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Five Things To Consider When Choosing a Drop Shipping Provider
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Five Things To Consider When Choosing A Drop Shipping Provider

When Opening An Online Store, The First Thing You May Consider Is Drop-shipping. Before You Look For A Potential Supplier, There Are A Few Things To Consider, As Your Choice For A Supplier May Have A Great Effect On Your Income And Revenue Stream. Generally Speaking, Your Main Goal Is To Find A Good, True, Wholesale Supplier, Which Might Prove Difficult Due To The Fact There Are Many Retailers Posting As Wholesale Suppliers, A True Wholesale Suppliers Buys Directly From The Manufacturer And Offers Much Better Pricing.


How To Spot A Fake Drop-shipping Retailer

Unfortunately, Mainly Due To The Fact That True Wholesalers Are Not Too Good With Marketing, When Searching For A Supplier, You Will Mostly Find "fake" Wholesalers. The Following Tips Will Help You Discern The Right Ones, From All The Rest:


Ongoing Fees – Real Wholesalers Don't Charge Their Customers For The Mere Privilege Of Doing Business With Them. The Rule Of Thumb In This Case Is: If The Supplier Wants To Charge You For A Monthly/annual Membership Fee – It Is Likely Fake.


Pre-Order Fees – Standard Issue In The Crop-shipping Industry Is A Pre-order Fee, That Can Range Between 2$ - 5$, And Sometimes More, Depending On The Size And Complexity Of The Items Being Shipped. This Is Due To The Fact That Packing And Shipping Individual Orders Costs More Than Shipping In Bulks.


Selling To The Public – True Wholesalers Do Not Sell To The Public, And Work Exclusively Via Third Party Sellers.


Minimum Order Size – Some Suppliers Will Require A Minimum Initial Order Size, This Is To Weed Out The "Window Shoppers" That Will Waste A Lot Of Time And Effort With Small Orders, But Will Never Translate Into A Meaningful Business. To Bypass This, A Great Technique Is To Offer Pre-pay To The Suppliers, For The Amount Required To Meet The Minimum First Order, And Build Credit With The Supplier To Apply Against Future Orders. This Way, You Do Not Have To Make A Large First Purchase Without Any Corresponding Customer Orders.


So, All That Being Said, How Do We Find The Right Supplier?

Let Dive Right Into It, Shall We:


Number #1 – Know The Industry

Different Industries, And Different Types Of Businesses, Have Different Supply Chains. Know Your Place In This Chain, And You Can Find The Ones That Will Provide The Right Type Of Solutions For You.


For Instance, If You Are Opening A Comic-book Business, You'll Probably Find One Or Two Suppliers, Each With Their Own Dedicated Field Of Expertise. On The Other Hand, If You Open A Large Computer Store, You Will Certainly Come Across Quite A Few Suppliers, That Each Have A Large Variety Of Products.


Number #2 – Contact Manufactures

Meaning, Before You Go Forward To Middle-men, Try Contacting The Manufacturers First. You Might Find They Also Drop-ship Themselves, Or Rather They Can Point You At The Right Direction And Direct You To Their Distributers.


First Thing's First – Make Sure They Drop-ship. State Your Goal Clearly Right At The Beginning, So If They Do Not Operate The Same Way There Is No Harm Done, And No Binding Contract. There Are Three Optional Routes:


1.       They Drop-Ship – Wonderful! Just Make Sure You Ask About Their Minimum Requirements, And Minimum First Order Size, And You're Good To Go.

2.       They Don't Drop-ship – No Big Deal, Perhaps They Can Point You To Their Distributers.

3.       They Don't Offer Their Products For Resale – Oh, Well, At Least Now You Know. Go On To The Next Option.


Even E-stores, With Their Own Inventories And Products, Contact The Manufacturers First. So, The Logical Way To Go Is To Do So Yourself.


Number #3 – Old Fashion Never Goes Out Of Style

Most Manufacturers Don't Know, And Don't Care, About SEO. Their Websites Look Like Monuments From The Pre-google Era. This Means That While You Still Might Find A Few Gems On A Casual Google Search, Written Media Is Still Your Best Friend. Go For Newsletters And Magazines Related To Your Industry, Those Manufacturers Are Probably All There, Looking For People Like You.


Also, Try Attending A Trade Show Or Conference, Many Manufacturers Show Upon Those Occasions To Display Their Wares And Perhaps Catch A Few Second-hand Retailer Contracts.


Number #4 – Google Might Still Be Proven Useful After All

Yes, It CAN And WILL Be A Long, Frustrating, Process. But There Is Still A Good Probability To Find A Good Wholesaler On A Great, Focused, Google Search. As Previously Mentioned, Most Manufacturers, And Wholesale Suppliers, Have Very Bad Looking, Very Non-interactive Websites, And Generally An Awful Presence On The Web. However, You Might Still Find A Way To Contact A Good Supplier, Or Even Find One That Has A Descent Website You Can Use To Contact Them, With A Precise And Good Search. Try Including The Words: "wholesale", "dropship", "manufacturer", "supplier", "distributer", "reseller", "ecommerce" Or "fulfillment" In Your Search, As Well As Terms Like: "wholesale Only" And "become A Reseller".


Another Great Way To Find Good Suppliers Is To Tailor Your Search By Location, That Way You Can Locate Suppliers That Reside Near Your Customers. Also, You Can Search For Websites In A Specific Country By Adding "" (for Websites In France, For Example) To Your Search Field.


Number #5 – Leftovers Are Always A Nice Thing To Have

After You've Compiled At Least A Modest List Of Possible Suppliers, It Is Now Time To Find Out The Rest Of Them To Complete Your List.


There Are A Few Curated Lists Available On The Web, You Can Pay To Gain Access To. Some Of Them Include A Few Outdated And Obsolete Entries, So Make Sure You Find A Good One So You Don’t Waste Your Money For Nothing.


Finally, You Can Use Known Sites, Like Alibaba, For Instance, To Complete Your Suppliers List.

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