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Starting a drop shipping service and selling via ebay.

Discussion in 'Dropshipping & Wholesale Hookups' started by Bulking, Nov 26, 2013.

  1. Bulking

    Bulking Registered Member

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    Hi BHW, first post!!
    So I have decided that I want to invest some money into drop shipping from china and selling the items on eBay.

    Thing is, Amazon is cheap on almost everything and they offer free postage, my only competitive advantage is that local buyers cant buy from Amazon unless they pay for extra shipping. Im from Australia and Amazon doesn't ship unless you go with an American or international courier company and that's extra cost and a longer delay.

    I just wanted to ask what do you guys think of drop shipping and whether it is profitable when you factor in costs of eBay, postage and import costs.

    Also where would you find good suppliers; had a bit of a look on alibaba and globalsource.

    And finally, what are some good resources to research niches and particular items that sell well and have alot of traffic/sales?
     
  2. Nirmal

    Nirmal Regular Member

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    I've been doing drop shipping on ebay when I was in India. I found many troubles ,

    1. You have to always mention in product listing the location of item, most people wouldn't buy if they see product is thousands of km away.
    2. You will always face trouble , when customer wants to return the product back. ebay India had policy of 15 days return if not satisfied I guess .com.au is more strict 30 days refund policy.
    3. Most people wouldn't buy because of custom duty problems. They have to pay custom duty unless package mention "gift item" Not sure about laws in AU
    4. You are fcked up if seller doesn't ship on time. It once happened with me , item took 25 days to deliver (even in DHL) because of delayed shipment, till then ebay initiated auto-refund for buyer since I did not deliver in timeline. And finally you are stuck with the product.
    5. Obviously late delivery will get you -ve feedback.

    you can go for it if you are sure about your seller & his product. I used suppliers of aliexpress, but again you have to choose supplier carefully.

    not sure about researching niches, still newbie in IM :D

     
  3. Bulking

    Bulking Registered Member

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    Mhm, what about if I was to just hold the product? I just recently moved and we have HEAPS of storage space, (garage and like 2 rooms upstairs that are empty and waiting for some stuff to be stored)
    What kind of products did you ship and what kind of income were you generating. I have noticed that ali express has generally got higher prices and more expensive shipping, how did you make profit?
     
  4. Nirmal

    Nirmal Regular Member

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    It was the time when tablet pcs were too expensive in India, obviously I sold them for 100% margin. Not possible now. But even that time I found out that technological & clothing categories are good to make profits. I used to sell many items like pen drives (128 , 264gb) which people can't easily get in local market. And yes you always have advantage of people feeling more safe to buy from ebay. So you may try it.
    I liked your idea about having to keep inventory. you certainly have no disadvantage except risk of stock not getting sold and yes "opportunity cost" but that is minimal. Aliexpress have higher prices... I guess it is because they are catering to small wholesalers. Most of sellers have very small MOQs. I've even found good reviews about DHgate , though never tried it. btw where are you in AU? I am from MEL :D


     
  5. Bulking

    Bulking Registered Member

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    Ya dude Melbourne, Australia
     
  6. bananaman5000

    bananaman5000 Regular Member

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    yes, it can be very profitable. but your supplier MUST be reliable. even a few hiccups and you will be in trouble. i would try to funnel the customer to your own site as much as possible without violated ebay's TOS
     
  7. redstar84

    redstar84 Newbie

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    I'm in a similar position Bulking.

    The hardest part is finding a good supplier. I haven't had too much success sourcing through Ali Baba unfortunately.
     
  8. Bulking

    Bulking Registered Member

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    any more help or feedback is appreciated.
     
  9. namz123

    namz123 Registered Member

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    Hey mate , So did u started u dropshipping business finally ? What products r u selling and where did u found ur suppliers from ?
     
  10. vikthink

    vikthink Regular Member

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