Wholesale dropship product resellers are beginning to realize that 2011 is different from previous years, but do not worry. Inventory Source has the solutions you need to sell wholesale dropship products and gain a real edge over your competition.
Wholesale dropship product resellersare beginning to realize that 2011 is different from previous years,but do not worry. Inventory Source has the solutions you need to sellwholesale dropship products and gain a real edge over yourcompetition.
There are more and more articles beingwritten about wholesale backorder issues. When you manually list aproduct on your site, you have to check everyday to see what itemshave come in stock or gone out of stock as well as what prices havechanged. A backorder is when you sell an item to your customer, butwhen you go to the supplier for order processing, that item has beensold out. Fortunately, you have a true solution available to youwhich most dropship resellers do not have, because Inventory Sourcecan easily help you manage your wholesale dropship product inventoryprice and quantity updates automatically.
Do wholesale dropship products go outof stock?
It is important to note that there willalways be products that go in and out of stock every day. For someof the larger distributors, this might happen for hundreds of itemsin their catalog every day. Some new resellers assume they can justtake a product feed and dump it on their site or auction listings andsit back and relax. They might have spent hours or days formattingand loading their product details from their supplier account totheir website, so once the products are listed it is natural to wantto step away from their ecommerce site or at least the datamanagement aspect. However, if you spent a week uploading yourproduct details your supplier would have added new items,discontinued items, and had numerous products go in and out of stockwhich now have to be updated on your website again. With everyproduct you manually upload to your listings, you are uploading apotential issue that you need to monitor every day, 7 days a week.
Are dropship wholesale products reallygoing out of stock more often?
Nationally, resellers are noticing thatmore and more of their items are going out of stock at theirwholesale supplier and getting placed on backorder status. Theymight have worked with a supplier on their own for years and feltwith some smaller programs that they are able to keep up with thewholesale dropship product changes to price and quantity by working afew extra hours each day. However, noone goes into the wholesaledropship reseller business to spend all of their time updatingproduct details and feed changes. You do it to sell more productsand work less while enjoying the ability to service your customersand make a profit each day.
Why is this happening more often withwholesale dropshipping product catalogs?
It is always an issue that you need toaddress, and one we have been helping our members with since 2002,but one simple answer is the economy. Think about how you deal withthe downturn in your own household. If you are like most people, youare watching your budget more carefully. These spending habits arealso happening at the wholesale dropship product suppliers. Forwholesale programs to stock large volumes of product SKUs in bulk,they need to know that money is coming in quicker then it is goingout and being spent on a backlog of products. Rather then stocking100 copies of the same Apple Ipad Case, a wholesale dropship productdistributor might stock 30. They will reorder these items as thequantity gets too low, but they are playing it safe with theirproduct counts and adjust to what is selling and moving out of theirwarehouses. Another reason for some lower stock changes, especiallyfor electronic suppliers, is that many items as also going throughmore frequent upgrades and changes. As the pace of technologychanges, so does the development of the next new gadget. New phonesmean new phone accessories. Even with more people buying cell phoneaccessories, the increase in the number of new models means less ofeach item type might be sold. People might change their phone modulemore frequently or upgrade to the newest GPS or Apple devise meaningthe pool of customers for a product type diversifies more as thereare more models in the market. This can make it trickier for awholesale supplier to gauge what the demand will be for a specificitem or accessory for that item in 3, 6, and 9 months. These factorsmean that the wholesale or dropship supplier needs to be moreconservative with the number of items for a single SKU that theystock in their warehouse at one time. This means wholesale suppliersare letting inventory levels go lower in years past before refillingtheir quantities. While you, the wholesale dropship reseller, do nothave to take on this risk because you do not have to pay for anyproducts before they sell, the risk of selling an out of stock itemon your site or dealing with a price change while trying to manuallymonitor your product changes every day is a risk that gets passed toyou….and this is a risk your Inventory Source custom file andautomation services can resolve saving you time and money.
The summer months are typically whendropship wholesale suppliers determine what the items they think theycan best sell through the holidays at year-end. The earlier thewholesale product suppliers ramp up for the Holidays, the less thatstock tends to cost them, and the lower your prices will be as well.After July, you’ll start to see a reduction in the backorder issueas they have more stock before the holidays. Last, as you getfarther into the holidays it will begin to occur again as inventorylevels go back down for year-end settlement. Issues with quantityand price changes are somewhat cyclical, but it will always be aconcern for anyone selling dropship products. So, rather then try tomanually adjust your efforts every day or take on more people to helpyou monitor these changes, just get started with an Inventory Sourcecustom file or automation service. Another great option is gothrough the Inventory Browser tool in your free account to view moresuppliers that have similar products. If your primary supplier goesout of stock on a brand or product, it is a great idea to alreadyhave an approved account with another wholesale product supplier soyou can use them as another source for your orders.
Your wholesale dropship productsupplier is going to do what they need to succeed and so should you.The wholesale suppliers understand how difficult it can be for theirreseller network to stay up to date with changes in price andquantity levels. This is why many of our wholesale product suppliersrecommend our services to their dropship resellers, and they havebeen doing this for close to 10 years now. They understand how thecustom Inventory Source tools can allow you to control your prices,categories, brands, and more while getting the most direct andupdated details form their warehouse everyday giving you the time youneed to respond to customer questions or market your website andproduct listings.
If you are looking for moreinformation on wholesaledropship