Dropshipping is a way of offering more than one delivery option to deliver items to the customers. In this way, you will provide your products to the wholesaler or supplier, and he gives them to the buyers, So you do not have to deal with them. You do not have to store your stoke and sell out immediately. It has helped small businesses to grow on that scale where a first-time seller wants his business.

Dropshipping on eBay

This platform has helped many first-time sellers and small businesses to directly deal with a wholesaler or supplier and grow their business. When an item is not delivered within time, it will affect your business growth. eBay is a platform where a business person can provide his things to the supplier within the time frame. It dropships your products on time to the customers. If you want to deliver your products on time to buyers, you should know the best suppliers that will provide your products. eBay will help you with this.

Terms and Conditions of Dropshipping on eBay

If you want to dropship eBay products, you must follow some of their policies. These are as follows:

You can only buy your products from the wholesaler or suppliers.

Sourcing your products from a genuine supplier is compulsory.

eBay provides a list of the 24 best suppliers if you are a first-time seller.

If you do not deliver the items on time to the buyer, your business will not grow. eBay is a platform that provides your products in a given time frame to buyers.

If products are not delivered on time, it will anger not only the customers but also the loss of your business.

On eBay, you should have to deliver the product which you have described in the description of your listing. If it does not match the images you provided, it will give a wrong impression, and buyers will not be satisfied.

Buyer’s satisfaction is compulsory if you want to dropship your product on eBay.

Safe delivery of the items is essential. If you want to dropship your items through eBay, you should deliver your product all in one piece.

You should have a contract with your supplier that he should deliver the same products to the customer that you provided. In another case, he will refund.

Consequences, Do not Follow eBay Policies.

• It will lower your ratings.
• It will hide your listings from the search results.
• It will demote your listings from the search results.
• You will have to face the buyer’s restrictions.
• You will have to face the seller’s restrictions.
• You will have to face the cancellation of your listings.
• Your account will be suspended.
• You will lose the buyer’s protection.
• You will lose the seller’s protection.
• It will end your listings.
• Fees paid by you for your listings will not be refunded.
• Fees paid by you for an account will not be refunded.

eBay fees

Insertion Fee

eBay charges a fee to list your products on their website. There is no fee for the first 200 listings per month. They are free. If you list more than 200 products monthly, you will have to pay eBay for your listings. It is $.35 per listing.

Final Value Fee

It is the percentage of your sale. When an item is sold through eBay, it will take 12.9% of the sale price. It will also assume $.30 per order. This fee also includes dropshipping costs.

Store Fees

It is $4.95 per month for the first 200 free listings. It is $21.95 per month if you list much more listings per month. If monthly listings increase, then the store fees per month will increase.

How to list your products on eBay?

Create Your Account

First, you have to register on the eBay platform. You have 3 store options on eBay: the primary store, a premium store, and an anchor store. You have to subscribe to the store that suits your needs. Finally, you must select the store name that will supply your products to the buyers.

Business Products

Small products have a low return rate. Products that are easy to ship also have a low return rate. You have to choose your products that are profitable, small, easy to send, lightweight, and have a low return rate.

Suppliers

eBay provides you 20 best wholesalers or suppliers. When you connect with a supplier, you have to check all the necessary factors, such as

• Delivery time
• Their fees
• Ratings
• Customers reviews

You have to deliver your products to the buyers within 30 days of your listings. So, you have to choose the best supplier for your products that will give it within the time frame.

Price

If you are a first-time seller, you must consider all the costs for a profitable business. You have to consider the insertion fee, final value fee, store fee, product costs, product listing fee, and how much profit you want to make. It would help if you did proper research before listing your product. If you are making less money, your business is not profitable, and you will not grow fast.

eBay Listing

If you want your product sales to increase, you have to list your products by yourself. You should have clear images of the product. The title of the product should be attractive to the customers. The product description should be impressive.

Supplier Communication

It would help if you had proper software such as sprocket, Doba, etc., to communicate with the supplier about picking, packing, and shipping the items sold on eBay.

eBay is the best platform for sellers and small businesses because you can list your items on this platform and get ideas about which company is growing fast, which business is profitable and how you can make a profit with little money. It will provide you with the best suppliers. Most sellers are now successful by selling their products on this platform. It is a safe and best platform for a profitable business.

One question I get asked a lot, especially from dropship newbies, is which marketplace they should sell on. EBay, Amazon, Shopify, Facebook marketplaces or somewhere else? Ideally, of course, the more marketplaces that you sell on the more sales that you’ll normally get. Each marketplace has its own loyal customer base. Some people like to buy from eBay. Others like to buy from Amazon. Others like to search Google and Facebook marketplaces.

