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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:[email protected]


TODAYS NEWS BY OFFICEJAX FREE ADVERTISING AND AD EXCHANGE SOLUTIONSMORE RESOURCES updated Tue. March / 19 / 2024

How Julien’s Auctions Leads the Booming Market in Celebrity Memorabilia - The New Yorker
How Julien’s Auctions Leads the Booming Market in Celebrity Memorabilia  The New Yorker

‘Sword of Truth’ Author Terry Goodkind’s Secluded Nevada Home and Writing Studio Head to Auction - Mansion Global
‘Sword of Truth’ Author Terry Goodkind’s Secluded Nevada Home and Writing Studio Head to Auction  Mansion Global

Kobe Bryant's 2000 NBA championship ring, originally gifted to his father, is for sale at auction - CBS Sports
Kobe Bryant's 2000 NBA championship ring, originally gifted to his father, is for sale at auction  CBS Sports

LA Lakers 2000 NBA championship ring Kobe Bryant gifted to his dad up for sale at 'Elite Sports Auction' - KABC-TV
LA Lakers 2000 NBA championship ring Kobe Bryant gifted to his dad up for sale at 'Elite Sports Auction'  KABC-TV

Kobe Bryant's Parents Face Backlash After Putting Championship Ring On The Auction Block - Yahoo Entertainment
Kobe Bryant's Parents Face Backlash After Putting Championship Ring On The Auction Block  Yahoo Entertainment

Delaware surplus auctions in March include boats, vehicles and tools - The News Journal
Delaware surplus auctions in March include boats, vehicles and tools  The News Journal

'Wizard of Oz' ruby slippers stolen by retired mobster to hit auction after recovery - Fox Business
'Wizard of Oz' ruby slippers stolen by retired mobster to hit auction after recovery  Fox Business

Monaco Car Auctions returns with L'Astarossa - the ultimate stable of prancing horses - Classic Driver
Monaco Car Auctions returns with L'Astarossa - the ultimate stable of prancing horses  Classic Driver

Jobs and Musk smash auction records ... and the auction isn't finished yet - New Atlas
Jobs and Musk smash auction records ... and the auction isn't finished yet  New Atlas

Apartment complex goes on auction block in Kinloch, Missouri - KSDK.com
Apartment complex goes on auction block in Kinloch, Missouri  KSDK.com

A Pinarello Dogma gifted to the pope by Egan Bernal is up for auction - Cyclingnews
A Pinarello Dogma gifted to the pope by Egan Bernal is up for auction  Cyclingnews

Another Cybertruck is at auction, bids past $150K with four days to go - Autoblog
Another Cybertruck is at auction, bids past $150K with four days to go  Autoblog

Kobe Bryant's LA Lakers NBA championship ring is up for auction - NBC Southern California
Kobe Bryant's LA Lakers NBA championship ring is up for auction  NBC Southern California

Weekly online auctions where you can buy and sell - ABC4.com
Weekly online auctions where you can buy and sell  ABC4.com

Tired of brackets? How to play NCAA Tournament survivor, Calcutta auctions and upset drafts - The Athletic
Tired of brackets? How to play NCAA Tournament survivor, Calcutta auctions and upset drafts  The Athletic

Norway's inaugural offshore wind auction continues Tuesday - Reuters
Norway's inaugural offshore wind auction continues Tuesday  Reuters

ACV auctions director Eileen Kamerick sells over $216k in company stock By Investing.com - Investing.com
ACV auctions director Eileen Kamerick sells over $216k in company stock By Investing.com  Investing.com

Arizona Game and Fish Votes to Ban Big Game Auction Tags - GearJunkie
Arizona Game and Fish Votes to Ban Big Game Auction Tags  GearJunkie

Planet Hollywood auction in Dallas to sell wood panel from "Titanic" - The Dallas Morning News
Planet Hollywood auction in Dallas to sell wood panel from "Titanic"  The Dallas Morning News

