4. Choosing the Right Products
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That’s because sometimes there are limits on how you can price your items. Many
manufacturers set a minimum advertised price (MAP). If a product has a MAP, it
means you,
as a reseller, have to price the item at or above that price.
This is a great thing because it prevents retailers from dropshipping products at
super-low prices and starting pricing wars. It also levels the playing field among
dropshippers, which means you don’t have to lower your prices just to stand out.
On
the flip side, MAPs limit the amount of profit you can make, but this is a small
compromise for the benefits that MAPs bring.
Some manufacturers don’t
set MAPs for their items, which makes selling a bit
trickier. You could find yourself losing sales because some other store is selling
the same product for less.
At the same time, lowering your prices would slash your
margins even more, so it’s pretty much a lose-lose situation. Overall,
products with
MAPs are better for your bottom line.
You also want to think about the price range for the items you’ll
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