Dos And Don’ts Of Contacting US Dropshipping Suppliers
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Dos And Don’ts Of Contacting US Dropshipping Suppliers


– Hey what’s up everybody, Anton here, from dropshiplifestyle.com and welcome to another
episode of Dropship Weekly. So we’re switching up things
a little bit for this episode, like the title of this video says, we’re gonna be talking about
the do’s and the don’ts of contacting drop ship suppliers. But instead of just giving
you a list of things that come to the top of my mind, what we actually did is went
on our Instagram account, which by the way, if
you’re not following it, it’s just @Dropshiplifestyle on Instagram. I’ll post a link up on the
screen, go check it out. I do like lots of like behind
the scenes stuff there. But what we did is a
Q&A and basically said, what questions do you have, about contacting drop ship suppliers? And then took the list of
the most popular questions, I printed it out right here. And what I’m gonna do
today is read the questions and then give the answers
and the do’s and the don’ts, for each specific scenario. So if you’re curious about this stuff, just know everything I’m talking about, does not have to do with
drop shipping from China. This is about working
with domestic suppliers. So if you’re in the States, you have suppliers in the States, if you’re in Australia, you
have suppliers in Australia and so on and so on. So with that being said, let’s go ahead and get into today’s
episode of Dropship Weekly. (gentle music) Okay, question number one is, how does one get a good listing of reliable suppliers to contact? Okay, first, I’m gonna
give you the the don’t what you should not do. Do not go on Google and search for things, like drop ship suppliers because
what you’re gonna find is, basically a bunch of middlemen that make money by
charging you a monthly fee or a quarterly fee or a yearly fee. And with that money you pay them, they basically give you
access to products to sell. Now, when you do that, what you’re doing is basically
working with the middleman. So you don’t have any direct relationship with the suppliers you wanna work with. Yes, it’s easy to get approved because you’re not really
getting approved for anything. You’re just paying someone so that’s what you do not want to do. And the reason is because the key to this, is having direct relationships with the suppliers you’re working with. And I use the terms suppliers
and brands interchangeably because you want
connections with the brands. If I was selling this chair, for example, I don’t wanna go through some middleman, I wanna find the company
that manufactures this, I wanna find the brand name on this thing, I wanna contact that company and I wanna get approved
directly with them. That way I have a real relationship, my margins are locked in
through price controls. And again, I’m not paying
for access for somebody to, mark stuff up and try
to make money off me. Instead, I have a real relationship so that’s what you want too. And again you’re not gonna
find those types of suppliers by going on Google and
searching for something, like drop ship suppliers list, okay? So that’s the do not. Now the do, what you should
do is go out on Google, again totally for free and
start looking for the products that you wanna sell. So if you wanted to sell
brown leather rocking chairs with brass buttons, Google
that find the websites that are currently selling them and when you go to those
websites look for pages that say something like
brands or suppliers. Different things like that and then if you find those
pages on those website, you’ll see the list of brands
that your future competitors, are already selling for. So the websites that you
wanna compete against, you’ll see what brands they’re selling for and that’s the list of companies that you eventually wanna reach out to to form those direct relationships. Now if you wanna see how to
do that from finding them to contacting them to
getting approved with them, definitely check out my webinar, if you’re not part of
Dropship Lifestyle yet, just go to dropshiplifestyle.com/webinar and I’ll show you exactly how to do that. Excuse me, I have a phone call. But yeah so that’s the
do not and that’s the do, for how you find reliable
suppliers to contact. Never work with middlemen,
go direct to the source that is where the relationships are. That is where the money
is and in my opinion, that’s the only way to
drop ship profitably, in the long term. Okay, next question that came in, is how do I ask suppliers to ship for me? Great question, right? So when you reach out to them, basically what you’re saying is that you’re an internet retailer and you’re looking to get
approved to sell their products and you wanna know who to talk to. Now when you’re talking about
the logistics and everything, I really don’t bring up the fact that we’re not gonna be stocking inventory because it’s basically implied or assumed, when we tell them, this
is Anton calling from, Anton’sbrownleatherchairs.com, we’re wondering if you work
with internet retailers, who should we speak to? That’s not what I say, again
if you want my scripts, go to dropshiplifestyle.com/webinar but along those lines, right? So we’re reaching out to them and we’re basically just saying
okay, we wanna get approved, we fill out an application. When we do that they send us price lists, product photos, product
descriptions, product features, all that stuff and when they do that, they’re either gonna tell us, okay, we ship with UPS,
FedEx, DHL, free carriers, whatever it is and if they do say that, then we’re gonna say okay great, we wanna ship on your accounts. And what that means is
