If you are interested in starting your own profitable business but don’t know how and what to sell, starting an eBay Dropshipping business is not just profitable but its also highly rewarding.
It is the perfect business model even if you’re a complete beginner and want to start an online business with no money.
With eBay’s massive audience and the ability to source products from different suppliers, dropshipping on eBay has become a popular way to start a lucrative eCommerce business with little capital and without keeping an inventory .
This article will show you all you need to know before starting an eBay dropshipping in 2023.
What is eBay Dropshipping
eBay dropshipping is a business model that involves selling products on eBay without keeping any inventory. Instead, the seller sources the products from a third-party supplier who ships the products directly to the customer. The seller acts as a middleman between the supplier and the customer and earns a profit on the difference between the wholesale price and the retail price.
Here’s how it works:
- You find products to sell on eBay by sourcing from verified suppliers at a wholesale price.
- List the products on your eBay store at a higher retail price including product titles description and images.
- When a customer buys from your store, you simply place the order with a supplier with the customer’s shipping details and
The supplier will package and deliver to the customer on your behalf.
- Your profit is the difference between the wholesale price and the retail price, excluding the eBay fees and shipping costs.
Is Dropshipping on eBay worth it
Selling on eBay is worth it because dropshipping is a profitable business model and it requires little capital to start unlike traditional eCommerce making it a perfect business idea for beginners.
There are 135 million visitors on eBay every month, this is a large pool of buyers you can sell to with thousands of suppliers who are willing to dropship to your customers.
Things to Know Before selling on eBay
- You’re not allowed to source products from another retailer
- eBay has a list of restricted products it’s best to avoid them or risk your account being banned.
- When dropshipping, you’re responsible for the safe delivery of items in your listing within the stated timeframe for overall customer satisfaction.
How Much It cost to Dropship on eBay
• eBay gives you 250 free listings every month
• You will pay $0.35 per listing after exhausting your free listing
• You will be charged a final value fee of 13.25% for each item sale
• You will also pay monthly store subscription fee
How To dropship on eBay(Step by Step Guide)
Pick a Niche:
There are numerous profitable niches available, an important tip is to conduct market research in order to choose a niche with hot – trending products and some of these include: Fashion and accessories, Electronics, Baby and Pet products, Sports and fitness, Jewelries etc.
Choose your suppliers:
There are critical to the success of your eBay Dropshipping, wrong suppliers can frustrate your business, only choose verified suppliers based on good ratings, positive customer reviews etc.
Create a Seller Account:
To have your own store, you must first create a seller account and it cost nothing, simply head to the registration page to register for an account, provide your business details and that’s all you need.
Setup a Payment Method:
eBay provides many payment methods in order to make it easy for sellers like you to accept payment from your customers, it is better to offer your customers various payment options to boost conversion.
Popular payment gateways on eBay for sellers include, Credit and Debit card, Apple pay, Google pay and PayPal.
List your Products:
It’s time to import products to your store and eBay has tools that will make this task easier for you, only source products from reputable suppliers and within your chosen niche
When a customer purchase your product on eBay, it is your responsibility to process the order and forward the order details to your supplier and in turn, the supplier will package and deliver the product directly to the customer.
Provide Customer Support
One of the ways to stand out of the crowd of numerous eBay dropshippers is to provide excellent customer support to your customers. Always ensure prompt response to inquiries, handle returns and refunds effectively, resolve all issues that may arise and most importantly, make sure customers receive their orders within the stated timeframe.
Doing all these will result to increase customer satisfaction, more orders, boost your store rating and make you a top rated seller.