Do some drop shippers restrict how their products are sold on online auctions?
Our team stays on top of these issues as we personally meet many wholesale company owners at the trade shows we attend. They share a lot of information and personal stories with us you will not find on the Internet. While you can still sell their products on online auctions, we have spoken with some wholesale drop shippers who require the ADA due to prior online auction abuse. In a nutshell, they are losing money and dealer memberships. As and example, here is an actual copy of a recent letter from a drop shipper (we have hidden their name with XXXXX): “To: XXXXX Dealers As you are aware, a rapidly increasing number of NEW XXXXX Products are being sold far below our minimum advertised pricing (MAP) at online auction sites. It has been happening long enough that some dealers have experienced a dramatic decline in their XXXXX sales. If this continues, many of these dealers, that are working hard to teach and educate the end consumer, may decide to no longer sell XXXXX Products, and if de