when they charge us, right? When they ship an order for us, they’re just gonna add
shipping on to our invoice. That’s what we want, because they probably move so much volume that first of all their
price is gonna be better, than what we would pay a UPS or a FedEx. And not only that, but if they’re
shipping on their account, knock on wood, I don’t
have any wood around. But if anything goes wrong with an order, they will basically have the
insurance claim on their end and then they’ll take care of it all and, we want to ship on their
account if ever possible. Again, that’s typically how it works. If that’s not how it works, the supplier is actually going to tell you so they’re gonna say, okay,
well, we wanna work with you, but we needed your FedEx account number or your UPS account number or whatever, whichever company they
prefer to ship with. And if that’s the case, then
you can just go to FedEx.com or ups.com, make an account,
give them your account number. And what happens then is when they ship, it just basically sends you an invoice, you pay UPS or FedEx or
DHL or whoever directly. So basically the time
and the place to ask is, once you’re approved, once
you have the price list, then try to work with them,
ask who they ship with and then just tell them you
prefer to ship on their account and to have them bill you for it. What you don’t wanna do is just, the first conversation with them, like the Do Not there would be, hey, like can you drop ship for me? Or can you ship this stuff for me? The term drop shipping, I’ve talked about this in other videos, so I’m not gonna get into it, I’ll just post a link card in this video so you can see my video
called Stop Dropshipping but you definitely do
not wanna just call them and say hey, do you drop ship? That’s not how these
relationships are formed. Again, I’m not gonna get into
detail on that in this video ’cause I did a whole separate video so look for a card in
the top of this video and it will take you to that one. So hope that helps there. Yeah, you ask after you’re approved. Now the next question says
one of my potential suppliers, doesn’t do prepay. They either want me to apply for credit or pay with a money transfer,
what are your thoughts? Okay so with the way that we do business, we’re typically applying for like, Carol asked this question, Carolyn, we’re typically applying
for prepaid terms, meaning that our supplier will
have our credit card on file and they’ll charge it
before they ship an order. So if we send them an order today and say hey ship this
chair to John in New York, they’re gonna say, okay and they’re gonna charge your credit card, for whatever the cost is and they’re gonna ship
it to John in New York, so that’s prepay. Now what Carolyn is
saying is her supplier, doesn’t accept prepay, they either want her to
apply for credit terms, meaning they’ll basically
ship stuff for free but they’ll ship it on
credit and then either, every 30 days or 60 days or 90 days, she would have to pay one invoice. The other option is a wire transfer, so she said what are your thoughts? The problem with that like, is that you’re not gonna
run credit card miles so I understand they said
that they’re not gonna do it which is not good from a
benefit perspective on your end. What I would do if I
had those two options, is honestly I probably just
pay with wire transfers, rather than taking credit and making payments every 30 days or so. That’s more of a personal thing for me, I don’t like to have
big debts with anybody. Like the biggest debt we have, is our credit card bill every month, we pay it off, of course every
month with American Express, but I wouldn’t wanna have like all these, running balances at different suppliers. Again, that’s just a personal thing, just makes it easier
for me to know exactly what my payables are and
what my liabilities are? Maybe you could do that
if you have credit, if you wanna go through the process of, most likely giving them
your bank account info, they’re most likely
gonna do a credit check, if you want to apply for credit. So if you wanna do that then
just be prepared for that, if not, wire transfers are super simple. If you’re sending ACH transfers, I think with Bank of America
it cost like $3 or something so that’s definitely an option. So yeah, that’s what I
would recommend doing, again credit if you’re willing
to go through the process and if you’re comfortable having, balances at different places, if not just say hey,
wire is more than fine which is a money transfer and do that. Yeah, that’s my advice,
I would say do that. Okay, next question is from Jeremy and it says in Australia
suppliers hate online only, how can I convince them
that it’s worth their time? So Jeremy I’ll give you like
a little disclaimer here, obviously I’ve never drop
shipped in Australia, I have never built a store there but we do have a ton of students there that have a lot of success, okay? So what they’ve told me and
this is actually covered in, our doing business abroad course which is part of my drop ship blueprint. So again I’m gonna keep saying it but if you’re not part of that that’s where this is
all covered in detail, just go to dropshiplifestyle.com/webinar. But, again, my Australian
buddies have told me that are part of Dropship Lifestyle, they actually created the
doing business abroad course, is that you do kind of have to sell this to the different suppliers there
because it’s not as popular as it is somewhere like in the States. So basically what you don’t
wanna do and this is again what I would say like if
a supplier said to me, you’re online only, this isn’t worth it, like we only wanna work
with retail stores, what I wouldn’t do and what I
