Working With Drop Shippers

Written by Ray Yee

Continued from page 1

Although manufacturers or direct distributors are large companies, some of them may not have an established website. You can still contact them by calling them or sending them a mail. I would recommend that you call them personally so that there is more room for negotiations, and also a warmer ‘touch’ torepparttar business relationship.

Before calling your drop shipper directly, you will need to establish your business as a legal entity before starting any business trading. Registering your business withrepparttar 141291 government involves getting your Tax ID number, and also your official business name. You can contact your state’s administration and find out how to register your business. U.S. citizens can get a lot of resources and information on registering a business at

After your business registration is done, you can start contacting your drop shipper and negotiating with them. There are several important issues that you have to discuss with them:

1) Shipping. Most ofrepparttar 141292 companies outsourcerepparttar 141293 delivery of their products to a delivery service like FedEx or UPS. Once you email a customer order to your drop shipper, you will need to be able to keep track ofrepparttar 141294 status ofrepparttar 141295 delivery. If any customer were to query you on whenrepparttar 141296 goods are to arrive, you will then be able to account for them fully. Established delivery services like FedEx offer online real-time tracking services. Withrepparttar 141297 tracking numbers issued byrepparttar 141298 services, you can log on torepparttar 141299 internet to trackrepparttar 141300 delivery status ofrepparttar 141301 goods. Alternatively, you can choose to includerepparttar 141302 tracking number inrepparttar 141303 email autoresponders sent to your customers, so that they can log on torepparttar 141304 FedEx or UPS website to trackrepparttar 141305 shipment.

You would also need to find out what isrepparttar 141306 delivery service that your drop shipper uses, and calculaterepparttar 141307 shipping costs. Shipping costs within a country should be significantly lower than international shipping, thus it is advisable to select a drop shipper based inrepparttar 141308 country where most of your customers are. This not only cuts down a lot on shipping costs, it will also reducerepparttar 141309 hassles of international shipping like customs security and slow delivery time. Additionally, lower shipping costs would encourage more purchases from your customers, as compared to cases of international shipping whererepparttar 141310 high shipping costs can sometimes account for up to halfrepparttar 141311 price ofrepparttar 141312 goods, deterring them from making purchases.

Usually,repparttar 141313 logistics department ofrepparttar 141314 drop shipper is willing to label their products with your company name and logo, so that it will appear as if you wererepparttar 141315 one who shippedrepparttar 141316 products to your customers.

2) The wholesale price of their products. Although this would not vary much among manufacturers ofrepparttar 141317 same products, some manufacturers do offer a slightly lower wholesale price than other suppliers forrepparttar 141318 same product quality. It would pay off much inrepparttar 141319 long run if you scout around for wholesalers with lower price, as you would make a bigger profit on each sale. You can also negotiate among several wholesalers first because some wholesalers allow greater room for negotiation than others. If your online businesses can have a guarantee of selling a large quantity of products, you should be able to get a lower price for them, similar torepparttar 141320 discount given for bulk purchases.

3) Credit and Billing. You would have to make clear with your drop shipper how you are going to pay them, whether it is by credit cards or by checks. Willrepparttar 141321 payment be made immediately after each purchase of goods, or will it be paid after a certain minimum quantity of goods is purchased, or will it be paid atrepparttar 141322 end of each month? These details may appear trivial, but it is important to clarify all this atrepparttar 141323 start to prevent disputes later.

4) Product Return Requests. Because your customers expect their products to be of a pretty high standard, your drop shipper will need to guarantee you a certain standard of product quality, and be willing to replace any defective products. Be wary of drop shippers that do not offer these guarantees! If it turns out that many of their products are defective, then your reputation is at stake, and you would end up with many useless defective products. Clarifyrepparttar 141324 process of returning defective products. You may want your customers to returnrepparttar 141325 products directly to your drop shipper, instead of sendingrepparttar 141326 products first to you, then from you torepparttar 141327 drop shipper.

An agreement with your drop shipper on their refund policy should be finalized. If they do, you need to determine whetherrepparttar 141328 funds are to be transferred first to you or directly torepparttar 141329 drop shipper.

In conclusion,repparttar 141330 process of establishing a business relationship with a drop shipper can be quite complicated. However, if many ofrepparttar 141331 details are clarified right before any transactions are made, your online business should be able to handle allrepparttar 141332 hassles smoothly.

*You are welcome to reprint this article as long as you includerepparttar 141333 Author’s resource box withrepparttar 141334 article.

About the Author: Ray Yee is the founder and president of Dropshipperscentral, a website which provides a wealth of informative articles, tips and resources on everything you’ll ever need to know about setting up a Drop Ship Business and marketing it. Click here for the Wholesale Drop Ship Directory from

What To Do After Your eBay Auction Closes

Written by Lewis Leake

Continued from page 1

Sending Items

In your description, provide accurate details regarding shipment. Make surerepparttar item(s) are sent withinrepparttar 141290 time you stated. In many cases, people purchase something for a specific purpose and if you do not ship it when stated, not only do you mess up their schedule forrepparttar 141291 item but you have probably lost a customer and openedrepparttar 141292 door for a negative feedback.

Communication with Buyer

It is your responsibility to contactrepparttar 141293 buyer atrepparttar 141294 end ofrepparttar 141295 auction congratulating them on winningrepparttar 141296 item(s). Issue an e-mail requesting their shipping address. Once they provide that information to you, let them know whenrepparttar 141297 shipment will go out, which should coordinate withinrepparttar 141298 timeframe provided in your auction description. If you knowrepparttar 141299 shipping charges, advise them in this same e-mail. Once payment has been made, send another e-mail torepparttar 141300 buyer confirming that you received their payment and thatrepparttar 141301 item(s) will be shipped on X day via (US priority mail, UPS, Fed-Ex, etc.). Once you have a tracking number, send that torepparttar 141302 buyer as well. This will allow them to followrepparttar 141303 tracking themselves.


Regardless of whomrepparttar 141304 buyer, work with integrity and run your auctions accordingly. More than likely, you will run into some difficult buyers, although not often. Keep in mind that every buyer providesrepparttar 141305 best form of advertisement - word of mouth. Integrity is what will draw customers in and keep them coming back along with friends and family.


If a buyer makes a recommendation, listen. That does not always mean you will agree or even like their recommendations but if they have something to say, it might be something important to making your auction site better for future buyers. For example, if your shipping information seems muddled torepparttar 141306 buyer but clear to you, you need to review what you have written. Ifrepparttar 141307 customer is struggling with understanding, that is truly what matters.

Lewis Leake is the webmaster of - subscribe to his GrowNetProfits Newsletter and get Work From Home Tools, Articles, Tips and Resources delivered to you twice a month. -- Also get access to his new Subscriber's Membership Site.

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