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05-08-2008, 03:07 PM
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#1 (permalink)
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Junior Member
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I want the TRUTH (about wholesalers and dropshippers)!
This is my first post to your forum and I am just getting started selling on the web, so bear with me:
Like many of you I have googled around searching for dropshippers in order to sell products on ebay, amazon, my own web site, etc.
I stumbled upon the names of some legit wholesalers who dropship in these forums.
The one I have been in contact with is wynit.com.
They seem totally legit. They are free. They require you have a valid sales tax/reseller's certificate.
They have tons of good products (mostly electronics), but there is a catch.
While a lot of the prices are significantly lower than the prices of Best Buy and other large retailers (leaving a nice profit margin), the prices are about equal to, and sometimes significantly higher than, prices listed for new (not refurbished) items on various web markets (ebay, amazon, etc.).
So, if legit wholesalers are selling products for more than you would pay on ebay, or amazon, how are people on ebay and amazon making money? Where are they getting their products?
Is it a matter of scouring a wholesalers catalog until you find something that actually has some profit margin left over after you pay all of your shipping/dropshippingfees/ebaylistingfees? Is it a matter of different wholesaler's having the true rock bottom price on their niche products?
does dropping $269 on a sourcing service like worldwide brands take alot of the guesswork out of finding items that are actually profitable?
I know this is a whole lot of question, but any help would be much appreciated.
Thanks,
Patrick
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05-08-2008, 03:32 PM
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#2 (permalink)
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Junior Member
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Patrick,
I have not been active as an online dropshipper, only a small-time ebayer. However, I have been doing some research on the web trying to find out what people are saying about the various drop-shipping services out there. From what I have gathered, some are clearly scams and some are really just middlemen out to take your profit away from you. If the pricing on your wynit.com source is similar or higher than what items are selling online, then you are not dealing with the actual dropshipper, but a middleman posing as one and sourcing out to the actual dropshipper of the products. He is tagging on the profit that you are trying to bag. What the "experts" are saying is that you need to do some serious research by finding your product choices and contacting the manufacturers who will then in turn give you the authorized wholesalers they sell to. Then you can find one or more that will be willing to drop ship for you. Many of the legitimate dropshippers who are in fact selling at true wholesale prices do not have web sites to advertise for them, so just doing searches on google, etc. will probably only give you the scams and middlemen.
From what I have found, most negative info out there about Wordwide Brands is from sceptics who haven't actually tried them yet. Also, you can't just go on WWB and pick a product and be making money next week. There is a bunch of competition out there, they are the most widely used sourcing service. So there are a lot of people using them for the products their 9,000 suppliers sell. Most of what I have seen from people who have used them, is that they are in fact worth the money. You will have to do some digging to find a niche market for a product or group of products that will likely sell. They do have a market research feature that comes with your lifetime membership that automatically "spiders" the keyword searches on ebay and major search engines that pertain to the product, so you can get an instant reading of the profit potential. It even examines what that product is selling for on ebay.
So, from what I have been able to ascertain, WWB is a great service and worth the dough. One big thing is that they have no additional monthly fees or charges. You pay the initial 249 or whatever and that's it....you can't say that about other sites.
I am going to join as soon as I have the extra cash!
I joined Doba.com about two years ago on a free trial and canceled because I couldn't find anything priced low enough to make money on, like what is going on with your wynit.com, it seems.
I hope this helps. Others may have more to say on this.
Jon
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05-08-2008, 04:11 PM
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#3 (permalink)
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Junior Member
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Also, Patrick....one more thing....
It does seem to be true that the quality of the suppliers that WWB lists is high. They apparently have a strong screening process and they keep the list up-to-date while adding new suppliers every day. According to what I've read, you should be able to find products to sell that you can make money on. What I said about doing your own research via manufacturers blah...blah... would be only if you don't want to spend the money on something like wwb. I don't know much about any of the other services out there, but if I find something that looks good I will pass it on.....
Jon
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05-08-2008, 05:07 PM
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#4 (permalink)
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Junior Member
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Patrick
I manufacture products for an Online store. Most places I have been in contact with in the US are comfortable shipping to other than the billing. Outside the US its another story. The biggest issue with dropshipping for other companies is liability should the package get lost. Just make sure everything you are having drop shipped has good tracking information and there should not be an issue. As well depending on the relationships you can make with your supplier you can usually work out factory direct drop shipping. Very cost effective!!
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05-09-2008, 11:36 AM
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#5 (permalink)
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YE Veteran
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The answer is simple Patrick..
The people that have lower prices on ebay are buying bulk in wholesale from places like wynit. That means Wynit can offer them a much lower price than someone drop shipping. Drop shipping single items take extra time and money for the company. They have to pay someone to break up a pallet and rebox 1 item to ship to one customer. That's a lot of work to sell 1 item.
