What YOU Must Know About The Advantages And Pitfalls Of Dropshipping

The following may be the most important information about dropshipping you will find.

Dropshipping can be a great way to get started with your online venture. Just be careful to make sure that you know the quality of the product your supplier offers, what their shipping policies are, and their reliability.

Your reputation is on the line with your customers, not the dropshippers reputation. You must be able to stand behind your product and service no matter what the source.

Make sure to order at least one of each of the items you would sell via the dropshipper. This gives you several things:

- It will show you the quality of the products. This is very important. You don't want to offer a product and have your customer receive something that is low quality or obviously not worth the money.

- It will show you what the packaging is like. How well is the product protected during the shipping process? Is it likely to break or arrive damaged due to inferior shipping or packaging?

- You can see first hand who they shipped through and how long it took for the item(s) to arrive.

There are many advantages to drop shipping.

1. When you are first starting out, capital may be an issue. With dropshipping you can get around that by selling the product first, collecting the money from your customer, buying from the dropshipper, and keeping the profit. Although your profit may not be as high as it would if you had purchased the products in bulk beforehand, it is still a profit that can get you started.

2. Another advantage is you don't have to have products stored around your house.

3. You don't have to worry about being stuck with inventory that you cannot sell. If a product doesn't sell, you can simply drop it from your offering and go on to other more sell-able products.

4. You can find and sell more items since you don't have the limitations of on-hand inventory.

If you are considering dropshipping to get yourself started you must also consider the *potential pitfalls*:

1. You will get a price break from a dropshipper, but it is often not as low as you could get from other avenues. Be careful to make sure that you have a product that is quality and the price point for you is one that will ensure a profit for you when sold. This is especially important if you will be selling via auctions. Auctions tend to sell new products for 25-30% below retail. If your price is not good enough, you could loose money on an auction.

2. Make sure that the dropshipper gives you a good shipping and handling fee. They have lots of shipping and get a very good price on it themselves. If shipping and handling is high, something is wrong.

3. Don't pay a 'fee' to do business with anyone. You are giving them business by buying product from them. If they want more money for your having the privilege of doing business with them, you know this is not a company that you want to even consider.

4. Find out how the dropshipper handles problems. If you have a customer return, how will they handle it. What kind of support will they give you.

5. Get references for the dropshipper. How long have they been in business and what is their financial standing? Check the Better Business Bureau. Google their company name to see if there are any complaints or problems you might need to know about before making the decision to do business with them.

If you are ready to make the dropshipping model your own, jump right in. Take these points into consideration, but don't let anything stop you. Be as informed as you can though, continue to learn and find out all you can about those you do business with.

The road to success is not always a smooth one. Can you avoid more of the pot holes, it makes the ride much more enjoyable?

Copyright (c) 2005, Melanie Burns -- All Rights Reserved Worldwide

Melanie Burns has passion and dedication to assisting You to make Your Internet Business a Success! Join the weekly "Abundant Success Online" newsletter, mailto:[email protected]-business-how-to.com

(Permission to reprint this article in its entirety including byline, is expressing granted.)

In The News:

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East of Eden Mansion In Bar Harbor Will Go Up For Auction [PICS]  q1065.fmThe Bar Harbor mansion known as 'East of Eden,' is about to go on the auction block.
Why the Move to First-Price Programmatic Auctions Will Benefit APAC Publishers and Advertisers  ExchangeWireWriting on an exclusive basis for ExchangeWire, Deepti Phatak (pictured below), sales project and program lead at Verizon Media, explains how both.
Bullitt Mustang movie car heads to Mecum Florida auction in 2020  AutoblogThe actual 1968 Ford Mustang movie car used for filming in Steve McQueen's Bullitt will be heading to Mecum's auction in Kissimmee, Florida in January of ...
Duane Allman’s ‘Layla’ Guitar Sells for $1 Million at Auction  Rolling StoneThe guitar Duane Allman played on Derek and the Dominoes' classic “Layla” recently sold at auction for $1 million. Allman, Number Nine on Rolling Stone's 100 ...
Sydney lost property auction kicks off  Passenger Terminal TodayThe annual Sydney Airport Lost Property Auction has begun, with thousands of items going under the hammer to raise money to help vulnerable members of the ...
Pennsylvania Produce Month celebrated at produce auction  The PackerPennsylvania Secretary of Agriculture Russell Redding visited Buffalo Valley Produce Auction in Mifflinburg, Pa., to present the governor's Pennsylvania ...
Coonoor tea auction volume falls  BusinessLineA volume of 19.19 lakh kg is being offered for Sale 30 of the auctions of Coonoor Tea Trade Association, which will conclude on Friday.This is as much as 1.9 ...
This Irish Shop Owner Crowd-Funded An Auction Bid To Win Back A Victorian Sex Toy From A U.S. Collector  ForbesBuyer Shawna Scott says the ivory sex toy represents an an important piece of Irish history and deserves to be in a museum.
Controversial $20 million Porsche fails to sell at auction  Business InsiderA $20 million 1939 Porsche with a Nazi history went up for auction this weekend in Monterey but failed to sell after an auctioneering blunder.
Steve McQueen's 1968 Ford Mustang GT 'Bullitt' Heads to Auction  HYPEBEASTSteve McQueen's 1968 Ford Mustang GT from the iconic film Bullitt is heading to auction early next year. The retro muscle car was believed to have been ...
The infamous Fyre Festival Island is being sold at auction  Far Out MagazineSaddleback Cay Private Island, the island chosen by Billy McFarland and Ja Rule as the destination for the disastrous Fyre Festival, has been listed for sale.
First-home buyers out in force, battling it out at Sydney auctions  Domain NewsSydney's first-home buyers were out in force on Saturday with aggressive bidding that pushed prices well beyond vendors' reserves. Low stock levels, cheap ...
Usborne scoops new Hannah Shaw series at auction  The BooksellerUsborne has acquired a new series by award-winning author and illustrator Hannah Shaw in a three-book deal at auction.
Small Town SA – Bull Escapes Auction And Rampages Through Town [Video]  2oceansvibe NewsYou can expect to encounter a lot of things outside a KFC in South Africa, but a raging bull isn't usually one of them.
James Bond Aston Martin DB5 sold at auction for £5.2m  The GuardianAn Aston Martin DB5 used to promote the James Bond film Thunderball has sold for $6.4m (£5.2m) at the world's biggest classic car auction in California.
County to auction more than 120 properties  oswegocountynewsnow.comOSWEGO — The annual Oswego County Tax Auction is set to take place Oct. 5, in Mexico, offering bidders a selection of approximately 120 foreclosed ...
Court to auction off four Rushan Shipbuilding chemical tankers -  Splash 247Qingdao Maritime Court will auction four newbuild chemical tankers from bankrupt Shandong Rushan Shipbuilding via online platform Taobao on August 30.
Former Coshocton Yard up for auction  Coshocton TribuneThe restaurant is 3100 square feet and the banquet center is 2400. The combined property is appraised at $240000. The auction is Aug. 24.
New York Mills Area Auction • Tuesday, August 27th  ECM PublishersFarm Retirement Auction • 10:30 a.m.. Having farmed our entire lives, we have decided to fully retire from farming and will sell the following at auction located by ...
Live auction, yard sale planned for Aug. 24  Kennebec Journal & Morning SentinelJEFFERSON — A canoe, a table saw, nail guns and other serious tools, three days at an Arrowsic cottage on the water, horseback riding lessons, bicycles, new ...

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