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Is Dropshipping dead?

by PantheraCreations
20 replies
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With people getting their account sblocked on ebay, is dropshipping dead?
#dead #dropshipping
  • Profile picture of the author Steve B
    No dropshipping is not dead.

    People have had their accounts blocked routinely since eBay went live.

    Respect their terms of service and your account won't be blocked.

    Steve
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  • Profile picture of the author Doug
    eBay isn't the only platform for selling your items either. If you think about it, a self hosted site means you keep control, and you set the rules for everyone playing.

    Think about it, seriously.
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    • Profile picture of the author Jeff Schuman
      Drop shipping is a multi billion dollar business model. eBay is one avenue to use. So is Amazon, Alibaba, Sale Hoo, World Wide Brands, and many more. This business model is only going to grow and eBay will end up being a very small percentage of it.
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  • Profile picture of the author JensSteyaert
    Oh here's another thing that's supposedly dead.

    No it's not dead, many people are still making a lot of money with dropshipping. It's a great business model actually if you have some good suppliers.
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  • Profile picture of the author Silas Hart
    It's not dead, but it was never as alive as people claim, at least not for people who have no capital who are the most attracted to the model.
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    • Profile picture of the author Importexport
      Originally Posted by Silas Hart View Post

      It's not dead, but it was never as alive as people claim, at least not for people who have no capital who are the most attracted to the model.
      @Silas Hart, that's exactly right.

      Warriors need only look at the huge number of posts by disillusioned members who have tried to make money using the dropship model. It's true that there are some who do very well at it, but when the average profit margin quoted by dropship resellers on this forum is 30% or less, I would hardly call that alive. To me it's more like working for a boss who pays less than the minimum wage.

      If only more people would not listen to the myths about direct importing, they could make a whole lot more money by buying small quantities direct from real manufacturers overseas.

      The two biggest myths are:
      • You have to place huge orders to buy direct from manufacturers.
      • Importing is very complicated.
      I have taught hundreds of people how to succeed by ignoring those myths.


      By buying small inventory in China and other countries overseas you not only have control of your own business, but you can make profit margins that you won't believe until you get the prices from genuine manufacturers.

      It's not for people who have absolutely no capital, but the amount needed to start is way below what most people imagine.
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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 attackdome
      Originally Posted by Silas Hart View Post

      It's not dead, but it was never as alive as people claim, at least not for people who have no capital who are the most attracted to the model.
      Yeah, I've actually made money dropshipping. You just have to make sure that you definitely get the tracking number from the shipper. eBay has so many restrictions now, before I used to make $100 every hour or so, now its just... not an option to sell eProducts with autodelivery on eBay.
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  • Profile picture of the author James McAllister
    Yep, dropshipping is dead. Same with blogging, Adsense, SEO, and internet marketing...

    Drop shipping is more popular than it ever has been before. As others have said, eBay is only one small part of the drop shipping business.

    Drop shipping on eBay was never a good idea in the first place. It makes sense that they're banning people who are doing it (at least those that inevitably run into problems when their dropshipper goes out of stock without warning).

    eBay has quality standards for their sellers, and it's best for everyone that they enforce them. There are plenty of other platforms to sell on if you want to dropship.
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  • Profile picture of the author salegurus
    Haven't seen a "Is this or that DEAD" question in a while....
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    Think of how stupid the average person is, and realize half of them are stupider than that.

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    • Profile picture of the author TvMarcas
      Haven't seen one of these in a while. NO Dropshipping is not dead. But it is not easy either. You have to diversify your traffic away from ebay. Wayfair and hayneedle started out as pure dropshipping and they make hundreds of millions per year.
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  • Profile picture of the author Tom Addams
    Too much money in it. Dropshippers won't allow it to die.

    GRM
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  • Profile picture of the author realdude
    Here are some factoids scraped from the internet:

    22-33% of Internet retailers have adopted drop shipping. (E-DSS.org)

    Zappos began as a drop shipping company, Amazon, Sears, Best Buy and Wayfair all use drop shipping.

    In 2012 drop shipping accounted for 34% of products sold in 2011 by e-commerce giant, Amazon.com. (Forester Research).

    Really the secret to success, like any business, is your approach to the market. If you're buying the same products and selling on the same channels (read Ebay) then yes, its a loosing game.

    But, for example, if you or businesses in your town already have a loyal client base then having an online catalog (drop-shipping) can let you expand your offering exponentially without massive inventory costs. Even your local plumber can make a killing selling kitchen and bath products.

    The "build it and they will come" approach to marketing did die a long, long time ago.
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  • Profile picture of the author Auctiondebteliminator
    People aren't getting banned on eBay for dropshipping. People get banned based on how they act on eBay.

    In fact, eBay even has a page about dropshipping on eBay.

