Are you looking for a way to break into the wholesale dropshipping business? While the online market is very competitive, a little know-how going into the business will make a big difference in your success. We have the foundation of the wholesale business to help you get started in the e-commerce market.
Finding a Supplier
One of the hardest parts of launching a drop shipping business is finding wholesale suppliers that provide high quality merchandise for a good price. There are plenty of good wholesale directories available to help you locate the right wholesalers for your needs. However, once you have a few names, you want to check out their credentials, using proven forums for wholesale marketers like ours, as well as other research sources that might be available.
Safeguard Your Business
The reliability and integrity of your wholesale supplier will make all the difference in the success of your business. Conduct a background check of your supplier, using online credit services like Dunn & Bradstreet. Create a detailed sales contract that both of you can sign, using an online service or a lawyer in your area. Set up an escrow service that will act as the third-party or see if your bank will act as Safe Trader for you.
Once you have wholesale suppliers you like and trust, it's time to select the products from their listings that you want to sell. While you might begin by finding items you like, you should also conduct some market research to ensure the items you choose will really sell.
There are online services for this purpose, but most charge a fee to use them. Select a market research company with a proven track record of success, so you get your money's worth. You can also conduct your own online research using the listings on local eBay sites to find out which listings were successful and which were not.
Find Your Platform
Once you have a wholesale supplier and a product, you must choose the platform from which you will sell your wares. While there are plenty of obvious solutions, such as eBay and Amazon, there are also many lesser known auction sites that could also provide a good value. In fact, many wholesale drop shippers find that using a variety of websites is the best way to market to a wider audience. Some even end up creating their own e-commerce site once they have tasted a bit of success.
Manage Your Business
After your items are listed at the venue of your choice, you can wait for a buyer. Keep in mind that some auction sites require you to disclose where your item is coming from, so buyers are aware of extended shipping times that might apply. When you make a sale, you will collect the money from your buyer and pay your wholesale supplier. The supplier will then send the item directly out to your buyer, and you can keep your profits!
Wholesale drop shipping has become a popular way for many to go into business for themselves today. With a bit of preparation and know-how, you too can create a successful wholesale business right from the comfort of home.