Due to a fraud prevention mechanism implemented by eBay, users have a feedback system where they can submit their experiences after purchasing any merchandise, reflecting their un-satisfaction if their expectations were not fulfilled. As bidirectional feature, both the sellers and the buyers can submit feedback and rate one other.
The rating system is only available after every transaction is made. Buyers and sellers get a "positive", "negative" or "neutral" rating. They can leave a short comment or remark regarding a particular bid, for instance, when a buyer receives from a dropshipper a product, which is not exactly that, was listed by the retailer.
When buyers have problems with sellers or when they do not receive the goods listed, buyers can rate sellers negatively, usually leaving a comment to harm the sellers' reputation or to warn other users about their bad experience, and even submit a claim for fraud. The importance of the rating system at eBay is based on the fact that buyers can examine a seller's feedback history.
In fact, new users are always encouraged to verify the seller?s history as a buyers' protection practice. eBay's feedback system protects buyers and sellers, who can also reject a bid when a feedback rating is not enough for the seller's expectations.
Another problem when a seller is involved in dropshipping activities is that there is always a risk of getting dropshippers that already have too many sellers using their services. This can be discouraging, because the dreams of exceptional profits disappear when a considerable number of eBay's users, are selling the same goods and seeking the same opportunities to capitalize on below-retail prices offered by the dropshipper.
If the competition is high, the prices go down, reducing the planned profit margins, and the lower the profits and the less affordable the dropshipping activity. However, knowing the basics about dropshipping, many users feel attracted to becoming sellers and develop a retailer activity using the services of one or more dropshippers.
If you are considering this possibility, before doing anything, choose a product to sell. Deciding on a product is the first step towards any selling process. Many people fail at this point because the belief that using the services of a dropshipper, the items to sell are irrelevant, due to the fact that all items will be available at the wholesaler's stock instead of you own.
Although there are many factors to take into consideration when it comes to selecting your first dropshipping product, most retailers focus their attention on postal savings, selecting books, CD's or other easy to carry merchandise, while others consider small items can cut costs, but there are usually more competitors selling the same items.
Dropshipping can deliver to your customers from a needle to elaborated pieces of furniture, so think carefully when choosing a product.
Once you have determined what you want to sell, locate the distributor who will be in charge of dropshipping the merchandise for you to the end users. This is easily achieved by doing a research using Google or any other of the major search engines. However, there are special eBay Dropshipping tools created to help you find dropshippers in your area, nationwide or worldwide.
Thanks Joe Richey Copyrighted Article Belonging to SwapSellTrade.com