The reality of eBay dropshippers… Several years ago when people first discovered drop shippers as a means of selling items on eBay there were pretty good margins on some of the products. However, now everybody knows about dropshippers and there are so many people trying to sell dropship products on eBay.
You cannot escape the basic laws of supply and demand…If there is one or two suppliers of a product on eBay and the demand remains constant then these suppliers will have a pretty good shot at making money…If there are hundreds of suppliers and demand is constant these suppliers will lower prices in attempt to hold onto their market share.
The barriers to entry in setting up an account on eBay are relatively low. The startup cost of opening an eBay account is actually zero – it just requires some time.
Therefore if a supplier is making money selling an item on eBay other people will start to offer that same item on eBay. You combine that with the ease of obtaining products from dropshippers and many suppliers can start offering the same product relatively quickly.
That being said we still had some luck with some of the eBay dropshipping guides that are for sale on the Internet. However, some of our higher profit margin products came from relationships that we started on our own.
So what we did was find a product that we liked first, then contacted the manufacturer.
There are several ways to find a potential product to sell on eBay…Here is just one method.
Become a trading assistant and start selling other people’s stuff for a commission. The benefit of doing so gives you exposure to products that you might not have thought of previously.
We did this and discovered a few products that never would have thought of selling on our own.
The next step is to call the manufacturer…Before making the call try and get out of the eBay dropshipper mentality. Many manufactures will not want you to sell their items on eBay because they want to protect their brand image and they want to protect their marketing channel (such as established retailers)….I only know this because I have called a lot of manufacturers.
So, when you call the manufacturer it is not always a good idea to say “Do you dropship because I want to sell your products on eBay?…Instead you could start the conversation more like this..
You advise that you are in the process of opening a business in whatever niche this product is in and you would like to know the process of becoming a reseller. You could also ask if they prefer you to buy directly from the manufacturer or are there distributors that you can buy from as well. Then you can ask...By the way do you have a drop ship program.
Find products to sell on eBay...Find out what type of products you should look for...plus a high risk case study on finding a product to sell that paid off...How to find ebay dropshipers and wholesalers Free report that will not be free for long
Article Source: http://EzineArticles.com/?expert=Stan_Brodka
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