Everybody’s different. Of course, though, there is a crossover where some buyers search multiple marketplaces. However, as a general rule, if one of your products is a barbecue smoker, if you list this barbecue smoker on eBay, Amazon Facebook marketplaces, and a Shopify store, you can potentially quadruple your sales. I highly recommend though, just start and master one marketplace at a time. Life does not reward us for being a “Jack of all trades.” Life rewards us, for we master. Learn to master one marketplace at a time. It’s all about baby steps. One baby step at a time.

When evaluating different marketplaces for dropshipping, like with everything in life, there are pros and cons to each marketplace. It’s up to you to decide which marketplace suits you and your circumstances. Some marketplaces like eBay, give you free traffic, others don’t.

The Best Marketplaces for Dropship.

Dropship On Shopify

Now let’s look at Shopify first. For those that don’t know a Shopify store is simply your own independent website. I.e. www.xyz.com. If you buy a domain name, say xyz.com, you need to build a nice professional-looking website where buyers can see the items that you’re selling and the site needs a shopping cart in which they can put the items in the shopping cart and purchase your items. A popular, simple, quick way to build a professional-looking website with a shopping cart is to use Shopify and one of the many Shopify store templates. Shopify is awesome. However, creating a nice-looking website is the easy part. Getting traffic to your new Shopify store is a big challenge.

A new website or a Shopify store is the needle in the haystack or the drop in the ocean. Unless you have some kind of methodology in place to bring new traffic to the website, a Shopify store will be absolutely useless. I see this all the time. People spend a ton of time and or money to build a fancy Shopify store, but they get almost no traffic. To get traffic to your Shopify store, there are various methodologies that you can implement.

However, they all take time or money or both. The most popular strategy to get traffic to a Shopify store is SEO. Which is short for search engine optimisation. SEO involves optimizing your website or Shopify store, so it can be easily indexed by search engines like Google with the goal of the search engine, putting your listing high up in the search results and preferably on page one of the search results. Of course, the big problem with this strategy is there’s only one page and everybody wants to be on page one. And as you can see from the screenshot if I search Google for say, barbecue smoker, eBay dominates a big chunk of the page one search results.

After eBay for this keyword phrase, barbecue smoker, there are only three other websites that are showing. So to get on page one for this keyword phrase, you have to beat one of these four large companies that have very large advertising budgets. In the industry, a saying says, “The best place to hide a dead body is page two of the Google search results.” Of course, saying that nobody goes to page two of the Google search results is an exaggeration. However, page one enjoys 95% of all search traffic. One thing I hear all the time is that the advantage of SEO is that it’s free.

However, that’s far from being correct. SEO takes a lot of time and time and costs money. Even if you’re doing all the SEO work yourself, this is not free as it’s the time taken away from you that you could be doing something else, like listing another item on a marketplace that gives you free traffic.

The next popular strategy to get traffic to your website or Shopify store is pay-per-click marketing. On places like Google ads, Microsoft ads, YouTube Facebook, Instagram, LinkedIn, Twitter, Pinterest, et cetera. Pay-per-click marketing is known in the industry as PPC marketing. In short, what happens with PPC marketing is you place an ad on one or more of these marketplaces and you pay a fee every time somebody clicks on your ad. Irrespective of whether or not your item sells.

PPC marketing can be very effective. However, the days of an average beginner just starting out making lots of money straight away, are long gone. Back when I started doing PPC marketing back in 2000, we were paying just five cents per click for common popular keyword phrases, like saying ‘toaster.’ Today for the same keyword ‘toaster’ it’s 79 cents per click irrespective of whether or not the person clicking your ad purchases the item.

If you don’t know what you do with PPC, it can be a great way to suck your credit card dry very quickly. So the bottom line with Shopify is, that Shopify is relatively easy and quick to set up a store or a website. However, that’s the easy part. Getting traffic is what takes time and money and skill. Now don’t get me wrong. I love Shopify and I love PPC marketing. It’s just important for beginners to understand that setting up a Shopify store is only the first step. Marketing is the most crucial part. This is the big difference between a Shopify store and using sites like eBay.

Amazon and Facebook marketplaces for Dropshipping

Amazon and Facebook marketplaces in such a way you can list an item right now and you get traffic for free literally within minutes. The big advantage of marketplaces like eBay and Amazon is they provide tons of free traffic. You can list an item right now on eBay or Amazon without spending a cent. And literally within minutes, you can have viewers viewing your item.

