Business insiders know something that most others don’t. Simply this–the value of having the right products suppliers for wholesale drop shipping on eBay and for home ecommerce business. You owe it to yourself to know how to discover on your own the legitimate wholesalers and drop shippers for the products you want to sell. Your business survival depends on your being on the leading edge of product sourcing for your business.
This article will hand you the know-how to begin finding your very own reliable set of product suppliers for just about any business. This article is not an advertisement for an online membership or some ebook purporting to be a definitive list of suppliers. And although some of these are fine products, in the end you won’t be self sufficient unless you know how to do it for yourself.
Tip #1: Analyze Your Selling Environment What is a selling environment? The selling environment is where you will be putting your products up for sale. Each environment has its own kind of personality and characteristics. If you fail to understand this, you may never manage to make a profit. For example, eBay is a wholesale selling environment. Almost all of the products are already at or below wholesale price. An ecommerce site is a retail selling venue. If you try to sell an item at retail pricing on eBay, you will probably lose out to the competition underselling you. Your retail item will probably sell better on your ecommerce site, though of course, you do have to gauge your ecommerce competition.
Tip #2: Understanding True Wholesale versus Discount Retail Legitimate wholesale means that a business is licensed as a wholesaler. This allows the wholesaler to purchase goods from manufacturers for resale to licensed retailers. The wholesaler does not pay sales tax as that is collected by retailers, who are allowed to purchase without paying sales tax because they charge it to their customers. Retailers are required to have a sales tax permit, which they get from their state department of revenue. This is generally very easy to get and often free.
Now, many businesses selling low-cost products are not wholesalers, but that does not mean they are not legitimate. Some businesses sell liquidated stock while others sell surplus items of one sort or another. There are so many kinds of businesses selling cheap goods that I can’t list them all. My point is that a legitimate wholesaler is one specific type of product supplier and in order to purchase you would be required to show proof of a sales tax permit. Some businesses like to broadcast that they have wholesale prices, but wholesale prices are really just whatever prices a legitimate wholesaler happens to be charging.
Tip #3: Handing Over the Goods The temptation is always there to keep searching for the ultimate list of drop shippers and wholesalers or to join any number of online wholesale directory memberships. In some rare cases you may want to work out a deal with someone you know who has a product source you need. However, in most cases, it is not necessary, and coming up, I’ll introduce you to the means to find a veritable feast of product suppliers.
This is just a sampling, but I believe you will find more product suppliers than you will know what to do with: (1) The Google Directory. Google “wholesale trade” and that will open the doors to many wholesaler. (2) The DMOZ directory. Search “wholesale” + the name of the product you want to sell. (3) The Thomas Register. This is available at your library, but you can also search at thomasnet.com. (4) Thomas Publishing at thomasglobal.com. (5) Legitimate Wholesale at legitimatewholesale.com. Last, try Proproductsourcing.com. Not a directory but a product supply resource for much helpful information.
The sources above will provide you with names and contact information for many legitimate product sources. The last time I checked, there were more than a thousand across many different product categories. I think that once you start using the information given above that you will also begin understanding how to research your own sourcing. This in turn will free you from being dependent on other people’s lists. Of course, you may still want to buy a list now and then, but you will be purchasing from a position of power rather than dependency.
Tip #4: Trade Shows This is a potential gold mine. This is also how real retailers make contacts and do much of the networking that allows them to strike deals for the best prices. Some of the best wholesale drop ship leads come from attending trade shows. For shows in your immediate area, contact your local chamber of commerce. You can also search online using the search term, “trade shows,” and you can add the name of your city, state, or region for local information. A very useful online trade show site is BAO Link at baolink.com.
Earlier in this article I mentioned online memberships. Many people starting out spend a great deal of time trying to figure out if they should sign up for one of these directories. Ultimately, this is a personal decision. I am a member of two such memberships that are very different but both quite good. One was free when I joined and the other had a one-time fee. Both were learning experiences. In hindsight, neither was necessary, but I have never regretted joining and have learned from both. If you decide to sign up with a membership, I suggest choosing one with an active member forum as the opportunity to network can be invaluable.
If you follow the tips above, there really is no reason why you should ever lack for product suppliers for you home business whether you choose to run an ecommerce site, do eBay, or sell goods at local flea markets and festivals. You can be on the leading edge of product supply if you take the time to do a bit of research.