|Net Auctions and Auction Information|
Drop Shipping Your Way to Increased Profits
Drop shipping, for those who are unfamiliar with it, is a system whereby you promote the products of a particular manufacturer, take orders directly, and the manufacturer/source handles all the inventory and fulfillment functions for you.
In a nutshell, here is the drop-ship system:
==>You generate and accept the order.
==>You take your profits out of the sale price.
==>You forward the order and the wholesale cost to the drop shipper.
==>The source factory ships directly to your customer.
The benefits of this arrangement are probably obvious:
* No inventory cost to you.
* Substantially higher profits to you over what most regular affiliate programs allow.
* The ability to quickly set-up inexpensive, highly targeted, niche or mini-sites to test and promote diverse products.
This process has been around for years and has been responsible for many highly successful mail order dealer relationships in the past. Many of the top catalogers and other direct response marketers, have been using this system to increase profits for decades. If you have ever ordered a high priced item from a mail order catalog and been told that the product was being shipped from the factory... then you have experienced drop shipping first hand.
Drop shipping is, I believe, a virgin un-tapped storehouse of profits for todays internet marketer.
On-line directories exist [http://www.dropshipprofits.com] which reveal essential contact information for drop shippers of over 2,000,000 products and 4,000 brands. Most legitimate drop ship sources will require that you have a state tax reseller number in order to approve you to sell their products and give you the wholesale pricing you are looking for.
Beware of any drop ship source which requires you to pay a fee in order to become a drop-ship dealer... or requires a membership. These are generally organizations which make their money selling "drop ship licenses"... and are, for the most part, scams. Legitimate drop shippers and factory sources never charge you any fees other than the actual wholesale cost & shipping costs of the products you sell.
Another caveat... always make sure that you have a written agreement with the source factory that you own the customer! The factory or drop ship source should agree in writing not to solicit your customers in any form. This is very important to you. Your customer list is one of your most important assets. If the factory you are dealing with balks at this request... use another source who will agree.
Almost every conceivable type of product is available from a drop shipper willing to ship products in single units under your companies name. Pick your interest area... electronics, consumer products, agricultural & industrial products, office equipment & supplies, hobby gear, recreational / sporting goods, clothing, furniture, etc. The list of available products from drop shippers is almost endless.
The products actual source is invisible to the consumer. The seller (you) is able to build a database of customers that he/she owns and controls (by agreement with the manufacturer) and has all the direct marketing advantages that accompany that arrangement... while eliminating the need for maintaining expensive inventory.
This arrangement offers maximum flexibility and cost savings for the seller. If a product does not sell well online you can pull the advertising (web page or mini-site) instantly with very little cost to you outside of the actual time it took to build and test the web marketing effort. Or, since this type of page/mini-site is so inexpensive to maintain and host... you can simply leave the pages online and take whatever orders trickle through... while you move on to the testing and promotion of new drop ship products. A quick marketing test can be done on eBay or other auction site to determine if the product sells... and at what price.
The manufacturer benefits from this relationship by gaining a legion of active marketers promoting their products... at little or no cost (other than those small costs involved with supporting the marketer with online marketing materials like product images, sales materials, etc).
As a marketer you are looking for several key components in developing the drop-ship relationship with a source factory or distributor:
** High Quality Products
** Blanket Product Liability Insurance (if applicable)
** A clear guarantee and return policy
** High Quality Marketing Materials ... product images (gifs, jpegs, etc.), selling copy, other suitable web graphics, etc.
** A Customer Service Department that will work with you to develop the best selling situation for you.
If you are a manufacturer seeking to expand distribution (or an inventor with a new product ) you will find the willingness to drop ship in single units will give you a strong competitive edge while you carve out increased market share at little cost.
If you are an online marketer interested in offering high profit products to your niche market (your website visitors) without incurring high front-end development or inventory costs... then drop shipping is for you.
Internet marketers are uniquely positioned to take profitable advantage of the drop ship arrangement and should give this system a serious look.
(c) Copyright 2005 Thom Reece
Thom Reece is CEO of Online Marketing Resource Center [http://www.E-ComProfits.com] and publisher of "Thom Reece's Web Marketing Strategies & Techniques Newsletter". You may subscribe free at: http://www.WMSTDirect.com, mailto:firstname.lastname@example.org
This RSS feed URL is deprecated, please update. New URLs can be found in the footers at https://news.google.com/news
Ridgefield, CT Estate with Award-Winning Gardens Scheduled for Luxury Auction® June 29th - PR Newswire (press release)
Selling Effectively on Ebay Motors
Remember back when selling online was a new experience? Dealers tried everything to sell their vehicles online. Today's market has expanded to include several hot online marketplaces but there is the largest online marketplace, Ebay.