Marketplaces like eBay and Amazon spend many millions of dollars each year on advertising to bring buyers to their websites. As you can see, when I search a barbecue smoker in Google for this keyword phrase, ‘barbecue smoker,’ eBay shows up at the very top of the search results. If you’re starting out, it’s free to list items on eBay and Amazon. However, both platforms charge a final value fee when items sell. If items do not sell, you do not pay a cent. This is a lot different to PPC marketing where you pay irrespective of whether or not items sell.

The big advantage with Facebook Marketplace is that you can also list items right now and get traffic to all your listings, again for free. Facebook Marketplace like eBay and Amazon spend many millions of dollars each year bringing traffic to their marketplaces. The big problem with Facebook Marketplace has been that there’s been no checkout page where people can purchase from sellers like you and me and pay for the items.

However, Facebook last year added a checkout in the USA. For most other countries though, like Australia, et cetera Facebook Marketplace does not have a checkout. So it’s very hard to automate the business. The whole concept of a dropshipping business for me is automation. Where I can have the whole business running by itself using software wherever possible. And for other tasks like customer service, we use low-cost overseas virtual assistance that you can get from $1 per hour. Facebook Marketplace has traditionally been the place where local buyers come to your house to pay and pick up items, which is, you know not congruent with drop shipping.

After being burned by purported “drop shippers” in the past, eBay implemented some rather thorough restrictions. Therefore, you must first comprehend this information if you wish to try dropshipping on eBay.

Let’s examine three essential points from eBay’s dropshipping regulations.

EBay policy for drop shippers: buying from wholesalers:

The fact that you can only dropship from wholesalers is the first crucial factor. This was undoubtedly implemented in response to the scams that were occurring on eBay.

You can only buy goods from wholesalers or, naturally, suppliers directly if you’re a dropshipper. This is made quite explicit under eBay’s dropshipping policy, which reads as follows:           

“However, if you purchase your goods from a supplier or wholesaler, you can still dropship”.

You must thus remember that if you want to start out as a dropshipper on eBay, you must purchase the products from a supplier or wholesaler. If you’re new to this, have a look at this list of 24 top-notch wholesalers and suppliers for drop shippers. If you bought your goods from any of these, you would be in accordance with eBay policy. Dropshipping on eBay is OK as long as you obtain your products straight from a wholesaler or supplier.

EBay policy for drop shippers: guaranteeing delivery time

The capacity to ensure conveyance in no less than 30 days is the second pivotal prerequisite. All traders, not simply drop transporters, should follow this.

Given that it’s a reasonably normal one, it’s safe to assume that your clients will anticipate delivery inside this window, if not before.

Just keep this in mind when you search for vendors. In addition to checking their track record by reading reviews, you should specifically say this. Late deliveries may result in angry customers as well as a fine from eBay or the loss of your Top Rated seller status.

You are liable for ensuring conveyance to clients in no less than 30 days, so ensure any outsourcing providers you use to know about this.

EBay policy for drop shippers: responsibility for delivery

According to eBay’s policies, you are responsible when things go wrong with the delivery or product. Here’s what the policy says:

Assuming you use outsourcing, you’re as yet answerable for the protected conveyance of the thing inside the time period expressed in your posting for the purchaser’s general fulfillment with their buy.

There are 2 key terms to understand here:

1. “Safe delivery of the item within the timeframe stated.”This means it’s your job is to ensure the item is delivered (all in one piece) to the customer by the date you promised. This can be a challenge as a dropshipper because you are not the one actually doing the delivery. So, be sure to find out how quickly your supplier can process orders and which delivery provider they use.
2. “The buyer’s overall satisfaction with their purchase.”This essentially implies, is the client content with the item they get? Does it match the portrayal and pictures you give on eBay? Also, does the quality match their assumptions?

Here, you have some liability. Ensure that the depictions and pictures on your item posting are precise. The best way to do this is to order a sample from your supplier and do the product description and photos yourself. Then there is the question of defective goods. Make sure you have discussed this with your supplier because you will need to be able to offer a replacement or a refund.

Overall, both of these arguments highlight how crucial it is to choose a trustworthy source. Cost-cutting at the expense of dependability and quality could get you in a lot of trouble.

Guarantee your items are followed through on time and in one piece, and that they match the portrayal on your posting, to try not to be endorsed by eBay.

