What Is Drop Shipping? The Perfect Solution
Drop shipping one of the greatest business innovations since products. Seriously, don't laugh! I'm not joking! With what other service can you use another company's products, their warehouse, their shipping department, and have them provide you with all the information you need? Do you see what I mean now? Every entrepreneur who is looking for the most efficient way to sell products over the internet should be very enthusiastic about drop shipping. It finally allows you to sell nearly anything you want, be it computer equipment, toasters, billiard tables, even planter pots, all without having any inventory. And do you know what zero inventory means? It means less risk! The only time you ever buy any products from the wholesaler is when you have already sold it to a customer! And the best thing is (or should I say, another best thing), the wholesaler packages it up and ships it out to the customer for you, and usually your business name is on the box! As far as the customer knows, you have a warehouse full of products. When you sign up with a wholesaler, they will most likely ask you for your tax license number, or a faxed/emailed copy of it to prove you are a legitimate business. If they don't ask you for this, they are either a very small wholesale company with a specific niche of products and just want to make the process easy for their clients, or they are not a real wholesaler at all. If you ever come across a "wholesale" company that carries tons of items, ranging from Barbie's to hair dryers, and they say that you don't need to have a tax license to deal with them, then be very skeptical, because 99 to 1, they aren't a wholesale company at all. That sort of company will just take your order only to turn around and order it from the real wholesale company at a much lower cost than you paid for it (and they did have to get a tax license to do this). It doesn't stop there either. Since you bought it at a higher price, you will need to pass this on to your customers by marking it up higher than you need to. And if you ever needed or wanted to, you would have less margin when lowering your prices to match or beat your competitors. And your competitors would probably have a tax license, so they would be dealing with legitimate wholesalers. Seriously, be very careful about this, there are many wolves in sheep's clothing out there. So skip the middleman, get your tax license, get legitimate and you will save yourself a lot of grief and money. Once you make an account with a wholesaler, some will mail you a wholesale catalog and price list in the mail with a CD full of product images to use on your website. The smaller companies will just allow you to copy the pictures and descriptions off their website. With this product information, you can post the products to your online store and wait for orders. It's as simple as that! Then, when a customer places an order, you either call, email or fax your contact at the wholesaler and give them the customers name, address, and the items they want, including any other miscellaneous information the wholesaler may want. The wholesaler then charges you for the cost and shipping of the order at wholesale price, then packages it up and sends it off to the customer. All you have left to do is turn back around and charge the customers credit card for the items with your profit margin markup. The reason this is growing in popularity amongst wholesalers is because they get to have many other companies market and sell their products, thus reaching more people and selling greater volumes. The wholesale company is still able to sell their products for the price they want, and you get to keep the profit margin as a reseller. It's a win/win situation. Drop shipping is enabling the average person to be able to run a successful, full service online retail store from the comfort of their home. Zero inventory, no shipping department, only buy when you have already sold -- this is the perfect affiliate program. Copyright © 2003 by Palyn Peterson About The Author Sign up for Palyn Peterson's FREE 13 day intensive email course and discover the 16 necessary basics and 8 advanced internet marketing techniques. You'll also receive a free $gift$. http://FutureInternetMarketing.com/guide.htm palyn@futureinternetmarketing.com
Related News
|
 |
|
|
RELATED ARTICLES
Internet Marketing Success is a Cumulative Effect
Being successful at Internet marketing does require doing the right things, like search engine optimization and targeted online promotion. But assuming you are already doing these things, the real secret to success is to just do something?anything?everyday to push your website a little further along the road to growing your business.
Dumb Money And Smart Money
One of my goals online is to give you the total picture and tell you everything you need to succeed in your own Internet Marketing Business.
Making Money in the Online Dating Gold Rush of 2004
Have you noticed the explosion of Websites related to love, sex, matchmaking, relationships, etc.? They're popping up all over the place. Why the sudden popularity you ask? Well, the reason for this "gold rush" towards Online Dating & Relationship Oriented Websites is really quite simple: people are making a lot of money with them!