While people that buy in bulk wholesale order a pallet or carton of goods. The goods don't have to be broken and resold in single units.
An example would be if you drop ship an item that costs $100. You pay 5 dollars for the drop ship price and 5 dollars for shipper. There is 10 dollar extra just in drop shipping fee. If you drop shipped 100 of those items, you would pay $1000.00 extra in drop shipping fees on top of paying a flat rate price for the item.
But, someone buying wholesale who orders 100 units up front will probably pay about $50-$80 per unit(the more you buy at once, the better deal you get). Then you pay $100 total for the company to ship it to you. You save $900 in shipping/drop shipping fees(because as you know, the customer always pays for shipping). And you save 25%-50% off the product for buying a large quantity at once.
P.S. I use wynit and they are great. But you have to buy in bulk in order to compete with the people on ebay.
Let me know if you need any help.
Quote:
Originally Posted by pturbiville
This is my first post to your forum and I am just getting started selling on the web, so bear with me:
Like many of you I have googled around searching for dropshippers in order to sell products on ebay, amazon, my own web site, etc.
I stumbled upon the names of some legit wholesalers who dropship in these forums.
The one I have been in contact with is wynit.com.
They seem totally legit. They are free. They require you have a valid sales tax/reseller's certificate.
They have tons of good products (mostly electronics), but there is a catch.
While a lot of the prices are significantly lower than the prices of Best Buy and other large retailers (leaving a nice profit margin), the prices are about equal to, and sometimes significantly higher than, prices listed for new (not refurbished) items on various web markets (ebay, amazon, etc.).
So, if legit wholesalers are selling products for more than you would pay on ebay, or amazon, how are people on ebay and amazon making money? Where are they getting their products?
Is it a matter of scouring a wholesalers catalog until you find something that actually has some profit margin left over after you pay all of your shipping/dropshippingfees/ebaylistingfees? Is it a matter of different wholesaler's having the true rock bottom price on their niche products?
does dropping $269 on a sourcing service like worldwide brands take alot of the guesswork out of finding items that are actually profitable?
I know this is a whole lot of question, but any help would be much appreciated.
Thanks,
Patrick
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05-13-2008, 07:53 PM
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#6 (permalink)
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Junior Member
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Great questions and most importantly you've made an excellent realization. You do have to do a bit of research "scouring a wholesalers catalog until you find something that actually has some profit margin left over after you pay all of your shipping/dropshippingfees/ebaylistingfees." It can be time consuming but once you find your niche you can be successful at selling products online.
__________________
DropShippingWholesalers.com - Quality Drop Shippers plus Your Own Turnkey Website Business
Over 500 Quality Wholesale Suppliers & Drop shippers!
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05-13-2008, 11:55 PM
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#7 (permalink)
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Senior Member
Location: Bay Area, California
Total Points: 9,823.87
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Quote:
Originally Posted by dropship
Great questions and most importantly you've made an excellent realization. You do have to do a bit of research "scouring a wholesalers catalog until you find something that actually has some profit margin left over after you pay all of your shipping/dropshippingfees/ebaylistingfees." It can be time consuming but once you find your niche you can be successful at selling products online.
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Your website looks like a typical scam website.
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05-20-2008, 05:46 PM
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#8 (permalink)
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Junior Member
Location: Southern California
Total Points: 684.98
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Patrick,
In order to find a legitimate drop-shipper you do really need to do the scouring and everything as you said before however you can also come across the websites like the one above which does, as said before, look like a typical scam website. I am a member to World Wide Brands and i absolutely love it. They have a VERY excellent service and very good database to search for what you want to sell. What i would recommend doing is saving up some cash to drop on a membership for World Wide Brands and use their service because it really is good.
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05-22-2008, 09:16 PM
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#9 (permalink)
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Member
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NEVER PAY COMPANY FOR MEMBERSHIP, your buying products to re-sell so you can make money not other way around. Go to conventions, and shows that have wholesalers depending on your field your in. You need sales tax id, or EIN #.
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06-04-2008, 07:54 PM
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#10 (permalink)
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Junior Member
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As we know, if we sell on ebay,we must need a good dropshipper.So the informations of dropship is very important. Here I can state my ideas as below:
The Benefits of Dropshipping
This allows you to sell a broad range of products with no investment.
There is no expensive inventory or warehouse to maintain.
You do not have to take the time to package and mail the merchandise.
You also do not have packaging material expenses when dropshipping.
No minimum order. Buy as little or as much as you like.
So this is my opinion, if you are aggree with me,you can try the website in my signature
__________________
www.china-dvd-cd.com is a professional dropshipper and wholesaler of DVDs who supply with the dropship expreience about 8 years and win the good reputation on this line.
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