Drop shipping? Is any one else doing that?

38 replies
Hello warriors,


I have heard great things about drop shipping business but wanted to check with you guys before getting started

Can you make money with it?

any one can give brief idea step by step about this business modle?

Where to get started and what to expect from it?

I appreciate your help


Bobby
#drop #shipping
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  • Profile picture of the author tmoby
    I've never tried it - I've always been worried about not having the product go through or it being out of stock. You definitely need to look into your drop shipper allot and ask questions before choosing. If the drop shipper doesn't pull through it's your reputation on the line!

    On a seperate note, I've also heard good things about worldwidebrands.
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    • In my opinion, you're about eight years too late for dropshipping.

      Why? Because so many people do it, and they all use the same pictures and descriptions. I can show you hundreds of gift basket sites, for example, with identical content.

      If you can find a niche that hasn't been done to death, you might make some money. But understand that dropshipping is a *customer service* business and you have to do whatever it takes to keep the customer happy, even if the dropshipper is the one that messes up.

      fLufF
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      • Profile picture of the author mydream247
        Hi, Yes you can still make money as a dropshiper, but ebay is niot the way, I was a eBay powerseller for three years, made great money until ebay Doubled the fees to list products.

        Listing fees, seller fees, and paypal transaction fees, not much profit left unless you sell in volume.

        To make it in this business, getr DBA you must be professional otherswise they won't sell to you, and build your site, and sell directly to consumer, search for products that are in demand, contact the "Authorized Distributors" and ask for pricing, these are the people worldwide brand and all the other dropshiop resellers by from, and the authorized sellers get buttom pricing directly from the manufactures and wholesalers.
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      • Profile picture of the author JamesGw
        Originally Posted by fluffythewondercat View Post

        In my opinion, you're about eight years too late for dropshipping.

        Why? Because so many people do it, and they all use the same pictures and descriptions. I can show you hundreds of gift basket sites, for example, with identical content.

        If you can find a niche that hasn't been done to death, you might make some money. But understand that dropshipping is a *customer service* business and you have to do whatever it takes to keep the customer happy, even if the dropshipper is the one that messes up.

        fLufF
        --
        This is a really good point; however, it's a major problem for all eCommerce websites. You either get the descriptions from the distributor or manufacturer, most of which the other retailers also have. When you're carrying tens of thousands of products, it's very difficult and expensive to edit all of the descriptions.

        That said, drop shipping is still a valid business model and a way to make good money. You just need to start off with a small number of products and make original content for them, either by editing the descriptions or fostering the creation of UGC.
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        • Profile picture of the author Presto Smith
          Originally Posted by JamesGw View Post

          That said, drop shipping is still a valid business model and a way to make good money. You just need to start off with a small number of products and make original content for them, either by editing the descriptions or fostering the creation of UGC.

          I couldn't agree more. This is the only way that I have found to really carve out a niche in these overcrowded dropshipping marketplaces. You have to find some way to present your products to dropship in a manner that is unique.
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  • Profile picture of the author Giftys
    We do quite a bit of drop-shipping and do very well with it. The key is to find the vendors that are outside of the mainstream. Don't use those huge companies that sell dropship programs.
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  • Profile picture of the author mindmarketing
    I've been playing around a little bit with my own wholesale dropshipping business and have been doing ok.

    In my first month I've sold $5,734 worth of goods with about an 18% margin (after Ebay's fees).

    My ultimate goal is to grow an online retail store with decent enough traffic that I don't need to use auction sites anymore. Not there yet.

    I'm definitely looking into other channels for selling because $16 is a little too much to pay in fees for a $250 product.

    Do you research and find products that are selling at a price you can make a profit on. Find a good supplier, order a sample of the product you want to sell, and get some listings up. There is a lot of competition out there so position yourself strategically.

    Good luck.
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    • Profile picture of the author LooseChange
      Dropshipping is a suckers game, especially where eBay is concerend. I do a LOT of business on eBay and I can tell you, in the current climate of eBay with buyer protection, the last thing I'd ever want to do is risk my feedback and DSRS over a dropshipper who failed to deliver. eBay listing and FVF fees are the least of my worries. Buyer protection, scammers, etc are the biggest.

      eBay has a 45 day return policy. If your dropshipper fails to deliver, you're responsible for refunding the buyer. Read again : dropshipper fails, you're out the money you paid them as well as the money refunded to the buyer. That's a potential 2x loss. Not to mention, eBay doesn't refund fees on buyer protection cases.

      Just knowing that, I would certainly steer clear of that game.

      Not just trying to be a wet blanket. I'll tell you that it's incredibly easy to buy items in wholesale lots on eBay and break them up to resell for a profit BUT you need to find a niche. I can't tell you mine because I don't want everybody jumping my train but think outside the box a bit and you'll figure something out.
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    • Profile picture of the author mydream247
      One of the best sources to buy wholesale is DHGATE, this is where many of the sellers on ebay buy there products.