EBay policy for drop shippers: the consequences

If you don’t meet these requirements for dropshipping on eBay you could be hit with one of these punishments:

• A lower seller rating: This will make it harder to attract new customers.
• Restrictions on buying: You might be banned from selling certain products.
• Loss of buyer protections: This means eBay will no longer back you up if you get into a dispute with a customer.
• Account suspension: In this case, you won’t be able to sell on eBay while your account is suspend.

Therefore, before beginning, make sure you completely comprehend eBay’s dropshipping policy. Take your time to choose a reliable supplier who can make sure you satisfy all of these needs. This is crucial.

Source from over 800K ready-to-sell products and thousands of product categories. Connect to trusted and verified drop shipping suppliers across the US and worldwide. ‎Maximize profits with complete customization over product pricing and markup.
Sourcing and Working with Dropshipping Suppliers and Wholesalers
Choosing the right and genuine suppliers or wholesalers is a crucial step in dropshipping business. Your business future depends on suppliers only. Therefore, make sure to select the right one. You can contact manufacturers to obtain a list of trustworthy suppliers.
Further, make sure to get in touch with them via phone calls, emails, or directly meet them. You can investigate if they deal in dropshipping business because sometimes it’s not mentioned on their website.
It is also important to represent yourself as a professional and genuine drop shipper. Because if they have any doubt, you might lose good suppliers.

How do I start and run a drop shipping business?

To kick start your drop shipping business, you need to strategize your plan that would streamline your work process. Let’s study:
Choose Niche
The first part includes finding the right niche for your business according to current market opportunities. Although it seems easy to start a drop shipping business in fact, you have to strategize in-depth to make it successful. So, the right approach is to identify and select the perfect niche for buyers.
Note that if you focus on a line of products, it will help you to obtain expertise in selling those products. It works as an advantage over the other competitors when they dropship similar types of products. For long-term success, you can research and evaluate data based on those facts and implement them in your business.

Create Website

To build your eCommerce website you need to fulfill certain elements. It includes Platform, domain name, themes, and more. You can refer to websites such as Shopify or Magento to create your website. These websites will help you align with your business vision and goals. In addition, make your website convenient for your customers where they can easily access and explore products before purchasing.
Moreover, you can also obtain the benefit of free trials of these platforms. If you liked the working process of these websites then you can switch to paid monthly subscription plans.

Select Suppliers

You won’t be able to work in the drop shipping business if you don’t have good suppliers. Moreover, suppliers play a major role in the drop shipping fulfillment process. You can do your research via certain methods to find valuable suppliers. It includes referrals, online searches, online directories, trade shows, and more.
Build relationships with various suppliers as it will help to remain on the safer side of the business. You will never run out of stocks and fulfil customers’ requirements and deliver fast. In addition, get into an agreement with suppliers in case they run out of stock. This situation is known as Backorder. Also, make sure to have guaranteed contractual agreements where suppliers deliver products in a specified timeframe.

Finances

You initially require a low investment cost while starting dropshipping business. However, after generating revenues with increased sales, you will face trouble handling your finances.
In case, you are not generating any profits or revenue then don’t step back from taking any risks. You can switch to other products that generate a decent amount of revenue. Also, try to re-evaluate your suppliers or other partners from time to time that offers you their services at a lower cost. It would help you to adapt to maximize your business profits.

Legal Aspects

Though, drop shipping is completely legal. However, a few aspects need to be taken care of. Make sure to check jurisdictions where inventory or warehouse is placed. Then, analyze and calculate sales tax to avoid tax-related issues.
Further, check for counterfeit products too as they might drag you along to legal risks. Also, look for licensing violations or trademarks on products that you shippers supply to customers. Nevertheless, selecting reliable and genuine suppliers reduces such potential risks.
Find the Best Dropshipping Products to Sell for a Profit

It is the list of best trending products to sell for a profit in 2022:

Health and Personal Care Products
Electronics Items
Kitchen and Grocery
Office Products and Supplies
Bedroom Products and Accessories
Home Improvement Tools
Gaming
Books

The Commitment to Start a Dropshipping Business

You don’t need to be an expert to start a drop shipping business. All you need is commitment, patience, and a strategic mind. Few aspects could help you to build your own empire. However, no business is successful without roadblocks. You have to stay ready to face some failure before achieving success. And, same goes for the drop shipping business.
You cannot expect positive results in sales, growth, or revenue in a day or two. You have to maintain consistency, effort, and patience when it comes to dropshipping business. Numbers take time to grow and therefore just put all your unrealistic expectations aside when you are into serious business. Once you learn the ins and outs of the business, you will achieve growth and success with time.

