Is eBay Profits From Drop Shipping Dead?


Are eBay Profits From Drop Shipping Dead?

I was recently asked if I could make £50,000 to £100,000+ in profits a year dropshipping on eBay? And if you have, how long did it take you to get to that point?

I did make $170,000 in profits a year dropshipping on eBay? It took me about 3 years to get to that level.

You’re Crazy if you Don’t Use eBay

If you want to see if you have a business there is no better way than eBay. Just by using their service, you will find out some very important information you need to run a successful business.

eBay will tell you if there is a market for your product. A friend of mine made custom Wooden Pens from Antique and Exotic woods such as Teak Wood. For shipping of these products or more of your products, these tips will help you in a safer and better shipping experience.


When he came up with a new design he would first offer it on eBay to find 2 very important points.

  1. If there were buyers for his new design
  2. How much he could charge

With these 2 pieces of information, you could then decide if there was enough profit in this market to make any money.


I Was Selling $5000 a Week

Some weeks it was more and others it was less. The Product I sold, when I first started on eBay, was sold for $3800 per unit. The fees were over $100 but there was so much profit that the $100 Fees were just a cost of doing business.

The Dangers of Selling on eBay

Most of you are reading this are saying, “If you sold over $5000 a week why did your stop?”. Believe it or not, when I was making less than $300 Profit per sale I stopped selling that product on eBay.

Remember just as many people that are looking for a “Great Deal” on eBay there are just as many people looking for the “Next Big Thing”. I was the only person selling my product on eBay. When I finally decided to stop selling on eBay when a new Post for one of my products could be found on page 4 or 5. That means there are perhaps 100 other people selling the same product.

I Happened Upon The Perfect Storm

I just happen to find several products that were in demand. I bundled them together in one singular solution and sales took off. Individually they could sell the product at over $4500 on eBay but my price of $3800 was hundreds less. As my volume in sales increased I could order in quantities of 10 Units, then 20 Units, and finally in 50 Unit Bundles. I was able to order direct from the manufacture. My profits went thru the roof.

Make more Profits …. Go Number 2

Every industry has fat, lazy, slow-moving Number 1 manufacturers/distributors. With very little effort they seem to stay in the Number 1 Position. I always went after the Number 2. 3 & 4 Guys to do business. You often find better quality products at the Number 2, 3 & 4 Position. They will also give you better pricing if you promise to work with them to take over the Number 1 Position then follow thru on that promise.

I took the number 5 Manufacturer and was able to move them up to the number 2 position in less than a year. At the end of the year, I had already ordered almost 300 units from them. I paid $50 per unit for their product. My competitors paid $95 for the same exact product from my manufacturer. Since the manufacturer did not want to sell 1 & 2 Unit Orders.. I happily filled those orders with my inventory and made a nice profit.

Remember the Number 1 guys got fat and lazy and as the number 2, 3, and 4 guys got busier they also got fat and lazy as well. That’s why when this company management decided to stop selling directly to the end-users they turned to me to fulfill their orders. That was easy to fulfill and good for about an additional $10,000 profit a year.

It all slowly starts to wind down

Like a clock that slows down when its spring starts winding down my eBay Business did the same thing. My competitors who were much larger than myself started to see how busy I was selling on the internet. At one time the 4 largest companies in my business segment took aim at me. Each of my competitors was the main manufacturer and resellers of each of the components that I bundled together to make a singular complete product. This prompted me to go to the number 2 manufacturer and work with them. They also started to follow my lead and worked with each other to close me out of the market.

In the end, I just stopped selling those products. By that time the Lazy 1,2,3 and 4 leading companies had all cut pricing so low that they ended up shutting down or changes their business totally. Greed and Arrogance breed Laziness.

The Biggest Lesson Ebay Taught me

I would still be in that industry today if I have treated eBay just as another “Profit Center” for my internet business. As sales grew and profits grew I almost abandon my website for eBay. That contributed to my downfall. Instead of embracing and including eBay into my web presence I let my website fade away and when it was time to leave eBay I had nothing and had to start over building from the ground up. While eBay was running my business on Auto_Pilot I could have been making my Website Better and built my reputation as an industry leader.

Hope this helped:

Christopher Sciullo Make a Website in 6 Seconds Flat. Follow Your Dreams and Try Blogging Check Out WordPress Blog 50% Discount for Teachers