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Drop Shipping Your Way to Increased Profits


Drop shipping, for those who are unfamiliar with it, is a system whereby you promote the products of a particular manufacturer, take orders directly, and the manufacturer/source handles all the inventory and fulfillment functions for you.

In a nutshell, here is the drop-ship system:

==>You generate and accept the order.

==>You take your profits out of the sale price.

==>You forward the order and the wholesale cost to the drop shipper.

==>The source factory ships directly to your customer.

The benefits of this arrangement are probably obvious:

* No inventory cost to you.

* Substantially higher profits to you over what most regular affiliate programs allow.

* The ability to quickly set-up inexpensive, highly targeted, niche or mini-sites to test and promote diverse products.

This process has been around for years and has been responsible for many highly successful mail order dealer relationships in the past. Many of the top catalogers and other direct response marketers, have been using this system to increase profits for decades. If you have ever ordered a high priced item from a mail order catalog and been told that the product was being shipped from the factory... then you have experienced drop shipping first hand.

Drop shipping is, I believe, a virgin un-tapped storehouse of profits for todays internet marketer.

On-line directories exist [http://www.dropshipprofits.com] which reveal essential contact information for drop shippers of over 2,000,000 products and 4,000 brands. Most legitimate drop ship sources will require that you have a state tax reseller number in order to approve you to sell their products and give you the wholesale pricing you are looking for.

Beware of any drop ship source which requires you to pay a fee in order to become a drop-ship dealer... or requires a membership. These are generally organizations which make their money selling "drop ship licenses"... and are, for the most part, scams. Legitimate drop shippers and factory sources never charge you any fees other than the actual wholesale cost & shipping costs of the products you sell.

Another caveat... always make sure that you have a written agreement with the source factory that you own the customer! The factory or drop ship source should agree in writing not to solicit your customers in any form. This is very important to you. Your customer list is one of your most important assets. If the factory you are dealing with balks at this request... use another source who will agree.

Almost every conceivable type of product is available from a drop shipper willing to ship products in single units under your companies name. Pick your interest area... electronics, consumer products, agricultural & industrial products, office equipment & supplies, hobby gear, recreational / sporting goods, clothing, furniture, etc. The list of available products from drop shippers is almost endless.

The products actual source is invisible to the consumer. The seller (you) is able to build a database of customers that he/she owns and controls (by agreement with the manufacturer) and has all the direct marketing advantages that accompany that arrangement... while eliminating the need for maintaining expensive inventory.

This arrangement offers maximum flexibility and cost savings for the seller. If a product does not sell well online you can pull the advertising (web page or mini-site) instantly with very little cost to you outside of the actual time it took to build and test the web marketing effort. Or, since this type of page/mini-site is so inexpensive to maintain and host... you can simply leave the pages online and take whatever orders trickle through... while you move on to the testing and promotion of new drop ship products. A quick marketing test can be done on eBay or other auction site to determine if the product sells... and at what price.

The manufacturer benefits from this relationship by gaining a legion of active marketers promoting their products... at little or no cost (other than those small costs involved with supporting the marketer with online marketing materials like product images, sales materials, etc).

As a marketer you are looking for several key components in developing the drop-ship relationship with a source factory or distributor:

** High Quality Products

** Blanket Product Liability Insurance (if applicable)

** A clear guarantee and return policy

** High Quality Marketing Materials ... product images (gifs, jpegs, etc.), selling copy, other suitable web graphics, etc.

** A Customer Service Department that will work with you to develop the best selling situation for you.

If you are a manufacturer seeking to expand distribution (or an inventor with a new product ) you will find the willingness to drop ship in single units will give you a strong competitive edge while you carve out increased market share at little cost.

If you are an online marketer interested in offering high profit products to your niche market (your website visitors) without incurring high front-end development or inventory costs... then drop shipping is for you.

Internet marketers are uniquely positioned to take profitable advantage of the drop ship arrangement and should give this system a serious look.

