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    1. NeilG is offline

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      #1

      eBay Undercutters - Why eBay and Drop Shipping Does Not Always Work

      Is dropshipping a good or bad method of trading on eBay?
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    2. Luis21 is offline

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      #2
      I don't think dropshipping is a good method to trade on eBay. In my opinion, the negatives outweigh any positive outcome. The main drawbacks are the possibility of low stock levels, small profit margins, and delivery problems.

      1. Low stock levels

      Many dropshippers will not tell you if they are running out of supplies. If the dropshipper runs out of stock, you may have to deal with unhappy customers that are unwilling to accept a backorder. Some customers may send you negative feedback on eBay due to late delivery of items.

      2. Small Profit Margin

      There is usually a dropship fee which covers the extra labor and material costs the dropshipper incurs. The unit cost of each item is normally higher than if you buy in bulk. There are also packaging and shipping costs.

      3. Possible Delivery Problems

      If the dropshipper does not fill orders promptly, or does a poor job in packaging, it reflects badly on your business. Ultimately, it may hurt your chances for repeat business. Also, if the item arrived damaged or there was a shipping delay, it is your company that is responsible. You will need to appease the customer or your reputation will be harmed.
      Over 150,000 Verified Sources + Deals 95% Off MSRP + Free Website!

    3. Nataliez is offline

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      #3
      I notice a lot of different prices for the same products on eBay. I am not sure if the eBayers who are selling the products real cheap, are just trying to get rid of their inventory at a loss or if they are dropshipping.

    4. Iucounu is offline

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      #4
      I've noticed the same! There is always someone who offers a much cheaper price.

    5. ZooZooJules is offline

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      #5
      When sellers choose to play the undercut price game, they think they outsmart their competition by offering tremendous value. However, such low prices ensure that their profit is too low. It doesn't make sense.

    6. PatrickTwist is offline

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      #6
      It is annoying when a few eBay sellers price their items extremely low to beat their competition, but it is something that we have to put up with. However, if they just keep the prices fair and have excellent customer service, they would make a big profit on eBay.

    7. CatchMe98 is offline

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      #7
      What right do you have to set an appropriate price for any item? If someone wants to sell an item below what it is worth, then that is the seller's business.

    8. Sell_It_3289 is offline

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      #8
      I would never play the undercutting price game on eBay. If I can only beat my competition by cutting my prices so low that it causes me to barely make a profit or a loss, then it is not worth it for me to stay in business.

    9. PatrickTwist is offline

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      #9
      I agree with you. You started your business to make money. Your prices should reflect the total package of the product that you offer and the customer service that you provide.

    10. Sell_It_3289 is offline

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      #10
      I also don't think dropshipping is a good method to trade on eBay. If you do want to give it a try, I would suggest you join a forum for eBay traders and find someone willing to give you advice on finding genuine dropshippers who operate online.

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