Investing Time in your Dropshipping Business

Even if you are in 9-5, you can invest your time in dropshipping business. It might require 8 to 10 hours per week. However, if you are available to focus full-time on dropshipping business then you can easily focus on that as well.
In dropshipping business, you have the convenience to work both ways. Drop shipping offers freedom in certain forms. All you need is a laptop and a marketing mind. And, that’s it! You are not restricted to place or time. This business can be managed from anywhere and anytime.
However, try to invest time to learn skills to grow your sales, promotion tricks, innovative ideas, marketing techniques, and more. Eventually, with growing skills and experience, you can manage to earn an average income of $50,000 for at least 12 months.

Investing Money in Your Dropshipping

There’s no certain answer to this question. You have the option to start with a little chunk of money or you can invest a heavy amount. It is up to you and your requirements. If you are a beginner then we would recommend you to start slow and low. Once you start witnessing growth in your sales and revenue then you can slide to the next step.
Avoid wasting your money on the wrong people who might take advantage of you if you are a beginner. Otherwise, you may spend most of your money on the wrong third-party middlemen, programmers, and marketers. They might overcharge you for resources, websites, and other elements.
It is strictly recommended to learn how the business runs at each level. And, adopting the right methods to invest before choosing your partners. Moreover, during the initial phase, you should invest in free trials of software such as Shopify, Magento, and more. These websites are relevant and safe for use. Once you see the benefits of it, you can move to monthly subscription packs.

Deciding on a Business Structure

Consider these crucial business structure points once you have decided on dropshipping business. Let’s study:
Sole Proprietorship
In a sole proprietorship, you won’t find any legal basis for this business. Moreover, it does not offer any personal liability protection. In this type of business, you are solely responsible for all your business debts if incurred.
Simply put, your assets would be at risk in a sole proprietorship that includes your savings, assets, or home.
Also, note that in this business, filing or special paperwork requirements are minimal. However, you need to report taxes. Besides, there are no other filings for other state or federal businesses.

Limited Liability Company (LLC)

Unlike a sole proprietorship, LLC offers protection for your assets. It determines your business as a separate legal entity from you. But keep in mind that LLC is incompletely foolproof.
Suppose, if customers drag you to the court due to any reason such as feeling cheated or misled with your products or services then the court cannot force you to pay the compensation from your personal assets.
Moreover, you have to comply with filing tax returns separately and pay ongoing fees for your company. Note this additional information that LLC varies from state to state so make sure to check the guide.

C Corporation

For drop shippers who have invested a huge capital then C Corporation works the best for them as it offers maximum liability protection. On the contrary, for small businesses, a sole proprietorship or an LLC is highly recommended. In addition, LLC offers liability protection and autonomy from finances and costs.

EIN Number

It is important to register to have an Employer Identification Number (EIN). Further, it is mandatory for all businesses and is processed by the Internal Revenue Service (IRS). Also, it is similar to the Social security number (SSN) and consists of a unique nine-digit number.
Generally, it is required to open a bank account, file taxes, apply for a wholesale drop shipping account, and almost everything related to your business. Note that you can easily obtain your EIN as it is easy, simple, and free.
Finances
Follow these mentioned points for finances:
• Execute your business finances through one primary business checking account. Make sure to get deposits and transactions via this account. This step will make your business accounting easy and efficient.
• Have a business credit card. It will be used for drop shipping inventory purchases and also for your other business activities.
Sales Tax
Follow these two criteria when it comes to sales tax.
The first includes if you operate from the state that collects sales tax. The second includes if the customer placing an order is residing or living in your state.
However, if you get orders from buyers living in other states. And, their state’s own sales tax then you won’t collect any sales tax.
Note that you need to register as a retailer with your state’s Department of Commerce. Check for filing taxes as well with them.
Local Business Licenses
Though, most places want businesses to obtain their business license that also gets renewed after a certain period. Nevertheless, this idea changes for a drop shipping business. Check with your local laws and regulations to know in detail.

How much do I Need to Invest to Start Dropshipping?

Well, you will find self-proclaimed marketing experts selling the idea of zero investment to build a successful empire. Unfortunately, that’s the most unrealistic and absurd case.
To begin with your drop shipping venture, you have to invest some chunk of money that helps you to get started. However, you might have to invest at least $150 to $1,000 and that entirely depends upon the size and requirement of your business.
Furthermore, as mentioned earlier, you do not have to invest even a single penny in owning an inventory or warehouse. Also, you don’t have to invest money in production, packaging, labeling, and more. Basically, the major part of your investment would be limited to creating websites, sales, marketing, and suppliers.
Here’s a bonus tip for you: Make sure to get the benefit of free trials of available software tools. It will enhance your drop shipping business at zero or minimum cost depending on if you buy a monthly subscription plan.
Moreover, you will definitely see positive growth in revenue and business with time. All you need is to start with drop shipping.

