Home > Pros and Cons of Drop Shipping Wholesale Products
Pros and Cons of Drop Shipping Wholesale Products
By: Chad Pettit
Drop shipping is a hot topic these days and a lot of people are looking into it as a method to supplement current income. A drop shipper is a product supplier who is willing to ship individual orders. Usually when products are purchased for resale, you have to buy them in bulk quantities, have them shipped to you and then ship them out to your customer. Wholesale drop shippers are the exception as they do not have minimum purchase requirements and will ship the item directly to your customer when an order is placed.
Pros and cons of using drop shipping services
Some of the pros:
* Your site can be open for business very quickly.
* No need for your business to stock inventory, eliminating a significant cost for your business.
* Since no product needs to be stocked your merchandise can never go 'stale'.
* Many drop shippers will also sell to the etailer in "light bulk" (units of 500 or less), allowing the etailer to do his own fulfillment.
Some of the cons:
* Know there are a lot of scams and poor lists of drop shippers out there, and get one that is regarded as credible.
* Since you do not own the inventory, typically you can not control packaging and can not include coupons or offers to boost return business.
* Different companies may have different fees for drop shipping, so research is required. You do not want shipping costs to be so high that it turns away customers.
* It is harder to get as good a deal on products because as orders are usually one at a time as opposed to buying in large quantities.
* Selling multiple products from multiple suppliers can result in a significant drop-ship fee for the customer.
* Many suppliers that provide drop-shipping services also provide various ways to integrate their products into your website. Be sure to research before beginning any partnership as there may be fees involved.
Drop shipping wholesale products can be a great way to supplement ones income with little overhead and no stocking or warehousing required.
Should this be a method you are considering here is a place which has done all the leg work for wholesale suppliers.
Good luck and happy drop shipping!
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