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My free $.02

Discussion in 'Dropshipping & Wholesale Hookups' started by marusia, Oct 31, 2011.

  1. marusia

    marusia Senior Member

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    Ok, so I've been reading a lot of postings here, and I would like to help some of you get your game a little better. This isn't all inclusive, so if you have any questions, I'd be happy to help you.

    1. Please, stop asking for a "catalog". Catalogs are for slow moving products. It's something that distributors have. Wholesalers, Jobbers, Liquidators, etc...don't have a catalog. Not even the big boys. I deal with many multi-billion dollar suppliers, and you're lucky if you can even get a manifest.

    2. I know it's convenient to look at websites for information, but the best information you can find from a supplier is going to be by emailing or CALLING them! Prices are not always definite, and more importantly...many suppliers are too busy to be posting their new stock once it arrives. Chances are, you can CALL a supplier and ask, "Hello, I'm looking for XYZ, you wouldn't happen to have any in stock, would you?" Chances are, they might.

    3. My little secret: The best thing to do with a lot of suppliers is to be added to their e-mail list. The best offers and lowest prices are going to be found this way. It's much easier to send out a 20 second email to your buyers than it is to post it on your website. I know many LEGIT companies that ONLY sell wholesale through email lists. These companies do millions in business a year.

    4. Avoid the middlemen! Get an EIN number. Seriously, google "EIN number" and click on the IRS.gov link. It takes one minute, and then you can go direct with many companies. If a company does NOT ask for your tax id (EIN number), they are a middle man. End of story.

    5. Stop hocking replicas! Word of mouth goes a LOOOOOONG way in online retail. After you get a few people to buy your AUTHENTIC merchandise, they will be back for more, and they'll spread your info to their friends. I guarantee it. Also, and more importantly...Some niches, you can find the authentic products even cheaper than the replicas. You just have to know where to look. I can source cosmetcs cheaper than the fakes by avoiding all the middle men. Then, since you built up your name by selling quality products, you can demand a higher price, and PEOPLE WILL PAY IT! The top-rated sellers in ANY niche that I do aren't the cheapest, but they can demand that premium because people trust them and their products.

    6. Don't bother asking anyone for sources. Any profitable source is held very tightly to the chest. If I told you my suppliers, you'd undercut me. That's the way the business world works. I, like many sellers, have spent 100's of hours researching suppliers and business methods. It's something you must do if you want to be a successful entrepreneur.

    One way I found a lot of the sources I was interested in was by sending them an email to their retail page. You can send something like this.

    Hello,

    My name is Mary Wxxxxxxx, I'm very interested in offering your products in my store. Can you please have someone contact me about wholesale opportunities? I have a tax id and would be happy to share it. I feel we can have a lucrative relationship. Thanks.

    Or something to that effect. Most wholesalers get so many emails, that they don't even bother to answer the ones that don't sound professional.

    Also, 7. You probably don't want wholesale like you think you do. You probably want "Jobouts" and liquidation of store stock. It will most generally still be new condition, just much cheaper than wholesale.

    8. Stop chasing oversaturated niches. There are a lot of niches out there that have been beat to death so bad that there's no money to be made in them anymore. The ones I can think of off the top of my head are electronics and adult products. I like selling stuff that are hard to come by but have a great market for them. For instance, I deal in high end authentics. It's a lot harder to find maternity clothes, authentic MAC cosmetics, etc.

    9. Stop chasing the latest and greatest. Unless you're an ebay seller, selling the hottest new product isn't really going to be good for business. I can understand getting some of the hottest christmas toys and selling them for 400% above cost, but other than that, the market will fade and you'll be stuck sitting on product.

    My hands are getting tired. If anyone finds this post of interest and would like to learn more, let me know. I'd be happy to share. :) I'm currently mentoring an investor, and she's called me a "wealth of knowledge". Once I get my business rolling and more profitable, I might start mentoring for a small price. I can also help you find suppliers for whatever you need (since I feel people will be asking.) Just don't expect it for free. Time=money.

    Thanks,
    Mary
     
    • Thanks Thanks x 24
  2. Clint

    Clint Newbie

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    I can see this was written from a lot of experience
     
  3. marusia

    marusia Senior Member

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    Thank you, I appreciate that. I'll be adding more soon.
     
