An interesting question I get asked often is if one should dropship or buy in bulk and ship items out themselves?  As with most of my answers, it starts with: "It depends"  Let me explain:  What we really need to figure out is what is your intent with the products?  Do you only intend to sell on Ebay or other online auctions?  Or do you intend to create a website and sell the products on your website as well? 

What I have found on Ebay is its much harder to compete when just dropshipping.  Have you ever gone to Ebay and looked up an item (just to see what its selling at) and jaw drop because of how cheap it is?  How are these guys selling these products for so cheap?  Any website you go to and find a Garmin GPS selling for $400.00 and on Ebay you are looking at the same unit for 1/2 the price.  Again, I ask, How do they do that?  Well, its actually quite simple.  The guys that sell products at such cheap prices are buying thier products in bulk and shipping them out themselves.  If you buy 1 GPS unit it will cost much more per unit then if you bought 1000.  That is how the products can be offered on places like Ebay for so much cheaper.

So, if you want to really get serious about selling on Ebay then think about getting access to some product in bulk (even if you just start out with only $1000.00 of products just to get your feet wet).  Long run you will make more money and sell more products because of the cheaper upfront cost.

Now, if you have a website and just want to dropship and not have to carry products in your home (or run UPS out of your house everyday) then dropshipping would be the best option and my recommendation would be to stay away from Ebay as it would be to hard to compete.  The thing thats nice about dropshipping is you can handle an order of 1 or 1000 and you never have to touch the product!  EVER!  Now remember, you will not be making as much per sale, but not having to deal with products may be worth it to some!

Luckily for everyone - The Shipper offers a dropshipping list as well as a bulk supply list.  So whatever you are into, and want to start out your internet business ventures with ... we got ya covered!