Finding legitimate Wholesale
Suppliers and Wholesale Sources for your online
business
If you are looking to build a home based
internet business by selling products on ebay or through
an online store, your first task is to find products to
sell. Wholesale sources give you the opportunity of
finding the right products to sell at a genuine
wholesale price. This will enable you to compete with your
competitors and also make enough of a profit to continue
to grow your business. It is also important that your
wholesale sources are legitimate and reputable suppliers
who can deliver a continuous stream of products in line
with the demands of a growing business.
Finding legitimate and reputable wholesale sources is not as
easy as it sounds. Most real wholesale suppliers will not work
with small internet home based businesses. This is because as a
small business you don't have the money to order large volumes
of products at one time. The Wholesale suppliers business model
is based on large volume sales, as they only make a small
profit on each product they wholesale. This means they have to
sell in large volumes to remain viable and profitable
businesses. A wholesale suppliers main market is large retail
outlets who have the financial muscle to buy in bulk. So you
need to find wholesale sources who are prepared to deal with
small businesses and sell you small volumes of products.
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SaleHoo
There are a number of different types of wholesale source to
choose from, including dropshippers, light bulk wholesalers,
large volume wholesalers, liquidators and importers. This
website is designed to help you through the wholesale sourcing
maze, and provide you invaluable information on companies that
can link you up, either directly or indirectly with
pre-screened legitimate wholesale sources. We have reviewed the
top dropshippers and wholesale source directories out there
today, and would strongly recommend that if you are either
starting out or have been burned by a wholesale supplier in the
past, you check out the reviews on this website and explore
what each company has to offer.
At the end of the day you are unlikely to be truly
successful using only one wholesale sourcing method. The most
successful businesses spread their risk and take advantage of a
range of wholesale sources.
Drop
shipping
Drop shipping is a great place to focus
your efforts when you are getting your business off the
ground. It is a very convenient and low cost wholesale
sourcing method. There are 2 types of dropshipping
services. The first type of dropshipper is often called an
aggregator. These drop shipping services will do most of
the hard work for you. They deal directly with a large
number of wholesalers and provide a single point of
contact for all your dropshipping needs. The downside to
this level of convenience is that the product price would
be slightly higher than if you sourced directly from the
wholesaler, but this type of service is ideal if you are
just starting out or want to test the water with a
particular product or range of products. Two excellent
dropshippers falling into this category are Doba and
Shopster. Both offer free 7 to 14 day trials, so you can
test out the service before committing any hard earned cash.
You can also contact pre-qualified dropshippers direct through
companies like Worldwide
Brands and SaleHoo,
two of the best wholesale directories around.
Light Bulk
Wholesalers
Once you have tested the waters with dropshipping, you can
supplement your wholesale sourcing with light bulk wholesalers.
You can get better prices than dropshipping, but you need to
have the finances in place to order minimum quantities of stock
and ensure that you have space to store that stock until you
sell it. Both Worldwide
Brands and SaleHoo
have extensive lists of pre-qualified light wholesalers.
Large Volume
Wholesalers
As your business grows and you have the cash flow to order
larger quantities of product, you can decrease your product
costs and increase profits still further by dealing with large
volume wholesalers. We would only recommend this wholesale
source when you have an established business with a strong cash
flow.
Liquidation/Overstock
sourcing
This type of wholesale sourcing works well, but liquidation
sourcing will not supply a renewable source of products. Once a
liquidation stock is gone it's gone and you will run out of
stock soon enough. Having said that, this type of product
sourcing is great for limited special offers that could be used
to tempt customers to your site and give you the opportunity to
upsell higher profitable products.
We hope you enjoy reading the product reviews and browsing
through the rest of the site and wish you every success in your
internet business.
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