We all pretty much know that Ebay is this Internet phenomenon
that is making billions of dollars by hosting online auctions.
Basically, people post things they want to sell and buyers
browse the site for the things they want to purchase.
Eventually, buyers and sellers meet up and the bidding process
begins. But, the Ebay business website is also a place where
drop shippers come to unload their wares as well.
Drop Shipping Basics
The term has started to catch on in the mainstream but there are
still a lot of people out there that don't know exactly what
drop shipping actually is. Basically, drop shipping is sales.
Let's say that company A sells product X. Now company A does not
sell directly to the public but you can buy their products at
stores around the country.
But stores, like the Ebay business machine, operate to make a
profit. Therefore, they must charge more than they paid for the
product in order to make their profit. So, they either buy the
product X directly from the manufacturer or from a distributor
at wholesale price and then turn around and sell the product at
retail price. The difference between those two prices is their
profit.
In drop shipping, you become the retailer. The interesting thing
about drop shipping is you do not need a store or even an
inventory to sell your products. With the help of the Ebay
business machine, you actually don't even need a website either.
Drop Shipping Mechanics
So how exactly does drop shipping work? First of all, you find a
wholesaler that is selling products you are interested in
reselling to the public. After setting up an account with them,
they send you product descriptions of all their products or at
least those you are interested in selling. If you do not have a
website, you can post these product descriptions on the Ebay
business website.
When a customer decides to buy one of your great products, they
place an order and send their payment (including shipping costs)
to you via credit card. You pass this order along to the
wholesaler along with your payment.
The great thing about being a drop shipper is that this is where
your involvement ends! The wholesaler then processes the order
and then ships the product directly to your customer-but with
your company name on the packaging! The customer never knows
that they are actually receiving the product from a wholesaler
and you are pocketing the difference between the wholesale and
retail price! Could it possibly be any simpler?
By using Ebay to advertise your products and benefiting from
their incredible traffic flow, you are really reaping the
whirlwind at almost no cost and with very little effort. And
since retail price is roughly double that of wholesale, just
imagine the profits you can make drop shipping! No store to
maintain, no inventory to worry about, and no large investment
of money-this, friends, is the miracle of drop shipping and why
it is definitely the future! There are literally thousands of
companies looking for people to sell their products so there are
opportunities everywhere right now! By using Ebay, you could
literally be selling products within a day and making huge
profits so don't delay-start your drop shipping business today!
About the author:
Jason James is an eBay PowerSeller and his website "Auction
Resource Network" reveals his inside secrets, tips, and sources
that help him earn $10,000+ a month on eBay.
Claim your FREE
e-Course Here: http://www.auctionre
sourcenetwork.com