(c) Copyright 2005 Thom Reece

Thom Reece is CEO of Online Marketing Resource Center [http://www.E-ComProfits.com] and publisher of "Thom Reece's Web Marketing Strategies & Techniques Newsletter". You may subscribe free at: http://www.WMSTDirect.com, mailto:thom@e-comprofits.com


TODAYS NEWS BY OFFICEJAX FREE ADVERTISING AND AD EXCHANGE SOLUTIONSMORE RESOURCES updated Sat. January / 25 / 2020

Mecum Auctions kicks off annual motorcycle auction - WRBL
Mecum Auctions kicks off annual motorcycle auction  WRBL

More than 100 vehicles available at state surplus auction - ABC6OnYourSide.com
More than 100 vehicles available at state surplus auction  ABC6OnYourSide.com

Mecum Auctions offers 1,750 motorcycles at South Point - Las Vegas Review-Journal
Mecum Auctions offers 1,750 motorcycles at South Point  Las Vegas Review-Journal

Wyatt Earp’s ‘Vendetta Ride’ Shotgun to Sell at Heritage Auctions In Dallas - NBC 5 Dallas-Fort Worth
Wyatt Earp’s ‘Vendetta Ride’ Shotgun to Sell at Heritage Auctions In Dallas  NBC 5 Dallas-Fort Worth

Leake Auctions sells $17M of vehicles in Scottsdale - AZ Big Media
Leake Auctions sells $17M of vehicles in Scottsdale  AZ Big Media

Centennial couple says the owner of a shuttered auction gallery still owes them money - The Denver Channel
Centennial couple says the owner of a shuttered auction gallery still owes them money  The Denver Channel

Julien's Auctions MusiCares' 30th Anniversary Person Of The Year Online Charity Auction Announces Results - Broadway World
Julien's Auctions MusiCares' 30th Anniversary Person Of The Year Online Charity Auction Announces Results  Broadway World

Frank Sinatra got a blank check to decorate an Atlantic City apartment. Now, you can buy his marble toilet. - The Philadelphia Inquirer
Frank Sinatra got a blank check to decorate an Atlantic City apartment. Now, you can buy his marble toilet.  The Philadelphia Inquirer

Waseca residents partner up to host auctions for Officer Arik Matson; date set for March 14 - KEYC
Waseca residents partner up to host auctions for Officer Arik Matson; date set for March 14  KEYC

Online auction sites are the perfect solutions to your budgeting needs - Komando
Online auction sites are the perfect solutions to your budgeting needs  Komando

Denver auction oddities included $2.3M suit of armor, painting by Lancaster artist - LancasterOnline
Denver auction oddities included $2.3M suit of armor, painting by Lancaster artist  LancasterOnline

PA Liquor Board Announces Zombie Liquor License Auction - The National Law Review
PA Liquor Board Announces Zombie Liquor License Auction  The National Law Review

16th-Century Suit of Armor with Royal 'DNA' Commands $270,600 at Auction - PRNewswire
16th-Century Suit of Armor with Royal 'DNA' Commands $270,600 at Auction  PRNewswire

Dogpatch's time's up; auction set to sell park - Northwest Arkansas Democrat-Gazette
Dogpatch's time's up; auction set to sell park  Northwest Arkansas Democrat-Gazette

Frank Sinatra auction: Gold-seated toilet, piano, clock among items from Chairman Suite at the former Golden Nugget Casino - CBS News
Frank Sinatra auction: Gold-seated toilet, piano, clock among items from Chairman Suite at the former Golden Nugget Casino  CBS News

Frank Sinatra's gold-seated toilets up for auction - CNN
Frank Sinatra's gold-seated toilets up for auction  CNN

Basketball HOF to Auction Enshrinement Plaques of Michael Jordan, Shaq, More - Bleacher Report
Basketball HOF to Auction Enshrinement Plaques of Michael Jordan, Shaq, More  Bleacher Report

Lincoln-Way Foundation to host dinner gala and auctions - The Herald-News
Lincoln-Way Foundation to host dinner gala and auctions  The Herald-News

'Gilbert Sale Yard' changes name to 'Wrightz Auction Co.' - KCHA News
'Gilbert Sale Yard' changes name to 'Wrightz Auction Co.'  KCHA News

Score Vintage Designer Bags at This Upcoming Luxury Auction - Houstonia Magazine
Score Vintage Designer Bags at This Upcoming Luxury Auction  Houstonia Magazine

Waterfront Estate in Ultra-Exclusive Miami Community Set for Luxury Auction® on Valentine's Day - PRNewswire
Waterfront Estate in Ultra-Exclusive Miami Community Set for Luxury Auction® on Valentine's Day  PRNewswire

Design royalty is all atwitter about the Prince of Chintz auction - The Washington Post
Design royalty is all atwitter about the Prince of Chintz auction  The Washington Post

Three Incredible Supercars from the 2020 RM Sotheby’s Scottsdale Auctions - Forbes
Three Incredible Supercars from the 2020 RM Sotheby’s Scottsdale Auctions  Forbes

Outlet Center goes to auction - Brattleboro Reformer
Outlet Center goes to auction  Brattleboro Reformer

