Results 1 to 24 of 24
  1. #1
    ABW Ambassador Doug247's Avatar
    Join Date
    January 18th, 2005
    Location
    DE USA
    Posts
    931
    Wink Looking For Drop Ship Suppliers
    I have 2 domains which I want to change over to actual stores. Has anyone here flipped an affiliate site to a retail site?

    Affiliate Managers -- Please Help. You guys & girls know that side of the business. Can any of you recommend a good drop ship company or offer advice or information on how to get an online store up and running. If what I am asking is something you'd like to keep private please PM me your response.

    I use to be in affiliate marketing a while back so I am fine on the design side. I am looking for advice on how to create a merchant site.

    Best Regards,
    Doug

  2. #2
    http and a telephoto
    Join Date
    January 18th, 2005
    Location
    NYC
    Posts
    17,708
    Affiliate managers probably don't know much about drop shipping Merchants with wholesale programs are what you would look for.
    Deborah Carney
    TeamLoxly.com BookGoodies.com ABCsPlus.com

  3. #3
    Kung Fu Master Eathan's Avatar
    Join Date
    January 18th, 2005
    Posts
    1,833
    Hi Doug,

    I looked at drop shipping some, but two things made me turn away.

    1. Customer service - If I am the brand the customer associates with the order, I'll be handling customer service without any input on actually getting the customer their order in a timely manner, packing it so it arrives safe, making sure every item ordered is in the box when it goes out, etc. If something goes wrong, it's my phone call, my chargeback and my loss. I'd rather all that was in my own hands.

    2. No, number 1 pretty much covers it. I had something else, but the one mentioned trumps the rest.

    Even something so basic as knowing when an item is out of stock can help avoid a lot of headaches. Then again, knowing it's in stock only because you trip over boxes as you try to navigate the office can be a bit trying as well...

    Good luck whatever you do!
    Eathan Mertz

    Black Cat Mining - Gold Prospecting & Rockhounding Equipment

  4. #4
    Analytics Dude Kevin's Avatar
    Join Date
    January 18th, 2005
    Location
    Rochester, NY
    Posts
    5,904
    onesource at worldwidebrands . com is a good place to have a looksee.
    Kevin Webster
    twitter: levelanalytics

    Kayak Fishing
    Web Analytics and Affiliate Marketing

  5. #5
    http and a telephoto
    Join Date
    January 18th, 2005
    Location
    NYC
    Posts
    17,708
    Quote Originally Posted by Noth
    onesource at worldwidebrands . com is a good place to have a looksee.
    I should have thought of that, lol.
    Deborah Carney
    TeamLoxly.com BookGoodies.com ABCsPlus.com

  6. #6
    MasterMike HardwareGeek's Avatar
    Join Date
    January 18th, 2005
    Posts
    3,810
    dandh.com

    all of the major wholesalers drop ship

    But I personally think if you go that route you'll evetually want to have items in stock because its cheaper to buy more than ust 1 at a time.

  7. #7
    ABW Ambassador Doug247's Avatar
    Join Date
    January 18th, 2005
    Location
    DE USA
    Posts
    931
    Great feedback. Question though with regards to having items instock. Do I just stock 1000+ items until there sold? I am of the mind set that too much stock is money gaining interest. That is why I was looking at drop shipping.

  8. #8
    Kung Fu Master Eathan's Avatar
    Join Date
    January 18th, 2005
    Posts
    1,833
    Quote Originally Posted by simplistechs
    Great feedback. Question though with regards to having items instock. Do I just stock 1000+ items until there sold? I am of the mind set that too much stock is money gaining interest. That is why I was looking at drop shipping.
    That's the dance. Order when you're down to enough to cover the time from order to arrival so you're never out, and not so much that you're holding stock for ages, but also enough to get your desired volume discount...
    Eathan Mertz

    Black Cat Mining - Gold Prospecting & Rockhounding Equipment

  9. #9
    Believe knight01's Avatar
    Join Date
    August 14th, 2006
    Location
    Dayton, Ohio
    Posts
    1,815
    Quote Originally Posted by Eathan
    That's the dance. Order when you're down to enough to cover the time from order to arrival so you're never out, and not so much that you're holding stock for ages, but also enough to get your desired volume discount...
    JIT = Just in Time

    It's a concept that came into being in the 90's, from inventory management specialists / business consultants, as distribution systems matured. For a small (one person shop) company it can be a nightmare and is not for the faint of heart. It works great when it works... but you must have the processes in place. LOGISTICS!!!!

