Discussion
Seen quite a lot of promoted posts on my FB regarding starting your own dropping business.
One that caught my eye has some free webinars and lots of positive feedback.
They seem to provide the training materials, guides, introduce to local drop shipping suppliers and also help setting up Shopify site.
Seem to say that this could make a good second income stream.
What does PH think?
I’m skeptical as there are way bigger fish out there and I think it would be hard to compete.
Edit: title should be drop shipping. I can’t seem to change it.
One that caught my eye has some free webinars and lots of positive feedback.
They seem to provide the training materials, guides, introduce to local drop shipping suppliers and also help setting up Shopify site.
Seem to say that this could make a good second income stream.
What does PH think?
I’m skeptical as there are way bigger fish out there and I think it would be hard to compete.
Edit: title should be drop shipping. I can’t seem to change it.
Hopefully, DSLiverpool will spot this thread and point you in the right direction.
Like most industries selling the dream, the big money is in teaching people how to do it rather than actually doing it. This is for stock trading, betting, massage therapy, hypnotherapy, blogging, being a YouTuber, music teacher, etc.
Like most industries selling the dream, the big money is in teaching people how to do it rather than actually doing it. This is for stock trading, betting, massage therapy, hypnotherapy, blogging, being a YouTuber, music teacher, etc.
anxious_ant said:
One that caught my eye has some free webinars and lots of positive feedback.
They seem to provide the training materials, guides, introduce to local drop shipping suppliers and also help setting up Shopify site.
Seem to say that this could make a good second income stream.
What does PH think?
I’m skeptical as there are way bigger fish out there and I think it would be hard to compete.
The barrier to entry is so low every mugs on it.They seem to provide the training materials, guides, introduce to local drop shipping suppliers and also help setting up Shopify site.
Seem to say that this could make a good second income stream.
What does PH think?
I’m skeptical as there are way bigger fish out there and I think it would be hard to compete.
What does it cost ?
Are you a marketing expert ?
Do you have lots of launch cash ?
Will they tell you a dropship company that nobody else knows or the same ones to every mug on the course.
Happy to have a call.
DSLiverpool said:
The barrier to entry is so low every mugs on it.
What does it cost ?
Are you a marketing expert ?
Do you have lots of launch cash ?
Will they tell you a dropship company that nobody else knows or the same ones to every mug on the course.
Happy to have a call.
Thanks for the response DSLiverpool.What does it cost ?
Are you a marketing expert ?
Do you have lots of launch cash ?
Will they tell you a dropship company that nobody else knows or the same ones to every mug on the course.
Happy to have a call.
I've attended the free webinar and of course it was marketed as easy peasy. Basically they will provide the framework, contacts and instructions. Everything to get you up and running, USP is that you don't actually spend any cash except for startup costs. Shippng costs etc is covered by the supplier,
To me I think this is a bit risky. I'm just interested if anyone has done this as an alternative income stream.
This looks like a full time job if any reasonable ROI is expected.
In my previous job I had some experience in SEO, Google Adwords and competitor price monitoring/scraping but I can see that there is a LOT of work to be done for this to be viable.
DSLiverpool said:
Interested to know the “start up costs” as the whole premise will be getting this cash from you. Shipping will be built into the price, I bet most items are cheaper to buy on eBay - can you check?
It's only the (free) introductory webinar so the product list isnt revealed, nor the "partners" (suppliers).They mentioned they have "exclusive domestic contacts with niche products".
Online retail has massively boomed since Covid. Sure, the big players take most of the cut however with clever marketing and interesting products on offer, drop shipping could be a nice little earner. I find FB a good place for beginners to market products. Faster ROI with lesser spend compared to Adwords.
I have some experience with online retail on the technical side, so just toying with the idea of starting something on my own via drop shipping.
Would like to know if anyone else does it part time.
DSLiverpool said:
Good luck with it, I fear whilst you’ll sell stuff the profit is thin and wiped out on returns.
I drop ship as a hobby / to keep in practise but I use suppliers I’ve known decades.
If you bundle you might just get it paying
Is there any general rule of thumb for the amount of returns? Me and my friend are in the middle of setting up a shopify site with pod suppliers and returns is a big concern. I drop ship as a hobby / to keep in practise but I use suppliers I’ve known decades.
If you bundle you might just get it paying
As the retailer - you hold legal liability for getting the product to the customer - i.e. it is your liability through the whole process from taking the money until item arrives with the correct purchaser - yet in drop-shipping you are effectively allowing another company to manage a process for which you hold responsibility - when the courier damages it / loses it / delivers it elsewhere - who will carry the can? you also hold responsibility for returns etc. - but you may not have authority to change how it happens - responsibility without authority is not a good combination...
