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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 Wed. February / 26 / 2020

Artnet Auctions Achieves $10.5 Million in Prints Sales in 2019 - Yahoo Finance
Artnet Auctions Achieves $10.5 Million in Prints Sales in 2019  Yahoo Finance

Clark County to host first surplus auction of 2020 - FOX5 Las Vegas
Clark County to host first surplus auction of 2020  FOX5 Las Vegas

Clark County's first government surplus auction of this year begins Saturday - News3LV
Clark County's first government surplus auction of this year begins Saturday  News3LV

Greenwich Luxury Auctions to host $10M sale of 200 Hermes handbags - Westfair Online
Greenwich Luxury Auctions to host $10M sale of 200 Hermes handbags  Westfair Online

Künker Ancient and World Coin Spring Auctions Now Open - CoinWeek
Künker Ancient and World Coin Spring Auctions Now Open  CoinWeek

Auction calendar: February 28, 2020 - Wisconsin State Farmer
Auction calendar: February 28, 2020  Wisconsin State Farmer

Auction features timber, highway frontage | Local News - Valdosta Daily Times
Auction features timber, highway frontage | Local News  Valdosta Daily Times

Bikram Choudhury's million-dollar car collection hits auction block - New York Post
Bikram Choudhury's million-dollar car collection hits auction block  New York Post

Private Land Auction 286+/- Ac | Auctions - Lincoln Journal Star
Private Land Auction 286+/- Ac | Auctions  Lincoln Journal Star

Golden Shamrock Shake up for auction - WGN TV Chicago
Golden Shamrock Shake up for auction  WGN TV Chicago

Mark David Latunski's house sells for $101000 at foreclosure auction - ABC 12 News
Mark David Latunski's house sells for $101000 at foreclosure auction  ABC 12 News

Inside Japan's Biggest Used Car Auction - Jalopnik
Inside Japan's Biggest Used Car Auction  Jalopnik

Ogdensburg council votes to auction Greene Street property after denying direct sale - North Country Now
Ogdensburg council votes to auction Greene Street property after denying direct sale  North Country Now

Original 'Flash Gordon' comic-strip art headed to auction - New York Post
Original 'Flash Gordon' comic-strip art headed to auction  New York Post

The million dollar cars: 2020 Amelia Island collectible car auctions - New Atlas
The million dollar cars: 2020 Amelia Island collectible car auctions  New Atlas

Five-Year Note Auction Attracts Modestly Above Average Demand - Nasdaq
Five-Year Note Auction Attracts Modestly Above Average Demand  Nasdaq

Meaningful Moments auction to benefit Helpline Center | Local - Rapid City Journal
Meaningful Moments auction to benefit Helpline Center | Local  Rapid City Journal

$20M remodeled mansion in Las Vegas sells at auction — PHOTOS - Las Vegas Review-Journal
$20M remodeled mansion in Las Vegas sells at auction — PHOTOS  Las Vegas Review-Journal

US Marshals Service auctions off over 4000 BTC to two winning bidders - The Block Crypto
US Marshals Service auctions off over 4000 BTC to two winning bidders  The Block Crypto

Bala Cynwyd Middle School Yearbook Signed By Kobe Bryant Up For Auction - CBS Philly
Bala Cynwyd Middle School Yearbook Signed By Kobe Bryant Up For Auction  CBS Philly

Derek Jeter's game-worn jersey from Yankees debut breaks auction record - CBS Sports
Derek Jeter's game-worn jersey from Yankees debut breaks auction record  CBS Sports

'Action Auction' To Be Cincinnati-Dayton Simulcast For First Time - WVXU
'Action Auction' To Be Cincinnati-Dayton Simulcast For First Time  WVXU

Luxurious Texas golf resort hits auction block - KPRC Click2Houston
Luxurious Texas golf resort hits auction block  KPRC Click2Houston

Mexican President Resists Pressure to Restart Oil Auctions - The Wall Street Journal
Mexican President Resists Pressure to Restart Oil Auctions  The Wall Street Journal

Weak U.S. debt auction shows market sees even lower rates - Axios
Weak U.S. debt auction shows market sees even lower rates  Axios

To attract young collectors, auction houses tap rock stars, sneakerheads and a Spice Girl - CNN
To attract young collectors, auction houses tap rock stars, sneakerheads and a Spice Girl  CNN

