Dropshipping Scams – How Do You Know?
We recently received this question from a user at TheDropshipAdvisor.com and wanted to share this user’s experience with our community:
Are there dropshippers who dropship brand-name products? I’ve been scammed by some users on Alibaba and Global Sources from China who claimed to dropship Apple iPods, Sony VAIO laptops, and other products. How can I tell? Where do I look?
Thanks.
-Dropship Disappointed, NY, NY
Dear Dropship Disappointed,
You’re not the first one to fall for one of these Dropshipping Scams and you certainly won’t be the last. Dropshipping is a popular online business these days and many entrepreneurs are interested in dropshipping products like the ones you mention.
Our advice (which hopefully won’t disappoint you) is pretty simple: if it seems too good to be true, it probably is. Use good judgment and the following rules that we’ve found to be helpful when determing what is and what isn’t a dropshipping scam:
- Manufacturers of electronics, such as Apple, Sony, Toshiba..etc, etc. and other brand names don’t generally have dropshipping programs. How would they manage them? These companies disperse their products through carefully-organized distribution networks. If you are interested in dropshipping name-brand products, we recommend checking out a company such as Simplx. You are unlikely to find attractive margins (if any), but companies such as Simplx have economies of scale that you, as an individual dropshipper don’t have.
- There are ways to determine the authenticity of products before you receive them (or at least to try). With regard to Apple and other electronics, ask the wholesaler, manufacturer or distributor to provide you with the serial numbers of some of the products that you will receive. Verify them with the company’s online warranty checker – or call them directly.
- If this recent experience has rendered you a bit gun-shy (and we wouldn’t blame you), try joining one of the many Dropshipping Wholesalers, such as Worldwide Brands, Salehoo or Doba. These lists are purified — that is, they are limited to those (domestic) companies that have legitimate dropshipping offers.
We hope this helps..best of luck!