Starting your own dropshipping business can be an excellent first step if you want to get into entrepreneurship. 

You can sell products to customers, set up your prices, and then market your brand. The best thing about it is that you don’t have to pay for inventory until it is sold to the customer. 

If you’re able to put in the work that comes with a successful dropshipping business, then you’ll be able to build a brand successfully. 

Understanding Dropshipping

Dropshippers act as middlemen between manufacturers and customers.

What happens is that you promote the products and receive orders from customers. And then you’ll forward it to your supplier, who will then take care packaging and shipping. The profit margin you add on manufacturing cost will be your revenue.

This also explains why you need to strike a partnership with the best fulfillment companies you can find.

The supplier or manufacturer is the one who will create products that people want and need. But that’s just half the battle. You still have to make sales. 

You can use your marketing and customer service skills to build brand awareness and customer loyalty. 

Now, in this post, we’ll walk you over some actionable tips on how you can successfully start a dropshipping business: 

Know What You’re Going to Sell

You can’t just pick a random niche and expect to get thousands of sales. 

Most niches tend to be oversaturated already and are often sold by more significant, larger stores. Now, if this is the case, it’s relatively hard to compete with other brands. 

Before you can sell anything, you need to choose the products that you wanted to sell. You don’t have to deal with everything that the particular vendor produces. All you need to do is choose products that fit your niche, which you believe will bring in significant profit margins. 

Conduct a Competitor Analysis

Keep in mind that you’ll be competing with other dropshipping businesses in the market, as well as big brands like Walmart and Amazon.

This is one of the most common mistakes a lot of dropshippers make. They would instead purchase a product that provides little to no competition. However, that’s a clear sign that the product isn’t in high demand. 

Ideally, it would help if you looked out for products that have competition in the market.

Why? It’s because it’s a clear sign that the product is currently high in demand, making your business model more sustainable in the long run. 

Choose the Right Supplier

Your dropshipping business’s success relies on the quality of products provided by your supplier. If your supplier gives you low-quality products or couldn’t deliver goods promptly, it can quickly ruin your business’ reputation and credibility.

That’s why you must take your time to find the right supplier. You can research suppliers and look at certain factors like shipping times, return-handling, cost, inventory management, and more.

And just because you found one does not mean you have to stick to them. You can look for suppliers of similar products if your primary source cannot handle the volume of your orders. 

By choosing numerous dropshipping suppliers, you’ll have more products to choose from on your end. Also, if one supplier has already sold out the best selling product, you can still source that from another supplier. 

Pick Your Sales Channel

As dropshipping continues to increase in popularity, many channels offer e-commerce website services. 

That’s why picking the right sales channel for your dropshipping store is essential. Most of these channels come with pre-made store templates tailored to fit your store’s niche. Thus, it helps ease up the process of actually running a dropshipping store. 

Make sure that the channels you chose have the right integrations, as well as the plug-ins that are needed. 

Create Your Brand

Creating a strong brand allows you to build the reputation of your dropshipping store. It would also guarantee to return customers on your end as long as it is being done correctly. 

Branding usually comprises your design layout, logos, store name, and the overall feel of whatever niche products or items are on sale. 

That’s why it’s vital to create an effective brand that will have a lasting impact on your customers. 

Optimize Your Website

For you to succeed in dropshipping, first and foremost, you need to bring traffic to your site. Once a user lands on your site, ideally, you should convince them to make a purchase. 

Here are some ways how you can optimize your site:

  • Optimize for SEO: Ensure that your site is SEO-optimized to enhance your search engine rankings.
  • Create Valuable Content for Your Site: Creating informative blog posts brings more traffic to your site. It’s also a great channel to promote your products. 
  • Add a FAQ Page: Placing a FAQ page decreases your customers’ concerns and speeds up the buying process. 
  • Automating the Workflow: Pick an e-commerce platform that allows you to integrate social media tools and email marketing services. That way, you can easily automate processes. 
  • Add Trust Badges: Adding these make online shoppers feel more secure in purchasing from you.
  • Add Exit-Intent Pop-ups: Using these on your site helps reduce shopping cart abandonment and grow your email list.
  • Offering Numerous Payment Options: By providing several payment options on your site, you’re sure that you won’t miss out on any sales. 

Your site should be there, offering an enjoyable user experience. This allows you to boost your sales and grow your company over time. 

Create a Customer Acquisition Plan

Now that you have a great product and website, all you need are customers willing to purchase. 

There many ways you can draw in prospects. One effective way is to start a Facebook Ad Campaign

Doing so lets you generate more revenues and sales, allowing you to scale over time quickly. Facebook is also a great platform wherein you can directly place your offer in front of your target audience. Doing so allows you to compete with large brands and retailers in the market. 

Provide Outstanding Customer Service

Offering outstanding customer service is key to any growing business. 

The thing is, your customers aren’t just paying for the item. They’re also paying for convenience and ease of purchasing your products.

That enjoyable experience will quickly turn shoppers into repeat buyers, making it sustainable in the long run. So, ensure that you’re always providing top-notch customer service to your customers. 

You can add a contact form or your contact information so that customers can quickly get in touch with you. You can also add a chatbot so that it can assist your customers 24/7. 

By applying these tips, eventually, you can work on building an online empire of your own. So turn that hobby website into a successful dropshipping business!


Author bio: Jake Rheude is the Director of Marketing at Red Stag Fulfillment, an eCommerce fulfillment warehouse that was born out of eCommerce. He has years of experience in eCommerce and business development. In his free time, Jake enjoys reading about business and sharing his own experience with others

2 thoughts on “How to Dropship: 8 Actionable Tips for Starting a Successful Dropshipping Business

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