Welcome to the WholesaleForum.com! Sign in or Register Free to benefit from our full range of free services

Welcome to Wholesale Forum.comWelcome ToWholesale Forum.comFind wholesale buyerstrade buyers and wholesale offers free

For Buyers

Wholesale Forum is the fastest growing online business community dedicated to retailers, auction sellers, surplus and overstock buyers needing a quick and safe solution for sourcing trade stock. Join our free and friendly forums today and gain knowledge, offer your advice, and discover new partnership opportunities:

For Suppliers

For wholesalers, dropshippers, manufacturers, distributors and trade services providers. Advertise your business today on WholesaleForum.com for free to reach potential trade buyers on a more personal level. Promote your latest offers, interact with buyers in real time, distinguish yourself as an expert in your field, and attract sales instantly.

Sign up now More benefits for Buyers
Sign up now More benefits for Suppliers
    1. cath69 is offline

      Join Date
      Jan 2012
      United Kingdom
      United Kingdom
      0 Times in 0 Posts

      Setting up a new store online - Drop shipping explanation and information


      I want to set up an online shop, but do not have room for stock. Is it possible to have a supplier for the goods who I can contact when someone wants to buy an item in my store??

      Would I have to pay the supplier money for each item I sell individually?

      Thank you
      Over 150,000 Verified Sources + Deals 95% Off MSRP + Free Website!

    2. WholesaleMod's Avatar
      WholesaleMod is offline

      Join Date
      Dec 2010
      United States
      United States
      437 Times in 390 Posts
      Hi Cath69,

      Welcome to Wholesale Forum

      What you have described is also known as a supply chain technique called drop shipping. A drop ship supplier allows you to display their products in your store or eBay listings without you holding that stock. When you make a sale, you simply forward that order to the drop shipper. Once you have paid for the item, your drop shipper will ship it to your customer with your details on the package.

      One advantage of using a drop ship supplier is that you will decrease the likelihood of being left with overstocks, which could lead to an overall loss of your resale activity. Drop shipping also reduces the need for a warehouse or other storage facility, plus you won't have to handle packaging and shipping, and will be able to focus on customer service and marketing. The difference between the drop ship supplier's price + shipping costs and the retail price will be your profit.

      Now, this on paper sounds simple, however in reality the Internet makes things much more complex. You aren't just trying to find buyers who want your product, you also need to compete against millions other sellers, many of whom are buying in bulk and therefore at prices much cheaper than you can source at this stage of your business. This in turn means that most of the drop shippers you find widely publicized online must be avoided, either because they are overused, middlemen, overpriced, or all of them combined...

      To learn more about how drop shipping, and how drop ship suppliers can benefit your business, you should read the following threads:As discussed earlier, as with any business, there are risks involved when using drop ship suppliers. The main issue is the incredible number of drop shipping middlemen that flood search engine results. Middlemen know that start ups are often desperate to make a start, and that they can be easily impressed by marketing messages. A middleman will try to paint a distorted picture of reselling and aim to sell you services which you don't need. They will display very high demand products which, after you have paid to view prices, turn out to be priced higher than current online retail prices, leaving you no room for profit. To learn more about middlemen and how to avoid them, you should read the following threads:If you are still researching which product(s) you want to sell we suggest reading the threads below about niche markets. They hold valuable information about identifying a product with an ideal high demand to low competition ratio. Focusing on a niche product helps maximizing your profits, increasing your repeat sales and getting an overall competitive advantage. Have a look at the following threads:To find reliable drop ship suppliers instantly, we recommend using the largest online trade directories of verified trade suppliers eSources (Over 80,000 verified global trade suppliers), Wholesale Deals (Over 50,000 verified global trade suppliers) and Worldwide Brands (Over 10,000 verified suppliers from the USA, Canada, UK, Hong Kong, China). All three list thousands of verified wholesalers, distributors, manufacturers and drop ship suppliers.

      Have a look at the following threads to read member testimonials and learn more about finding and verifying suppliers:Hope this helps
      Want To Be An eBay Powerseller?
      This is the Service You Need.

Sign Up Now

Got something to say? Sign up now and join the discussions.

Similar Threads

  1. Replies: 1
    Last Post: 17 Jan 2012, 05:23 AM
  2. Replies: 2
    Last Post: 30 Jun 2011, 01:15 AM
  3. Setting up a drop shipping website
    By Glynny in forum Dropshipping Discussion
    Replies: 0
    Last Post: 13 Sep 2011, 03:35 AM
  4. Setting a new electronics business online in India and US - Wholesale and Drop Ship
    By vijayrr007 in forum Introduce Yourself To Other Members
    Replies: 1
    Last Post: 29 Dec 2011, 05:16 AM
  5. Replies: 1
    Last Post: 14 Nov 2011, 06:11 AM
  6. Should I offer free shipping at my online store? Will it increase my bottom line?
    By JamieBoswell9 in forum Shipping & Shipping Documents Discussion
    Replies: 14
    Last Post: 05 Nov 2010, 07:41 AM
  7. Replies: 1
    Last Post: 21 Nov 2011, 10:20 AM
  8. Explanation of free shipping - What does this mean and when do I use it
    By Ybuymore in forum Shipping & Shipping Documents Discussion
    Replies: 2
    Last Post: 25 Nov 2011, 09:15 AM
  9. Selling DVDs online Stocking or Drop Shipping
    By Jene33 in forum Starting & Growing Your Business Discussion
    Replies: 3
    Last Post: 01 Mar 2011, 05:07 AM

My Posting Permissions

  • You may not post new threads
  • You may not post replies
  • You may not post attachments
  • You may not edit your posts
All times are GMT -4. The time now is 06:36 PM. - Fixed Width