A Guide to Successful Dropshipping
Running an online bulk wholesale business is in some ways like running a retail store. You buy wholesale lots from a supplier at bulk prices, then sell off each item at higher prices. Because bulk wholesale prices are generally very cheap, you can generate a hefty profit if you sell an entire lot. Buying bulk wholesale can be an effective business decision, but there are some things you should keep in mind before you decide to run a business this way.
To start an online bulk wholesale business, you must first buy wholesale lots from the supplier of your choice. As with any business, research potential products to determine what might be profitable to sell. Check the prices of individual products you are interested in and compare them to the price of a wholesale lot. Estimate your possible profit to decide whether it is worth buying a bulk wholesale lot of a given product.
Next you need to sell off the individual items within the bulk wholesale lot. There are various ways to sell these products including eBay, Amazon or Craigslist. Set your prices high enough to ensure yourself a profit in the long run but low enough to stay competitive with other sellers. In an online bulk wholesale business, you have to package and send each product to each customer, so you might want to consider a registering a small business account with a shipping company such as UPS, DHL or FedEx.
While there are certainly risks in running an online bulk wholesale business, the prospective profits can be very high if you research and plan your business carefully. Weigh the risks and benefits and decide if a bulk wholesale business is right for you.