Drop shipping is quite simply one of the greatest business innovations since advertising! What better way than drop shipping is there to use another company's products, their warehouse and shipping department, and have them provide you with all the sales tools you need?
Dropshipping allows small businesses to easily and affordably move to a higher level of success. Drop shipping allows you to leverage another company's success to enhance yours!
Every business owner who is looking for the most efficient means to sell items over the internet should be interested in drop shipping. Dropshipping allows you to sell almost anything you want without warehousing any inventory.
And do you know what keeping zero inventory means? It means you take on less risk! The only time you ever have to purchase any products from the drop shipper is when you have already sold it to a customer.
And the best thing of all? The dropshipper packages the item, places your name on it, and ships it to the customer for you. As far as your customer knows, you have a huge warehouse piled high with these products.
When you apply to do business with a wholesaler, they'll probably ask you for your sales tax number, or maybe even a faxed or emailed copy of the license itself to prove that you're a legitimate business.
If they don't request this, they're either an extremely small wholesale company with a very specific line of products, or they're not a real wholesaler at all. They simply sell at retail and dropship the merchandise.
If you ever encounter a "wholesale" company that drop ships tons of items, ranging from dolls to appliances, and they don't request your sales tax number before they'll deal with you, then be very skeptical because most likely they aren't a wholesale company at all. As stated above, they just sell to you at the regular price and dropship the merchandise for you.
A company like this will simply take your order, then order the item from a real wholesale company at a substantially lower cost than you paid for it. And since you bought the product at a higher price, you'll need to pass this on to your customers by charging more than you need to.
And if you ever needed or wanted to lower your prices to match or beat your competitors, you wouldn't be able to do it. Your competitors probably have a sales tax license, so they're probably dealing with legitimate drop shipping wholesalers. You simply can't compete like that.
So be very careful that you really are dealing with a wholesaler who will dropship your products for you. Skip the middleman and get a sales tax license and you'll save yourself a lot of grief and money by being able to deal with a true drop shipping wholesale company.
Once you establish an account with a large dropshipper, they will probably mail you a wholesale catalog and price list with a CD-ROM full of product photos to use on your website.
A smaller company will simply allow you to copy the images and product descriptions off of their website. You place this product information in your online store and wait for the orders. Then you order the products that you sell and they're drop shipped directly to the customer for you. It's as simple as that!
Drop shipping allows the average person to run a successful online retail store from the comfort of his/her own home. There are no inventory or shipping hassles to deal with. Dropshipping is possibly the web's best affiliate program!
Palyn Peterson is the owner of Future Internet Marketing.
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