    A lot of very good and valid points in the previous messages. I've looked at Drop shipping, I've looked at retailing (buying wholesale in quantity and reselling) On both accounts what I found was it simply wasn't worth the effort or risk. For just about any product you can buy on the web, you'll find it being sold on eBay for less that you can legitimately buy & sell or drop ship and cover expenses.

    My conclusion is that either these people were doing so much volume and had systems in place they were able to drive costs down below what anyone else was able to do (unlikely) or they didn't have a clue of how to run a business and were simply destroying the market by trying to undersell everyone else without regard to profitability and would be out of business in a few months only to have someone else come along and try the same thing.

    I've turned back to affiliate marketing as being a way to make money based on my marketing knowledge (I'm still learning!) without having to deal with all the issues merchants have to deal with. (inventory management, payables, collectibles, customer service... etc.)

  10. #10
    ABW Ambassador Doug247's Avatar
    Join Date
    January 18th, 2005
    Location
    DE USA
    Posts
    931
    Quote Originally Posted by knight01
    I've turned back to affiliate marketing as being a way to make money based on my marketing knowledge (I'm still learning!) without having to deal with all the issues merchants have to deal with. (inventory management, payables, collectibles, customer service... etc.)
    When I got into affiliate I made a little bit of money. Around 2k at most a years. Then Yahoo dumped my sites made very little money and threw in the towel.

    I am looking to do something (stable) on the web or from home which would take the place of my day job. If your are making money with affiliate marketing....How? After basically no traffic to about 8 sites I took down my sites and have not touched them in a few years. Again if what I am asking is something you'd rather not post Please PM me.


    Thanks,
    Doug

  11. #11
    Believe knight01's Avatar
    Join Date
    August 14th, 2006
    Location
    Dayton, Ohio
    Posts
    1,815
    Quote Originally Posted by simplistechs
    When I got into affiliate I made a little bit of money. Around 2k at most a years. Then Yahoo dumped my sites made very little money and threw in the towel.

    Very much like myself, I passively dabbled in AM in the 90's with a few sites. But never made any money to speak of, really wasn't trying that hard. Had a very good corporate job making very good money and just didn't have the heart.

    Life happens, let's leave it at that.

    Here I am again, but now it's with the heart and mindset of a hungry lion. If you want my best advice... not to be cryptic, but I believe the answers we both seek are written right here.

    While I don't know this to be a fact, I believe there are people here that earn in a day what I'm earning in a month. Without becoming a 'stalker', I read everything they write. Usually repeatedly. Not in hopes they will hand me their key to the treasure chest, but that they will give me enough hints that I can eventually make my own key.

    While I'd love to tell you what I'm doing, frankly, what works for me, doesn't guarantee it will work for you or anyone. What is working for me, isn't enough to live on... yet. But I keep plugging away, stealing errr... borrowing ideas from this person and that person and personalizing them to my way of doing things.

    Someday, I'll be able to start giving more than I get from here.. that is when I'll know I'm where I want to be.

    Don't fall for the tricks and traps of the easy money / get rich quick people with 'testimonials' on their websites trying to sell you the secret. There are *real* - *live* testimonials that are online here everyday willing to give you advice for free, learn from them and give Affiliate Marketing a real chance.

  12. #12
    Super Dawg Member Phil Kaufman aka AffiliateHound's Avatar
    Join Date
    January 22nd, 2007
    Location
    West Covina, CA
    Posts
    8,443
    Well said, knight01.

    Doug,

    Regarding drop shipping, this was discussed in detail here just a few weeks ago. Check it out for more pros and cons from people who have done both affiliate marketing and drop shipping, and for lists of drop shippers.

