Dropshipping is a way to sell on eBay without having to buy and store inventory. With dropshipping, many of the eBay selling duties, such as shipping, are done by someone else while the profits go to the eBay seller.
Sell on eBay With a Dropshipper
To sell on eBay, some sellers sign up with a dropship company to handle the inventory storage and shipping aspects of eBay selling. A dropship company stores a high volume of retail items in warehouses. The organization of inventory and the packaging of the sold items are the duties of the company rather than the eBay seller.
When an eBay seller signs up with a dropship company, that seller gets access to the dropshipping catalog of items. Those are the items that the seller will then sell on eBay without ever coming into contact with the actual items.
The retail items are listed on eBay by the eBay seller. The description may come from the dropship company’s description if the company allows reproductions of the product descriptions. Most companies also allow members to reproduce their product photos in eBay listings.
Dropshipping for Convenience
Using an dropshipper to sell on eBay means that a seller doesn’t need to purchase a large store of inventory to ship out to customers. Buying an inventory upfront can be prohibitively expensive for many sellers. Many dropshipping companies do, however, require a membership fee to have access to the dropshipping services.
eBay selling with a dropshipper does not require the listing to reveal that the item is being packaged and mailed by a a dropshipping company. However, if the item is backordered and will not be available for 30 days or more, that is required to be included in the listing.
Some eBay sellers choose to disclose the dropshipping situation in case there is a problem with getting the item. Some dropshippers do run out of items periodically, resulting in canceled or delayed sales. This situation can lower a seller’s feedback score because of complaints about late and missing items. For this reason, many sellers choose not to use dropshippers at all.
Choosing from among the many dropshippers can be difficult because of the glut of competition on eBay. Some dropshippers have so many of their products being sold on eBay that the price competition has eliminated any profit from the sale of the items.
When looking at the inventory that a dropship company has available, look at the eBay competition for the items before signing up with an eye toward eBay selling. If there are dozens of each of the items already on eBay, a seller can easily pay more in eBay listing fees than would be made on the sale of the item.