    About product sourcing (drop shipping)

    However, to be fair - here's another post by eBay

    Drop Shipping Guide | eBay

    Pay attention to #1, paragraph 2. Yes, it's viable, but it takes a LOT of work.
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    Famous for my '$1000 dollar challenge,' I've been teaching people how to DOMINATE on eBay for YEARS. Sell 100% of your items FOR A PROFIT. Rank higher, sell faster, sell more, and DESTROY your competition with a data-based approach. Quit listening to Guru's-in-training! Click now below!
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  • Profile picture of the author Ryan David
    Dropshipping is a means to an end, but you're not going very far with it. I started my business (in 2005) dropshipping, but within a few months you quickly realize that you need to start improving margins.

    Just as an example, I started a site in 2008 where the entire catalog was dropshipped to my customers. I did this for several years until I just got tired of the whole thing and decided to shut the site down. It's not like I was doing much work, but I wasn't really making all that much.

    I had a particular product that I could purchase for $9.99 wholesale. I decided to just source that product myself and got it at a cost of $2.65 overseas. I now sell that product on Amazon and sold 850 of them last month alone and had gross profits of $3400. I then started a small site selling ONLY that product and, just comparing my old website to this website, STILL make more money selling that single product......if I add in Amazon, it's not even close.
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    • Profile picture of the author Importexport
      Originally Posted by Ryan David View Post

      Dropshipping is a means to an end, but you're not going very far with it. I started my business (in 2005) dropshipping, but within a few months you quickly realize that you need to start improving margins.

      Just as an example, I started a site in 2008 where the entire catalog was dropshipped to my customers. I did this for several years until I just got tired of the whole thing and decided to shut the site down. It's not like I was doing much work, but I wasn't really making all that much.

      I had a particular product that I could purchase for $9.99 wholesale. I decided to just source that product myself and got it at a cost of $2.65 overseas. I now sell that product on Amazon and sold 850 of them last month alone and had gross profits of $3400. I then started a small site selling ONLY that product and, just comparing my old website to this website, STILL make more money selling that single product......if I add in Amazon, it's not even close.
      @Ryan David, Thanks for showing so clearly the difference between buying "wholesale" from dropship suppliers and buying direct from overseas manufacturers.

      If someone can buy wholesale for $9.99, but pay only $2.65 overseas, the choice is a no-brainer. So why do people choose the dropship business model?

      Two big reasons that are often stated is that to buy inventory from overseas you have to place big orders, and the importing process is complicated.

      These two myths prevent a lot of people from entering the high profit world of importing.

      Big orders are not necessary. I have taught hundreds of people how to get suppliers to accept small orders.
      Importing can be a breeze. There is no need to learn all the rules and regulations. You can have your goods delivered to your door and someone else has done the difficult bits for you. - Easy

      A warrior posted that he/she bought items in China for $1, spent another $1 on packaging and sold those items for $25 each.

      You can't often if ever get margins like that by dropshipping.
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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 eaw44f
    i don't think drop-shipping is dead. I think it more difficult due to the fact that sometimes the company that you are drop-shipping with is also your competitor. I see a lot of drop-shipping companies having their own ebay store selling the same items they are drop-shipping which equals the price going down.
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  • Profile picture of the author Jerry Mills
    A year in now dropshipping with DSD. Im very happy and its pretty simple. Perfect entry for regular people into making money online. Everyone knows how to shop online.
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    I went from selling my first item on amazon in March 2014 - a pillow - to selling over $100K in April 2015.
    The secret: leverage

    Come live the Outsourced Lifestyle with me!

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    • Profile picture of the author Auctiondebteliminator
      Get ready at any moment to have your business shut down because of TOS violations.

      I'd say a third of all my students/clients come from Dropship Domination after their business are shut down.

      They're usually sick of taking a loss, too.



      QUOTE=Jerry Mills;9742720]A year in now dropshipping with DSD. Im very happy and its pretty simple. Perfect entry for regular people into making money online. Everyone knows how to shop online.[/QUOTE]
      Signature
      Famous for my '$1000 dollar challenge,' I've been teaching people how to DOMINATE on eBay for YEARS. Sell 100% of your items FOR A PROFIT. Rank higher, sell faster, sell more, and DESTROY your competition with a data-based approach. Quit listening to Guru's-in-training! Click now below!
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  • Profile picture of the author tmartds
    We are still alive. We are all dying.
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  • Profile picture of the author Lipipaliwal
    Banned
    Originally Posted by PantheraCreations View Post

    With people getting their account sblocked on ebay, is dropshipping dead?
    No way dude,who told you dropshipping is dead. Well, according to me, the dropshiping is one of the best eCommerce business model, its cost is more than a billion dollars. It might be possible that due to some circumference like competitor review, it may be down but not dead. Well, it has been also observed that most of the companies sell the same product with their own ebay stores. So, be relaxed and don't worry about this.
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