I will show how dropshipping on eBay can help you start your own business and by selling on eBay with little money and no upfront product inventory.
What is dropshipping?
You start by selling and selling a product on eBay FIRST!
Once you sell your product, THEN you go to your source, let’s say Walmart or Amazon (with the money you just got from the eBay buyer)
You then buy the items you just sold and ask to be delivered to your eBay customer’s address instead of yours.
You keep the difference between the selling price and the product cost.
Simple isn’t it?
Now to your questions.
-“But why would someone pay more to buy on eBay instead of going directly to the same source I am buying from?”
For the same reason, you go to a search engine to find something you believe is the best place. For example, you go to google.com and find what you are looking for. Do you keep searching on other engines like Bing or Yahoo?
Very few people do. If you like one search engine you usually stick with it.
As a SELLER, you are competing inside the platform with other sellers and not between platforms.
Second, there are dropshippers on all platforms, including Amazon. I need to tell that
Amazon is not always the cheapest and there are thousands of sellers dropshipping there as well using other retailers. I will show you in a separate video example of dropshippers on Amazon, just to show that dropshipping is booming.
-“What to do if the buyer sees a branded box or the invoice from amazon or Walmart?”
This is another fear.
Very few people care about the box and most believe we just reused it.
It is also a legitimate business to store your product at Amazon warehouse and ship it to other buyers. I did manage a Fulfilled by Amazon business (aka FBA) and shipped the items to my eBay buyers.
I just tell the buyers I have stores in several market places.
About invoice or receipt inside the box.
You can simply mark it as a gift and no invoice will be sent.
Several orders do not include an invoice and in the very few cases of complaining, I just deal with the partial refund if necessary. Do buyers really remember or check how much they paid for every order? Very very few do.
Does dropship really work and can I still make money?
Yes, and yes. I did start just a few years ago and grow to sell $60K a month only as a part-time business.
There are several different ways to grow your business such as:
Wholesale dropship
Retail dropship which I show here in this channel
Private label dropship to different market places
From here you can really expand to other selling strategies.
I will further explain these different forms in a future video
Retail dropshipping has been around for a while and will continue to exist.
Retail dropshipping is an excellent way to start selling online with little money and risk.
Advantages of dropshipping.
Sell first and buy later. No inventory and all the problems of having one.
Get paid immediately and buy your product later. No upfront money or cash flow problems.
Very little initial investment to cover some basic automation software until becoming very profitable.
Can be a great starting point to expand your first business into other areas.
Disadvantages
It requires work to establish a store with good selling items and customer service. This is not for scammers.
Low barriers to entry. Most people with perseverance can build it. So competition, in the beginning, is stiff.
Retail dropship is against some terms of service and you might have your accounts closed.
Action: what the next video what you need to start selling and making money on eBay.
If you have an eBay account login and check your selling limit.
