Identifying And Dealing With Dropship Scams

Although dropshipping is an easy and profitable online business, many people hesitate to venture into it due to the fear of dropship scams. In fact, it is difficult to identify such scams unless you have an idea of how they operate. So, here is a look at some of these con operations rampant in the dropshipping industry.

Inferior Products And High Charges

All wholesalers showcase branded, high-grade products on their websites and catalogs. However, the products eventually shipped to your customers by some of these companies may not be anywhere close to the promised quality. Selling low-quality products can affect your reputation and lead customers to rank your business really low. To avoid this type of dropship scam, order a few products from your supplier and assess the product quality before signing up with them.

Wholesalers know that retailers thoroughly research the rates of products offered by different suppliers before choosing the one that offers the most competitive rates. To attract your business, fraudulent companies may charge unbelievably low rates for their products. They then make up for the loss by charging high shipping and handling fees. It is easy to be alert to such dropship scams. Always ask for the total price of products including the processing, handling, and shipping charges.

Fake Lists And Hidden Charges

Many websites that claim to offer lists of genuine wholesalers actually provide you list of middlemen and agents. Associating with these middlemen will not help you make the kind of profits you would with real wholesale companies. To avoid such scams, always turn to reputed dropship review sites or forums that offer accurate feedback and honest opinions about wholesale firms.

Dropship scams can also appear in the form of hidden charges. For example, if a wholesale company allows you to become a member for free but then demands a payment to gain access to their complete range of products, remind yourself that it is a scam. Whenever a supplier mentions a special fee or a new kind of charge, do not hesitate to ask about the details of these charges and how often you will have to pay it.

Free Website to Promote Products

Some wholesale firms may charge very high rates for products and then explain that they will offer you a free website to market the products. When faced with such dropship scams, remember that setting up a new site does not involve a huge cost. When you can easily get a website at low rates, there is no need to pay an exorbitant rate to the wholesaler.

Now that you are aware of the most common dropship scams, how to identify them, and how deal with them, go ahead and reap the benefits that dropshipping has to offer.