Nightclubs made famous by ‘Jersey Shore’ cast are up for auction - NJ.com
Nightclubs made famous by ‘Jersey Shore’ cast are up for auction  NJ.com

Apple product design engineer’s special Steve Jobs collection up for auction including hats, paperweight, mug, 1983 Macintosh - 9to5Mac
Apple product design engineer’s special Steve Jobs collection up for auction including hats, paperweight, mug, 1983 Macintosh  9to5Mac

Auctions point to slightly lower rates for Delmarva Power customers - delawarebusinessnow.com
Auctions point to slightly lower rates for Delmarva Power customers  delawarebusinessnow.com

This 1932 Duesenberg Could Fetch up to $2 Million at Auction - Robb Report
This 1932 Duesenberg Could Fetch up to $2 Million at Auction  Robb Report

Dogpatch auction called off after 'solid buyer' said to surface - Northwest Arkansas Democrat-Gazette
Dogpatch auction called off after 'solid buyer' said to surface  Northwest Arkansas Democrat-Gazette

Mule Deer Foundation’s 25th Anniversary Banquet And Auction - MyMotherLode.com
Mule Deer Foundation’s 25th Anniversary Banquet And Auction  MyMotherLode.com

Dutch government confiscates illegal e-scooters — then sells them at auction - The Next Web
Dutch government confiscates illegal e-scooters — then sells them at auction  The Next Web

Nearly 100 Classic Cars Head to Auction in Essen, Germany - Barron's
Nearly 100 Classic Cars Head to Auction in Essen, Germany  Barron's

Kobe Bryant's middle school yearbook signature expected to auction for more than $20,000 - CBS Sports
Kobe Bryant's middle school yearbook signature expected to auction for more than $20,000  CBS Sports

Sotheby's will auction a $55-million trove of works from Hunk and Moo Anderson's blue-chip collection. - Artsy
Sotheby's will auction a $55-million trove of works from Hunk and Moo Anderson's blue-chip collection.  Artsy

Lawrence County 4-H Announces Annual Benefit Auction – Ellwood City, PA news - EllwoodCity.org
Lawrence County 4-H Announces Annual Benefit Auction – Ellwood City, PA news  EllwoodCity.org

Tickets for Kiwanis Spring Dinner and Auction on sale now - Peninsula Daily News
Tickets for Kiwanis Spring Dinner and Auction on sale now  Peninsula Daily News

Judge puts stay on own order to remove a slave auction block - - CBS19 News
Judge puts stay on own order to remove a slave auction block -  CBS19 News

A guide to the Greensboro Auto Auction - WFMYNews2.com
A guide to the Greensboro Auto Auction  WFMYNews2.com

Automall Network Launches First Consumer-To-Dealer Online Car Auction - Benzinga
Automall Network Launches First Consumer-To-Dealer Online Car Auction  Benzinga

An auction house is selling a copy of the House Democrats' impeachment report it says was signed by Trump himself - CNN
An auction house is selling a copy of the House Democrats' impeachment report it says was signed by Trump himself  CNN

Slovakia launches first renewables auction - pv magazine International
Slovakia launches first renewables auction  pv magazine International

$3.9 million raised at Premiere Napa Valley barrel auction - Napa Valley Register
$3.9 million raised at Premiere Napa Valley barrel auction  Napa Valley Register

St. Paul Holding Snow Emergency Auction For Cars - Saint Paul, MN Patch
St. Paul Holding Snow Emergency Auction For Cars  Saint Paul, MN Patch

Producer Livestock Auction Report - ConchoValleyHomepage.com
Producer Livestock Auction Report  ConchoValleyHomepage.com

Market Drop Seen In World’s Largest Private Whisky Collection Auction - Forbes
Market Drop Seen In World’s Largest Private Whisky Collection Auction  Forbes

What Did London’s Latest Art Auctions Reveal About the Contemporary Art Market? - InsideHook
What Did London’s Latest Art Auctions Reveal About the Contemporary Art Market?  InsideHook

UPDATED: Bankruptcy Filed For Aegean Restaurant; Foreclosure Auction Delayed - framinghamsource.com
UPDATED: Bankruptcy Filed For Aegean Restaurant; Foreclosure Auction Delayed  framinghamsource.com

