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* Is company a manufacturer or wholesaler? Some businesses offering drop shipping arrangements are resellers. They have set up accounts with drop shipping companies. You, in turn, will be reselling for them. You will make better profits if you set up your own drop shipping account directly with a supplier rather than with a reseller.
* Does drop shipper charge you an account setup fee or a monthly fee based on monthly traffic counts or some other criteria? Most (not all) companies charging a set up fee are resellers. If there is a set up fee, is it in exchange for a value-added service such as access to an admin web site or specially printed labels for your company's orders?
* What does company charge for shipping and handling? If cost is too high, your customers will abandon their shopping carts if they think expense is out of line.
Your Product Mix
A web site selling a narrowly defined range of products will be easier to administer, and easier to promote than a site containing an array of products. For example, a site selling lady's sportswear will be more attractive to search engines than a site selling men's, women's and children's clothing of all descriptions.
And finally, choose items that are neither too inexpensive nor too heavy. Experienced drop shippers say that products of over $20 and under 70 pounds work best. If you want to sell lower priced items, group them together in a package and sell package. The shipping costs will appear to be more reasonable. Alternatively, promote products that carry similar shipping costs, or that will not add to shipping cost.
And lastly, much success in your new business!
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June Campbell is a self-employed writer. Her work has been published internationally in a multitude of print and electronic publications. Prior to making a career change in the mid-nineties, June spent close to twenty years working as an addictions counselor and clinic director in Canada.