Physical and Mental Fitness for Internet Marketers
As you may have already read in our article "Health effects of internet marketing", internet marketers are particularly prone to a number of negative health effects due to the long hours and significant effort necessary to develop and maintain an online business. Those who choose to do so at the end of an already long working day are perhaps more at risk than most and could therefore benefit most from an improvement in both their routine and their environment.
Rocket Your Online Business into the Stratosphere with Captured Leads!
NO matter what business you are trying to build online, you will need sales leads if you are ever going to make sales, and sales leads are what you are trying to generate if you are marketing on the internet. In order to survive, any web site needs a steady flow of qualified leads.
Internet Marketing: The Secret Magic Of Converting Your Website Visitors To Buyers
It is not enough to set up a website to promote
your product.
To Survey Or Not To Survey
I have learned over the years that when it comes to online marketing as I know it, it's not about what I want in my business. It's really about what people who visit my website want. For awhile I didn't understand that philosophy. How do I find out what people want?
The Reality Of How To Make Money In An Online Business
"Making money online quick and easy" seems to be the buzz
word today in the home business and money making arena
online these days. It would seem at first glance that
making money online seems to be a very simple thing.
However, as most internet marketers would tell you, this is
not true as making money online is a serious business and
hard work has to go into it.
Information - The Art Of Selling
Money may well make the world go round, but facts, details and data oil the machine that beats at the heart of it. We supposedly live in the age of information, yet many of us seem unable to use it to its full, and allow ourselves to drift along on a sea of missed opportunities.
Seven Golden Rules Of Internet Marketing
"Do unto others as you would have them do unto you." How many times have we heard that Golden Rule? And certainly it is golden, and a good rule to live by! But with all due respect, God never had to market on the Internet! And there are probably more than seven solid principles we should all be following, but these seven should get you well on your way down the "Golden Path to Prosperity." So let's get started!
Using This One Simple Word Helped Triple My Sites Profits
This article is very important.
Discover Which Sales Triggers Are Most Effective When Mixed With SEO!
We all know the importance of gaining top visibility to a specific target audience on the major search engines. After all, you really need qualified traffic or those who are actually searching for goods and services that you are offering. While most of the time, we teach folks about the importance of doing good keyword research and/or behavioral research to ensure they are attracting an "ideal" target audience, there is another more natural aspect that I'd like to just touch on here.
Think Your Way to the Gold Online!
If you have ever wanted to know HOW the Internet Experts
make money on the Internet, then this article could be the
most important report you have read this year!
What Great Online Advertising Really Is!
Many business people have a distorted view about the distinction between sales & marketing. The common view looks something like this. "Market by advertising to get your name out there, so that people will be familiar with you. When they need what we're selling, they'll know who to call".
Five Proven Methods For Increased Internet Sales
There are hundreds of ways that you can promote your
online business or website, some more effective than
others. These five proven methods will help you to
generate traffic to your site and also to generate
income into your wallet.
3 Steps To Online Marketing Competence!
Whoever said knowledge is power, was wrong.
What Rich Internet Marketers Know That You Dont
Thirty years ago, I sold information via small classified ads in "ad-sheets" on how to make money teaching others how to make money. We sent out these packets of flyers called "Big Mails." We sent them to people who answered out ads and sent us the postage or a self-addressed stamped envelope.
3 Services Your Online Business Cant Live Without
It doesn't make any difference if you're promoting your own product, affiliate programs or MLM programs, there are 3 services your business can't live without.
Building Community Websites = Success Online
In this article I will discuss how important is it to build community websites rather than straight forward sales pitches. Selling online is about bringing people together, not about stuffing products down your visitors throwts and expecting them to buy from you.
Road Map to Internet Marketing Success
Today, the internet has become part of our life. We communicate, trade, and find entertainment over the internet. It makes our life simple, easier and get faster communication. Evertyhing is done by one simple click.
|