      Just make sure to check the sellers rating, and only buy from sellers with 98% or higher feedback rating.

      I like DHGATE because your money is held in escrow through paypal, and the funds are not released to the sellers Until you receive the merchandise. This cuts out fraud, as the sellers do not get paid until you receive and inspect product.

      Do not sell products that are Knock Offs, this will get you in trouble, sell products like Ipad screen covers, or protectors, products that are easy to sell in demand, easy to ship, and not copyright protected.

      Hope this helps and Good luck.
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      • Profile picture of the author High Horsepower
        I know a guy who drop ships customized LazyBoy chairs, he nets over $10k a month with less than 15 sales a month. He sells a lot to sheiks in Dubai, Shaq, NBA stars, movie stars, etc... I'll try and find his site and put in up here. Snakeskin covered, built in stereo systems, etc...

        This guy is retired and does this part time. Not a bad gig. He never sees the finished product, just collects checks.
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      • Profile picture of the author LooseChange
        Originally Posted by mydream247 View Post


        I like DHGATE because your money is held in escrow through paypal, and the funds are not released to the sellers Until you receive the merchandise. This cuts out fraud, as the sellers do not get paid until you receive and inspect product.
        Paypal DOES NOT offer ESCROW services. They are not liscensed to operate in that capacity.
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        • Profile picture of the author Richard Van
          Hi LooseChange,

          I think what he mean't was you can use Paypal to fund Escrow.

          See here

          And here


          I think the way he worded it...

          your money is held in escrow through paypal
          ....May have led to that confusion.

          I've never used DHGate but they do offer Escrow as part of their service.
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  • Profile picture of the author bobby_shahzad
    Thank you all for your useful advice. I will surely check engage today. I also found doba.com has anyone heard of this portal? Any other suggestions ?
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  • Profile picture of the author PaddyM
    Dropshipping is a great way to do business. But you have to look at it the right way. Most people view it as a way to make money with $0 in the bank. They want to sell the product, pay the dropshipper with that money and keep the difference. That kind of setup won't work well ebay for long. Something will go wrong and your screwed.

    I sell on Ebay. My entire product line is shipped to the customer directly from Asia. I have a top seller rating and I do very well with it. But here's what I do different.

    - I pay a warehousing company overseas to maintain my inventory and ship my products. These people are not connected with the factory supplying the product at all. They receive, store, pack, and ship only.
    - I maintain my own inventory. I ship the products from the supplier to the warehouse and the staff there confirms the order when received. So I know how many I have in stock. When I get low, I reorder.

    The advantages of this setup are:
    - I don't handle the stock at all. I can sit at my PC and take orders
    - I know the inventory numbers so I don't have to worry about selling something I can't supply. It's common for typical dropshippers to run out of stock and not tell you. Then your dealing with unhappy customers and bad feedback on ebay.
    - I save a bunch on shipping. I don't have to ship and import large orders to north america, pay the import fees,etc... And then resend the product to the customer.

    It works well for me.
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  • Profile picture of the author SPC
    Dropshipping doesnt have to be done with ebay.. Why not just create your own website and find vendors and dropship their products. Do the SEO and your the middle man. A lot less hassle then Ebay in my opinion
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  • Profile picture of the author barache
    Drop shiping sounds easy, but it can be a real hassle. I used to do it with Ebay and a couple suppliers I found on my own. The problem is out-of-stock orders, returns, and other things like that. You are the middle one and have to figure out how to keep your customer happy, and not get screwed over. Quite the challenge.
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    • Profile picture of the author mydream247
      Hi LooseChange,

      I think you misunderstood my post, DHGATE accepts payments through paypal, and Holds the funds until buyer receives product from the supplier. I am not selling anything, there are no links in my message, as I mentioned I no longer sell on eBay, and I explained why in previous post.

      I agree with previous post, better to skip eBay and sell direct through website, cut out middle man, and you can be successful.
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  • Profile picture of the author flippianstar11
    Banned
    I made site and hen sold via flipppa at good price.Thinking to relaunc h this business again
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  • Profile picture of the author Scott Skinner
    Dropshipping? Unless you buy a warehouse full of stuff, purchased from the factory in China, 5K plus, and sell it direct to the customer at a retail location, forget it. They are already selling directly to the consumer, via ebay and the net, they don't need you.
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    • Profile picture of the author SPC
      Originally Posted by Scott Skinner View Post

