Ebay Dropshipping

According to eBay’s new drop shipping policy, dropshipping is no longer allowed. eBay drop shippers have been exploring new avenues to promote their items after eBay threatened to “delete your listings from search, display them lower in search results, or remove them totally from the site.

What Exactly is eBay?

eBay is a web-based auction service where you may sell your items.

For years, eBay’s user base has been continuously rising, similar to that of other eCommerce platforms such as Amazon and AliExpress. In the second quarter of 2019, the platform has 182 million users.

The platform’s large user base has attracted online retailers looking for clients for their wares.

What is eBay’s Process?

From vehicles to jewels, you can locate, bid on, and buy practically anything on eBay.

Sellers list their items on eBay with a starting bid. Customers are more likely to bid on the product if the beginning bid is lower. Customers bid on the product for the seller-specified number of days, until the highest bidder wins the transaction.

Instead, sellers can add a “Buy It Now” option to their product page to control the product pricing and allow customers to buy at a fixed amount without bidding.

What is Dropshipping?

Dropshipping is a business concept in which a company owner resells things from a supplier. On behalf of the business owner, the supplier develops, warehouses, and transports products. Because the supplier is in charge of manufacturing, storing, and delivering items, business owners have more time to focus on marketing and customer service, allowing them to expand their brand faster.

Benefits of Dropshipping:

Here are a few of the advantages of dropshipping:

Low Risk: Drop shippers only buy products when clients order them. There is no requirement for a minimum order quantity. So, if a consumer purchases only one necklace from your store, you only have to pay for that one necklace. It’s an excellent business model for novice entrepreneurs who want to try something new or experienced entrepreneurs who want to branch out into a new sector.

Highly Automated: You can automate most of your dropshipping activities by using drop shipping marketplaces like Modalyst. Adding a product to your store is as simple as clicking a button. When a sale comes through, processing the order is as simple as clicking a button. This frees up time for you to concentrate on what really matters: marketing and customer service.

Lower Cost: Because you’re selling a manufacturer’s goods rather than creating your own, you’re more likely to pay wholesale prices. Depending on where you’re dropshipping from, you may be able to take advantage of reduced (or even free) shipping rates to keep your costs down for both you and your clients.

Save Time: Only a few administrative activities, marketing, and customer service must be prioritized. The most time-consuming (packing and shipping) and expensive (carrying inventory) operations are usually carried by the manufacturer.

Choose from Millions of Products to Sell: Millions of products from a variety of dropshipping niches are available to you. Simply browse product marketplaces such as AliExpress and add any item to your store with a single click. Rather than trying to build your own product, you can sell others’.

Is Dropshipping on eBay Allowed?

Even if drop shipping is totally legal, whether or whether eBay authorizes it is a different story. So, next, let’s look at eBay’s dropshipping policies.

eBay Dropshipping Policies:

Is dropshipping on eBay prohibited? No, not at all. However, it is limited. On eBay, dropshipping is legal as long as you “fulfil orders directly from a wholesale supplier.” So, what exactly does that imply? It means that if you buy large amounts of something from a wholesaler, you can sell it on eBay.

What items are you unable to sell on eBay?

You can’t dropship on eBay if you’re reselling things from another retail website or marketplace – think Amazon or AliExpress. “Purchasing an item from another store or marketplace that ships straight to your consumer is not permitted on eBay,” according to eBay. Dropshipping from Amazon to eBay is therefore prohibited: you cannot offer an item on eBay, purchase it from Amazon, and then ship it to an eBay consumer.

And eBay is adamant about this regulation, claiming that if you don’t follow it, your listings may be removed or lowered in search results. They may even downgrade your rating or status on the platform if you’ve been selling for a long period. Ouch!

Dropshipping from Amazon to eBay:

Amazon sellers have been particularly badly hurt by eBay’s drop shipping regulations. Previously, Amazon sellers sold their Amazon products on eBay using Amazon-to-eBay dropshipping tools like Easy and PriceYak. eBay dealers might then resale Amazon products for a bigger profit.

What Is the Best Way to Dropship on eBay?

On eBay, there’s only one method to dropship — and it’s not what you think. You’ll need to buy large goods from a wholesaler before you can dropship on eBay.

You can work out a deal with your distributor to have things shipped out on your behalf. However, you may get rejected by the majority of wholesalers.

That’s not to say you won’t be able to make it work. So, once you’ve purchased your inventory, you can ship it to a fulfillment provider. That service will keep track of your inventory, package things, and ship them on your behalf.

The fact that you must purchase merchandise in advance is, of course, a significant disadvantage. There’s also no assurance that your merchandise will sell. Because you won’t be buying products that customers have already purchased, the business risk is a little larger than with standard drop shipping.

Is It Worthwhile to Dropship On eBay?

Dropshipping on eBay necessitates purchasing large quantities of products, paying listing fees, and not even owning your customer base. In other words, many of the best aspects of drop shipping are eliminated, such as not having to buy in bulk and having your own business.

You’ll probably need to acquire a large inventory unless you can find a wholesaler that will let you buy individual products to sell online. This may result in additional expenses. Furthermore, you have no guarantee that the products you buy will sell, increasing your risk as a seller. You aren’t actually “drop shipping” on eBay if you acquire merchandise from a wholesaler.

Unless

you can find a wholesaler that would allow you to buy individual things to sell online, you’ll most likely need a significant inventory. This could lead to increased costs. Furthermore, as a seller, you have no guarantee that the things you buy will sell, which increases your risk. If you buy products from a wholesaler, you aren’t “drop shipping” on eBay.

However, the most serious disadvantage of dropshipping on eBay is that you do not have control over your customer base. You’re assisting eBay in expanding their business rather than expanding your own. You can’t retarget clients in order to obtain the sale back. It’s impossible to build an email list to advertise your other products to clients. When consumers tell their friends where they bought something, they’ll say “eBay” instead of your store’s name.

Conclusion:

While you can dropship on eBay, it’s better to create your own brand and dropship things from there. You must buy inventory from wholesalers and pay listing fees to list things on eBay, and you risk being taken off the platform if policies change. Running your own online store, on the other hand, allows you to own your customer base, remarket to them via social media and email, and create an enduring brand.