    Having never done drop shipping or had a merchant site, but having been in a service-type field dealing with the public and various governmental, regulatory, and giant business organizations for 25+ years, affiliate marketing is the way to go. Stay at ABW and read, learn, and put to use what you find here, and you can succeed. I wish I had found ABW and the information available here much earlier in my venture into affiliate marketing, thus avoiding many of the wrong turns I made along the way.
    Since June 10, 2012 a vegan aarf but still writing the Hound Dawg Sports Blog
    "If you don't have time to do it right, when will you have time to do it over?" -John Wooden;
    "Raj, there’s no place for truth on the internet." -Howard Wolowitz[/SIZE]

  13. #13
    OPM and Moderator Chuck Hamrick's Avatar
    Join Date
    April 5th, 2005
    Location
    Park City Utah
    Posts
    16,646
    Talk to Crystal at Doba.com

  14. #14
    .
    Join Date
    January 18th, 2005
    Posts
    2,973
    Eathan wrote that he decided against drop-shipping because of customer service issues: > "If I am the brand the customer associates with the order, I'll be handling customer service without any input on actually getting the customer their order in a timely manner, packing it so it arrives safe, making sure every item ordered is in the box when it goes out, etc. If something goes wrong, it's my phone call, my chargeback and my loss. I'd rather all that was in my own hands. * * * Even something so basic as knowing when an item is out of stock can help avoid a lot of headaches." <

    I've had some experience on this, and Eathan is absolutely right: customer-service can be a nightmare. For example, one of my clients had the scenario where a customer's second-day-delivery order was shipped but the FedEx tracking number showed no activity after the package arrived in Memphis, even after several days. Since the "seller" was not the shipper, the seller couldn't get FedEx to act on the problem; the shipper wasn't responsive; the customer was upset; and the seller was helpless. The same seller had many orders that were delayed several days without any explanation; a number of orders were shipped but the shipper couldn't provide a tracking number (eventually they were delivered). About half of customers who ordered multiple items complained that one of the items was missing. The client had a "problem rate" of more than 40% with that drop-shipper, and of course ended that relationship and dropped a product line as a result.

    You absolutely need to anticipate a lot of contingencies in your contract with the drop-shipper. For example, if the customer complains that the item was damaged, will you need to pay the cost of a replacement product and another shipping fee, or will that cost be shared or paid by the shipper? What if a customer complains that an order contains only 4 of the 6 items ordered -- will the shipper argue that the order was complete and the customer is lying, and if so, how would you deal with the issue? What if a customer claims that they sent a return item (without a tracking number), but the shipper claims it was never received? What if the shipper claims that the returned item was damaged by the customer?

    Of course, every online store will experience customer-service problems, but a "problem rate" of 10% could potentially erode all the profit from many online stores.

    Alas, the key problem here is that there are thousands of drop-shippers out there, and when an online retailer has an experience with one (positive or negative), the outcome of that relationship becomes a value piece of information that will probably be treated as a trade secret. I'm not going to help my competitors avoid the "bad" vendor who cost me $10,000 in losses, nor am I going to tell the world about the really great drop-shipment company that I'm using.

  15. #15
    Zulubabe, the newbie Colette's Avatar
    Join Date
    January 26th, 2007
    Location
    Orlando, Florida
    Posts
    60
    Doug,

    Your original question was where can you find Drop Ship Suppliers. There are a variety of methods :

    You can do it yourself. If you find a product that you like, look for the manufacturer on the product and give them a call. Ask them who their Factory Authorized Wholesalers or Licensed Distributors are. You'll then need to call each one of the wholesalers and find out if they will work with you as an online retailer and if they drop ship . I don't advise searching through the web. Wholesalers are in the business of moving product . Most are still trying to catch up with this whole "internet boom" let alone advertising in search engines. Tradeshows are another method, but they're normally expensive. You can find a listing of tradeshows through the Worldwide Brands newsletter.

    It's a time consuming process, but can be done.

    Here's a quick explanation on the different Product Sourcing Methods:

    <b>Drop Ship</b>: A product sourcing method where the supplier will send products one at a time directly to your customer from their warehouse. The seller does not have to maintain an inventory or handle shipping. The seller however does handle the collection of the money from the customer and pays the supplier for the product purchased. “Blind” Drop Shipping refers to suppliers placing labels and inventory slips on the shipment with your company logo. Not all suppliers will have blind drop shipping as an option. Drop Shipping generally has very low profit margins and is difficult to compete with . It's best used for testing products in the marketplace, testing your supplier, and adding larger items to your inventory. You also have less control over inventory and shipments to your customer. As a merchant, you rely heaviliy on your relationship with your supplier.

