Blind drop shipping wholesale arrangement?

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Original Post

Hey everyone!
I was approached recently regarding a wholesale deal with an online shop in Australia. The seller wants a "blind drop shipping" arrangement where an item would be purchased from her site and she would forward me the order and I would send it along.

Although I have heard of this sort of arrangement before, I'm not really sure that it would work for me. Any thoughts or experiences with this would be really appreciated!

Jessica

Posted at 6:56pm Sep 29, 2008 EDT

Responses

I'm going to give this a little bump. I'm really wondering about this....

Posted at 7:02pm Sep 29, 2008 EDT

Things to definitely get cleared up front would be how are you going to get paid and who is handling the shipping costs. Other than that, it is potentially a good deal for you because it is opening you up to a market and a set of clients that you would not otherwise have (Unless you have a set of clients in Australia or the Australian internet market). Just my two cents.

Posted at 7:05pm Sep 29, 2008 EDT

Hi,
I have been offered drop shipping arrangements several times. Basically, the person making the offer either can't afford to purchase your products wholesale to sell herself, or she is just not interested or able to have a bunch of product on her hands. So, she suggests drop shipping. The thing with this is that, like wholesaling, someone else is making money on your work. I don't offer wholesale or drop shipping rates for any of my products. I try very hard to keep my prices as low as I can so my items are available to a wider market, especially in this economy. So, I always respond that I don't offer reduced pricing. Surprisingly, many people still want to purchase from me, at my Etsy prices! That I do allow, of course! It's great exposure to have your items in different venues, either on or off the internet.

Posted at 7:08pm Sep 29, 2008 EDT

Dannielle says

I've done it in the past and it worked well.

I'd be sure to hash out a plan for who is responsible for the replacement cost of an item if it gets lost in the mail.

Posted at 7:08pm Sep 29, 2008 EDT

So will she be purchasing a large amount of items to justify "wholesale". Make sure they are ordering the full order from you, to give a wholesale discount. Otherwise, your giving items as they sell a massive discount, but still doing the work of shipping...

Posted at 7:11pm Sep 29, 2008 EDT

Thanks so much for the insights... It is definately the details of payments and replacements that I am most concerned about. I'm going to do a little more research on it. It seems like the same amount of work as what I'm doing right now but with less money...

Posted at 7:16pm Sep 29, 2008 EDT

enjibeck says

Quick Question:

(JMGJewel I think I received the same message) - with blind drop shipping one of the stipulations was, 'The supplier does not add his contact information to the packaging'

doesn't this mean that logos, company names, etc. are excluded from the item? That someone else could be taking credit for my efforts?

Posted at 11:27am Oct 6, 2008 EDT

I personally wouldn't do it becuase someone else would be making a profit on my items. I think wholesale is a lot different (you're getting your money). Seems like a lot of things could get lost in communication. I don't know! Some people seem to have found success with it. I'd be more cautious myself, though.

Posted at 11:29am Oct 6, 2008 EDT

I would be hesitant to do this, myself.

Personally I love wholesale, but part of the joy of it is that I ship off the single order and get paid. No fussing with individual orders. With the arrangement you're describing, though, you're taking on some of the work that I expect a wholesale customer to do for themselves, as well as losing the guarantee of sales. Plus you don't get exposure. I would only consider giving a 25-35% discount, not full 50% wholesale.

Posted at 11:54am Oct 6, 2008 EDT