How to dropship
Dropshipping is a lucrative path to online income. The earnings can be skyrocketing if you do it correctly. In this article, I will explain what dropshipping is and how you can start.
Drop shipping is basically that you are selling products online without storage. When you receive a sale, you notify your supplier the order details. The supplier will then send the order out to your customers. This way of doing business has very low start cost and low risk.
Think if you are starting a brick & mortar store. First, you need to rent a location, then you need to equip it. After that, you need to buy goods to sell. You need to work long hours and probably also hire staff. A brick & mortar store has high risk and high start cost.
With drop shipping, you can do it as I will describe now.
- Start a Shopify store
- Find products you can sell from aliexpress.com
- Add them to your store
- Do marketing on facebook
- Receive sales
- Collect the money
- Order the products on Aliexpress with the customers shipping information.
There are many methods to do this, but the method above is the most popular one.
Finding your products and niches to dropship
To sell online, you usually need to find niches and products that have some of the characteristics below:
- Solve a problem
- People are passionate about it.
- Already selling
If you find niches and products that have them all 3, you have found something that will work and make an income. There are many ways to find these products and niches. I will now mention some of them.
One advice is to start with what you are interested in. This will help you to find the correct terminology to use on your sales pages and advertising. You also know what people want and can easier find the products that will sell. You will also find the work more interesting and you will enjoy the path to your online income. Because every successful path is a path with many roadblocks. If you do something you enjoy, you will manage the roadblock easier.
Other is to research niches and products on Facebook. What is other selling? On facebook you need to check what is advertised and if they have many likes and shares. If an ad has thousands of likes and shares, they are probably selling a lot of that product. To find ads, the best way is to use the search function on Facebook. Search for niche / products + free shipping / Buy now / Get your here / get yours now. There are many words you can use to search for.
Another popular method is to search for other Shopify stores on google. “niche + myshopify.com / powered by Shopify” will show you many Shopify stores you can check out. If you find someone you like, use the commerce inspector plugin for Chrome do find two very important key metrics.
- Do they have traffic? Preferably above 25k visits a month.
- What are the best sellers?
If they have traffic, you can try to find the same products on Aliexpress to sell.
The last method I will write about is to find unique products. Go to aliexpress.com and search for products you want to sell. Find a seller with a high rating (97%+) and have been active for 3 years+, this shows ut that they are probably a high-quality seller. They are probably selling products in a niche so go to their store and check out their other products. Go to new arrivals and see what is the new products they have added. Since they probably are a high-quality supplier, the product is probably high quality. Since they are new arrivals, this product is probably not seen by too many on facebook.
To find suppliers to your dropship business
You should identify a single convenient supplier and most preferably, you should use a single supplier in order to render the shipping much more efficient and faster.
The most used suppliers are Aliexpress. Only use sellers with a rating of above 96% and have been selling for above 1 year. When I have found a product I want to sell, I often just sort by orders and choose the supplier with the most orders. This supplier is usually the one with best quality and price.
Some of the suppliers also offer free shipping and you should exploit this lot in order to maximize your profits.
After you have found the product you like, then a supplier. Check out his store and maybe he has more you want to sell? To ship from one seller will save you in shipping cost. Your customer will also, most often, receive their whole order in one packet.
Use of reliable and highly skilled and professional suppliers helps to ensure that you cut down on costs as there are very little returns and potential reshipments.
Drop shipping is therefore not expensive to start off as most people actually commence by selling the items from their homes.
Research your audience
Facebook audience insights is a great tool to be used to identify your audience for the products and niche that you are intending to sell. This will help to give you pointers in order to decide the type of niche which will sell.
Check your audience and find out who they are. Are the most men or woman? Educated or less educated? High income? What other pages do they like? All this information can you find on Facebook audience insights. This is important information to find out who your audience is and how to do the marketing.
Since competition is very stiff in this drop shipping business, it is therefore fundamental that you make everything better than what your competitors are offering. The best way to attract a huge pool of engaged customers is to improve your marketing and the offer. Your sales page should also be well designed in order to attract more customers.
The best tips are to check out what your competitions do on facebook and try to improve. Find their ads like I described above. Like their page. Do they post a lot? Engage with the page by liking some of their posts. Go to their website and check how they organize their store and write their product pages. This will give you good information on how you can do it and hopefully what you can improve.
The use of very clear images in your listing is also very vital as it aids the buyers to identify what they are looking for easily. It also ensures that there are minimal disappointments since the buyer already think he knows what he has purchased.
For purposes of accountability, it is always good to maintain the proof of postage relating to each and every sale completed. This could also be employed just in case of any resulting dispute. So try to use epacket shipment so much you can. If you are only selling in the US, most sellers offer epacket.
Running your dropship business
Drop shipping is not meant to be like office work and other menial jobs where you need to work day and night. Therefore, it is very vital to ensure that everything is well automated to avoid the hassles and needs of being there every time a transaction needs to be completed. The provision of good customer care support is also important. Especially in customer retention as they all enjoy and have a good experience with their buying experience. The use of apps/plugins and other software is necessary to automate tasks. I will recommend Dropified to manage product imports, ordering and tracking.
The branding is also very important for most of the purchasers thus it is good to ensure that the supplier is willing and capable to brand and package the products in a very bespoke manner so as to suit and match the taste of every customer based on their unique tastes and preferences. This is something they can do for you after you have ordered a lot to that seller and managed to build a relation.
Drop shipping is a very lucrative business and can be very enjoyable. Drop shipping can also be a long and hard path to your online income. Many struggles to find the correct products to sell to the correct audience and gives up. Others struggle for a long time and test above 100 products on facebook before they find their winners. Most people are lucky and find a winning product early, or they struggle and gives up without results.
If you are interested to start with dropshipping, I highly advise you to read my review of Ecom Elites.