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Common Mistakes Made By Wholesale Dropshippers

Common Mistakes Made By Wholesale Dropshippers

Common Mistakes Made By Wholesale Dropshippers

Wholesale dropshipping is a tough job, requiring lots of time and effort. Though success in this field can yield great profit and popularity, it is not so easily achieved. Making mistakes is a natural part of running a business, it happens to everyone at one time or another. If you want to start up an online retail business connected with dropshipping, you might want to learn about some common mistakes made by people in your situation. This article should illustrate some of these mistakes and hopefully help you avoid them.

The first common mistake is connected with choosing the wrong kind of supplier. As you probably know, it's impossible to run a retail business without a supplier who stores and delivers goods for sale. Finding the right kind of supplier is a top priority for retailers, and it demands a lot of work and time, mostly spent browsing through the net or catalogs, but this is what everyone has to deal with. Finding a supplier that offers products corresponding to the niche market you want to sell in is hard, but it is even harder to determine if the supplier meets all the vital criteria. You see, many people make the mistake of thinking that finding a supplier which provides the product they need is enough, but they are wrong. You must always make sure that the supplier is the manufacturer, or deal with the manufacturer directly, because conducting business through middlemen is a sure way to lose profit.

The second mistake you should be aware of has to do with shipping. Some entrepreneurs think that shipping suppliers will meet any and all of your conditions, deliver items in any quantity you specify. This is not the case. Most suppliers only ship items in bulk, and a request for the delivery of a single item may be denied. Furthermore, many suppliers will only ship after you sign a contract establishing a minimum quantity of products shipped, and demand a monthly fee for wholesale shipping. Shipping in wholesale is not very profitable for them, so you should not expect the same prices as those set for bulk shipping.

Another major mistake people tend to make is relying on a single supplier. While it's true that some suppliers offer a tremendous variety of products and seem perfectly equipped to be your sole supplier, it's vital to have a backup option. Maintaining business relations with other suppliers can help you salvage revenue if something unexpected and unfortunate happens. In such circumstances, customers demand a prompt delivery of goods and a backup supplier will ease some of the strain.

Finally, you should also know that opting for a supplier who doesn’t provide product tracking can be a major error. Customers want to know where their ordered products are and how fast they’re being shipped. If you do not have this information and cannot keep track of the products yourself, you will be on the fast track to ruin, only able to address their concerns with excuses and incompetence. A knowledgeable and assured manager always impresses clients.