Judy Garland’s Recovered Ruby Slippers From ‘Wizard of Oz’ Going Up for Auction - Hollywood Reporter
Judy Garland’s Recovered Ruby Slippers From ‘Wizard of Oz’ Going Up for Auction  Hollywood Reporter

Mecum Auction sales top $54 million mark in Glendale | Glendale Independent - Daily Independent
Mecum Auction sales top $54 million mark in Glendale | Glendale Independent  Daily Independent

Owners of Shiba Inu Behind Dogwifhat Meme Auctions NFT on Ethereum - Yahoo Finance
Owners of Shiba Inu Behind Dogwifhat Meme Auctions NFT on Ethereum  Yahoo Finance

Bid Like A Champ, Kobe Bryant's First Lakers NBA Ring on Auction Block, Dazzles with Family Legacy! - Hoodline
Bid Like A Champ, Kobe Bryant's First Lakers NBA Ring on Auction Block, Dazzles with Family Legacy!  Hoodline

Ancient Coins Featured in Robinson Auction - Numismatic News
Ancient Coins Featured in Robinson Auction  Numismatic News

2024 Houston Rodeo sets new records for attendance, auction sales | khou.com - KHOU.com
2024 Houston Rodeo sets new records for attendance, auction sales | khou.com  KHOU.com

Return of "The Russell" highlighted by $2.25 million sale - Great Falls Tribune
Return of "The Russell" highlighted by $2.25 million sale  Great Falls Tribune

2024 fantasy baseball draft sheet: Downloadable auction values and stats for 650 players - The Athletic
2024 fantasy baseball draft sheet: Downloadable auction values and stats for 650 players  The Athletic

Downtown Hot Springs buildings head for auction block - talkbusiness.net
Downtown Hot Springs buildings head for auction block  talkbusiness.net

Antiques Roadshow alum Reyne Hirsch buys Dallas Auction Gallery - The Dallas Morning News
Antiques Roadshow alum Reyne Hirsch buys Dallas Auction Gallery  The Dallas Morning News

Roadmap for Consigning Property At Auction - Wealth Management
Roadmap for Consigning Property At Auction  Wealth Management

The Extensive Collection: Andrew Jones Auctions honors Fritz and Lucy Jewett's wide-ranging pieces - LA Downtown News Online
The Extensive Collection: Andrew Jones Auctions honors Fritz and Lucy Jewett's wide-ranging pieces  LA Downtown News Online

Independent Director Of ACV Auctions Sold 100% Of Their Shares - Simply Wall St
Independent Director Of ACV Auctions Sold 100% Of Their Shares  Simply Wall St

Kobe Bryant’s 2000 Championship Ring up for Auction - Sportico
Kobe Bryant’s 2000 Championship Ring up for Auction  Sportico

Sword of Truth’ Author Terry Goodkind’s Secluded Nevada Home and Writing Studio Head to Auction - Barron's
Sword of Truth’ Author Terry Goodkind’s Secluded Nevada Home and Writing Studio Head to Auction  Barron's

Norway Launches Its First Offshore Wind Auction | OilPrice.com - OilPrice.com
Norway Launches Its First Offshore Wind Auction | OilPrice.com  OilPrice.com

LA Lakers 2000 NBA championship ring Kobe Bryant gifted to his dad up for sale at 'Elite Sports Auction' - WLS-TV
LA Lakers 2000 NBA championship ring Kobe Bryant gifted to his dad up for sale at 'Elite Sports Auction'  WLS-TV

Over $48000 Raised at 2024 Dairy's Foundation Auction - WTAQ
Over $48000 Raised at 2024 Dairy's Foundation Auction  WTAQ

Neil Gaiman Auctions Memorabilia in Irving, Raises $1M for Nonprofits - Dallas Observer
Neil Gaiman Auctions Memorabilia in Irving, Raises $1M for Nonprofits  Dallas Observer

6X6 AUCTION | Calendar | decaturdailydemocrat.com - Decatur Daily Democrat
6X6 AUCTION | Calendar | decaturdailydemocrat.com  Decatur Daily Democrat

