Distributors

**pats4801** · 08-22-2010 11:01 PM

How do distributors like DandH work? What I mean is like what happens after I sign up? Are they good for reselling items on an e-store or is there not enough of a margin? Thanks

**Will** · 08-23-2010 05:58 AM

To be honest, the margins are going to be extremely low if not non existent. The fact is you aren't getting the items for a very good price at all, because they do all the work for you (sourcing, storage, packaging and dispatch). It is really easy to start up selling items through these dropship sellers, which leads to every man and his dog doing it, which leads to all the dodgy online sellers and poor margins if any.

I am partially generalizing here, as I do not know directly of DandH, but I get the drift of what they are doing, and it is pretty similar to the other online dropshipper/wholesalers.

**pats4801** · 08-23-2010 08:51 AM

Originally Posted by Will

To be honest, the margins are going to be extremely low if not non existent. The fact is you aren't getting the items for a very good price at all, because they do all the work for you (sourcing, storage, packaging and dispatch). It is really easy to start up selling items through these dropship sellers, which leads to every man and his dog doing it, which leads to all the dodgy online sellers and poor margins if any.

I am partially generalizing here, as I do not know directly of DandH, but I get the drift of what they are doing, and it is pretty similar to the other online dropshipper/wholesalers.

How low of a margin is it?