The Right Approaches to Dropshipping

We have listed the right approaches to drop shipping. Check out:
Market Research
It is the main factor to consider if you are drop shipping. It helps to learn about trending products in the market. Also, you get to know what your customer demands. Further, you can fulfill their needs accordingly with drop shipping. Interestingly, dropshipping allows you to experiment with new products as well.
Shield from Overselling
The next right approach to drop shipping is to consider the overselling concern. It is obvious that the market fluctuates every single day. However, you don’t have to waste your money by increasing inventory costs. And, prefer to move to suppliers to save money.
Strategic Shipping
Shipping stands on the top of the complications list as it might affect your business if not done properly. Therefore, you need to implement strategic shipping when planning for drop shipping. And, it is the topmost approach to consider and follow.
High-maintenance
Some products are highly expensive to stock and deliver to customers. Therefore, use the right approach of drop shipping to curb those losses. Further high-maintenance products include fragile items that need special care, valuable items such as antiques or jewelry that require security, heavy items, and more.

How do I Incorporate Drop shipping into my Business?

If you are planning to incorporate dropshipping into your business then you can easily manage to implement it. Check out these below-listed points:
1. Have the Right Tools: Integrate drop shipping in your website store. This would further put you in contact with suppliers, products, and other social channels. It is the same as distributing ad banners to inform customers about products and shop locations.
So, these tools will ensure that your customers know about your store when a customer needs to order. To have easy access to multichannel management tools, you have to set it up with data synchronization and SKU differentiation.
2. Get in touch with Suppliers: Next step is to reach out to your existing suppliers or new suppliers. Check and verify with them if they offer drop shipping fulfilment orders, and what products they manufacture and could incorporate for your business. Nevertheless, suppliers help in a way to save tons of money if they handle customs and shipping.
3. Reach out to Customers: Make sure to research well before randomly selling any items or products. Learn and know what your customers want and then act on it. Further, you can implement it via conducting surveys such as email surveys, market calls surveys, and social media post surveys. You can check out these free survey tools. It includes Zoho Survey, Google Forms, Survey Monkeys, Type form, and more.
4. Choose Trending and Best-Selling Products: Narrow down your extensive research to the final list of products. It should be based on trending, market evaluation, and popularity among customers. Make sure to use tools like Buzzsumo, Google Trends, and more. Check other popular social media influencers who are marketing products. It will help to have more ideas to select products to sell online.

Drop shipping on Amazon and eBay: Evaluating Sales Channels

On both these popular eCommerce websites, millions of buyers shop from them every day. However, there are certain aspects that you need to consider while drop shipping. These aspects include fees, existing competition, and fulfilling orders. All of these points actually matter.
Talking about active users, Amazon has over 310 million active users and eBay on the other hand has over 182 million active users. Amazon surpasses eBay in terms of active users. So, if you are a beginner you will give preference to Amazon because it has a wider audience. And, it could offer larger exposure to your products.
However, you also have to face higher competition on Amazon than on eBay. And, you are also in direct competition with Amazon. On the contrary, you are not in direct competition with eBay, instead, you are in competition with other sellers. And, it makes it far less competitive than selling on Amazon.
Next, you need to fill in crucial details on Amazon for product listings such as barcode, UPC, and more for approval. And, it takes 24 to 48 hours to make those listings live. However, that’s not the case for eBay. You don’t have to fill those requirements such as UPC, and barcode. The process on eBay is quite simple on the eBay platform.

Note that:

Furthermore, on eBay, the fees include a 10 per cent fee to use the platform. For example, if you sell a product for $10 then you have to pay $1 to eBay as a commissioned fee. In addition, eBay does not have any membership fees. However, on Amazon, you have to pay roughly 15 per cent referral fees. Also, it includes membership fees that are $0.99/unit or $39.99/month. Also, you need to pay FBA fees on Amazon.
Lastly, if you have few items to sell then you should consider the eBay platform as it is free to use, has simple listings and has less competition. However, if you are actually inclined into growing a business with larger products to sell and want others to sell products. Then, Amazon is the best for your sales. It offers a wider marketplace, fulfilment services, and the best for business growth.

Is Dropshipping Legal?

Yes. Drop shipping is completely a legal business. However, you still need to make sure with suppliers and other partners on legal matters such as trademarks. Nevertheless, make sure to keep yourself on the safer side with Dropshipping Agreement Contract.

