Dropshipping Traps and Make Sure You’re Not a Victim

Beware of dropshipping scams

Finding reliable and genuine suppliers is the biggest problem for dropshipping businesses. There are many options to locate your supplier. Some of them will be better than others. You should not buy dropship supplier lists that are sold for less than a few dollars.

You can find dropship suppliers online or in drop ship directories. Make sure to verify them before you pay any money. Scammers are often convincing with half-decent websites. Check their business registration with the appropriate authority. Make sure they have all the contact information. Also, look online for customer reviews about dropship suppliers. Ask them to refer customers.

Don’t pay excessive fees to access dropship inventory

Dropshipping suppliers that are genuine will make money by sourcing high quality products at affordable prices and then selling enough to make a decent profit. Dropshippers should be cautious of suppliers who ask for a fee to access their dropshipping inventory. Dropshippers shouldn’t be afraid of suppliers that charge a high price. However, if the fee is too high, dropshippers should not avoid them. There are plenty of genuine dropshipping suppliers who will let you sign up for free.

High shipping costs

Many new resellers only focus on the product price from the dropshipping supplier and do not consider the cost of shipping the item to their customers. This is where some suppliers will even make more money by charging unreasonable shipping charges. You should know what the total cost of dropshipping your products is, including shipping costs and any other fees. This reliable dropship supplier will offer you good shipping rates

Fake brand items

Dropshippers who sell branded products face a major challenge in ensuring that the product is authentic. You may find less trustworthy suppliers that will sell the authentic product at a significantly reduced price. The first sign you know there is a problem is when your customer contacts you to inform you that their item is fake. It doesn’t matter if you sell branded products or not. It’s always a good idea for you to place a trial order from your new dropshipping supplier so that you can evaluate the quality of their products and their customer service.

Incredible discounts

Dropshippers that offer amazing discounts on top-selling products should be avoided. These discounts are usually based on the Recommended Retail price (RRP). The supplier might even exaggerate this price to get even greater discounts. You won’t be able sell the product at the RRP as customers will likely choose to purchase it from a reputable retailer. Therefore, base your discount calculations on the price you are willing to charge.

Even if you find that you get a great discount when compared with other dropshipping suppliers it could also be because the business reduces costs like delivery, which could lead to more problems in the long-term.

Dropshipping is not easy. There are many traps you need to avoid. If you follow these tips and use your common sense, you can avoid scammers. You should thoroughly research any supplier you’re considering. Check reviews, ask for references and ask lots of questions. The stupidest question is one that you don’t ask. Any genuine supplier will answer any questions you have to ensure you are satisfied. Remember, if something sounds too good to be true, it probably will be.