104 Vehicles Available at State Surplus Auction Saturday – WKTN- A division of Home Town Media - WKTN Radio
104 Vehicles Available at State Surplus Auction Saturday – WKTN- A division of Home Town Media  WKTN Radio

Online Wine Auctions: A Beginner’s Guide - Wall Street Journal
Online Wine Auctions: A Beginner’s Guide  Wall Street Journal

Three Ford GT Auctions Average $1.2M in... - The News Wheel
Three Ford GT Auctions Average $1.2M in...  The News Wheel

Public auctions often fetch more for in-demand properties - St. Augustine Record
Public auctions often fetch more for in-demand properties  St. Augustine Record

Preview: The 2020 Las Vegas Motorcycle Auctions - New Atlas
Preview: The 2020 Las Vegas Motorcycle Auctions  New Atlas

One year after kidney transplant, 9-year-old auctions prize-winning swine at Manatee County Fair - FOX 13 Tampa Bay
One year after kidney transplant, 9-year-old auctions prize-winning swine at Manatee County Fair  FOX 13 Tampa Bay

Amish Acres auction gaining local and national interest - WSBT-TV
Amish Acres auction gaining local and national interest  WSBT-TV

Late actor Paul Walker's vehicles garner $2.33 million at Arizona auction - Reuters
Late actor Paul Walker's vehicles garner $2.33 million at Arizona auction  Reuters

Chicago developer Hilco’s $240 million bid wins auction for bankrupt Philadelphia refinery - The Philadelphia Inquirer
Chicago developer Hilco’s $240 million bid wins auction for bankrupt Philadelphia refinery  The Philadelphia Inquirer

Jerry Brown concerned by Sotheby's auction of his dad's rare JFK papers - POLITICO
Jerry Brown concerned by Sotheby's auction of his dad's rare JFK papers  POLITICO

Missoula Art Museum celebrates 45 years at Annual Benefit Art Auction - KULR-TV
Missoula Art Museum celebrates 45 years at Annual Benefit Art Auction  KULR-TV

Arizona Car Week 2020: 4 car auctions to see in the Valley this week - ABC15 Arizona
Arizona Car Week 2020: 4 car auctions to see in the Valley this week  ABC15 Arizona

Estonia 5G auctions in legal limbo - Developing Telecoms
Estonia 5G auctions in legal limbo  Developing Telecoms

Here’s Jalen Hurts’ Alabama-Oklahoma helmet auction results, viral video with kids at Senior Bowl - AL.com
Here’s Jalen Hurts’ Alabama-Oklahoma helmet auction results, viral video with kids at Senior Bowl  AL.com

Bipartisan Bill Would Ban Reverse Auctions for Federal Construction Contracts - GovExec.com
Bipartisan Bill Would Ban Reverse Auctions for Federal Construction Contracts  GovExec.com

Detroit Piston Will Auction Off Australia-Themed Game-Worn Shoes - thegame730am.com
Detroit Piston Will Auction Off Australia-Themed Game-Worn Shoes  thegame730am.com

Plenty to bid on at Command Performances Trivia Night and Auction - NNY360
Plenty to bid on at Command Performances Trivia Night and Auction  NNY360

Hidalgo County to hold surplus auction in Mission - KGBT-TV
Hidalgo County to hold surplus auction in Mission  KGBT-TV

Paintings, jewelry owned by Marylou Whitney head to auction - Times Union
Paintings, jewelry owned by Marylou Whitney head to auction  Times Union

Wisconsin fur: Finnish auction house takes over Stoughton mink trading hub - Madison.com
Wisconsin fur: Finnish auction house takes over Stoughton mink trading hub  Madison.com

Rare '48 Tucker is just one of the million-dollar-plus cars up for auction this weekend - Yahoo Finance
Rare '48 Tucker is just one of the million-dollar-plus cars up for auction this weekend  Yahoo Finance

Eastside Community Ministry Chair-ity Auction Approaching - WHIZ
Eastside Community Ministry Chair-ity Auction Approaching  WHIZ

Milford FFA Alumni Auction planned for Feb. 1 | Iroquois County's Times-Republic - Newsbug.info
Milford FFA Alumni Auction planned for Feb. 1 | Iroquois County's Times-Republic  Newsbug.info

From an Iconic Italian Racing Bike to a Revolutionary Harley: 4 Standout Motorcycles Star at the Mecum Auctions - Robb Report
From an Iconic Italian Racing Bike to a Revolutionary Harley: 4 Standout Motorcycles Star at the Mecum Auctions  Robb Report

More than 100 vehicles up for bid at Ohio surplus auction - 13abc Action News
More than 100 vehicles up for bid at Ohio surplus auction  13abc Action News

