What Is A Dropshipper and How To Make Money from it
Post 1 of 42
What Is A Dropshipper and How To Make Money from it
A would like to buy cargo D from B in China, but B can't provide D at the moment for several reasons (lack of stock, or is not allowed to have production chain in China, etc...) so B has to turn to C for help and askes C to provide the cargo. But A doesn't want to buy cargo from C directly due to some reasons (Customs delcaration etc...) So the solution is: A places an order to B, and B places an internal order to C, then C delivers the cargo to A; and the payment procedure is the same: A pays B, and B pays C.
So, under this situation, this shipmenet is called drop shipment, thus the order is named as drop ship order.
What is a Dropshipper? Many people doing small business or online business talked about this lately. Well, by all means, they are companies that provide goods to you for a cheap price. You sell there products online. When a customer buys that item, you order it from the dropshipper and they ship it right to your customer.
It is easy to use them to make money. First start by finding a dropshipper that you like. There are many to choose from. Some will charge you a start-up fee or a monthly fee. Go search on b2b webwites and pick your favorite company. Join the company and look around their business scope. Look through all of their products, choose a few product you are interested in selling. You should start with less then five until you are comfortable with selling.
The dropshipper will give you the price of that product. Now go on eBay and list the item in an auction. When the auction is over you will receive the payment and the winning bidders address. All you have to do now is order the product from the dropshipper and tell them where to ship it. They take care of the packaging and shipping. You don't ever have to see the item in person because it goes straight to the customer.
Enjoy the fact that you just made money by listing an item that you don't have and selling it. You never had to leave the computer or buy packaging material.
Congratulations on making money using dropshipping.
It is easy to use them to make money. First start by finding a dropshipper that you like. There are many to choose from. Some will charge you a start-up fee or a monthly fee. Go search on b2b webwites and pick your favorite company. Join the company and look around their business scope. Look through all of their products, choose a few product you are interested in selling. You should start with less then five until you are comfortable with selling.
The dropshipper will give you the price of that product. Now go on eBay and list the item in an auction. When the auction is over you will receive the payment and the winning bidders address. All you have to do now is order the product from the dropshipper and tell them where to ship it. They take care of the packaging and shipping. You don't ever have to see the item in person because it goes straight to the customer.
Enjoy the fact that you just made money by listing an item that you don't have and selling it. You never had to leave the computer or buy packaging material.
Congratulations on making money using dropshipping.
adddition:
Drop shipper meaning:
Drop Shipping is used by middlemen and mail order firms who DO NOT STOCK INVENTORY of the products sold for future delivery through mail order, catalog and INTERNET ADVERTISING.
Middlemen send single unit orders for products to manufacturers, or major stocking distributors, who in turn drop ship the merchandise direct to the customers of the middlemen. Manufacturers providing drop shipping services can gain additional sales, shift advertising costs to middlemen, offer advertising material and reduce inventory requirements. Middlemen who initiate drop ship orders shift the risks of stocking inventory to the supply source, including storage, insurance, overhead, and personnel BY SPENDING NOTHING ON INVENTORY, until AFTER THE PRODUCT IS SOLD.
Having products drop shipped by manufacturers, allows middlemen to concentrate on sales and advertising functions, rather than stocking INVENTORY THAT IS ALREADY BEING STORED BY MANUFACTURERS. All of the costs of warehousing and the personnel needed to pick, pack and ship products are eliminated. Orders can be sent by fax or email direct to the drop shipping supply source. Small firms can compete and advertise a tremendous number of products on Internet malls, if the product supply source will drop ship. BUT NOT ALL MANUFACTURERS WILL DROP SHIP: most prefer to sell in quantity to full function middlemen who stock inventory, as products are physically shifted through the channel of distribution.
Middlemen send single unit orders for products to manufacturers, or major stocking distributors, who in turn drop ship the merchandise direct to the customers of the middlemen. Manufacturers providing drop shipping services can gain additional sales, shift advertising costs to middlemen, offer advertising material and reduce inventory requirements. Middlemen who initiate drop ship orders shift the risks of stocking inventory to the supply source, including storage, insurance, overhead, and personnel BY SPENDING NOTHING ON INVENTORY, until AFTER THE PRODUCT IS SOLD.
Having products drop shipped by manufacturers, allows middlemen to concentrate on sales and advertising functions, rather than stocking INVENTORY THAT IS ALREADY BEING STORED BY MANUFACTURERS. All of the costs of warehousing and the personnel needed to pick, pack and ship products are eliminated. Orders can be sent by fax or email direct to the drop shipping supply source. Small firms can compete and advertise a tremendous number of products on Internet malls, if the product supply source will drop ship. BUT NOT ALL MANUFACTURERS WILL DROP SHIP: most prefer to sell in quantity to full function middlemen who stock inventory, as products are physically shifted through the channel of distribution.
