Dropshipping Course in India

eBay Dropshipping: Guide to Dropshipping on eBay

Drop shipping, also referred to as product sourcing, is once you buy stock from a supplier and work with them to send items on to your buyers without ever handling them yourself.

 

eBay dropshipping is becoming a no-go, consistent with eBay’s updated dropshipping policy. With eBay threatening to “remove your listings from search, display them lower in search results, or remove them completely from the location ,” eBay dropshippers are trying to find alternative channels to market their products. during this eBay dropshipping guide, we’ll break down if eBay dropshipping is worthwhile , take a glance at their dropshipping policies, and share what platforms to use instead.

What is eBay?

eBay is a web auction website where you’ll sell your products online.

 

Like other ecommerce marketplaces like Amazon and AliExpress, eBay’s user base has been steadily increasing for years. In Q2 of 2019, the platform reached 182 million users.

 

The high volume of users on the platform has attracted online sellers looking to seek out customers for his or her products.

How Does eBay Work?

On eBay, dropshippers post their products with a starting bid. The lower the starting bid, the more likely it’s that customers will bid on the merchandise . Customers bid on the merchandise for the required number of days set by the vendor until the very best bid finally lands the sale.

 

However, sellers can instead add a “Buy It Now” option on their product page to regulate the merchandise price and to permit customers to get , without bidding, at a hard and fast price.

What is Dropshipping?

Dropshipping may be a business model where a business owner resells a supplier’s products. The supplier creates, stores, and ships products on the business owner’s behalf. Since the supplier is liable for creating, storing, and shipping goods, business owners have longer to specialise in marketing and customer service to grow a brand during a shorter period.

Benefits of Dropshipping :

There are numerous dropshipping benefits, here are a few:

 

Low risk: Sellers(or Dropshippers) purchase goods as customers. There are not any minimum order quantities. So if a customer only buys one necklace from your store, you simply got to buy that one specific necklace. It’s an excellent business model for brand spanking new entrepreneurs looking to experiment or experienced entrepreneurs looking to undertake a replacement niche.

Highly automated: Using dropshipping marketplaces like Oberlo, you’ll be ready to automate most of your dropshipping efforts. It only takes one click to feature a product you would like to sell on your store. Once a purchase rolls in, it only takes one click to process the order. this provides you longer to specialise in what matters: marketing and customer service.

 

Lower costs: Since you’re selling a manufacturer’s product rather than designing your own, business owners tend to pay wholesale pricing. counting on where you’re dropshipping from, you would possibly even enjoy having low shipping rates (sometimes even free) that keep costs low for yourself and your customers.

Save time: you simply got to specialise in a few of administrative tasks, marketing, and customer service. The manufacturer tends to hold the load of the foremost time-consuming (packaging and shipping) and expensive (carrying inventory) tasks.

Choose from many products to sell: you’ll choose between many products from a wide-range of dropshipping niches. Simply look around product marketplaces like Oberlo and add any product to your store in just one click. you’ll sell proven products instead of trying to make your own.

Is Dropshipping on eBay Allowed? eBay Dropshipping Policies :

Is Dropshipping on eBay Allowed?

Even though dropshipping is totally legal, whether eBay allows dropshipping is another topic altogether. So, let’s take a glance at eBay’s dropshipping policies next…

eBay Dropshipping Policies

Is dropshipping banned on eBay? Not exactly. But it’s restricted. Dropshipping is technically allowed on eBay as long as you “fulfill orders directly from a wholesale supplier.” So, what does that basically mean? It means if you buy bulk quantities from a wholesale supplier, you’ll promote those products on eBay.

What can’t you sell on eBay? Well, if you’re re-selling products from another retail website or marketplace – think Amazon or AliExpress – you can’t dropship on eBay. eBay states, “purchasing the item from another retailer or marketplace that ships on to your customer isn’t allowed on eBay.” So, dropshipping from Amazon to eBay isn’t allowed: You can’t list something on eBay, pip out from Amazon, then ship it to your eBay customer.

