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Circumventing your customers..While I do not believe that this is a pervasive practice among drop-shipping companies, anecdotal evidence has suggested that some unscrupulous enterprises can cut you out of
sales loop. They could they easily substitute your return address for their company logo, selling directly to your customers.
Market saturation..One of
largest wholesale drop-shippers in
county is
B&F System, BNFusa.com. A lot of Ebayer’s started selling their products, one in particular, called Giovanni Navarre leather jackets. At first, it was a profitable item. After a while, everyone started selling
same product. Too much of
same supply, creates market saturation, ultimately destroying profit potential for
seller.
The Giovanni Navarre leather jackets are still being sold on Ebay today, but I doubt that they still provide a very profitable return for
seller. Even though B&F carries over 500 products in 14 different categories, they are intimately familiar to
Ebay community. You could probably make a great profit from just about any B&F product if you were to sell them off line, and out of
auction arena.
When a company becomes too well known to
general public it becomes almost impossible to make money from products that have flooded
marketplace. In addition to finding a drop-shipper who is close to home, it might be a good idea to find a DS company that is not well known to
Ebay market, or who’s products have not been scattered all over cyberspace.
These days however, it is hard to find drop-shippers that will cater to
smaller seller. Most will find it more profitable to sell in volume than by
piece. The larger wholesale dropshipping distributors are used by retail catalog operations. To get involved with
larger operations, you would have to be doing a tremendous sales volume.
If you still want to pursue drop-shipping as a source of supply for your Ebay auction, then I would suggest that you read other opinions, and become as educated as you can about
drop-shipping company you do business with.
A good and inexpensive start to finding drop-shipping companies is
Drop Shipping News: http://www.drop-shipping-news.com . Remember, when it comes to Ebay auction selling, “own what you sell.” Never leave customer service, or your feedback rating in
hands of other people!!

Robert C. Potter is a wholesale and retail surplus products specialist. He is the author of “The Ultimate Guide To Products For Resale!” Over 300 Wholesale & Surplus Supply Sources For Ebay Auction Sellers, E-Commerce Websites, Flea Market Vendors, and Retail Store Owners! You can find his 160 page ebook at: http://www.productsforresale.com