What should I know about … the DREAMS Auction? - Wahpeton Daily News
What should I know about … the DREAMS Auction?  Wahpeton Daily News

6 Massachusetts students face charges for allegedly holding mock slave auctions on Snapchat - CBS Boston
6 Massachusetts students face charges for allegedly holding mock slave auctions on Snapchat  CBS Boston

'Streetworkers' Leads Eldred's Women In The Arts Auction - Antiques and the Arts Online
'Streetworkers' Leads Eldred's Women In The Arts Auction  Antiques and the Arts Online

Auction Block: Can You Really Sell A Small Law Firm? - Above the Law
Auction Block: Can You Really Sell A Small Law Firm?  Above the Law

Houston Livestock Show and Rodeo's 2024 junior auctions end with $1M steer sale, barrow record set - The Business Journals
Houston Livestock Show and Rodeo's 2024 junior auctions end with $1M steer sale, barrow record set  The Business Journals

Clash During Auctions, Man Killed in Nandyal - Deccan Chronicle
Clash During Auctions, Man Killed in Nandyal  Deccan Chronicle

PawSox murals from McCoy Stadium sold at auction - WPRI.com
PawSox murals from McCoy Stadium sold at auction  WPRI.com

Stolen slippers worn by 'Wizard Of Oz' star Judy Garland, to be returned to be auctioned off - The Economic Times
Stolen slippers worn by 'Wizard Of Oz' star Judy Garland, to be returned to be auctioned off  The Economic Times

Japan's 19th solar auction concludes with average final price of $0.034/kWh - pv magazine International
Japan's 19th solar auction concludes with average final price of $0.034/kWh  pv magazine International

Neil Gaiman Heritage Auction Raises Over 1 Million - ICv2
Neil Gaiman Heritage Auction Raises Over 1 Million  ICv2

Kobe Bryant’s Parents Face Backlash After Putting Championship Ring On The Auction Block - Vibe
Kobe Bryant’s Parents Face Backlash After Putting Championship Ring On The Auction Block  Vibe

The Pope's Pinarello Dogma F12 is up for auction - Global Cycling Network
The Pope's Pinarello Dogma F12 is up for auction  Global Cycling Network

Indiana Waterways Paintings at Auction May 4; New Project Set for 2026 - Muncie Journal
Indiana Waterways Paintings at Auction May 4; New Project Set for 2026  Muncie Journal

Focus on Women | Fine Books & Collections - Fine Books & Collections Magazine
Focus on Women | Fine Books & Collections  Fine Books & Collections Magazine

Unitarian Universalists of Southern Delaware online auction fundraiser - Bay to Bay News
Unitarian Universalists of Southern Delaware online auction fundraiser  Bay to Bay News

Mass. investigators pursue charges against six 8th graders who allegedly created an online mock slave auction - WBUR News
Mass. investigators pursue charges against six 8th graders who allegedly created an online mock slave auction  WBUR News

Quarter auction fundraiser set at MVVM - Miami Valley Today
Quarter auction fundraiser set at MVVM  Miami Valley Today

'No Sales' Return to Farmland Auction Market, But Local Conditions Can Still Drive Strong Sales - DTN The Progressive Farmer
'No Sales' Return to Farmland Auction Market, But Local Conditions Can Still Drive Strong Sales  DTN The Progressive Farmer

Greene County Ducks Unlimited Banquet and Auction is Saturday - Raccoon Valley Radio
Greene County Ducks Unlimited Banquet and Auction is Saturday  Raccoon Valley Radio

Sullivan schools to try once again to auction surplus properties - Bristol Herald Courier
Sullivan schools to try once again to auction surplus properties  Bristol Herald Courier

Goodwill auctions 14-karat gold Lego piece for over $18,000 - UPI News
Goodwill auctions 14-karat gold Lego piece for over $18,000  UPI News

Roby Dwi Antono’s Wide-Eyed Characters Have Soared at Auctions. But Will Speculation Sink His Market? - artnet News
Roby Dwi Antono’s Wide-Eyed Characters Have Soared at Auctions. But Will Speculation Sink His Market?  artnet News