And eBay is strict about this policy, stating that they’ll remove or lower your listings in their search results. If you’re a long-time seller, they’ll even lower your rating or status on the platform.

Dropshipping from Amazon to eBay. How to Dropship on eBay?

Dropshipping from Amazon to eBay

Amazon sellers, especially , are hit the toughest with eBay’s dropshipping policies. Dropshippers use Amazon-to-eBay dropshipping softwares. This way, eBay sellers could resell Amazon products at a better price.

However, with new policies in situ , some store owners have suffered the results .

In an 18-page thread on eBay, customers were frustrated having ordered a product on eBay, only to receive an Amazon package within the mail with a present receipt inside. Knowing that they were paying extra for purchasing on eBay naturally led to anger and degrading the value of  eBay brand. So policies were changed to prevent sellers from dropshipping from Amazon to eBay.

How to Dropship on eBay

There’s just one thanks to dropship on eBay – but it’s not what you think that . To dropship on eBay, you’ll first got to buy bulk inventory from a wholesaler.

You can negotiate together with your wholesaler to ship out products to customers on your behalf. However, you would possibly find you get rejected but most wholesalers.

That doesn’t mean you won’t be ready to make it work, though. So, after buying your inventory, you’ll ship the products bent a fulfillment service. It will monitor the inventory, and dropship the product-items on your behalf.

One big downside, of course, is that you simply got to buy inventory up front. And there’s no guarantee that your products will sell. The business risk may be a bit above traditional dropshipping, as you won’t only be buying inventory customers have purchased.

Is Dropshipping on eBay Worth It? eBay Dropshipping Alternatives :

Is Dropshipping on eBay Worth It?

In short, no. Here’s why:

Dropshipping on eBay requires you to shop for bulk inventory, pay listing fees, and you don’t even get to have your customer base. In other words, many the absolute best things about dropshipping – like not having to shop for in bulk and owning your own store – are faraway from the equation.

Unless you’ll find a wholesaler who will allow you to shop for individual products to sell online, you’ll likely got to buy bulk inventory. this will add costs. Plus, you aren’t even bound to sell the things you purchase , increasing your risk as a seller. And if you’re buying inventory from a wholesaler, you aren’t really “dropshipping” on eBay.

To list a product on eBay, you would like to pay an inventory fee. they need a free option available just in case the merchandise doesn’t sell – but there’s a catch. The starting price of the merchandise must be between 0.01-0.99 cents. And you almost certainly wouldn’t do this . So you risk paying for an inventory fee for a product which may not even sell. This makes eBay dropshipping more an upscale venture.

But the worst problem when it involves dropshipping on eBay is really the very fact that you simply don’t get to have your customer base. You’re helping eBay grow their business rather than growing your business. You can’t retarget customers to get back the sale. Building an email list so you’ll promote your other products to customers isn’t possible. And when people tell their friends where they bought their product, they’ll tell them “eBay” rather than the name of your shop.

And that’s to mention nothing of eBay’s evolving (and increasingly restrictive) approach to dropshipping.

eBay Dropshipping Alternatives

While the thought of dropshipping on eBay sounds appealing, the truth is it’s not practical. So what are you able to do rather than eBay dropshipping? Start your own Shopify store.

Benefits of dropshipping with Shopify:

Only buy price of products after each sale on your store

Choose from many products to sell on the Oberlo marketplace, which may be found within the Shopify App store

Low barrier of entry: perfect for a replacement entrepreneur

You Own your digital assets (customers, email list, website)

You Own your sales and marketing (remarket to customers, on your own terms)

 

The main reason why dropshipping on Shopify is best than eBay dropshipping comes right down to ownership. One should help one’s own company to make money and not another one.

 

With your own brand, you control what proportion you charge, what proportion you market, and the way much you own. you’ll market to your customers at the frequency you’d like. you’ll create retargeting ads which have proven to perform well for several store owners. you’ll finally build your own email list. What Shopify offers is – freedom, that eBay dropshipping can’t. you’ll take your dropshipping business in any direction you’d like.

