Saturday, June 27, 2009

Wholesale Dropship eBay – Is Wholesale Dropshipping The Best Approach For eBay?

The best way to make money on eBay is through wholesale dropshipping as it allows you to buy products for a cheaper price and substantially increase your profit margin.

Wholesale dropshipping allows seller to sell a wide range of products on eBay that they do not manufacture or store themselves. Even though it is a highly profitable approach to making money on the internet, but not many people are aware of its benefits, let alone knowing how to take advantage of these benefits.

Using wholesale dropshipping for eBay is a great way to save money; avoid all the hassle involved in maintaining stock and its distribution, along with increasing the profit margin per product. This is possible due to the fact that the production or storage of products is done by the drop ship distributor or manufacturer, who also takes care of the distribution function for the retailer.

This save you from spending money and putting in effort into maintaining inventory or stockpile, or spend any money of the distribution of products to the customers. The goods are shipped to the customer by the dropshippers on behalf of the retailer. In short, dropshipping is an arrangement between the retailer and several suppliers, which offer products for wholesale price to the retailer who sells it for a higher price, and relies on the dropshippers for product delivery to the buyer. This allows the retailer to increase the price per product, as well as avoiding storage and inventory costs.


There are three factors that affect the profit of retailers when using wholesale dropshipping. First of all, the dropshippers should be reliable and authentic. Secondly, the dropshipper should ensure that quality products are shipped to the customer in timely manner. The retailer should also be aware of which product is selling the most or the demand of a particular segment of the market.

It is necessary to be aware of the prevailing wholesale and retail market prices in various key locations so that there is no risk of being offered the wrong price by wholesale dropshipper to sell goods on eBay. Finally, you need to maintain good relations with both customers and the suppliers.

It is a known fact that retailers should have a long list of suppliers who are able to supply a variety of products in different segments of the market. There should also be good support systems, such as technical assistance from experts, forums, and reference materials.

The only problem surrounding dropshipping is finding reliable and authentic dropshippers for your business. This can be easily done through the use of a dropshipping directory that offers you a huge list of authentic and reliable suppliers.

Salehoo is a great source for finding supplier that makes wholesale dropshipping on eBay simple and highly profitable.