  4. marusia

    marusia Senior Member

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    Absolutely. Right now, I deal with the high end boutiques and italian manufacturers to get last season and sometimes, this season's lines. Once I have at least 50k (the minimum), I'm going to try and go direct with the label themselves.

    What are you trying to get ahold of?
     
  5. marusia

    marusia Senior Member

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    Oh ok. I'll send you a pm. Yes, I can try to help as long as you'll blind ship.
     
  6. marusia

    marusia Senior Member

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    I'm in the works of getting an account that gets over 1M views a month from wholesalers. If the price is competitive, and the quality is good, we will be able to move your product. I'm back home now, so I'm available to skype.
     
  7. Emlimper

    Emlimper Registered Member

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    Good read, thank you for your input.
     
  8. marusia

    marusia Senior Member

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    Thanks. Just trying to help the noobs out. Communication is the first key with any venture.
     
  9. oliver twist

    oliver twist Junior Member

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    Hey Mary. Thanks for your Thread.
    I would love to learn what you have to share. I'm always looking to learn new things.
    Since I canĀ“t send PM's yet, how do you think we could talk?

    Thanks
     
  10. marusia

    marusia Senior Member

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    You can add me on skype. marusia 1052 no spaces.
     
  11. argh11

    argh11 Regular Member

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    Wondering about some things...sent you a PM. :)

    TIA
     
  12. marusia

    marusia Senior Member

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    Another thing to think about. It never hurts to ask if something is authentic or not. Most replica sellers will avoid the question. I had it happen once when I was new to buying. I bought 2K worth of counterfeit cosmetics. Long story short, authentic sellers will tell you they are authentic. It's not a surefire way, but it helps.

    I ended up getting all my money back after I threatened to get her paypal account shut down.
     
  13. XBLElec

    XBLElec Junior Member

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    The hardest part of starting a legit company is you need capital. If you don't have capital you can't start a "legit" business.

    For example you can buy a replica bag for say $30. Sell it for $100

    But if you buy a legit bag you have to buy like 500 to make them say $70 each.

    That's a lot of money...
     
  14. hostie

    hostie Jr. VIP Jr. VIP Premium Member

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    This is true.

    This is where a lot of people will drop off of the map and move towards drop shipping cheap items from china.

    Unless you have a solution for attaining wholesale without the huge capital required, it's pretty hard to get into the mass wholesale business.

    I'm all ears though.
     
  15. marusia

    marusia Senior Member

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    Thanks. If you don't have capital, then you can use dropshippers. There's less profit that way though.

    For instance...I can get jeans that retail for $298 for $35 a pair. Minimum qty. 24 pieces. I'd gladly sell them wholesale for $50 a pair. If I were to dropship them, I'd want $105 a piece. You sell them for whatever you want and pocket the profit.

    While there's still plenty of profit to make, there's not nearly as much for two reasons.

    1. I'm still doing more work.

    2. I'm sitting on product. Where I could be moving 24 pieces per transaction and making about $400, I'm only pulling in about $70 after shipping.

    Even with dropshipping, you could still make well over $100 a sell if you market it right.
     
  16. skylizard

    skylizard Newbie

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    I'm a noob here and was hoping to start selling. Would love tO get more advice from you as soon as I can pm
     
  17. cyberflax

    cyberflax BANNED BANNED

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    Good guide !!
     
  18. marusia

    marusia Senior Member

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    Thanks Cyberflax. :)

    Skylizard, what are you wanting to learn?
     
  19. skylizard

    skylizard Newbie

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    Anything and everything :)
    I was hoping to find authentic products to sell on eBay, but now I'm wondering if that's the bet way to sell. I'm a total noob here and just hoping to learn more about wholesaling and drop shipping. I've been researching a lot online but so much of the info out there is a scam.
     
  20. marusia

    marusia Senior Member

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    Selling on ebay isn't "horrible", per se...It just isn't for me. I'm tired of selling piece by piece. More importantly, I'm tired of taking shit by ebay and paypal. I'm making YOU money..and you want to treat me like I need you or freeze my account?!

    Ebay/Paypal is not an end all be all to online retailers. When I was selling new products, I preferred Amazon. If I had the time and knowledge, I would have my own website.