 

Conclusion

So while you’ll dropship on eBay, you’re more happy building your own brand to dropship products. By listing products on eBay, you would like to shop for inventory from wholesalers, pay listing fees, and you risk getting began the platform when policies change. However, by running your own online store, you’re ready to own your customer base, remarket to them through social and email, and build an unforgettable brand for years to return .

eBay Dropshipping “ Summary of Rules” :

Drop shipping, where you fulfill orders directly from a wholesale supplier, is allowed on eBay. Remember that if you employ drop shipping, you’re still liable for the safe delivery of the item within the time-frame stated in your listing and for the buyer’s overall satisfaction with their purchase.

However, listing an item on eBay then purchasing the item from another retailer or marketplace that ships on to your customer isn’t allowed on eBay. Activity that doesn’t follow eBay policy could end in a variety of actions including but not limited to: administratively ending or canceling listings, hiding or demoting all listings from search results, lowering seller rating, buying or selling restrictions, loss of buyer or seller protections, and account suspension. All fees paid or payable in reference to listings or accounts on which eBay take any action won’t be refunded or otherwise credited to your account.

NOTE:

If you employ drop shipping, you’re still liable for the safe delivery of the item within the time-frame you stated in your listing and for the buyer’s overall satisfaction with their purchase.

Growth of IT in India

The global sourcing market in India continues to grow at a better pace compared to the IT-BPM industry. India had around 55 per cent market-share of US$ 185-190 billion services sourcing business(globally) in 2017-18. Indian IT & ITeS companies have found out over 1,000 global delivery centres in about 80 countries across the planet .

 

India has become the digital capabilities hub of the planet with around 75 per cent of worldwide digital talent present within the country.

 

Market Size

The IT-BPM sector in India stood at US$177 billion in 2019 witnessing a growth of 6.1 per cent year-on-year and is estimated that the dimensions of the industry will grow to US$ 350 billion by 2025. India’s IT & ITeS industry grew to US$ 181 billion in 2018-19. India’s Exports increased to US$ 137 billion in FY19 whearas domestic revenues (hardware) grew to US$ 44 billion. IT industry employees 4.1 million people as of FY19.

 

Spending on information technology in India is predicted to succeed in US$ 90 billion in 2019.

 

Revenue from digital segment is predicted to comprise 38 per cent of the forecasted US$ 350 billion industry revenue by 2025.

 

Investments/ Development

The pc software and hardware sector in India got Foreign Direct Investment (FDI) inflows worth US$ 39.47 billion between April 2000 and June 2019 and ranked second in inflow of FDI, as per the Department for Promotion of Industry and Internal Trade (DPIIT).

 

Leading Indian IT firms are diversifying their offerings and showcasing leading ideas in blockchain, AI and other contemporary and challenging technological advancements in the IT industry.

 

Some of the main developments within the Indian IT and ITeS sector are as follows:

 

Total export revenue of the industry is predicted to grow 8.3 per cent year-on-year to US$ 136 billion in FY19.

UK-based tech consultancy firm, Contino, has been acquired by Cognizant.

In May 2019, Infosys acquired 75 per cent stake in ABN AMRO Bank’s subsidiary Stater for US$ 143.08 million

In June 2019, Mindtree was acquired by L&T.

Nasscom has launched a web platform which is aimed toward up-skilling over 2 million technology professionals and skilling another 2 million potential employees and students.

Revenue growth within the BFSI vertical stood at 6.80 per cent y-o-y between July-September 2018.

As of March 2018, there have been over 1,140 GICs operating out of India.

PE investments within the sector stood at US$ 2,400 million in Q4 2018.

Government Initiatives

Some of the main initiatives taken by the govt to market IT and ITeS sector in India are as follows:

 

On May 2019, the Ministry of Electronics and knowledge Technology (MeitY) launched the MeitY Startup Hub (MSH) portal.