would say you should not do, is be like yeah, you’re
right I understand, why you wanna work with retail stores, like don’t do that, okay? Don’t empower them and don’t
like support their idea there. Be like wow, I guessed like
that is how people used to think but then explain to them
that’s really not true because all the benefits are here of working with online retailers. And then just go through all the things that you can bring to them and all the things that
you can help them with and again that’s what, I teach you how to do in
the drop ship blueprint. But yeah, just flip it on them. So what you don’t wanna do is
be like, yeah, I understand but can you make an
exception, don’t do that. What you wanna do is say, well, I guess that’s the old way of thinking but here are all the things
that I can bring to the table through my company and here’s how we can help you increase your revenue and have it be a win win. Okay, next question is from Pratique and I guess he’s in India ’cause he said, I want some suppliers in India please. So here’s my advice to you, okay? We do have successful members from India but they’re not doing business in India. So what I would say you should not do, is try to build a drop ship store, serving the market in India. And I’m not saying that it will never be, a big established thing there. I’m just saying from my experience, working with over 10,000
students from over 35 countries that in markets that
aren’t established yet, it’s just a totally different game. And again, not to say it’s not possible but it’s not kind of something like where you can click a few
buttons, turn on a switch to ads and start getting sales and
having it like more streamlined. So if you want to use
a streamlined system, like the one I teach, my advice is do not, look for suppliers in India, instead find another market
that you can build a store in. So again, our students from
Australia, what they do and what I think you should do, is build a store in another market that’s already established
like Australia, like the US, like the UK, like Germany,
there’s tons of other markets where there’s opportunity and you can do business there, okay? Next question is, let’s
see, I answered that one. Okay, this question says,
I’m located in the US and one of my potential
suppliers is in Canada, what are your thoughts
on working with them? Okay, so yeah, you can, what
I would say you shouldn’t do, is just apply as normal without
asking any questions like, don’t just say hi, I’m calling from, again, Anton’schairs.com, I would love to see if
we could work together, can you send me the application? I would start the conversation
a little differently. Since every supplier
aka brand is different. And what I would say is
hi, I’m calling from, Anton’sleatherchairs.com
and we went to your website, we really love your products, I think they’d be a
great fit on our website. We see that you are
headquartered in Canada and I’m just curious,
do you work with brands, in the United States? And if so, how does
that relationship work? Do you have a warehouse in the US? Who handles shipping? And kind of ask those questions
up front in that scenario, so you’re not going into it blind and then realizing you have to
figure out extra things after because the good news is, if you’re willing to ask questions, these suppliers, these brands, the ones that are established,
they have the answers. They’ve been doing this
and a question like that, like, do you have a
warehouse in the States? Or how do you work with US retailers? Again, they’ve been doing
it so they’ll tell you, it’s not on, but what
you shouldn’t do again, is go in blind. Just ask them and hear
what they have to say. Next question and this is the final one, I’ll do in this video is
from Bale and it says, do I need a copy of a resale certificate, if I have sales tax? I’m waiting for the certificate. So sales tax, I did a
podcast about it last week, I don’t know, two weeks
ago, I’ll link to that. By the way that’s my
E-commerce Lifestyle podcast, if you haven’t listened
to it, go check it out. Just go on to whatever
podcast player you use, search for E-commerce Lifestyle. So with the sales tax certificates, not every supplier you
work with will require one. Some of them will, some of them won’t. What they will require
at a minimum is an EIN, which is also known as a tax ID. So EIN stands for Employer
Identification Number. That is free to get
online on the IRS website. Just so everybody knows, this is if you’re doing
business in the States. So that’s free to get online, I’ll post a link below this video. The sales tax certificate, if you’re doing business in a
state that requires sales tax, then yes, you should
apply for one but again, if you already did, which
it sounds like you did and you’re waiting on the certificate, I would still start
reaching out to suppliers because again, you have
that in progress already or in process and if
you have an EIN number which takes again, five 10 minutes, then you should be good to
go to get the ball rolling to start the approval process and to start sending
traffic and getting sales. So yeah, guys, that was all
the questions I printed, kind of the most popular
ones that came through. Hope you found this useful if you did, please let me know in the comments. If you wanna see me do
more videos like this one and as always, if you got value, please give this video a thumbs up and click that subscribe button. I post at least one new video a week. Always try to add some value, help you in a unique way
that can help you grow as an entrepreneur and an
E-commerce store owner. So thanks everybody, hope you enjoyed it and I’ll see you next Tuesday, for our next episode of
Dropship Weekly, see you.

