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Ebay Sources—A Look At Your Options

23rd May 2011
By markwaugh28 in Business Law
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To excel in any business, one must understand its supply chain. While supply chain may seem like complicated management jargon, in reality, it is nothing but understanding the people and processes involved. And when it comes to selling on eBay, only the retailer platform has changed. It is a free market, and perfect competition will ensure that sales go to those who are quoting the lowest prices. So, your prices need to be relatively lower than your competitors involved in the business. Hence, a look at the various eBay sources is important.

Once you know what level your customers are on, you can plan your strategy accordingly. Here is a look at the various eBay sources you can possibly buy from:

Manufacturer:
To get any product at the cheapest price, you need to go to source. Without an iota of doubt, if you could buy from the manufacturer, you would be the cheapest. However, how many of your competitors can too is also important. Consider the case of Apple iPod. To buy from Apple, you would need to buy a huge lot, and you can’t even think of liquidating it on eBay. Also, Apple wouldn’t be very favorable to the idea of discount selling its products through a retailer.

Hence, a manufacturer is the best amongst all eBay sources; however, it will be impractical in case of large brands that sell the most on eBay.

Overseas Supplier: Most American manufacturers get their products made overseas in China or India. If you could get in touch with their overseas suppliers, odds are that you could cut out a favorable deal for yourself. However, because this is going into unknown territory, there is a considerable amount of vigilance and legal work required. This is a trade-off you need to make. If you think that you can manage this, this can be your best option amongst all eBay sources.

Wholesaler: Manufacturers will usually sell to salers, who then distribute the goods across the UK. You could arrange to procure your stuff at this stage. But once again, you will need to buy in large quantities. Many retailers have teamed up earlier to make big purchases at favorable prices. They do not compete with each other, rather they cut the market share of others. If you are confident of finding such allies, try approaching the wholesaler. They are always on the lookout for new customers, and you may have a favorable deal coming your way from Wholesale UK Inc!

Dropshipper: If you can’t find retailers that will collaborate, you have the dropshipper. However, the dropshipper will provide this service for a fee. But s a dropshipper eliminates the need to maintain inventory, you could use them to lower your cost structure. Diligence must be exercised when dealing with dropshippers. There are many of them out there who are just not genuine!

To conclude, there are many options when you look at eBay sources for your products. Look at your constraints both financial and operational and then work out the best way. Do not compete if your competitor has a better source. You are bound to fail as perfect competition will prevail on eBay.

If you are looking for eBay sources for a wide range of products, log onto www.wholesaledeals.co.uk. They hav wholesalers for UK wholesale businessas well dropshippers that have been reviewed for authenticity and quality of services.
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Source: http://www.goinglegal.com/ebay-sourcesa-look-at-your-options-2243069.html
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