Dropship Products Prices ?

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Hey,

Can someone explain me why the price of the products in the drop ship platforms are so high ? I tried 3 different directories : wholesale2b, dropshipdirect and doba, I choosed 3 random products then checked the price in amazon and ebay.

I don't understand how can we make the profit if the price is too high, even the wholesale price is so expensive, in the majority of cases the price is either the same or a little cheaper but the profit is just $10 for crappy Chinese watch per example.

I know I'm missing something, maybe I must do a lot of research to find the most profitable product ?

Regards.
#dropship #prices #products
  • Profile picture of the author Splatterfox
    Originally Posted by TripLoop View Post

    Hey,

    Can someone explain me why the price of the products in the drop ship platforms are so high ? I tried 3 different directories : wholesale2b, dropshipdirect and doba, I choosed 3 random products then checked the price in amazon and ebay.

    I don't understand how can we make the profit if the price is too high, even the wholesale price is so expensive, in the majority of cases the price is either the same or a little cheaper but the profit is just $10 for crappy Chinese watch per example.

    I know I'm missing something, maybe I must do a lot of research to find the most profitable product ?

    Regards.
    Its pretty simple: we are not living in the 15th century anymore. Anyone can access any marketplace in the world with just a mouseclick. Don't expect to get huge discounts in one store just because it has some fancy Chinese name and sounds like there are the true manufacturers located. Many dropshipping platforms are pure retail sites. Often they exclude VAT, shipping etc. and therefore it feels like they are super cheap. However, the biggest skill is to market these products accordingly. Simply putting a listing in a store won't get you anywhere.

    Regarding the prices: those companies who make thousands of sales on eBay and Amazon don't dropship. They buy their stuff in bulk and usually store it in an Amazon warehouse (or somewhere else). That way they get huge discounts of the product and save even more on shipping (one package of 5,000 pieces is obviously much cheaper to ship than 5,000 single orders).
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  • Profile picture of the author 4DayWeekend
    You need to put a lot more work in to find products that are really worth of drop shipping and that usually involves striking up a deal with the manufacturer.

    As mentioned, lots of the sites claiming to be dropshippers are really just retailers, using the dropship tag to try and convince people that they're getting a better deal. These guys have to buy the products from the manufacturer and then sell them on you at a profit, so there's always going to be people on Ebay who can match their price to you (or beat it).

    Just research far and wide in order to find better sources. Dropshipping isn't as easy as may seem at first glance - but can be fruitful when you find manufacturers who are willing to dropship.
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  • Profile picture of the author Importexport
    The posts by Splatterfox and 4DayWeekend both tell it as it is. With some hard work you might find a manufacturer that will supply you direct, and that is by far the best way to dropship.

    The better way to run a profitable business is to buy small quantities direct from a real manufacturer in China or other exporting country. That way you can have total control over you own business and at the same time make vastly higher profits.

    Walter Hay
    Provenchinasourcing.com
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  • Profile picture of the author PvtSlippyFist
    Originally Posted by TripLoop View Post

    Hey,

    Can someone explain me why the price of the products in the drop ship platforms are so high ? I tried 3 different directories : wholesale2b, dropshipdirect and doba, I choosed 3 random products then checked the price in amazon and ebay.

    I don't understand how can we make the profit if the price is too high, even the wholesale price is so expensive, in the majority of cases the price is either the same or a little cheaper but the profit is just $10 for crappy Chinese watch per example.

    I know I'm missing something, maybe I must do a lot of research to find the most profitable product ?

    Regards.
    from my own trial and error ive come to find that most of the dropshippers that claim to have access to several manufacturers are a complete waste of time. You are far better off looking for product specific manufacturers and contacting them to see if they will provide you with wholesale/dropshipped good.

    My first drop shipping experience was through Modalyst, It was a horrible way to go. They claimed to have hundreds of drop shippers and a woocommerce integration app. This was a complete lie. they have under 300 drop shippers, the recommended MSRP was far too high, they make you pay a commision based on the MSRP even if you dont retail the item for that much, most did not have any reasonable quantity of product on hand and those that did were located in china/bought and resold from china here in the US. The woocommerce integration app seemed like a godsend at first, but it would not import products and when i reached out to support to figure out via email they did not immediately respond. i had to call and be told that the woocommerce app integration was still in beta (would have been nice to know before i had signed up with them) then received an email from support saying they had tried to call me (complete lie) and they did absolutely nothing to fix the problem. in short, i highly advise that you simply contact the manufacturer, call by phone to get a feel for who you are dealing with and then ask plenty of question regarding their location, pricing, shipping and return conditions.
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  • Profile picture of the author dave_hermansen
    We have more than 50 dropship eCommerce sites of our own right now and they all are profitable. Plain and simple - if you use a dropship directory, you will fail. You have to source products directly from the manufacturers or their real distributors.
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    StoreCoach.com- Learn How to Dropship the Right Way - Buy & Sell Websites - Partner with Coach
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