    <b>Light Bulk</b>: A product sourcing method where the seller purchases from a wholesaler in quantities less then $500. These quantities are ideal for storing in a garage or a storage unit. The seller manages all interactions with the customer and the product from collecting the payment, and handling the inventory, to shipping to the customer. Since eBay sellers are very familiar with shipping process already, many sellers will go straight into using Light bulk wholesale combined with a few drop-shipped items.

    <b>General Wholesale/Large Volume</b>: An extension of Light Bulk, however the quantity of product is much higher. The larger the quantity purchased directly from the wholesale the higher the discounts received by the seller. When a retailer buys in really large volumes the supplier will add discounts and have different wholesale pricing structures depending on how much money the retailer is willing to spend. This is normal with all suppliers. The more money the retailer spends on inventory… the more discounts they get…the more discounts they get…the cheaper they can sell the product! At this point, you're setting up a relationship with a fulfillment center like ibagit.com or amazon fulfillment.

    <b>Liquidation</b> – A product sourcing method where a seller can source commercial surplus inventory and closeout products through wholesalers. Liquidations are normally conducted through auctions and bulk lot purchases. Liquidation.com and ABW member, "Liquidate", is a great resource for this area too.

    <b>Importing </b>– Sourcing products from international countries. Importing can be done individually or through wholesalers that handle the importing procedures. That's a whole other thread discussion, so I'll leave it at that.

    If you’re interested in learning visually about product sourcing basics, Worldwide Brands has a free educational video course available at www.worldwidebrands.com/productsourcingvideo.

    Although switching from affiliate marketing to selling physical products brings on a variety of different challenges, there are many solutions that assist you with those aspects. There are many people who sell on eBay and online in general who are very successful with dropshipping as well as all the other methods listed above.

    I hope that was helpful for you.

    Colette
    Affiliate Manager, Worldwide Brands

  16. #16
    Online Marketing Consultant
    Join Date
    October 16th, 2006
    Location
    Washington D.C.
    Posts
    2,195
    Great post collette!
    Adam Riemer Marketing, LLC. Online Marketing Blog and Affiliate Management Company
    Do you need help with your Marketing or Sales funneling, write me at adamr (at) adamriemer (dot) me

  17. #17
    ABW Ambassador Doug247's Avatar
    Join Date
    January 18th, 2005
    Location
    DE USA
    Posts
    931
    Thanks for all of your input. It is frustration with the quality of datafeeds wich make me look at starting my own store.

    Best Regards,
    Doug

  18. #18
    Kung Fu Master Eathan's Avatar
    Join Date
    January 18th, 2005
    Posts
    1,833
    Doug, I noticed something when reading through this thread again that raises some hard questions.

    Quote Originally Posted by simplistechs
    When I got into affiliate I made a little bit of money. Around 2k at most a years. Then Yahoo dumped my sites made very little money and threw in the towel.

    I am looking to do something (stable) on the web or from home which would take the place of my day job. If your are making money with affiliate marketing....How? After basically no traffic to about 8 sites I took down my sites and have not touched them in a few years. Again if what I am asking is something you'd rather not post Please PM me.
    Be it affiliate marketing, selling your own products, drop shipping, importing or otherwise, you'll need a couple things to succeed. The first is perseverance and the second is marketing.

    Before you re-invest in your online ventures. Learn from your first go around. What did you do right and what did you do wrong? Yahoo didn't run your business, you did. How will you do it differently this time?

    How will you generate traffic, how will you close the sale, how will you create staying power to weather the whims of the search engines and most importantly; what's to stop you from throwing in the towel again?

    I know your question wasn't about all this nonsense, but I think being able to honestly evaluate your past efforts to find the strengths and flaws and learn from them is critical to success online. I'm not talking about second guessing yourself, but learning from yourself.