Top 10 Free Online Wholesale Resources
By the time that a product has made it to your local retail store, it's probably changed at least three people's hands, possibly even more than that. And each one of those people had to mark up the cost of the item to cover their investment and make a profit.
When It Comes To eBay, Don't Follow The Herd
Q: I want to start an online business. Since I don't know anything about ecommerce and building websites and such, I'm thinking about starting out selling products on eBay, then pay someone to build a website for me once the money starts coming in.
How To Sell On Ebay: Using Store Policies To Cement Your Credibility
In your quest to build credibility as an Ebay seller, few things are more important than creating and following consistent store policies. Doing so will provide your customers with an attractive buyingatmosphere, where they will feel safe making any transaction.
Everything You Need To Know About Ebay Money Making Opportunities
Ebay money making opportunities are simply the best thing to come along since the wheel. Seriously, everybody from grandmothers to middle school kids are cashing in on what's been called the $14 billion ebay pie.
6 Reasons Why an eBay Business is the Easiest and Safest Home Business to Start
Calling internet auctions an "Entrepreneur's Dream" isn't poetic license or part of the get-rich-quick rhetoric. Net auctions are the simplest, easiest way on this planet for the little guy to make money.
Fundraising Ideas Using eBay
Have you thought of using the online auction site eBay as your next major fundraiser?I have, and it was a huge success!Like many other businesses the fundraising business has seen an incredible change since the internet. Everyday there are new tools, softwares and websites that are making fundraising not only easier but a lot more fun.
Negating Negative Feedback on eBay
Taking some pride in my one hundred percent positive feedback score on eBay, I was horrified to see a negative feedback appear against me.What had I done wrong? Had I overlooked an auction win and failed to deliver product as promised? Had I given poor, slow service? Was I rude to the auction winner?Certainly, if I had been guilty of any of these things, the negative feedback may have been deserved.
eBay Online Auction Sniping Secrets
Since their introduction several years ago, online auctions, such as eBay, have been one of the hottest destinations on the World Wide Web. Auction sellers are attracted by the prospect of a broad venue for their products and the possibility of high profits resulting from emotion-driven bidding wars.
How To Increase eBay Profits
Some sell on eBay to clean out their garage or attic.Some sell to make a little extra money here and there.
How To Find REAL Wholesale Dropshippers For Almost Any Product
With more and more people getting online, many of them are searching for information on specific products that they are interested in purchasing.Thus one of the best possible ways to turn a profit online is to find wholesale sources that will drop-ship thes products directlyto your customers who come to your website for more informatation.
Your Junk is Another Persons Gold
Saving money can be quite hard to do if you are on a tight budget, but all of us can do it very simply by selling the things that are cluttering up our homes and which we no longer need. I am fairly sure that most of us, if asked, would like some extra cash to help pay off a loan or other debt, or to put towards something nice like a holiday or something else that you would like to save up for.
Shipping Supplies For Your eBay Auction Business
Auction supplies are clearly an expense and major consideration for an eBay auction business. Of course, the most critical supply is the item you are selling, but mailing supplies are necessary for every auction and their cost and supply must be figured into your overhead.
Is Selling On eBay Just A Hobby Or A Real Business?
Q: I made extra money selling things on eBay last year. These were items I picked up at yardsales mostly.
2 Step Secret Reveals How You Can Find Wholesale Suppliers
Have you spent hours on the internet searching for a viable wholesale source? I did. I spent money on self-professed in-depth Wholesale Supplier directories and membership sites.
Multiple Income Streams on eBay within 30 Minutes!
POWERSELL Status, the secrets revealed.If like thousands of people you have been using eBay and wondering how to gain a regular income, and work from home, this article will help you.
Drop-ship or U-ship: That is the Question
For small Internet retailers, drop-shipping is one of the best innovations since sliced bread. How else can a start-up offer a wide variety of products and convince customers that they have a fully-stocked warehouse-while investing virtually nothing in inventory or warehousing? Before you jump right onto the drop-shipping bandwagon, however, there are some pitfalls to avoid.
eBays Latest Fee Increases--Is this the beginning of the end?
On January 13, eBay sellers received an unwelcome announcement from eBay. Fees were going up.
Internet auctions are relatively new having been around since the mid 1990's. There are several Internet auctions including Yahoo Auctions and UBid.
How To Stop Ebay Buyers From Sniping Your Auction For Less Than Its True Value
There are many savvy eBay buyers who use automated bidding programs, which are referred to as sniping software. Sniping allows the eBay buyer to place an unseen bid in the last seconds of an eBay auction allowing them to win the ebay auction at a very low price if there was no reserve.
|home | site map|