Can I start to dropship on Amazon, just as individual?

fotisd

Hi everyone - I am a new comer with zero experience in dropshipping. I am based in Europe and I want to explore dropshipping to wherever it makes business sense, via Amazon.

The question I have is: Do all dropshippers require an established business account in order to accept a dropshipping relationship? Or can they proceed with someone just as an individual?

It takes some budget to establish an online business in europe (a lot of different VAT issues etc), so I would like to experiment first without all the fuss - aka the question.

I know that Amazon accepts sellers as individuals and not as businesses. How about the dropshippers?

Anyother advice on the baby steps to find the first dropshipper and get the first product on Amazon is more than welcomed!

Thnx :)

fudjj

Hi Fotis and welcome to the forum,

Many dropshippers don't require a tax id, but you may find some that do because more and more are now asking for that as part of their account requirements. So the best advice I can share is to just do some research on what you want to sell, then chase up the suppliers and see if there are options available where you don't need the tax id to open an account with them.

Cheers

rhydglo

Yes but what about dropshipping on amazon? Their dropshipping policy states that you are not permitted to ship items to buyers from another online retailer. Isn't that what dropshipping is? Any clarification would be great!

fudjj

Hello Alice and welcome to the forum,

You can review Amazon's actual dropshipping policy just to clarify your confusion.

Link hidden: Login to view

Cheers

rhydglo

Yes I saw that. That is where I got it from. Directly from that page. Doesn't answer my question but okay.

fudjj

Hi Alice,

You seem to be just focusing on what is not permitted for some reason and completely ignoring what is permitted (as outlined on that page)

For example, and this is a direct copy and past of the part of the policy that permits dropshipping.

Drop shipping, or allowing a third party to fulfill orders to customers on your behalf, is generally acceptable. If you intend to fulfill orders using a drop shipper, you must always:

1. Be the seller of record of your products;

2. Identify yourself as the seller of your products on all packing slips and other information included or provided in connection with them;

3. Be responsible for accepting and processing customer returns of your products; and

4. Comply with all other terms of your seller agreement and applicable Amazon policies.

Just follow these basic rules and dropshipping is fine on Amazon, as indicated in thyeir dropshipping policy.

Now there are two exclusions which you are already aware of, but they should always also be followed, along with the terms above.

Cheers

rhydglo

Sorry. Guess I should have been more specific. This is the part that I don't understand. How do you "Identify yourself as seller of your products on all packing slips"?

2. Identify yourself as the seller of your products on all packing slips and other information included or provided in connection with them

4. Comply with all other terms of your seller agreement and applicable Amazon policies.

Examples of drop shipping that is not permitted:

Purchasing products from another online retailer and having that retailer ship directly to customers; or

Shipping orders with packing slips, invoices, or other information indicating a seller name or contact information other than your own.

Failure to comply with these requirements may result in the suspension or removal of your selling privileges.

fudjj

With dropshipping, the supplier sends the products directly to your buyer, but with no invoicing or branding on the packaging. This is to protect your source so your customer can't just simply reorder directly from the dropshipper again, then have to again oreder back through you.

So in essence you are the retailer, meaning that you are have to forward your customer the involcing in your name for their records. Of course you couldn't just simply forward your supplier's invoice on to them as the prices wouldn't be right as they would be the supplier's only price as sent to you, not the sale price as sold by you.

So what the two clauses really indicate are that as a dropshipper, you have to assume all the responsabilities of the retailer in this situation. So whatever you sell is sold in your name, not your dropship supplier's name and you aren't able to simply pass on your supplier's details to your customer in the event of any issue regarding the transaction or product itself, that all has to be dealt with by you.

Cheers

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