Choosing the Right Distributors, DropShippers, WholesalersWhen choosing the right drop-ship distributors for your business, you’ll want to make sure the distributor provides the following services: Multiple payment options: The drop-ship distributor should offer multiple ways for you to pay for the products. i.e. credit card, debit card, COD, wire transfer, net terms, credit terms, EFT (electronic funds transfer) etc.
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Choosing the Right Distributors, DropShippers, Wholesalers
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Credit terms/net terms: Although most distributors will not grant credit terms or net terms to new businesses right away, they should however make it possible for you to obtain such terms after conducting steady business with the distributors for 90 days or less.
EFT, Electronic Funds Transfer: EFT is when you’re able to order products from the distributor and then the distributor debits the funds from your bank account within 10 days or less. (This service is more common and offered by major computer product distributors.) |
Web access to online ordering: The drop-ship distributor should offer web access to their website allowing you to place your orders online and should provide real time pricing and inventory for all products as well
Free technical support: Distributors which offer technology products such as electronics and computer product distributors for example, should offer you, the retailer, free technical support and technical services as well.
Drop-shipping services: This is where your distributor will ship the product directly to your customer with your business name on the box. After you sell the product on your website, then you can order the product from the distributor and the distributor will ship the product to your customers’ location with a packaging slip enclosed and your business name on the package itself.
Personalized packaging slips: The distributor should include packaging slips within the package of the product stating the contents of the package and your business name as well.
Same day shipping: The distributor should be able to ship your orders out to your customers that very same day if your order was placed with the distributor before the end of the business day.
These are just a few services that should be offered to you by the distributor(s) of your choice.
Free technical support: Distributors which offer technology products such as electronics and computer product distributors for example, should offer you, the retailer, free technical support and technical services as well.
Drop-shipping services: This is where your distributor will ship the product directly to your customer with your business name on the box. After you sell the product on your website, then you can order the product from the distributor and the distributor will ship the product to your customers’ location with a packaging slip enclosed and your business name on the package itself.
Personalized packaging slips: The distributor should include packaging slips within the package of the product stating the contents of the package and your business name as well.
Same day shipping: The distributor should be able to ship your orders out to your customers that very same day if your order was placed with the distributor before the end of the business day.
These are just a few services that should be offered to you by the distributor(s) of your choice.
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Some distributors may provide sales training and product materials as well. Computer product drop-ship distributors may also provide certification courses for their resellers.
Distributors with dedicated sales reps can also become beneficial for you and your business. It’s also important to form good relationships with distributors as this can help you to obtain net terms/credit terms and better pricing. Furthermore, when choosing the right drop-ship distributor, it will be to your advantage to choose and get signed up with back-up distributors as well.
You will however want to do the bulk of your business with one main, major distributor in order to obtain better pricing and better terms. Yet having multiple distributors at your disposal will help greatly if product availability and pricing becomes an issue.
For example, during the holiday seasons, it’s possible for one distributor to run out of inventory on a certain hot selling product for the rest of that day and you may have no choice but to order that product from another distributor. And for this reason, it’s good to get signed up with multiple distributors and use those back-up distributors in these types of scenarios, especially during the holiday shopping seasons.
Furthermore, some drop-ship distributors have multiple warehouse locations spread out strategically throughout the country making it that much easier for you to have the product shipped to the customer at a much lower shipping rate and within a shorter period of time.
Choosing the right distributor will become a key element to your internet business success. And choosing the right distributor is just a matter of contacting them, asking them questions, and making sure that they meet your criteria.
Distributors with dedicated sales reps can also become beneficial for you and your business. It’s also important to form good relationships with distributors as this can help you to obtain net terms/credit terms and better pricing. Furthermore, when choosing the right drop-ship distributor, it will be to your advantage to choose and get signed up with back-up distributors as well.
You will however want to do the bulk of your business with one main, major distributor in order to obtain better pricing and better terms. Yet having multiple distributors at your disposal will help greatly if product availability and pricing becomes an issue.
For example, during the holiday seasons, it’s possible for one distributor to run out of inventory on a certain hot selling product for the rest of that day and you may have no choice but to order that product from another distributor. And for this reason, it’s good to get signed up with multiple distributors and use those back-up distributors in these types of scenarios, especially during the holiday shopping seasons.
Furthermore, some drop-ship distributors have multiple warehouse locations spread out strategically throughout the country making it that much easier for you to have the product shipped to the customer at a much lower shipping rate and within a shorter period of time.
Choosing the right distributor will become a key element to your internet business success. And choosing the right distributor is just a matter of contacting them, asking them questions, and making sure that they meet your criteria.