      Dropshipping? Unless you buy a warehouse full of stuff, purchased from the factory in China, 5K plus, and sell it direct to the customer at a retail location, forget it. They are already selling directly to the consumer, via ebay and the net, they don't need you.
      Very wrong. There are plenty of niches that allow for businesses to dropship. Just started a few. You have to find niches that are not highly competitive with SEO. Many companies do SEO in the beginning and then neglect their sites. WHich leaves companies like mine able to come on in and dropship
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  • Profile picture of the author flippianstar11
    Banned
    I dont agree.
    If u have excellent website designed and make good forum markeitng, you can still earna lot of money.I already have passed through this experience
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    • Profile picture of the author SPC
      Originally Posted by flippianstar11 View Post

      I dont agree.
      If u have excellent website designed and make good forum markeitng, you can still earna lot of money.I already have passed through this experience
      Agree with you totally
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  • Profile picture of the author flippianstar11
    Banned
    Despite presence of Ebay, thousand of websites are earning a lot of money.
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  • Profile picture of the author flippianstar11
    Banned
    PM me with ref of this conversation.I might provide you free advice for a limited time
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  • Profile picture of the author sloanjim
    I would never sell physical products online...talk about abuse and fraud. EU now states you have to arrange and pay for return postal fees. They casn simply change their minds or even dmaage the product them-selves and return it...I know many are running away from this biz modul.
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  • Profile picture of the author vivaarturo
    would not drop ship on ebay you have no control over the product and this will impact your dsr's.

    I have tried to drop ship and just cannot find the right market or suppliers.
    It is getting increasingly challenging as margins are becoming lower.

    Would love to know if anyone has a way of finding the right markets and suppliers.

    Cheers
    Arturo
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  • Profile picture of the author flippianstar11
    Banned
    I am experienced.If anyoneneed my help I can .Pm me.
    whatis EU?
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    • Profile picture of the author Oggyoi
      Originally Posted by flippianstar11 View Post

      I am experienced.If anyoneneed my help I can .Pm me.
      whatis EU?
      E U = European Union ( that great institution that UK pays £billions to each year, for the privilage of being given laws to uphold that are a farce and often contradict UK law. It also allows/forces us to bail out Ireland, Greece and the rest of the eurozone when they are on the verge of bankruptcy :rolleyes: )
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      • Profile picture of the author Winlin
        Originally Posted by Oggyoi View Post

        E U = European Union It also allows/forces us to bail out Ireland, Greece and the rest of the eurozone when they are on the verge of bankruptcy :rolleyes: )
        Maybe it's time for the U.S. to join, where can we get an application?
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  • Profile picture of the author Presto Smith
    I have used Worldwide Brands' service for several years and find that they have a great resource for just getting started. They charge a premium for their lifetime membership, but the information that they offer you is legit.
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  • Profile picture of the author Meozyn
    Hia matey, I used to be interested in dropshipping a while back and ended up on a dropshipping forum with tonnes of info. dropshipforum.co.uk/
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  • Profile picture of the author Michael Franklin
    There are people who also dropship by playing the discrepancies in prices between overstock/sams club/costco and the Buy It Now prices on ebay. Profit margins of 15-30% are very doable if you research your products right and move fast!
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  • Profile picture of the author dremora
    You can use Amazon fullfillment services. Do your product and market research, test the demand by running some PPC ads sending traffic to mock product pages, once you confirm the demand you can buy up inventory, send it off to Amazon warehouse and let them ship it to your customers. You can use shopify ($29/mo up to 100 sku's) or spend $ to hire a web designer to code it up and integrate it (Shopify integrates easily with Amazon fullfillment, Paypal and a bunch of other payment processors).

    Amazon fullfillment is extremely reasonable, if you have a decent markup it's extremely reasonable, their warehouse fees are ridiculously low too. Besides if you sell from your Amazon store, your customers can get the free super saver shipping which is great for conversions.
    You can sell both from Amazon on your own web site, too.

    They have different price plans depending on product size (very cheap for standard media mail, and pretty darn reasonable even for oversized packages).

    See Amazon Services - Seller Central. Make Money online for more info.

    The key here is finding the product that sells. Just because there are competitors on ebay doesn't mean you can't sell it. test it before buying up inventory, if your test PPC ads are converting (meaning people go to your mock storefront site & click the 'buy now' buttons redirected to 'sorry, currently out of stock' pages) then you will definitely move the inventory.

    I am yet to find a drop shipper/fullfillment house that can beat the prices and logistics of Amazon fullfillment.

    Besides a huge 'powered by Amazon' logo is great credibility on your e-commerce site.
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  • Profile picture of the author marcromero
    I thought about doing drop shipping but it seems to me it would be such a hassle if customers need to do returns or refunds. We would end up with product and be out the cash. I'm sure there is someone that has got it figured out but It boggles me
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  • Profile picture of the author flippianstar11
    Banned
    dude!
    pm me with ur questions.
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  • Profile picture of the author sachin3
    Thanks guys I got some of the info I was looking for myself.
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  • Profile picture of the author JeffHylands
    Yes have done over six figures in sales in the last four years using drop shipping
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