Are you interested in setting up your own online business as a dropship reseller? Check out this article explaining the concept behind DOA and guiding you to how you can avoid it.
Have you ever purchased something online,
only to find out it doesn’t work once you receive it?
This is termed as DOA or dead on arrival.
DOAs are defective products that are broken and inoperable, as an electronic, appliance, or even a broken piece of furniture.
DOA frustrates customers
When a customer purchases something online they expect to receive it within a short amount of time, in new condition.
Many buyers urgently need to use their new product right away. For example, Kevin orders a digital camera he wants to use it on his trip to Florida.
If Kevin's camera comes DOA his plans for holiday snaps are pretty much sunk.
Even if everything goes smoothly with the return process unless Kevin has ordered well in advance there's a good chance the replacement camera may not arrive in time for his trip.
Needless to say, a customer who receives a DOA product is frustrated. Not only are they inconvenienced from this, but now must take the time to return it.
If this was something needed urgently, they must think of an alternate solution to their plan.
How DOA affects dropshippers and resellers
To a dropshipper a DOA product may mean their inventory might have been mishandled by its employees.
Discipline and training may be needed to ensure this doesn’t keep happening.
If too many DOA goods are shipped, the dropshipper may lose the reseller as a client.
The reseller in turn looks bad for a mishap that wasn’t their fault.
Most likely, they will have to deal with an unhappy customer and either assure them another product will be shipped or honor a refund.
DOA is not a good thing for dropshippers or resellers, especially small ones.
It can pose as a threat to the reputation and profits of either business if not handled properly.
Hence, dropshippers need to verify that goods shipped from their suppliers have no apparent damage from shipment (as smashed boxes).
Their warehouses must be kept organized and employees must handle all goods with care.
Resellers are advised to research a dropshipper’s background before setting up an account.
If possible, the reseller should visit the dropshipper’s place of business and interview them, finding out their DOA rate. A DOA rate of fewer than 3% is great.
Handling DOA’s
DOA’s are usually handled in the following steps:
1.The customer contacts the reseller to get an RMA # (return of merchandise authorization).
2.The customer sends back the DOA with the RMA # written on the package
3.The reseller receives it and notifies the dropshipper to send a duplicate item to the customer.
4.The reseller and dropshipper decide how the defective item should be handled. It will either be returned to the manufacturer for credit or a claim will be filed with the carrier (UPS, Fed Ex, etc) if apparently damaged in shipment.
For better business, the reseller should offer each customer a choice of a reshipment or refund upon returning a DOA product.
Overall, this article informs how DOA products are handled. Any reseller should be aware of the possibility of DOAs but not be discouraged to use dropshippers.
