Any advice for dropship or experience pls share here.

by 11 replies
13
Hi everyone,

if u have experience on dropship or just want to share ur story lets here them.

some advice too.
#ecommerce sites, wholesaling & drop shipping #advice #dropship #experience #pls #share
  • Hi

    I have done some drop shipping with ebay but some of the reliable and i got refunds due items not turning up
  • hmmm.

    that means ur supplier and dropshipper is not reliable.

    can u list those unreliable ones here for everyone to know.?
  • I used to sell products on eBay that I had drop shipped through Doba.

    Overall, my experience with Doba, and their different drop shippers, was great. I had very few customer complaints, and the few that I did have were handled the best way possible. I was able to keep a 100% positive feedback rating with my customers (which I was worried about with using a drop shipper). They're the only drop shipping service that I've used, but I would feel comfortable recommending them, and I would use them again. I had more of an issue with eBay, myself. Go figure :rolleyes:.
    • [1] reply
    • hahaha.. ok thanks matt.
      i was looking at doba, but its a paid service.

      dont like the idea.

      but maybe good thigns never come free. haha
  • Do a Google Search for World Wide Brands. It is a bit costly but I have used some of the vendors in the past. One thing to be careful about though. 95% of the companies you find that offer DS are just middlemen actually. For the best results and highest ROI, go to manufacturers directly and see if you can work out some sort of deal with them.

    One sure fire way to know if you are dealing with a reputable DS is that they will ask for some sort of Resale Certificate or Tax ID. If they dont, they are middlemen. True DS companies will only deal with legitimate companies (thus the reason for the Reale Cert or Tax ID).

    Rich
  • hmmm thats good.

    but then how to get a resale cert?
  • The problems with dropshipping come in when you scale your sales up and thus get those refunds which come with every 100 or so sales. If you have 1% to 5% refunds (not uncommon with dropshipped products), it can be an administrative nightmare, having to contact the supplier, contacting the customer, sorting out the problem between the two... it can take days, and usually you've only made a small margin of profit from that sale. You can backpedal very fast in this business model.
  • but that is iinevitable.

    u could outsource customer service.

    which is what i intend to do.
    • [1] reply
    • You need to be making a LOT of sales, or specifically, PROFIT to do this.

      You'll probably have a 10% to 20% profit margin on each item. Even on expensive $100 items, that's only $10 or $20. If you pay someone hourly, it'll destroy the limited revenue you receive.
      • [ 1 ] Thanks
  • it really depends how you have ur things worked out on your end.

    i have my CS guy at $100 per month. for his currency is alot.

    so i make $5 on each product, 500 items would be $2,500.

    minus $100 is still alot. =)
  • oh yes and minus 5% refund rate., 25 items, $15X25 = $375.

    $2,400 - $375 = $2025.

    still alot i would say.
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