Drop shipping is an exclusive way of selling goods to customers. The whole procedure functions like this: The customer goes to the eBay seller to purchase a particular product, and places an order. The retailer however does not have the product with him, but he can advertise it on his website, or eBay store. So after getting the order, the reseller places that order at the wholesaler`s database, and the customer receives the product directly from the wholesaler - such as Worldwide Brands, which is a wholesale dropshipper. In this way the reseller earns profit, which is equal to the amount difference between the wholesale and the retail price, and the only thing he needs to do, is promote his store, and take care of the communication with the customer. This is an exciting way of doing business!
Maintaining the stock is avoided by most of the resellers because of the costs involved. By working with Worldwide Brands, the reseller is given an opportunity to deal with different products at the same time. The customer is also benefited from this, because he saves a lot of time. The reseller sends the goods directly to the customer via the wholesaler.
The customer also saves money because costs of shipping are reduced - this is because you do not ship the item to your house, and then ship once again to the customer - but the item is shipped directly. Usually there`s an agreement made between the reseller and the wholesaler. This decides the pricing of different products, policies of returns and refunds, delivery service given by the wholesaler, and many other things.
Before starting to work with a wholesale source, you also need to know whether they have an international delivery option available, because if not, this would narrow your geographical market. Also, you should avoid wholesalers that are charging monthly or yearly subscription fees. The only fee - startup, or joining, fee can be asked by the wholesale directory.
This type of business is ideal for those who are in the internet business, or who own a store. Registration of the company needs to be done by the reseller, and tax documentation work that is necessary, should also be done.
Finally, wholesale dropshippers who are legal, would never charge additional fees to dropship the package to your customer, whereas the fake ones would do so. The reason is that dropshippers who are fake, are middleman, they reduce your profits. Your products should be dropshipped quickly in order to run a smooth and profitable internet business. This is the reason why eBay power sellers make huge profits as they are accessible for all wholesale items required at any given time. And this is possible for every one - just make some research before signing up anything.