Drop Shipping Business Ideas
Have you been searching for products to drop ship
? Considered starting a drop shipping business? Tried and failed to drop ship products on eBay? You're not alone. Thousands of people attempt to get into drop shipping every day. It's a great small business for individuals and those with a very small startup budget. Since you don't need to stock any inventory, you can sell products with only a small investment up front. You're essentially marketing products for a wholesaler or manufacturer, and taking a cut of each sale. Because the barrier to entry is so low, drop shipping has exploded in popularity over the years. Some of the largest and most successful companies on the web utilize this method to supply inventory to their customers.
Unfortunately, the drop shipping industry is very complicated and packed full of scammers, middlemen, and people who want to rip you off. It has become so bad that most people consider drop shipping a scam or pyramid scheme at this point, which is sad. There is literally and entire industry of people that prey on new drop shippers. They disguise themselves as 'wholesale suppliers' or 'drop ship suppliers' and sell products to new drop shippers via neat subscription sites. Most times they charge monthly fees or will even provide you with your own online store to sell their products. Sounds great right? The sellers will later find out that the 'wholesale' prices are marked up and the products are completely saturated. Your profit margins are crushed by the marked up 'wholesale' cost and your competition is enormous because everyone else is using the same product source.
To top it off, most new sellers head to ebay where they will pay ridiculous fees to list and sell products. Any chance they had to make money is crushed by all the fees they have to pay just to sell the product. Not to mention there are thousands of others selling the same junk for less money. It's a classic story that happens to about 99% of new drop shippers.
If you really want to succeed in this industry, you need to think outside the box. There are many people who make a very good living this way, but they aren't doing what everyone else is. Not even close. To succeed, you need a strong business plan. This type of eCommerce is all about marketing, and without a good marketing plan, you're going nowhere. Then it simply comes down to sourcing products, getting them in front of customers, and making money.
by: Aaron Landry
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