Is Dropshipping Profitable?
Of course. Drop shipping is a profitable business and worth your time, effort, and investment. You have to start with low startup costs to venture into your drop shipping business. Moreover, you save a lot of time and money as you don’t have to own an inventory or warehouse. Also, you are free from other workloads such as packaging, labeling, or shipping. Lastly, drop shipping is a low-risk business model and scalability of average profit margins of around 15 to 20 percent.

Do I Need to Register a Business Entity to Dropship?

Absolutely, you have to register as a business entity once you start generating sales and revenue.
Why Is Starting a Dropshipping Business a Good Idea?
As stated earlier, the major aspect of the drop shipping business is that it is a low-risk business model. Further, unlike traditional business methods, you are not bound by certain areas of business such as possessing an inventory, handling packaging, labeling, shipping, and more.
All these elements help drop shippers have a lot of time and energy. They can utilize their time to strategize marketing tactics, focus on customers, increase sales, target potential audiences, and more.
Once you set your hands on drop shipping business and customers, you will see a spike in sales, and business growth, and generate tons of revenues. Ultimately, you are investing in the right business with a low cost and a higher probability of growth. All these aspects make drop shipping a perfect option to start with.

How to Make Drop shipping a Success

To make the drop shipping business a success, avoid committing these mentioned steps:

Try not to sell some unacceptable specialty or items for your business.
Lack of resources.
Keep away from investing money and time in the wrong partners.
Do not take your customers for granted. Instead offer the best customer service.
Your order should not be delayed.
Inconsistency in streamlining the business processes.
Avoid creating a website on the wrong platform. Instead choose Magento, Shopify, and more.
Unattractive or non-user-friendly website
Avoid all these wrong decisions to make your drop shipping business a success
Key Takeaways

Here’s a quick summary of what we have covered so far. Let’s have a look:

• Outsourcing is a retail procedure utilized for request satisfaction cycles to sell items or things without having stock.
• Drop shipping supply chains have three main aspects. It includes manufacturers. wholesalers. and retailers.
• Benefits: Lower Startup Cost. Scalability. Easy Process. Broad Products. Flexibility. Inventory Management.
• Disadvantages of drop shipping: Third-Party Suppliers Errors, Highly Competitive, Inventory Management Issues, Customer Service. Profit Margins.
Choosing the right and genuine suppliers or wholesalers is a crucial step in dropshipping business.
All you need is commitment, patience, and a strategic mind to start a drop shipping business.
Avoid wasting your money on the wrong people who might take advantage of you if you are a beginner.
Business Structure: Sole Proprietorship. Limited Liability Company (LLC). C Corporation. EIN Number. Finances. Sales Tax. Local Business License
Right Approaches: Market Research. Shield from overselling. Strategic Planning. High Maintenance

Are you considering adopting eBay drop shipping? This guide will teach you all you need to know.

Key Points:

• Drop shippers can earn more than 50% profit than those who keep their own stock inventory
• Drop shipping is an order fulfilment method where a store doesn’t keep all the products it sells in stock
• The easy ship can help power your dropshipping business model with shipping discounts up to 91% off.

Drop shippers can earn more than 50% more profit than those who keep their own stock inventory. With drop shipping, eCommerce merchants sell goods by direct delivery from the manufacturer to the retailer or customer.

EBay is a platform that makes this possible and it has availed many merchants the opportunity of selling products to buyers around the world without having to handle inventory. This sounds promising, especially to newcomers who might want to explore the feasibility of online retailing.

However, retailers should be aware of the downsides of drop shipping. Drop shippers bear the liability of a shipment, even if the supplier messes up the delivery process. Plus, there is a low level of control because the supplier handles and ships the products, which gives no room for personalized branding.

Despite the downsides, dropshipping is still a great way to sell products. EBay drop shipping is a great way to sell a variety of products at a lost cost. You have more time to develop and scale your business globally. Also, there are fewer overhead costs for using drop shipping.

This blog post will go over everything you need to know about how to drop on eBay. This way, you can decide if this fulfilment method is right for your online store.

What Is eBay Dropshipping?

Dropshipping is an order fulfillment method where a store doesn’t keep the products it sells in stock. Instead, the store purchases the item from a wholesale supplier, where it is then shipped to the customer.