Kobe Bryant Had a 2000 NBA Championship Ring Made for His Father. Now It Could Be Yours. - Robb Report
Kobe Bryant Had a 2000 NBA Championship Ring Made for His Father. Now It Could Be Yours.  Robb Report

French Royal Menus, Darwin Presentation Copy, Christina Rossetti Letters: Auction Preview - Fine Books & Collections Magazine
French Royal Menus, Darwin Presentation Copy, Christina Rossetti Letters: Auction Preview  Fine Books & Collections Magazine

A Closer Look at Art Auction Houses - Wealth Management
A Closer Look at Art Auction Houses  Wealth Management

6 Students Charged For Racist Online Bullying, Mock Slave Auction - Chicago Defender
6 Students Charged For Racist Online Bullying, Mock Slave Auction  Chicago Defender

Benefit Auction Draws Hundreds | News, Sports, Jobs - The Inter-Mountain
Benefit Auction Draws Hundreds | News, Sports, Jobs  The Inter-Mountain

2024 March Madness Calcutta Auction Pool Strategy, Tips & Picks: Teams to Buy & Sell in the NCAA Tournament - The Action Network
2024 March Madness Calcutta Auction Pool Strategy, Tips & Picks: Teams to Buy & Sell in the NCAA Tournament  The Action Network

Vietnam 5G Spectrum Auction: Telecom Companies Bid for Licenses - Vietnam Briefing
Vietnam 5G Spectrum Auction: Telecom Companies Bid for Licenses  Vietnam Briefing

Antiques Roadshow alum buys Dallas Auction Gallery with bid on new generation - MSN
Antiques Roadshow alum buys Dallas Auction Gallery with bid on new generation  MSN

6 youths to be charged in Southwick racial bullying incident involving ‘mock slave auction' - NBC Boston
6 youths to be charged in Southwick racial bullying incident involving ‘mock slave auction'  NBC Boston

Mayor Parker is now working with Sheriff Bilal to resume auctions of tax-delinquent properties - The Philadelphia Inquirer
Mayor Parker is now working with Sheriff Bilal to resume auctions of tax-delinquent properties  The Philadelphia Inquirer

6 Massachusetts teens charged in racial bullying incident with mock slave auction on Snapchat - NBC News
6 Massachusetts teens charged in racial bullying incident with mock slave auction on Snapchat  NBC News

Washington State’s emissions allowance program held its first auctions in 2023 - U.S. Energy Information Administration - EIA
Washington State’s emissions allowance program held its first auctions in 2023 - U.S. Energy Information Administration  EIA

Pattie Boyd, often in the shadow of her famous husbands, has put a trove of mementos up for auction - PBS NewsHour
Pattie Boyd, often in the shadow of her famous husbands, has put a trove of mementos up for auction  PBS NewsHour

Furry Friends hosts ‘Meow or Never’ auction fundraiser - The Reflector
Furry Friends hosts ‘Meow or Never’ auction fundraiser  The Reflector

State-run auction scheme could incentivise CCS in Norway: report - Quantum Commodity Intelligence
State-run auction scheme could incentivise CCS in Norway: report  Quantum Commodity Intelligence

Original Apple iPhone 4GB from 2007 auctions for huge price - Quartz
Original Apple iPhone 4GB from 2007 auctions for huge price  Quartz

iHeart Dayton "Bid on Dayton" Auction! - iHeart
iHeart Dayton "Bid on Dayton" Auction!  iHeart

Albemarle Plans to Auction Lithium With Aim of 'Fair' Price - Yahoo Finance
Albemarle Plans to Auction Lithium With Aim of 'Fair' Price  Yahoo Finance

The rarest US stamp is going up for auction. It’s expected to sell for millions - CNN
The rarest US stamp is going up for auction. It’s expected to sell for millions  CNN

Memecoin Dogwifhat Photo Sells for $4.3M in NFT Auction - DailyCoin
Memecoin Dogwifhat Photo Sells for $4.3M in NFT Auction  DailyCoin

