All, I am starting my first online clothing store.

I have purchased my initial inventory, about $4000 worth. This basically is just a start!

Anyways, I have contacted another lessor known vendor that will offer drop shipping.

My inclination is to always have the actual product on hand to avoid problems, but I can't ignore the benefits of dropshipping.

Does anyone have any advice or horror stories?

You might ask the same question at the following
forum: http://www.giftsforum.com/

The products people deal with there are a little
different, but there is a lot of "discussion" about
drop shipping.

~Roland
http://www.vwebworld.com

$4,000 dollars in inventory is alot for someone who is just starting out online. If u had a brick and morter shop, then go for it, but for an online store w/ no physical support.

I would hesitate to buy that much inventory. Cuz If ur website is a bust, thats -4,000 right there. Trust me on this, there are plenty of websites out there that dont generate a single dime and eventually not only go out of business but also be out on thier investment.

My proposal would be: Only use dropshipers when starting out. Use all ur finances on making the best website that u can at affordable prices. Make sure the webdesigner can not only make a good website, but also provide SEO.

The 2nd thing u need to do is, either hire a marketing consultant that has proven thier services but can give u that service that u would deem acceptable.

If u cant hire a marketing consultant, then u must do it urself. Either becuz u have the talent or skills to do so, or u just dont have the funds for it.

But basically what im saying is, dont take any inventory but make ur website a sucess w/ good desgin and good marketing(ads/ppc/links/ezine).

All new online stores have a hard time in getting thier initial customers, so u need the above 2 to help make ur site a success.

Once u start generating enough traffic,u can start to track how much ur customers buy and what items they tend to favor. This will help u order the right inventory instead of using dropshippers. Or use a combination of both. My preference is to buy inventory for the best selling items while regulating the less popular ones either in very small amounts or dropshipping it.

Your thinking too much of a flashy website. You don't have to have the worlds #1 website design to sell. It may be helpful but you need a darn good product. If you have the right product people will buy. If they value the product they will return. If the product is crap they will be mad and they will never be repeat customers-- a mad customer will not recommend there friends. Word of mouth is the best marketing tool, even for websites, SEO pales in comparison.

Regards,
Kevin

One concern is you may lose control of your customer. You are giving away your customers name, address Etc. You will have no control over the shippers actions.

There is no magic to drop shipping. You are paying for the product and the shipping expense. As long as your paying the price the shipper will ship anywhere.

Weigh the cost of shipping via UPS,The USPO or a dozen other shippers VS your drop shipper. Work in what you may be losing in giving up your customers information and you may opt for providing your own shipping.

Tom Rose