manifesto on just about everything there is...and it doesn't cost anything
                    to peruse the website...and get a feel of what's offered...

                    And they've got lots of free stuff...(info etc)...that you might want to grab
                    and study...

                    Just another lead...looks like you do a lot of research before you jump into
                    something...smart! ...

                    Hope this helps...good luck!
                    Hi morf13,

                    Before deciding to spend $299 to buy access to lists of suppliers you might like to look at the thread Is WorldWide Brands worth the $299 membership fee? where the replies to the question were generally negative.
                    Signature
                    Use emotions and perceptions to build a great brand. Ask me about my book LabelsThatExploit. For safe sourcing and easy importing from 41 countries globally, see https://provenglobalsourcing.com
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                    • Profile picture of the author morf13
                      I have been a member on Worldwidebrands for a few years now...I cant remember if it was $299 I paid,but I liked it. I found alot of good info there,and hooked up with some good suppliers. I also like salehoo.
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