Hollywood Video

Thursday, July 3, 2008

Why Do Some Companies Drop Ship, And Why Are There Some That Don't?

In all of the years that I have been working out relationships with companies to dropship (or be included on The Shippers dropshipping directory list) I have learned a great deal in regards to this question.

The thing I want you to understand first of all (believe it or not) there are tons of companies out there doing a lot of business (off line) that have never even heard of dropshipping. It has been my job to educate them about dropshipping, and explain to them how it can benefit and expand their business. Once they learn of all that can be done online with dropshipping 95% of the business owners I talk to are ready to get a system set up so they can start dropshipping.

My suggestion to anyone who runs across a company that does not dropship, is to simply just ask them if they know about dropshipping and what it can do for their business? You might be surprised how many business owners are not familiar with dropshipping products. If you can just educate them about dropshipping, and how it works for Internet businesses, you might score yourself a pretty good supplier.

If you are uncomfortable approaching a business and doing this, there are many companies out there who will try to establish the relationship for you. They can help educate the business about dropshipping and do everything it will do for them in the long run.

So my answer to "those businesses that don't dropship", is simple - they just do not know about it, or the potential tax benefits they could have from growing their smaller business. The other 5% I talk to have limitations as to what the manufacturer will allow them to do with the product, and some companies are so new (and don't have a budget) to get a dropshipping system set in place. There is also a small percentage of companies that are happy with where their business is at, and they just do not want to have to deal with dropshipping side of it.

Matt Siltala has been doing business online since 1999 and has many people set up dropshipping business correctly. He has also been heavily involved with drop ship companies like The Shipper in order to help them better educate the businesses that use their services.

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