In February 2019, the govt of India released the National Policy on Software Products 2019 to develop India as a software package nation

The government has identified Information Technology together of 12 champion service sectors that an action plan is being developed. Also, the govt has found out a Rs 5,000 crore (US$ 745.82 million) fund for realising the potential of those champion service sectors.

As a neighborhood of Union Budget 2018-19, NITI Aayog goes to line up a national level programme which will enable efforts in AI^ and can help in leveraging AI^ technology for development works within the country.

In the Interim Budget 2019-20, the govt of India announced plans to launch a national programme on AI* and fixing of a National AI* portal.

National Policy on Software Products-2019 was gone by the Union Cabinet to develop India as a software package nation.

Achievements

Following are the achievements of the govt during 2017-18:

 

About 200 Indian IT firms are present in around 80 countries.

IT exports from India are expected to succeed in highest ever mark of US$ 137 billion of revenues in FY19 growing at 8.3 per cent.

Revenue of GICs is predicted to the touch US$ 50 billion by 2025.

Highest ever revenue was generated by Indian IT firms at US$ 181 billion in 2018-19.

Road Ahead

India is that the topmost offshoring destination for IT companies across the planet . Having proven its capabilities in delivering both on-shore and off-shore services to global clients, emerging technologies now offer a whole new gamut of opportunities for top IT firms in India. Export revenue of the industry is predicted to grow 7-9 per cent year-on-year to US$ 135-137 billion in FY19. The industry is predicted to grow to US$ 350 billion by 2025 and BPM is predicted to account for US$ 50-55 billion out of the entire revenue.

 

Note:Conversion rate used as on September 2019, Re 1 = US$ 0.014019

 

References: Media Reports, Press Information Bureau (PIB), Department of commercial Policy and Promotion (DIPP) statistics, Department of data and Technology, Union Budget 2017-18

Growth of Dropshipping in India

Dropshipping in India may be a great cost-effective way for brand spanking new entrepreneurs to start out an e-commerce business. Dropshipping allows an entrepreneur to sell products online without having to hold inventory or ship out products making it a low-risk business model for those just starting out. the simplest a part of dropshipping is that you simply only buy your customers products after they’ve made the acquisition on your store saving you extra money . India’s ecommerce sales are growing at an annual rate of 51% making it the most important opportunity for online retailers. And by 2020, it’s expected that ecommerce sales will account for $120 billion revenue. Indian dropshippers are liberal to market their businesses to those outside of India but it’s evident that the Indian e-commerce market will continue growing making it a worthwhile market to dropship into.

 

Identifying suppliers to India or Indian suppliers which will provide you with dropshipping products is that the initiative in localizing your store for India. Having local suppliers in India can increase the likelihood that products are going to be delivered on time.

 

Wholesale in India can cost businesses extra money through the value of products , the value of shipping and expensive employee costs. the value of products are high because large quantities got to be purchased to make sure good pricing without a guarantee that they’ll be sold. Shipping costs are high because individual entrepreneurs don’t have access to government deals like ePacket. Employee costs are high because you would like to rent a much bigger team to package and ship products as your business grows. Dropshipping allows businesses to automate most of their business in order that they specialise in tasks that generate revenue like marketing or building strong relationships through customer service. By dropshipping via Oberlo, shipping goods usually only costs a few of dollars and may sometimes even be free. It also allows Indian dropshippers to sell their products everywhere the planet to grow their businesses quickly. Dropshipping is that the budget-friendly option for Indian entrepreneurs allowing them to start out businesses with minimal risk.

 

India’s imports exceeded $7.25 Billion in 2017 making it a lucrative market to maneuver into if you’ll find a reliable supplier to India. As a largely English speaking country it are often good to seem for a supplier to India who can provide packaging during this language to form for an honest customer experience.

 

Working closely together with your supplier in India is vital as payments could be troublesome sometimes . Wire transfer charges and added costs are often hard to spot until you enter the market so you’ll got to be open and transparent together with your suppliers to India.

 

Some Fmaous Payment gateways used in India : “PayU Money”, “PayU India”, “Citrus Payments”, “CCAvenue”, etc.

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