Did you know that there are 4 types of suppliers? Not all drop ship suppliers are the same. Yep, that’s right. In fact some dropship suppliers can be complete scams and others can be real, legit and amazing to work with! Do you know how to tell the difference?
If you don’t you’ll want to pay attention to this 4-part blog article series I’m sharing with you starting with today’s post.
The real goal here is to make sure that you avoid the scammers and only work with the best dropship companies out there that will serve you for years to come!
Working with legit suppliers make all the difference whether you become profitable and successful or not in your drop ship business.
In the next 3 articles I will teach you about the 4 different drop ship supplier types and what to be aware of and the do’s and dont’s in working with them.
Let’s get started!
The first type of drop ship supplier you should be aware of is what I call..
” Open Door Drop Ship Suppliers”
I call these drop ship suppliers “open door” because their door is always open to accept anyone into their drop ship program.
You might be thinking…”well, isn’t that a good thing?”
Yes and No.
Open door suppliers are very easy to find. They have very loose application requirements, if any. Everyone can apply and get accepted. Some of them charge a fee to be accepted into their program which is not always bad, but something to be aware of.
The pricing competition among other retailers is extremely challenging when using these open door suppliers which means if you are selling your CORE products from open door suppliers you are usually going to experience very low profits because of price competition battles online. It’s difficult to make a profit selling products from open door suppliers if you are selling their products directly to customers as your core products.
Okay, so how can selling products from open door drop ship suppliers be helpful then?
Glad you asked 🙂
It’s best to sell products from open door suppliers as up-sells, instead of your core products especially if you are paying for your traffic to your website!
For example…let’s say you just spent $50 to get 100 people coming to your website from Google Adwords. Out of those 100 people 1 person bought an open door product (let’s say you’re selling a lamp shade) from you priced at $40 giving you a profit of $10 ($30 for your supplier to cover product cost, shipping/taxes and $10 to you). That would not be worth it would it!
On the other hand let’s say you sold a quality office table instead as your core product for $600 (where you profited $150 each sale) and then you sold the lamp shade as an up-sell as they checked out on your website. Do you see how you would make far more profit going this route even after paying $50 for your traffic to come to your site? Make sense?
That’s what you should be doing.
Don’t sell dinky profit margin products on your site as your core products. There are exceptions to this rule, but for the most part it’s best to follow the example I gave you above…especially if you are brand new to all this “drop ship stuff” online.
So, now that you know what “open door” drop ship suppliers are and how and when to best sell their products I’m going to introduce you to the 2nd type of dropship supplier in tomorrow’s email!
Tomorrow, I’ll teach you why the 2nd type of drop ship supplier is by far the BEST type to use for selling core product online. Selling products from type 2 suppliers will make you lots more money. Period. Which means you can reach your financial goals much easier and faster.
Look out for tomorrow’s email okay!
P.S. Until then I want to introduce you to our DropshipXL supplier membership.
In our DropshipXL supplier membership you will be given everything you need to access all types of drop ship suppliers. There are more than 5,326 suppliers to consider!
And it gets better…
If we don’t have a supplier you need then our “Unlimited Supplier eCourse” will show you in 20 minutes or less how to find the best type of suppliers you specifically need and want to work with! Guaranteed!
Plus there’s a 14-day money back guaranteed. So there is NO RISK at all to you to give it a try.