Can You Make Money Using a Dropshipper?
- There are many dropshippers from which to choose. Start your selection process by first searching for a supplier. Look for both manufacturers and wholesalers as viable supply sources. Find those that allow you to order single units of products, as your customers purchase them. Look for these suppliers in the display or classified sections of various trade magazines, according to "Business Know-How" online magazine. Search eBay for potential suppliers, especially if you are an online retailer. The site lists many wholesalers who are looking for distributors. Look for copies of the "Thomas Directory of American Manufacturers" in your library. "Macrae's Blue Book" is another reliable source for manufacturer suppliers. Once you locate suppliers that sell the products you want to sell, ask if they drop ship products. Select the one that offers you the lowest unit costs and shipping times.
- Now that you have a reliable, low-cost dropshipper, decide how best to market your products. Successful selling methods can include online retailing, door-to-door sales, the party method, trade shows and even flea market sales. Choose a method that best fits your personality. For example, a shyer person may enjoy more success selling his products from classified and display ads. You do not have to limit customers to just a retail setting. Sell to other wholesalers if your dropshipper provides you with a large enough markup, the difference between your price and the retail price. Wholesalers will order products in higher volumes, which translates to larger profits for you.
- Your success in using a dropshipper will largely be contingent upon timely shipments to customers. Therefore, follow up with customers to make sure they receive the shipments. The best way to follow up with customers is to obtain their phone numbers in advance. Call them shortly after they are to receive shipments. Ask them if they received the merchandise on time. You should also check to see if they received the correct merchandise and if everything arrived in good condition. Assuredly, customers will also call you if they have problems. Just take the extra initiative to ensure their satisfaction.
- Strive for repeat business when using dropshippers. Send a flier and catalog to your dropshipper when you mail each customer's order. Normally, you would send a shipping label and payment along with the customer's name, address and what they ordered. Instruct the dropshipper to mail your catalogs and brochures when they ship the products out. Also, keep a computer database of customers. Send various promotional materials to them every month or two. Inform them of new products. Offer special deals at Christmas time. Developing a large, satisfied customer base is the best way to make lots of money using a dropshipper.
Selecting the Right Supplier
Choose the Best Promotional Methods
Monitor All Shipments
Build Repeat Business
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