About Ralph Robinson

Read All Posts By Ralph Robinson

26 thoughts on “Dos And Don’ts Of Contacting US Dropshipping Suppliers

  1. Anton I get Traffic to My website everyday and get people to add products to the cart and checkout almost Everyday but none of them are still not Buying, what do you suggest is going on or is there anything different I can do?

  2. I did as you said in some older videos and was able to get partnerships with large tech component companies like NVIDIA and AMD.

  3. Hi Anton! can I get approved with suppliers in US even if Iive in Morocco (North of Africa)?..

  4. Your current course is waaaaay over priced, getting greedy are we ? I would only pay no more than $200 for a course like that.

  5. What are the legal formalities Non-UScitizen need to do before starting the business? would be good if your team can do this on behalf of your student and charge some fee. else for a newbie its difficult to understand all this.

  6. I found the perfect supplier, and was literally going to contact them and ask if they would allow me to "dropship" their products! Thank God, I watched your video first. You just saved my life lmao .. Thanks!

  7. Hi…this is an unusual one..I have a proposition for you…hopefully a mutually beneficial exchange of info.
    I will tell you about something you are doing wrong in your cosmetic appearance and how u could greatly improve it with one very effective little trick in exchange for you giving me some advice on how to deal with Us suppliers from the UK.. if we have a deal ..please pm me !!.love your videos..chocca with great info.

  8. The information was helpful, I think you should do more videos. I been on YouTube for a couple days and run across your video and it was very helpful and explain. Thank you

  9. I don't see the draw to places like aliexpress. Cheap, long ship times and even if you find U.S. shipping still have to sell for more or compete with Ali. Rather have relationship with actual company who makes product. Easy, cheap, quick money I suppose also fastest way to get a bad rap selling crap. Great video.

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