Are Dropshippers CHEATING & SCAMMING Customers?! (Dropshipping from China & Aliexpress)

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Is Dropshipping Cheating & Scamming Customers Out of their Money?!
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Skepticism around Dropshipping is nothing new to us. And in this video, we addressed three questions we usually get surrounding this issue:

1) Aren’t you tricking customers by “marking up” the prices of items you dropship?
2) Aren’t you scamming customers by selling them cheap, useless junk?
3) Isn’t it wrong that we don’t buy test products first?

NOTE: Of course, some you may disagree with my opinions, and if you do that is totally fine, feel free to sound off in the comments section below.

QUESTION 1: Aren’t you tricking customers by “marking up” the prices of items you dropship?

To some people, the idea of listing a mug in your store for $20, when they could easily have just gone to Aliexpress and listed it for a fraction of the price, is morally wrong.

From their perspective, the Aliexpress price was the REAL price, and we just tricked them into paying more.

It’s easy to understand why some people may think this. However, this conclusion completely clouds the efforts of marketing.

In a nutshell, there are 3 main stages through the process.

*FIRST STAGE: Production of raw materials. The producers of these then sell them at a profit to product manufacturers.

*SECOND STAGE: Product manufacturing. Taking these raw materials and turning them into items for consumers. Then selling these items to dropshippers like us for a profit.

*THIRD STAGE: Us! We then market these items directly to consumers - again, for a profit.

And our role in this stage is crucial: manufacturers on Aliexpress work with us so that WE can take care of the marketing for them. This is a BIG DEAL, considering marketing is generally the most expensive part of this WHOLE process. On average, we spend anywhere from 20-50% on marketing.

In a magical fairyland with unicorns that lay $100 bills, I’m sure consumers would love it if we could get rid of marketing because it would cut product prices DRAMATICALLY.

But we can’t. Because if we didn’t do marketing, then most people wouldn’t know that these products exist in the first place and would never buy them. The people that buy the items from us are people that didn’t know that they existed in the first place. And they were never, EVER going to buy them from Aliexpress as they don’t market!

We are an important part of the economic food chain. Us retailers, with our marketing, help consumers know about items that will help improve their lives that they wouldn’t otherwise know about. Which brings us onto the next question…

QUESTION 2: Aren’t you scamming customers by selling them cheap, useless junk?

It’s a general stereotype you hear about China: They’re notorious for making cheap junk.

Shockingly though, you’ll realise that most of our high-quality goods we enjoy in daily life are created by Chinese manufacturers. And it’s not just the low-cost goods - China are the working force behind the production of expensive, high-end electronics like iPhones. Would anyone call an iPad a piece of junk? I don’t think so.

On the other hand, you have people who also label Aliexpress items as “useless”. Wrong! While items sold in Dropship stores aren’t made to “do the job” - it sure does inject the added sense of joy and luxury into people’s lives. And this is a BIG deal (if it wasn’t, then why are SO many stores making six figures out of these products?)

QUESTION 3: Isn’t it wrong that we don’t buy test products first?

Not all items are made equally - so why assume all 100 items you sell will be the exact same quality as the single sample you bought?

Do you know what’s more reliable? Reviews!

Quality control is a constant issue with manufacturing. What you really want to see isn’t that the mug you received is high quality. What you want to see is that your manufacturer is producing CONSISTENTLY GOOD PRODUCTS.

And guess what? With Aliexpress, you have REVIEWS to do that for you. You can go to an item listing and check if the reviews for it are consistently good or not. This is a much, MUCH better indicator of whether a manufacturer can be trusted to mass-produce great mugs for our customers or not.

And if you’re not sure if you can trust the reviews on Aliexpress, you can always check to see if the product is on Amazon and see what customers have to say about it on there as well.

Whereas one sample product? Not statistically relevant.
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