More specifically, eBay dropshipping involves selling items on eBay and then working with your supplier to ship them directly to your customers. Some common products that utilize dropshipping include:

• Bluetooth headphones
• Organic tea
• Vaporizers
• E-cigarettes
• Waterproof bags

Drop shippers serve as the bridge between manufacturers and customers – and they do this successfully online, almost with no capital or a physical store. So, just as you’re thinking, dropshipping is a profitable business model for sellers. Plus, listing an item on eBay is easy to set up.

Can you dropship on eBay?

Yes, eBay dropshipping is legal unless eBay sellers advertise a different product than the one that ships. It’s essential to work with a trusted manufacturer so that eBay sellers can avoid this issue. To avoid account suspension, make sure you do your research when selling an item from another retailer.

Also, be sure to visit eBay’s drop shipping policy via their website to keep up to date with any unanswered questions.

Benefits of eBay Dropshipping

By now, you must have learned some advantages of eBay dropshipping. This section will highlight some of the other key benefits of using this fulfilment method.

Lowers product costs

EBay drop shipping sellers pay wholesale pricing for products since they’re selling a manufacturer’s product instead of their own. This benefit dramatically makes the cost of the product low, which can be a crucial advantage for small businesses looking to save money.

Save time

EBay drop shippers can focus more on marketing and customer service since they don’t have to worry about time-consuming tasks like packaging and shipping products. Plus, eBay sellers don’t need to worry about sorting and organizing products with drop shipping.

Your location can be flexible

This benefit is one advantage that has endeared a lot of eBay drop shippers – you can operate from anywhere in the world! All you need is a good network connection and access to the internet to reach your eBay customers.

You don’t have to manage inventory

Dropshipping on eBay saves you the stress of managing inventory. This benefit is possible because you don’t need to stock products, and all you need to do is sell available products from various suppliers.

Easy to set up eBay listings

EBay drop shipping is easy to set up – and requires no expertise for eBay sellers. First, you want to identify the products you want to sell in your store. Then, link up with a good supplier, set up your online eBay store, and list your products for sale.

Choose from millions of products

EBay drop shippers can choose from millions of products to add to their store. Sellers can look through product marketplaces and add any product of their choice, rather than creating and manufacturing their products.

How to Dropship on eBay

Now that you’ve known the benefits of dropshipping on eBay, we’ll go over how to use dropshipping as your fulfilment method, so you can sell on eBay seamlessly.

1. Set up an eBay seller account

The first step is to open a seller account. When you do this, you will be required to pay listing fees. Also, remember that different countries have their eBay sites, so be sure you sign up on the right one depending on your target audience or country.

2.  Choose your products and dropshipping supplier

Often, it’s best to decide the products you want to sell before opening an account. However, you can take your time to research the products you want to sell and the supplier of the products.

3. Choose your payment provider

You want to make sure everything is in place when you’re setting up, including choosing your payment provider. PayPal and Stripe are two payment providers that eBay first-timers use, mainly because of the benefits they offer.

4. Create your product listings

This step is essential, especially for attracting customers to eBay. Write and structure your product listings so that they have high rankings on the search engines. Also, make sure you use good image quality with top-notch descriptions for the products you sell.

5. Manage and maintain your brand

Once you have completed the steps above, you need to manage and maintain your brand to remain competitive. To achieve this, work on keeping your customers as your priority and attend to them as promptly as you can. Remember, good customer service helps a business thrive.

Dropshipping Fees: eBay Dropshipping Policy

Setting up your eBay seller account is free. However, there are a couple of costs to deal with when dropshipping on eBay, such as:

• Insertion Fees: eBay sellers are charged $0.35 per listing. However, eBay sellers receive 200 free listings per month, and most drop shippers don’t exceed 200.
• Final Value Fees: eBay sellers are charged just 10% of an item’s total sales price. Final value fees are not immediately required following a sale. Instead, eBay charges the final value fee at the end of every month.

Despite the few fees for eBay sellers, you’ll ultimately save money because of not needing to pay for managing inventory.

How to Dropship on eBay with Easy ship

EBay drop shipping has proven to be a reliable source of income for first-time online retailers – and even experienced merchants who are looking out to try new niches. This factor is made possible through the abundance of benefits eBay offers, from being easy to set up to its flexibility.

With Easy ship, eBay drop shipping is made easy and seamless through the following features:

• Free Shipping Rates Calculator: Access high-volume discounts from major couriers. Plus, get instant access to delivery lead times from premium shipping couriers
• Shipping Dashboard: Manage drop shipping orders and create shipments instantly in the Shipping Dashboard. Plus, keep track of all your delivery lead times in one place
• Rates at Checkout: Improve conversion rates by showing available couriers directly to customers at checkout