Man who paid $3M for 2020 Corvette Stingray says he'll never drive it - Detroit Free Press
Man who paid $3M for 2020 Corvette Stingray says he'll never drive it  Detroit Free Press

Raymond Pettibon's Illustrated Works to Fetch Up to $800,000 USD at LA Auction - HYPEBEAST
Raymond Pettibon's Illustrated Works to Fetch Up to $800,000 USD at LA Auction  HYPEBEAST

Latunski's home foreclosed, up for auction - WILX-TV
Latunski's home foreclosed, up for auction  WILX-TV

Stolen Marc Chagall Painting Goes on Auction After Disappearing for 24 Years - Newsweek
Stolen Marc Chagall Painting Goes on Auction After Disappearing for 24 Years  Newsweek

Sotheby's Auctions Impressionist Paintings Recovered From Nazi Looting; Watercolors by JFK Also Go to Auction - Hyperallergic
Sotheby's Auctions Impressionist Paintings Recovered From Nazi Looting; Watercolors by JFK Also Go to Auction  Hyperallergic

‘Mona Lisa of Mustangs,’ Raced in ‘Bullitt,’ Sets Auction Record - The New York Times
‘Mona Lisa of Mustangs,’ Raced in ‘Bullitt,’ Sets Auction Record  The New York Times

Lake County supervisors discuss tax defaulted land auctions - Lake County Record-Bee
Lake County supervisors discuss tax defaulted land auctions  Lake County Record-Bee

How retailers can make more money in online auctions - EurekAlert
How retailers can make more money in online auctions  EurekAlert

First 2020 Chevrolet Corvette Stingray auctioned off for $3 million - Business Insider - Business Insider
First 2020 Chevrolet Corvette Stingray auctioned off for $3 million - Business Insider  Business Insider

McGavock auctions off Patrick Mahomes firefighter helmet for Lubbock families of first responders - KLBK | KAMC | EverythingLubbock.com
McGavock auctions off Patrick Mahomes firefighter helmet for Lubbock families of first responders  KLBK | KAMC | EverythingLubbock.com

3 Ways to Navigate First-Price Auction Adoption - Adweek
3 Ways to Navigate First-Price Auction Adoption  Adweek

Auction of a lifetime - San Marcos Daily Record
Auction of a lifetime  San Marcos Daily Record

Bugatti, Aston Martin, and other historic cars to sell at auction that could generate $60 million - Yahoo Finance
Bugatti, Aston Martin, and other historic cars to sell at auction that could generate $60 million  Yahoo Finance

Variety of vintage race cars sell well in Arizona auctions - RACER
Variety of vintage race cars sell well in Arizona auctions  RACER

Ashdown community auction set for Sat. night - ArkLaTexHomepage
Ashdown community auction set for Sat. night  ArkLaTexHomepage

DC-G Athletic Boosters To Host Cake Auction - raccoonvalleyradio.com
DC-G Athletic Boosters To Host Cake Auction  raccoonvalleyradio.com

Marc Chagall painting stolen 20 years ago resurfaces at Israeli auction - The Jewish News of Northern California
Marc Chagall painting stolen 20 years ago resurfaces at Israeli auction  The Jewish News of Northern California

mmWave auction poised to resume, on path to $6B - FierceWireless
mmWave auction poised to resume, on path to $6B  FierceWireless

Easterseals to host 29th annual auction - Sandusky Register
Easterseals to host 29th annual auction  Sandusky Register

Women's Civic Club to host Beach Boogie Dance and Silent Auction - WJHG-TV
Women's Civic Club to host Beach Boogie Dance and Silent Auction  WJHG-TV

Barrett-Jackson Celebrates Highest-Grossing Auction in 49-Year History With Over $141 Million in No Reserve Sales - Business Wire
Barrett-Jackson Celebrates Highest-Grossing Auction in 49-Year History With Over $141 Million in No Reserve Sales  Business Wire

Swift 5G spectrum auctions indicate a sense of urgency to roll-out 5G - Tech Wire Asia
Swift 5G spectrum auctions indicate a sense of urgency to roll-out 5G  Tech Wire Asia

Christie’s Has Cancelled Plans for a Middle Eastern Art Auction in Dubai, Citing a Lack of Top-Quality Works - artnet News
Christie’s Has Cancelled Plans for a Middle Eastern Art Auction in Dubai, Citing a Lack of Top-Quality Works  artnet News

Dinner & Silent Auction For HDHS Key Club - b985.fm
Dinner & Silent Auction For HDHS Key Club  b985.fm