Canada joins German hydrogen import auction scheme H2Global, but funding details not yet disclosed - Hydrogen Insight
Canada joins German hydrogen import auction scheme H2Global, but funding details not yet disclosed  Hydrogen Insight

Free Arts NYC: Silent Benefit Auction 2024 - Artsy
Free Arts NYC: Silent Benefit Auction 2024  Artsy

San Diego to auction off nearly 400 defaulted properties - CBS News 8
San Diego to auction off nearly 400 defaulted properties  CBS News 8

Rockford IceHogs hold live jersey auction benefitting community fund - WIFR
Rockford IceHogs hold live jersey auction benefitting community fund  WIFR

Art auction in Cape Girardeau - KFVS
Art auction in Cape Girardeau  KFVS

China to auction up to 226,000 tonnes of soybeans on March 19: NGTC - AgriCensus
China to auction up to 226,000 tonnes of soybeans on March 19: NGTC  AgriCensus

Neil Gaiman on the collectibles he's auctioning in Dallas - WFAA.com
Neil Gaiman on the collectibles he's auctioning in Dallas  WFAA.com

Elizabethtown to hold sealed bid auction for former borough garage - LNP | LancasterOnline
Elizabethtown to hold sealed bid auction for former borough garage  LNP | LancasterOnline

Grand champion steer ties for $1 million record at rodeo auction - Houston Chronicle
Grand champion steer ties for $1 million record at rodeo auction  Houston Chronicle

‘Vile’: 6 Massachusetts eighth graders charged for setting up ‘mock slave auction’ on Snapchat - Boston 25 News
‘Vile’: 6 Massachusetts eighth graders charged for setting up ‘mock slave auction’ on Snapchat  Boston 25 News

PrecisionHawk Bankruptcy auction – sUAS News – The Business of Drones - sUAS News
PrecisionHawk Bankruptcy auction – sUAS News – The Business of Drones  sUAS News

Judy Garland’s Ruby Slippers From The Wizard of Oz Stolen, Recovered, And Set For Auction - Times Now
Judy Garland’s Ruby Slippers From The Wizard of Oz Stolen, Recovered, And Set For Auction  Times Now

Spring for Amish people in Pennsylvania means 'mud sales,' from pitchforks to pies - The Associated Press
Spring for Amish people in Pennsylvania means 'mud sales,' from pitchforks to pies  The Associated Press

Exclusive: Weak bids in Citgo auction spurs Venezuela to pitch alternative pay plan - Reuters
Exclusive: Weak bids in Citgo auction spurs Venezuela to pitch alternative pay plan  Reuters

Iconic Photo of Dogwifhat Meme Coin Nets $4.3M in NFT Auction - Coinspeaker
Iconic Photo of Dogwifhat Meme Coin Nets $4.3M in NFT Auction  Coinspeaker

Bike gifted to the Pope by Egan Bernal goes up for auction - CyclingWeekly
Bike gifted to the Pope by Egan Bernal goes up for auction  CyclingWeekly

Elvis Presley's Cadillac, the Batmobile and the most expensive car sold at 2024 Mecum auction - The Arizona Republic
Elvis Presley's Cadillac, the Batmobile and the most expensive car sold at 2024 Mecum auction  The Arizona Republic

Rockford Icehogs hold live jersey auction benefitting their community fund - WIFR
Rockford Icehogs hold live jersey auction benefitting their community fund  WIFR

Neil Gaiman's Dallas auction of art and collectibles raises $1M - WFAA.com
Neil Gaiman's Dallas auction of art and collectibles raises $1M  WFAA.com

DA charges 6 Southwick 8th graders for conducting online ‘slave auction’ - MassLive.com
DA charges 6 Southwick 8th graders for conducting online ‘slave auction’  MassLive.com

Kobe Bryant Championship Ring Hits Auction Block, Fans Call His Parents "Disgraceful" - HotNewHipHop
Kobe Bryant Championship Ring Hits Auction Block, Fans Call His Parents "Disgraceful"  HotNewHipHop

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