New Dropshipping Service

Tom81

Hi,
Im considering opening a dropshipping service. I get my goods from my supplier at very good prices, and could easily fit in a small margin to make a dropshipping business out of it.
Do you think there would be any interest in it? Items would include headphones, electrical accessories, kitchen appliances, household appliances.
Example prices are the philips wake up light £56.86 argos sells for £90!
Your help would be appreciated. Thanks

Brooker_Dave

Tom81 wrote: »

Hi,
Im considering opening a dropshipping service. I get my goods from my supplier at very good prices, and could easily fit in a small margin to make a dropshipping business out of it.
Do you think there would be any interest in it? Items would include headphones, electrical accessories, kitchen appliances, household appliances.
Example prices are the philips wake up light £56.86 argos sells for £90!
Your help would be appreciated. Thanks

Don't bother, everyone is at it.

Tom81

fair enough!

StaffsSW

Dropshipping is very risky on eBay. The nmber one way to satisfy a customer and build a business is to supply a great product, at a good price with fast shipping. Dropshipping basically hands these aspects to a third party, so you need to have 100% trust in them.

There is also the issue of aftersales care - what happens when something goes wrong, such as the item doesn't arrive, or goes faulty, or the customer needs help in operating it.

This thread on dropshipforum may give you a clear picture of what you will be dealing with - http://dropshipforum.co.uk/viewtopic.php?t=11000

Given how much focus eBay places on buyer experience, and how easy it is for sellers to fall foul of various policies around customer care, I would prefer to keep as much control of my busines as possible.

StaffsSW

Tom81 wrote: »

Example prices are the philips wake up light £56.86 argos sells for £90!

There is not enough margin in that make it worthwhile - factor in all ebay fes, paypal fees, postage, income tax, NI, return, losses etc - to sell at around £90 I'd be looking at paing no more than £30 per unit.

soolin

On your one example there is already someone drop shipping that product and turning them out at £74.49:

http://cgi.ebay.co.uk/ws/eBayISAPI.dll?ViewItem&item=250337413156&cguid=4cfcf1d111f0a0aad4d1e761ffe37c6f

The moment you go into competition the price will drop like a stone.

Research is the key here, check completed listings on ebay , see who else is selling (and if goods are actually selling). Then factor in loss on returns, loss on untracked goods and chargebacks, all fees , tax and nI and then see why this is not going to work.

Oh, and they already have a neg for slow delivery on that one item.

Jake21

Hi,
Sorry you seem to have mis understood. I was thinking about opening my own dropshipping company...that price £56.86 is the price i would be able to supply that good for.
Im already selling quite a lot of items on ebay from my supplier but it is really time consuming with all the problems associated with ebay and maintaining good listings.
And what i was asking is would it be worth looking to to opening my open dropshipping company as a possible full time income?
Thanks

TurkishDelight

Tom81 Jake21

StaffsSW

TurkishDelight wrote: »

Tom81 Jake21

Just like a Code 42 on the eBay Q&A Board!

v0n

As others have said - not enough margin - Boots were selling them for £65.24 incl delivery, I bought one for missus in December

soolin

stevew8975 wrote: »

Just like a Code 42 on the eBay Q&A Board!

Oh dear, I'm afraid your BG is too dim to understand