Should eBay Do Live Streaming Auctions? - EcommerceBytes
Should eBay Do Live Streaming Auctions?  EcommerceBytes

NJ Auction House Auctioning Off Signed Copy Of Report That Urged Impeachment Of President Donald Trump - CBS Philly
NJ Auction House Auctioning Off Signed Copy Of Report That Urged Impeachment Of President Donald Trump  CBS Philly

US treasury auctions $41 billion of 5-year notes at high yield of 1.15% - ForexLive
US treasury auctions $41 billion of 5-year notes at high yield of 1.15%  ForexLive

Pirates legend Bill Mazeroski's house in Hempfield goes on auction block - TribLIVE
Pirates legend Bill Mazeroski's house in Hempfield goes on auction block  TribLIVE

Botswana auctions off permits to hunt elephants - BBC News
Botswana auctions off permits to hunt elephants  BBC News

Invader's 'Rubik Mona Lisa' beats estimate at Paris auction - Reuters
Invader's 'Rubik Mona Lisa' beats estimate at Paris auction  Reuters

Mysterious, super-exclusive Texas club expected to sell for massive price tag at auction - Golf.com
Mysterious, super-exclusive Texas club expected to sell for massive price tag at auction  Golf.com

JGBs slip after tepid auction results sour bullish mood - Reuters
JGBs slip after tepid auction results sour bullish mood  Reuters

Silver Oak Toppled at Premiere Napa Auction - Wine-Searcher
Silver Oak Toppled at Premiere Napa Auction  Wine-Searcher

India's cabinet to consider coal block auction plan - Argus Media
India's cabinet to consider coal block auction plan  Argus Media

Collectible Wine Auctions Surged in 2019, but is Trouble Looming? - Wine Spectator
Collectible Wine Auctions Surged in 2019, but is Trouble Looming?  Wine Spectator

Carr Center Director Dispels Cake Auction Myths - WHIZ
Carr Center Director Dispels Cake Auction Myths  WHIZ

Jourdanton C of C's BBQ/Auction March 1 - Pleasanton Express
Jourdanton C of C's BBQ/Auction March 1  Pleasanton Express

Philippines wants auctions for 2 GW of renewables - pv magazine International
Philippines wants auctions for 2 GW of renewables  pv magazine International

Auction Report: Jean-Claude Biver To Sell Four Masterpiece Pateks From His Personal Collection At Phillips This May - HODINKEE
Auction Report: Jean-Claude Biver To Sell Four Masterpiece Pateks From His Personal Collection At Phillips This May  HODINKEE

Emergency auction set for Wyndham Garden Hotel in Shreveport - KTBS
Emergency auction set for Wyndham Garden Hotel in Shreveport  KTBS

144-year-old Watkins Nurseries files for bankruptcy protection; foreclosure auction canceled - Richmond.com
144-year-old Watkins Nurseries files for bankruptcy protection; foreclosure auction canceled  Richmond.com

California-Quebec carbon auction kicks off 2020 with record allowance price - Environmental Defense Fund
California-Quebec carbon auction kicks off 2020 with record allowance price  Environmental Defense Fund

Judge hits pause button on removal of slave auction block - WHSV
Judge hits pause button on removal of slave auction block  WHSV

Fake foreclosures: NH homeowners find their property listed for auction by mistake - Boston 25 News
Fake foreclosures: NH homeowners find their property listed for auction by mistake  Boston 25 News

Activist Arrested Over Removal of a Slave Auction Plaque in Charlottesville - The New York Times
Activist Arrested Over Removal of a Slave Auction Plaque in Charlottesville  The New York Times

Successful T-bill auction raises 812.5 million euros | Business - www.ekathimerini.com
Successful T-bill auction raises 812.5 million euros | Business  www.ekathimerini.com

Big bids at Premiere Napa Valley futures barrel auction - Napa Valley Register
Big bids at Premiere Napa Valley futures barrel auction  Napa Valley Register

Historic St. George Street building in St. Augustine sold at auction - Jacksonville Daily Record
Historic St. George Street building in St. Augustine sold at auction  Jacksonville Daily Record

Historic building in St. Augustine goes for $2.1 million in public auction - St. Augustine Record
Historic building in St. Augustine goes for $2.1 million in public auction  St. Augustine Record

Largest New England coal plant clears ISO-NE capacity auction, will stay online until 2024 - Utility Dive
Largest New England coal plant clears ISO-NE capacity auction, will stay online until 2024  Utility Dive

