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Home Business Tips: How to Determine Dropship Pricing

dropship pricingAre you thinking of starting a home business in ecommerce and wondering how to determine dropship pricing?

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This is a crucial area and if you figure it wrong, you could end up not making enough profits to make your work from home business viable, or worse yet---actually go in the hole. Ouch!

In general, there are several factors to take into consideration when you want to determine a good dropship price, one that will allow you plenty of room for profits. Here are a few of the things that go into helping you decide on reasonable dropship pricing.

  • What will the market bear? Each product has a fair market retail value. You might be able to get away with charging a little more than your competitors for the same or similar product, but not much. So, before you determine dropship pricing of any item, check to see what the going price is on marketplaces such as eBay and Amazon.

  • How much competition do you have within the niche? For example, if you are dropshipping name brand products such as Coleman tents on eBay or Amazon and the other sellers are offering no-name generic tents, you might be able to price yours a bit higher than the going market price for tents of similar size and quality, simply because you are selling a big box brand name that is known and respected by shoppers.

  • Last but certainly not least---how much will or did you have to pay for the widget from your dropshipping product source? Always remember that when you are buying for resale, you make your money when you buy rather than when you sell. For instance, if you can mark your Coleman tents up to a higher price than a brick and mortar store like Dick’s Sporting Goods for people who prefer the convenience of online shopping; what good will it do you if you are only making a few dollars of profit over and above what you paid for them? Your dropship pricing will largely depend on the price you paid when you bought for resale.

Drop Ship Access has 1.7 million high quality, name brand products available at true wholesale prices and ready for you to start a profitable home business today. Check it out now and find out more about dropship pricing with the Drop Ship Access Low Price Guarantee!

If you liked this article, you may also like this one: Dropshipping Sales: A Profitable Online Home Business!


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