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Wholesale Drop Ship

"How to Ruin a Perfectly Good Product Market"

Those of us who own Home-based Internet Businesses sites are always looking for wholesale pricing from the suppliers of the products we want to sell.

Wholesale Drop Ship

Unfortunately, many people don’t know what a wholesale price IS, or even what to DO with it when they find one.

By definition
(Merriam-Webster's Dictionary), the word "Wholesale" means "the sale of commodities in quantity, usually for resale (as by a retail merchant)". That definition has been around since the 15th century.

Wholesale Drop Ship Affiliate Programs There a lot more honest, hardworking Netrepreneurs out there than scam artists. That doesn’t make for a good news story, though, so we all take the lumps for the transgressions of a sordid few.

You know what I’ve never seen, though? I’ve never seen a headline story about the CUSTOMERS who scam the Netrepreneurs. I’ve seen stories about thieves robbing convenience stores. I’ve seen exposes featuring the practices favored by professional shoplifters. What about the “consumers” who target online businesses when they steal?

My partners and I market both informational products and brand name merchandise on the Internet. And we’ve been taken on both sides of the fence.

We publish the Internet's Premium Product Sourcing Directories, The Drop Ship Source Directory, and The Light Bulk Wholesale Directory. We also publish Product Research software called The Market Research Wizard.

A few years ago, I received an email from someone who bought our Drop Ship Source Directory on EBay, and had questions about how they were to receive the information updates we send our customers every month. (At that time, our Directory was a downloadable product. Today, it is a huge online database) There was only one problem with the email I got.

We didn’t SELL our Directory on EBay.

I was forced to write back to that person and tell him that he had been scammed. It was obvious to me that someone had purchased our product from us, downloaded it, and was reselling it to others illegally. How this scam artist expected to get away with reselling the product, I’ll never know. At that time, it was a download that contained nearly a thousand pages. (Now, it's a much larger online database). There is a copyright notice on EVERY SINGLE PAGE. It’s like me buying Stephen King’s latest book on Amazon, typing it up into electronic form, and then reselling it on EBay. I’d have to be nuts to try something like that!

Wholesale Drop Ship There are some very good wholesale suppliers of brand name products out there. We publish a Directory of those who are willing to Drop Ship those products directly to your customer from the warehouse, one at a time, at wholesale. We also publish a Directory of Wholesale Suppliers willing to sell to you in small Bulk Quantities, while still giving you larger Bulk Quantity prices. It’s an excellent way to do business without spending a ton of money. However, to be successful in business, you need to understand what "Wholesale" really means.

A Wholesale distributor is a company that owns their own warehouse (no middlemen) and supplies you with products at prices that are significantly lower than Manufacturer's Suggested Retail Price (MSRP). That's what wholesale means.

So why do you sometimes find wholesale prices on some products that may be very close to the RETAIL prices for that same product on the Internet? So close, in fact, that there is not enough of a profit margin to make it worth selling?

Here’s one very big reason:

Chopper Bob has opened a store on the Internet. He thinks he's come up with an original idea. He's going to chop prices right to the bone on the products he sells. He thinks that because his prices will be so low, EVERYBODY will buy from him, and he'll make lots of money by selling large numbers of products. All those small profits will add up to a lot. Chop, Bob, Chop! See Bob Chop!

Chopper Bob is essentially chopping his own throat, although he does not see that yet.

Chopper Bob finds his first product to sell. It's a brand name VCR. This VCR has a Manufacturer's Suggested Retail Price of $149. This is the retail price that the manufacturer suggests it be sold at in order to make a good profit.

Chopper Bob has found that the wholesale price on this VCR is $69. At that wholesale price, the profit margin to be made by selling it at MSRP (Manufacturer's Suggested Retail Price) is 54%, which comes out to an $80 profit on each sale. That manufacturer has made a pretty good suggestion, wouldn't you say?

However, Chopper Bob believes that he is the first human being in history who has decided to sell at dirt-cheap prices and make money on volume sales. Because he is Chopper Bob, he's going to Chop the price on that VCR on HIS web site all the way down to a mere $79.

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Chris Malta
WorldWide Brands, Inc.