Brilliantly Red 1967 Toyota 2000GT up for Auction this Spring - Car and Driver
Brilliantly Red 1967 Toyota 2000GT up for Auction this Spring  Car and Driver

Private collection of rare Western memorabilia goes on the auction block in Billings - Billings Gazette
Private collection of rare Western memorabilia goes on the auction block in Billings  Billings Gazette

Auction yard coming down soon - Corvallis Gazette Times
Auction yard coming down soon  Corvallis Gazette Times

Fredericksburg judge agrees to pause, but not halt, slave auction block decision - Fredericksburg.com
Fredericksburg judge agrees to pause, but not halt, slave auction block decision  Fredericksburg.com

Circleville, OH Now Using GovDeals Online Auction Platform to Sell Surplus Assets - Yahoo Finance
Circleville, OH Now Using GovDeals Online Auction Platform to Sell Surplus Assets  Yahoo Finance

Bradford collection of film posters worth £50,000 go up for auction - BBC News
Bradford collection of film posters worth £50,000 go up for auction  BBC News

Chase Block building in Manchester sells for $2.4M at foreclosure auction - The Union Leader
Chase Block building in Manchester sells for $2.4M at foreclosure auction  The Union Leader

5 cool vehicles we saw at McCormick's Classic Car Auction in Palm Springs - Desert Sun
5 cool vehicles we saw at McCormick's Classic Car Auction in Palm Springs  Desert Sun

Restraining order sought for slave auction block removal - Fredericksburg.com
Restraining order sought for slave auction block removal  Fredericksburg.com

Shrewsbury auctions foreclosed properties, including historic colonial, totaling nearly $1 million - Community Advocate
Shrewsbury auctions foreclosed properties, including historic colonial, totaling nearly $1 million  Community Advocate

Vermont ski club where 'Bachelor' filmed goes up for auction - New York Post
Vermont ski club where 'Bachelor' filmed goes up for auction  New York Post

Alabama state property auction starts Thursday online - Montgomery Advertiser
Alabama state property auction starts Thursday online  Montgomery Advertiser

Winners of the Aleph Auction Event - COLlive - Chabad News
Winners of the Aleph Auction Event  COLlive - Chabad News

EPD launches online vehicle auction - WENY-TV
EPD launches online vehicle auction  WENY-TV

Producers Livestock Auction Report for Wednesday, February 26th - ConchoValleyHomepage.com
Producers Livestock Auction Report for Wednesday, February 26th  ConchoValleyHomepage.com

State Bank of India conducts mega e-auctions of 1000 properties - Daijiworld.com
State Bank of India conducts mega e-auctions of 1000 properties  Daijiworld.com

Auction of Washington Wines Grant Pt 1 - AG INFORMATION NETWORK OF THE WEST - AGInfo Ag Information Network Of The West
Auction of Washington Wines Grant Pt 1 - AG INFORMATION NETWORK OF THE WEST  AGInfo Ag Information Network Of The West

Functional Apple-1, Steve Jobs-signed PowerBook to hit auction block in March [u] - AppleInsider
Functional Apple-1, Steve Jobs-signed PowerBook to hit auction block in March [u]  AppleInsider

Where Did the $9 Million Cars Go? - The New York Times
Where Did the $9 Million Cars Go?  The New York Times

Cake auction helps Project Graduation | Local News Stories - Douglas Daily Dispatch
Cake auction helps Project Graduation | Local News Stories  Douglas Daily Dispatch

Art teachers get training, auction off art for EPISD Foundation - El Paso Herald-Post
Art teachers get training, auction off art for EPISD Foundation  El Paso Herald-Post

First basketball Olympic gold medal up for auction - WTHR
First basketball Olympic gold medal up for auction  WTHR

Local News County to auction off more than 400 properties Mark Saunders 1:47 PM, Feb - 10News
Local News County to auction off more than 400 properties Mark Saunders 1:47 PM, Feb  10News

U.S. government to auction off more than 4,000 BTC on Feb. 18 - Yahoo Finance
U.S. government to auction off more than 4,000 BTC on Feb. 18  Yahoo Finance

AT&T's auction to sell four regional sports channels falls short - New York Post
AT&T's auction to sell four regional sports channels falls short  New York Post

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