There are many dropshipper
pitfalls that you
must be aware of as you start or expand your online business with a wholesale dropshipper.
The first thing to remember is that it is your reputation and not the
dropshipper's that is being seen by your customers. If you do not have
a good relationship with your dropshipper, you open yourself up to
loosing business from your customers, especially repeat business which
is going to be the lifeblood of any Internet retailing endevour. This
is the greatest dropshipper pitfall.
Even the best wholesale
dropshipper will have
situations of stock out. To avoid this dropshipper pitfall, you need to
do the extra work of checking the stock availability of any items you
are selling. If you are using eBay as your selling point, this stock
problem can be intensified. When you put up your dropshipped item up
for bid, there is a time factor until the item bidding is closed. Add
to that the time it takes for your purchaser to get the money to you
and you are setup for this stock out dropshipper pitfall. If you are
selling through your own website, you will want to check almost daily
for the stocking levels so that you do not loose your customer due to
this dropshipper pitfall.
As you set up your Internet
try to avoid the next dropshipper pitfall. Set yourself up with a
wholesale dropshipper, not just a dropshipper. What we mean by that is
there are many "middleman" dropshippers that actually dropship for
you from wholesale dropshippers. They, of course, take a cut of the
money for their service. This may not be a great problem for you as
these dropshippers such as Doba
or even Wholesale-Portal
services such as training or online store hosting beyond the dropship
itself. So, although you will not be getting the profit that you would
using a wholesale dropshipper directly, this may not be a dropshipper
pitfall for you if you will be using these added services. Evaluate
what is offered by these "middleman" services and decide for yourself
if the lower profit margin is really a dropshipper pitfall for you.
Avoiding the "middleman"
dropshipper pitfall can
leave you with the problem of locating a wholesale
This is easily (although usually not free) taken care of by using a
dropshipper list directory service. These websites such as World Wide
Brands organize wholesale dropshippers by various categories
you search out a wholesale dropshipper for the items you are
interested. You then can setup your contacts and get accepted by the
dropshipper for doing business. Another good site for a wholesale
dropshipper list directory is Hienote Inc.
They work to keep up with
the merchandise trends and try to find the best wholesale dropshipping
sources. Although both of these sites require a payment to join, it is
well worth the signup fee to avoid this dropshipper pitfall.
If we think of a wholesale
dropshipper as a
distributor, remember that if you find an item that is selling well for
you, you should see if the manufacturer will dropship for you directly.
If the item is selling very well, you might even want to go the light
bulk delivery route and begin stocking the item yourself thus saving
even more costs. This solution (if it is viable for you) later in your
Internet retailing business avoids dropshipping altogether so no
So to sum up here are a few
things you can do to avoid dropshipper pitfalls:
- Have a good relationship with your dropshipper. (Your
smooth sales are your reputation)
- Do everything you can to ensure no stock outs of your
- Unless you are taking advantage of extra services,
avoid "middleman" dropshippers
- Join and use a wholesale dropshipper listing
- As volume permits, try to dropship from the
These are just a few of the
possible problems that should not out-weigh
the benefits of wholesale dropshipper service. Just keep them in mind
and try to avoid these dropshipper pitfalls.