Forum Moderators: buckworks
What i want is to add a shop section to my site, but i am interested in some sort of affiliate program and dropshipping is also a form of affiliation but the payment handling would be mine responsibility and also the advertisement part, in other word everything a normal shop does only difference is that i am the shop keeper without having a inventory.
I accept the orders and payments and forward these to the wholesaler or drop ship partner of my choice and they will send the order to the customer and i get my cut from the product price that is been determined already through a commision or i can mark up the price a bit and take this as my cut.
This is at the moment my perception on how this venture works, but i would very much like to hear your oppinions on this kind of business.
Do you have any expierences with drop shipping or virtual stores? if so please share them and tell me what the pro's and con's where regarding this and the legal matters involved regarding credit card acceptance through a merchant account.
Do you guys have any expierence with "ready made" merchant accounts and will i be eligable for these kind of accounts instead of other type of merchant accounts?
Keep in mind though that if somehting happens to your drop shipper and they are unable to fulfill your orders, you are responsible for the merchant account and potential chargebacks. Sometimes that risk alone can be scary
-Corey
So that it looks you really have a shop section, because this is what i like for my site and hopefully making some nice pocket money or to recoup hosting costs.
Affiliate programs are also nice but to have a actual shop section sounds and would look better.
You're right i dont think drop shipping would be a option for me:)
I think it all depends on your business model I think. Setting up affiliates can be interesting I think - I mean, you get a portion of the sales and then you never have to do anything else. The company takes care of everything
-Corey
Legally you have the same responsibilites as any merchant - you charge the customer, their contract of sale is with you, and any refunds or support nightmares are yours to deal with. If your drop shipper is unable to fulfill an order, you are the one who has to deal with the customer.
Don't get me wrong, drop shipping is great, but the problem it solves for you is holding stock, not customer service. The plus side is that you build your own brand, and have your own customers, rather than just being a marketing device for someone else's business.
Anyone any suggestions?
Remember, the only costs you save from dropshipping are the cost of inventory and physical storage.
Shipping costs is a real issue for us. If you have more than one dropship supplier it will be for you too.
Are there any Dutch men out there that knows the dutch term for this and even better some of these drop shippers in the Netherlands or is this kind of business only in the US or UK available?
