Can You Make Money from Dropshipping on eBay & Amazon?

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Just Click Riches says:

Totaly not advised with new eBay defect rules. Will kill your top rated status.

Dominick Thompson says:

I like your video but I do not think this explains much for people who do not really understand everything. I get this entire subject because I already have a business set up, just not running as of yet, name on file, County clerk etc awaiting retail/resellers license and to build my site. Currently, I am an E-Commerce clerk for a small business that ships thousands of products per day via Amazon, ebay and direct from warehouse.

There is a wholesale department, Ebay, FBA and Merchant department. I work in the FBA department but my department works along side Ebay and Merchant with wholesale doing its own thing. So I know how this all goes. I studied business in college and know the dropship model, advertisement approach via Facebook ads, using Ali express blah blah blah. The main problem I see be it drop shipping or just selling on Ebay or Amazon is 1-No brand recognition specifically talking about drop shipping 2- inventory control, and in general selling again 3-Unpredictability of Amazon and 4-Margin. 1-When someone buys from Amazon, whether you ship merchant, or fulfill it through amazon, if you are selling ON Amazon’s platform, you don’t matter. Ask someone where they got the item, “Amazon” they don’t say “johns good shop on Amazon”.

If you want a super profitable business, you have to stand out, you can’t do that drop shipping on Amazon’s platform. 2-Inventory control, things sell quick, vendor gets backordered, listings get old, you got to be on top of it. Some Ebay and Amazon sellers you will use to drop ship also ship from China, and it does not ship fast, so what if you dropship with a 3-7 day wait time and it actually comes in 26 days? you got to research this stuff and always check it. 3-Amazon, the company is unpredictable, A lot of attention on Amazon goes to Prime sellers and themselves. I see thousands of products moving per day at work and being that I work for FBA in my company, I see the back end stuff most people don’t see.

Competition on an item, how much stock you need, when should you send out, what is the current trend, is Amazon selling the item themselves, how many FBA sellers are on the item, they get preference on Amazon because of Prime. There’s much more but all that matters. and 4-The killer for me, Margin. Amazon fees, Ebay fees, Paypal plus competition. If 10 sellers selling the same item, you going to have to compete, and if you drop too low, you’re profit shrinks, and the other sellers most likely are FBA, so that’s auto prime ship AND they will have the inventory on hand or can order direct from vendor while you have to ship via dropship only. I personally feel the most successful model is dropshipping from your own online store, and buying inventory on hot stock once you know which products sell well for you, to keep inventory on hand and creating brand recognition. It lessens the risk while giving the business more exposure and flexibility. There’s no scare of one day Amazon may raise a fee or a seller may just go so low your profit tanks.

All in all, when you say it’s viable, i say it works but you’re not going to be a millionaire doing it nor make a salary unless you are extremely good with business strategy or have multiple income streams. For me, I know I can get a salary first 6-10 months if even that long with my business because it’s my own platform.

rchance2228 says:

Great content and advice Andy. If I can be positively negative, Your constant editing is distracting and somewhat annoying. I sincerely mean that in a positive way! This is my first watch of you. I like the fact that you obviously interact and care, judging by your reply comment to Dominick Thompson. subbed.

Carolina Flippers says:

what would you recommend. drop shipping

Greg Moore says:

Very good solid info on the pluses and minuses of drop shipping. Thank you.

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