drop shipping profit margin

I`m looking for advice about building a relationship with a drop-shipping based website.
I have a retail and wholesale business (products related to breastfeeding - bras, pads, pillows, pumps, etc.) already and was approached by a company that has websites that market related products and would like to add my line.
They asked me to give them a price quote for my products and I`m lost!
What percentage of the consumer`s price should I be charging them?
Ariel
I have a retail and wholesale business (products related to breastfeeding - bras, pads, pillows, pumps, etc.) already and was approached by a company that has websites that market related products and would like to add my line.
They asked me to give them a price quote for my products and I`m lost!
What percentage of the consumer`s price should I be charging them?
Ariel
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Comments
Ariel, You should consider adding 15-20% to the wholesale price of your product for the drop-ship program. This is an approximation of the costs that would be incurred if they were to buy directly from you and have to warehouse the inventory. Chris is right, it would be very beneficial to ask the other vendors how they calculate their drop-ship prices. Hope this helps. Good luck with your business!