Drop shipper should do below things:
Shipping product to your store /
Finding storage space for your products /
Setting up shipping accounts with FedEx or UPS or any other courier company/shipping company/
Finding storage space for your products /
Setting up shipping accounts with FedEx or UPS or any other courier company/shipping company/
Packaging your orders and shipping them to your customers /
Manufacturer minimum order requirements /
Manufacturer minimum order requirements /
Drop shipping function:
A drop shipper is your direct link to a manufacturer and the products you want to sell, without having to find solutions to buying, warehousing and shipping your products. For a standard drop ship fee (the "handling" part of "shipping and handling" , Drop shipper will ship your products, as you sell them, directly to your customer, with your name on the packing list.
drop shipment process example:
company A: buyer in China
company B: seller in China
company C: seller in UK
(relationship between B & C: branch companies, ie. two independant companies which belong to one multinational organisation)
company B: seller in China
company C: seller in UK
(relationship between B & C: branch companies, ie. two independant companies which belong to one multinational organisation)
A would like to buy cargo D from B in China, but B can't provide D at the moment for several reasons (lack of stock, or is not allowed to have production chain in China, etc...) so B has to turn to C for help and askes C to provide the cargo. But A doesn't want to buy cargo from C directly due to some reasons (Customs delcaration etc...) So the solution is: A places an order to B, and B places an internal order to C, then C delivers the cargo to A; and the payment procedure is the same: A pays B, and B pays C.
So, under this situation, this shipmenet is called drop shipment, thus the order is named as drop ship order.
Hope I can be your agent in China,If you want to import goods from China,pls contact with me sophy23(at)gmail(dot)com.
Thanks
23 Sep 2008 20:53
Post 2 of 42
Everone can be as skeptical as the next person, but if you do not research how can you be for certain?
01 Mar 2009 20:49
Post 3 of 42
www.onThesource.com is a good dropshipper worldwide. It accepts PayPal
08 Mar 2009 08:46
Post 4 of 42
once you get your account check out sites online like Ebay, Craigslist, and the new one PriceBeats.com
17 Mar 2009 18:46
Post 5 of 42
You could sell some sort of goods in this way,
but if you want to make more money,
you have to learn about your products
and work together with yor supplier.![[em2]](http://img.alibaba.com/images/eng/style/icon/emoticons_laugh.gif)
but if you want to make more money,
you have to learn about your products
and work together with yor supplier.
23 Mar 2009 08:13
Post 6 of 42
There is a risk of the manufacturer stealing the dropshipper's customer. And the risk of the customer dealing directly with the manufacturer unless the dropshipper has an agreement ![[em17]](http://img.alibaba.com/images/eng/style/icon/emoticons_shake_hands.gif)
with manufacturer to deal only with him in his territory.
30 Mar 2009 16:20
Post 7 of 42
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We supply:
---------------Engine Parts for 4B, 6B, 6CT, N855, NH, M11, K19, K38.
---------------Crankshaft, Engine Block, Cylinder Head,Connecting Rods.
---------------Fuel Injection Parts, Cups, Barrel&Plunger, Pumps Parts.
---------------Gasket Kit with Non Asbestos material
---------------Turbocharger Kit and Parts
---------------Starter, Alternators, Electrical Items.
---------------Engine Kit and Generator Set
---------------Test Stand and Engine Service Tools.
High quality of all items with BLK brand is always assured. We have a reliable quality assurance system to guarantee our products to qualify the requirement of the customers.
For more information please visit www.blkdiesel.com .or contact lizzy@blkdiesel directly
09 Apr 2009 23:42
Post 9 of 42
The deeper look shows something a little more complex. First and foremost, you really must decide whether you can make money with the item before you go and start listing. Many of the sellers on eBay had the exact same idea as you did and most likely have the exact same dropshipper as you do. Check and double check for similar items. Chances are, there are several auctions that are selling below the profit level for you.
How low are you willing to go? How little profit are you willing to make? Remember to calculate in the listing fees and final value fees that you will incur. It does no good to make $1 on the item only to remember you spent $1.50 on listing it.
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How low are you willing to go? How little profit are you willing to make? Remember to calculate in the listing fees and final value fees that you will incur. It does no good to make $1 on the item only to remember you spent $1.50 on listing it.
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06 May 2009 20:44
Post 10 of 42
what if the drop shipper contact your customer directly? because they can give the customer lower price than yours.the buyers may buy directly from them,but not from you.
25 May 2009 00:53
Post 11 of 42
Most dropshipping manufacturers are not concerned with circumnavigating you to steal your clients. Dropshipping is based on gaining a reputation and building a popular storefront with many individual buyers rather than obtaining large contract orders. Although there are some simularities ,dropshipping is quite different than being an agent/intermediary/middleman which i think many of you are confusing it with. Instead of having a NCND you should still have some sort of basic agreement with the manufacturer. One important thing to keep in mind is to make sure the manufacturer is either based in or has a warehouse in the country with which you hope to do most of your business with. When items are sent out from the warehouse the manufacturer will print out your company logo and info on the package, receipt, etc.. based on what you decide with them. This is the basis for how dropshipping works. The customer is only seeing that the product is being shipped out ex-warehouse with your company details. There should be no reason for either side to want to circumnavigate you. ![[em15]](http://img.alibaba.com/images/eng/style/icon/emoticons_wish_you_wealth.gif){kind=icon}
19 Jun 2009 20:56