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]

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

In The News:

Melania Trump Auctions Her Hat  The New York Times
Auctions launch for Arthur's Memorial Matchday  Birmingham City Football Club

How To Find Tons of Hot Items Selling On EBay ...In Less Than 10 Minutes

There are many ways to start a home business online,... Read More

Learn How To Be A Successful eBay Seller

Anyone can sell anything on eBay. Open an account, list... Read More

eBays Latest Fee Increases--Is this the beginning of the end?

On January 13, eBay sellers received an unwelcome announcement from... Read More

Why Its a BAD Idea To Promote Hot Selling Products on eBay

Do a quick search on Google, Yahoo, or your favorite... Read More

So, Can You Really Sell EBooks On EBay And Make Cold Hard Cash?

Selling eBooks on eBay, and making any worthwhile profit from... Read More

eBay The Mega Marketplace For Everyone

eBay is one of the world's largest market places with... Read More

Ebay Auction Selling Secrets - Using Ebay to Launch Your Very Own Highly Successful Website

Launching your very own successful website is the dream of... Read More

The Quickest Way To Have A Product To Sell On The Internet

Creating a product from scratch that you can sell on... Read More

The Top Sellers On eBay & What We Can Learn From Them

A fascinating eBay case study is the number one seller... Read More

Drop Ship Your Way to eBay Profits

One of the most difficult things to do when looking... Read More

5 Secrets for Increasing Auction Profits

1. Include your ebay seller name, store, and website information... Read More

Boosting Your EBay Auction Profits: Just Add Audio

According to a recent report, adding audio to your eBay... Read More

Why Ebay Is The Best Place To Make Your First $1000 Online

I'd like to begin with a question ? and I'll... Read More

Get More for Your Money Shopping for Designer Shoes on eBay

The worlds online market place.In just a few short years... Read More

Photos on my eBay Auctions: How Do I Add Them?

On another forum I'm involved with, someone's asked a great... Read More

Online Auction Sellers - Seize Control Of Your Business!

As the online auction model of business continues to evolve... Read More

Selling on eBay - Have You Found the Magic Formula Yet?

Selling on eBay can be very profitable and a great... Read More

eBay - The Basics

I began selling on eBay in 1999 and have found... Read More

Five Tested Ways To Find The Perfect Drop Shipper

You've heard about it many times in recent months. Being... Read More

eBay - Profiting With Books By Janette Oke

Janette Oke is a Christian writer whose books about life,... Read More

eBay is the Greatest Opportunity YOU Have to Create a Career Online

eBay's being spoken about everywhere these days. At work, school,... Read More

eBay Consignments: The Giant Opportunity Hiding on eBay (Part I)

More and more, people are becoming aware that they have... Read More

Effective Auction Listings - How To Create Them

Once you've created the best possible title for your item,... Read More

Smart Ways Your Business Can Benefit From Online Auctions

It seems as if everyone is talking about online auctions.... Read More

The Benefits of Buying and Selling Locally

Shop at a flea market in Oaxaca, Mexico. Trade with... Read More