How Small Businesses Grow Thru Wholesale And Dropshipping

By Author: Ann Hoskins
Total Articles: 30
Comment this article

Have you ever wondered how to succeed in business without really trying? Well it is not going to happen. The way to succeed in business is to find good products and good suppliers. Save money and time on shipping. Serve the customer.

In the business world, dropshipping and wholesale are indispensable. A wholesaler is a company that sells items in bulk. These items are usually sold to smaller companies than the wholesaler. The wholesaler makes a profit by selling lots of items. Earning even a few pennies on a large enough volume will make a wholesaler rich. Think about it. If one makes one penny one million times, then that is a lot of money. Dropshipping means that the wholesaler sends the product directly to the smaller businesss customer. This saves the customer time. It also can save money on shipping if done properly.
Where does a person find a good wholesaler from which to purchase products? Where are these products small businesses can buy and make a fortune ...
... on? Wholesalers can be found at trade shows and conventions.

They can be found online or in wholesale news media. For example, one small pet supply business goes to a convention in Las Vegas and competes with larger retailers such as Walgreens for attention from the wholesalers. Wholesale sources can be found through industry magazines.

Retail customers who request their items quickly can be served by drop ship. The small business doing business with the wholesaler requests that the wholesaler send the purchased item directly to the customer. This helps the customer get their item on time because the item does not need to go from the wholesaler to the small business to the customer. It skips a chain in the supply chain and goes directly to the customer. Thus rather than get the item on Thursday, the customer gets the item on Tuesday.

The whole supply chain relies on dropshipping and wholesale. If every customer had to buy 500 of something from a wholesaler, the market would be flooded with aftermarket goods being resold by people who only needed one in the first place. So by selling to middlemen in the form of small businesses, wholesalers keep the business cycle machine working and make sure it does not come to a grinding halt.


Ann Hoskins has been writing and publishing articles about wholesale and drop shipping. She is a business consultant and has been specializing in logistics management and shipping for more than 10 years.