If a product is worth selling - i.e. worth putting in the effort, time, money to sell, then it is worth doing it properly and buying it in wholesale to retail with a bigger margin - if you don't want to manage the logistics you are better off looking for someone with a warehouse who will manage that element for you
drop-shipping is sold on the basis of minimal effort -> profit stacking up - but like any other 'too good to be true' story, while it can work for some, there are lots of potential issues... when you manage the process and outsource the warehousing and distribution, you contractually own the process and have leverage and come-back... when you drop-ship based on these types of offerings it is very easy to get caught in the middle - you put all the work in to sell it / get a reduced margin / pick up all the returns and failed deliveries hassles...
if a business is worth running - it is worth doing it properly
If a product is worth selling - i.e. worth putting in the effort, time, money to sell, then it is worth doing it properly and buying it in wholesale to retail with a bigger margin - if you don't want to manage the logistics you are better off looking for someone with a warehouse who will manage that element for you
drop-shipping is sold on the basis of minimal effort -> profit stacking up - but like any other 'too good to be true' story, while it can work for some, there are lots of potential issues... when you manage the process and outsource the warehousing and distribution, you contractually own the process and have leverage and come-back... when you drop-ship based on these types of offerings it is very easy to get caught in the middle - you put all the work in to sell it / get a reduced margin / pick up all the returns and failed deliveries hassles...
if a business is worth running - it is worth doing it properly
scottri said:
Is there any general rule of thumb for the amount of returns? Me and my friend are in the middle of setting up a shopify site with pod suppliers and returns is a big concern.
Clothing - huge. Put a side guide on but as your POD the printer will be using various suppliers of blanks. Factor in the returns, finger in the air guess 20/30%
Tell me more I’ll tell you more
DSLiverpool said:
Clothing - huge. Put a side guide on but as your POD the printer will be using various suppliers of blanks.
Factor in the returns, finger in the air guess 20/30%
Tell me more I’ll tell you more
Thanks. We are deliberately avoiding size specific items to try and reduce returns. To be honest we are lacking in direction but currently thinking of home ware items such as cushions, clocks, canvas prints etc. Factor in the returns, finger in the air guess 20/30%
Tell me more I’ll tell you more
scottri said:
DSLiverpool said:
Clothing - huge. Put a side guide on but as your POD the printer will be using various suppliers of blanks.
Factor in the returns, finger in the air guess 20/30%
Tell me more I’ll tell you more
Thanks. We are deliberately avoiding size specific items to try and reduce returns. To be honest we are lacking in direction but currently thinking of home ware items such as cushions, clocks, canvas prints etc. Factor in the returns, finger in the air guess 20/30%
Tell me more I’ll tell you more
Consider your supplier in terms of their location, ability to communicate, quality of product, delivery times, how the product is delivered.
I found that Chinese suppliers are hit and miss. One I used had a decent product but it was very difficult to communicate with them. There were also instances of incorrect products being shipped which I had to deal with. They also decided to change their product line (which I was only made aware of when a customer got a web error message trying to buy something), therefore making my inventory links redundant which thankfully didn't impact things too much in terms of sales but did require a site re-design.
If coming from anywhere far away, also look at delivery options; I started off with the cheapest method which took weeks and led to lots of unhappy customers. Even when I changed it to their quickest method it was still circa 2 weeks which is better but not great. Products also ship in basic packaging which is worth bearing in mind - how happy would you be to pay £x for something only to find it takes weeks to get to you and it arrives bundled in plastic wrap?
That said, all of the above is based on a specific product, from China and my first attempt at Dropshipping. If I did it again, I'd look at more local suppliers. I've recently closed the store but would have another go - its all about learning something new.
I found that Chinese suppliers are hit and miss. One I used had a decent product but it was very difficult to communicate with them. There were also instances of incorrect products being shipped which I had to deal with. They also decided to change their product line (which I was only made aware of when a customer got a web error message trying to buy something), therefore making my inventory links redundant which thankfully didn't impact things too much in terms of sales but did require a site re-design.
If coming from anywhere far away, also look at delivery options; I started off with the cheapest method which took weeks and led to lots of unhappy customers. Even when I changed it to their quickest method it was still circa 2 weeks which is better but not great. Products also ship in basic packaging which is worth bearing in mind - how happy would you be to pay £x for something only to find it takes weeks to get to you and it arrives bundled in plastic wrap?
That said, all of the above is based on a specific product, from China and my first attempt at Dropshipping. If I did it again, I'd look at more local suppliers. I've recently closed the store but would have another go - its all about learning something new.
For sure there are successful dropshipper sites, but as with any 'new' business model, there is a saying along the lines of 'the first in make a killing, the second make a living, the third take a licking'.
I used to have a small e-commerce operation which made me £1k a month profit for only a couple of hours a week picking / packing / customer service, after the inital effort of research, site set up, SEO and marketing etc. I avoided the DS model as wanted to be able to source products from non drop ship suppliers...you will find that there are lots of suppliers who don't want to drop ship. That's alongside the other benefits of your own fulfilment such as shipping times, returns etc.
I'd be wary of signing up to expensive courses offering suppliers etc as all the information you need is already avaiable for free and you can source your own suppliers. Pick a niche with a passionate customer base; I was targeting affluent gardeners who were great customers. Make sure your products are not already widely available, though I also found products where the incumbent retailers did a bad job with the photos / product descriptions, for which I managed to charge a premium over their prices when I did a better job than them.
I used to have a small e-commerce operation which made me £1k a month profit for only a couple of hours a week picking / packing / customer service, after the inital effort of research, site set up, SEO and marketing etc. I avoided the DS model as wanted to be able to source products from non drop ship suppliers...you will find that there are lots of suppliers who don't want to drop ship. That's alongside the other benefits of your own fulfilment such as shipping times, returns etc.
I'd be wary of signing up to expensive courses offering suppliers etc as all the information you need is already avaiable for free and you can source your own suppliers. Pick a niche with a passionate customer base; I was targeting affluent gardeners who were great customers. Make sure your products are not already widely available, though I also found products where the incumbent retailers did a bad job with the photos / product descriptions, for which I managed to charge a premium over their prices when I did a better job than them.
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