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Thread: Lower margin or monthly fee?
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21 Jan 2010 09:40 PM #1
Lower margin or monthly fee?
What would you like from a dropshipper, a higher priced product or a monthly fee?
I have some ideas storming inside my mind, I would be interested in hearing from people who dropship and what is important to them.
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23 Jan 2010 02:03 PM #2
It shouldn't really matter as long as the service is good. I don't think a dropshipper is only making profit from their monthly fee as that would hardly be anything and I wouldn't do all the work for that amount of money.
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23 Jan 2010 07:28 PM #3
One word of warning:
Virtually ALL dropshippers who charge a fee for online selling and to obtain a website are worthless. Here is why:
1. They often hide prices before you can review them, you will only find out that their prices are too high after you have paid them money. Don't be fooled by testimonials and income claims, many are fabricated testimonials, most of the income claims date back 5+ years, when the Internet was much less competitive.
2. If they do show prices, they pretend to compare them against eBay listings. However they use one trick you should be aware of. They send you to an eBay search result for a very long product name, instead of the shorter, more commonly searched name, which has much more competition and lower eBay prices. Therefore be very careful of eBay price comparisons, make sure you double check the product price on eBay by searching for a shorter name of the product.
3. They will try to lure you in by saying that you will get an ecommerce store if you pay their lifetime membership of $99 or more. Again be careful, you can get a free ecommerce website for life for just $25 here.
4. This type of dropshippers tend to have lots of dropshippees, all selling the same items you will be selling. Therefore you risk to make no profit online, or even lose money, if you use dropshippers that charge a fee.
Instead use dropshippers that are free of charge. Those are generally the best dropshippers to use, they focus on a niche, and they will allow you to build those 6-figure businesses that survive for many years to come.
REMEMBER: Beware of dropshippers that charge a joining fee. Don't give away your hard earned cash easily, don't be gullible, and don't believe false claims of income dreams. Making money as a reseller requires hard work and a sound strategy, using a dropshipper that asks for a fee is not a sound strategy and will not help you make money.
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24 Jan 2010 09:55 PM #4
That makes sense especially in a volume based business where I imagine profits are slim per item.
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22 Apr 2010 09:18 PM #5
I don't want either. I know there are several manufactures out there that will charge you (the online business owner) a drop ship fee per shipment. I just include this in the cost of shipping the product to the end user (customer). Hey the manufacturer is saving me shipping costs to me and then me on to the customer. They are also saving me time.
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23 Apr 2010 05:39 AM #6
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