What I have found from trying dropshippers in the past...
Is that there is always someone willing to sell for a smaller profit margin than you are. They say not to simply compete on price, but when everyone sells the same items from the same dropshipper, there's nothing else to compete on. The average person won't say hmmm, Here's one of these for $200, nah, I will go buy the other one I seen for $300. It just doesn't work that way.
What I have found is 90% of the items I wanted to sell from a dropshipper, exact same items were being offered on eBay for about HALF of the so called "wholesale" price.
You have to keep in mind, that regardless of what your margins are, eBay gets around 15% straight off the top. So, you have to make 15% (3% to paypal) on an item JUST TO GIVE EBAY THEIR BLOOD MONEY! Then that leaves you at zero gain. So, you have to try to make 30% on every sale or you don't even make as much as eBay did from you!
I am afraid that actual wholesale suppliers are a tightly kept secret. If people are selling something for half of the asking price of a dropshipper, you know the wholesale price is much lower. There's just something that doesn't add up to a fair deal.
There is a lot of hard work ahead of you if you wish to secure a piece of the consumer goods pie through dropshipping. It may not be impossible, but you have to run a huge volume to even stand a chance at making anything, and the truth of the matter is, eBay isn't what it used to be. It's drying up. It is maybe half of what it was 5 years ago. Virtually all my customers have less than 100 feedback and have only been there a year or two. What's happened to all the old eBay users? Did they get fed up with eBay?
Unless you have something of your own to sell. Unless you make something or produce something, I don't know that there is a legitimate eBay solution that will allow you to compete with acceptable margins. And yes I mentioned the word scams, but what else can you call it where eBay makes more than the average dropship seller?
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