Lynnway Auto Auction gets new owner, new name - Lowell Sun
Lynnway Auto Auction gets new owner, new name  Lowell Sun

Thyssenkrupp to kick off auction for plant building unit-sources - Nasdaq
Thyssenkrupp to kick off auction for plant building unit-sources  Nasdaq

KOVELS; Caviar server fetches top dollar at auction - Maryville Daily Times
KOVELS; Caviar server fetches top dollar at auction  Maryville Daily Times

U.S. Government Sets Record for Debt Auctions - Wall Street Journal
U.S. Government Sets Record for Debt Auctions  Wall Street Journal

Phoebe Waller-Bridge Auctions Golden Globes Tuxedo on Ebay to Aid Australia Fires - Hollywood Reporter
Phoebe Waller-Bridge Auctions Golden Globes Tuxedo on Ebay to Aid Australia Fires  Hollywood Reporter

Modi to put loss-making Air India back on the auction block - Nikkei Asian Review
Modi to put loss-making Air India back on the auction block  Nikkei Asian Review

Important Abraham Lincoln presentation sword to be auctioned by Central Mass Auctions - PRNewswire
Important Abraham Lincoln presentation sword to be auctioned by Central Mass Auctions  PRNewswire

Hidalgo County hosting surplus auction on vehicles, equipment this weekend - KGBT-TV
Hidalgo County hosting surplus auction on vehicles, equipment this weekend  KGBT-TV

First 2020 Chevrolet Corvette C8 Auctions for $3 Million - Automobile
First 2020 Chevrolet Corvette C8 Auctions for $3 Million  Automobile

Formula One to hold auction for Australian bushfire relief - ESPN
Formula One to hold auction for Australian bushfire relief  ESPN

Mexico's president doubles down on nationalist line: no oil auctions - Reuters
Mexico's president doubles down on nationalist line: no oil auctions  Reuters

How foreclosure auction buyers will signal the next housing downturn - National Mortgage News
How foreclosure auction buyers will signal the next housing downturn  National Mortgage News

Heritage Charity Auction Settles with EEOC in Employment Discrimination Suit - The National Law Review
Heritage Charity Auction Settles with EEOC in Employment Discrimination Suit  The National Law Review

1970 Porsche 914/6 GT Sold for $1M at Auction Becomes Most Expensive 914 Ever - The Drive
1970 Porsche 914/6 GT Sold for $1M at Auction Becomes Most Expensive 914 Ever  The Drive

Paintings Made by JFK Among a Memorabilia Auction Asking $1.5 Million - Observer
Paintings Made by JFK Among a Memorabilia Auction Asking $1.5 Million  Observer

Manny Medina will auction his Coral Gables estate - Miami Herald
Manny Medina will auction his Coral Gables estate  Miami Herald

Lionel Train Auction Draws Bidders from Across US - businessjournaldaily.com
Lionel Train Auction Draws Bidders from Across US  businessjournaldaily.com

Fundraiser to feature theatre, humor and an auction - The Hutchinson News
Fundraiser to feature theatre, humor and an auction  The Hutchinson News

Bison auction set at Land Between the Lakes - The Gleaner
Bison auction set at Land Between the Lakes  The Gleaner

India to auction rare art belonging to diamond magnate arrested in UK - Reuters
India to auction rare art belonging to diamond magnate arrested in UK  Reuters

Mustang From Famed ‘Bullitt’ Car Chase Heads to Auction - IOL
Mustang From Famed ‘Bullitt’ Car Chase Heads to Auction  IOL

Bayshore Mall auctions off food court items - WISN Milwaukee
Bayshore Mall auctions off food court items  WISN Milwaukee

EVE Online Player Lists Extremely Rare Ship For Auction, Proceeds Going To Charity - MMORPG.com
EVE Online Player Lists Extremely Rare Ship For Auction, Proceeds Going To Charity  MMORPG.com

Jan 25 | JJ Kane Live Auction | Philadelphia, PA - Patch.com
Jan 25 | JJ Kane Live Auction | Philadelphia, PA  Patch.com

Amish community in Florida auctions quilts, raises $300K for Haiti relief - KIRO Seattle
Amish community in Florida auctions quilts, raises $300K for Haiti relief  KIRO Seattle

Pair of Homes in Sundance, Utah, Will Hit the Auction Block - Barron's
Pair of Homes in Sundance, Utah, Will Hit the Auction Block  Barron's

7 Interior Designers Shop the Mario Buatta Auction - Architectural Digest
7 Interior Designers Shop the Mario Buatta Auction  Architectural Digest

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