    Hindsight is 20/20, so look, learn and apply because the difference between $2,000 a year and $200,000 a year is always somewhere in what you did and didn't do.
    Eathan Mertz

    Black Cat Mining - Gold Prospecting & Rockhounding Equipment

  19. #19
    Senior Affiliate Manager AMWSO James - AMWSO's Avatar
    Join Date
    May 15th, 2005
    Location
    Anywhere with Fiber
    Posts
    858
    Hi Doug,

    Check out this page: http://www.shopster.com/dropship.html. Shopster might be the solution you're looking for.
    James D. Nardell
    AMWSO.com Affiliate Management Team
    email: James.Nardell [@] AMWSO.com
    Phone: (805) 624-5669
    IM - Google/Skype: JamesNardell
    iolo technologies | Paychex | Personal VCard Website

  20. #20
    Full Member ADesertRose's Avatar
    Join Date
    January 19th, 2005
    Posts
    423
    Yeah, but do you have to use the Shopster software or can you have access to the dropshippers there using your own site and cart? If I browse further into their site I may find the answer...

  21. #21
    Senior Affiliate Manager AMWSO James - AMWSO's Avatar
    Join Date
    May 15th, 2005
    Location
    Anywhere with Fiber
    Posts
    858
    All sales made by Shopster retailers go through the Shopster shopping cart. If you want to add the products [that you have added to your Shopster store] to your own website you can do this by requesting a data feed of the products. However, the sales will still ultimately go through the Shopster shopping cart.
    James D. Nardell
    AMWSO.com Affiliate Management Team
    email: James.Nardell [@] AMWSO.com
    Phone: (805) 624-5669
    IM - Google/Skype: JamesNardell
    iolo technologies | Paychex | Personal VCard Website

  22. #22
    MasterMike HardwareGeek's Avatar
    Join Date
    January 18th, 2005
    Posts
    3,810
    I think the prices shopster has for some products are just way to HIGH

  23. #23
    Senior Affiliate Manager AMWSO James - AMWSO's Avatar
    Join Date
    May 15th, 2005
    Location
    Anywhere with Fiber
    Posts
    858
    The prices have dropped across the board for the products in the Shopster system [many were very reasonable though before the drop]. This quote comes from the latest Shopster retailer newsletter:

    "As a result of months of negotiations with our suppliers we are happy to announce that we have dropped product prices in our entire warehouse by over 4%. Be sure you take the time to search the warehouse as some products have significant price reduction of up to 25%. Start taking advantage now!"

    If any of you want to check out the current Shopster prices, drop me a line and I'll give you access to the AMWSO demo account.
    James D. Nardell
    AMWSO.com Affiliate Management Team
    email: James.Nardell [@] AMWSO.com
    Phone: (805) 624-5669
    IM - Google/Skype: JamesNardell
    iolo technologies | Paychex | Personal VCard Website

  24. #24
    Newbie coxpc's Avatar
    Join Date
    July 17th, 2007
    Location
    Near Baltimore, MD
    Posts
    12
    Hi.

    There are some ways to make money using drop shipping.

    The main one - finding very unique products in a niche where there is a reasonable amount of profit to be had and marketing the heck out of them. You are not going to make any money trying to sell consumer electronics for example. Too much competition and no way to get the price low enough.

    I own an IT services company and have various things drop shipped to my clients all the time as long as they are not out there trying to shop for the best price. I only mark up stuff around 4-7% most of the time. My cost from the distributor is usually just a little under but sometimes over what I might pay Newegg. They are using the same distributors that I am, but their volume is much higher. I just tell people to shop through the link to Newegg on my website. If somebody is "shopping" I can't get them a competitive price for most electronics - so I point them to my website for the link.

    Now, finding the niche items is your job and google is your friend.

  25. Newsletter Signup

+ Reply to Thread

Similar Threads

  1. Drop Ship vs BLind Ship?
    By Verbalkent in forum Midnight Cafe'
    Replies: 13
    Last Post: December 7th, 2004, 07:56 AM
  2. Drop Ship Program
    By ryanscott in forum Commission Junction - CJ
    Replies: 5
    Last Post: July 18th, 2003, 11:51 AM

Posting Permissions

  • You may not post new threads
  • You may not post replies
  • You may not post attachments
  • You may not edit your posts
  •