There's no way you could have missed it: the phenomenon of dropshipping is everywhere. This business model has been getting bad press. The worst part? It’s not the business model itself that’s the problem, but rather the proliferation of sellers offering training courses on dropshipping. These “dream sellers,” who promise students an easy fortune, all rely on the same principles without offering anything unique. The result: consumers have been inundated with dubious ads, all using the same techniques and selling the same products. Fortunately, business is simply about the balance between supply and demand.
So we're going to analyze how dropshipping with AliExpress can be a successful business model. First, we’ll look at the pros and cons of choosing AliExpress as a sales channel. Next, we’ll set goals to restore the balance between supply and demand. Finally, we’ll explore ways to make dropshipping with AliExpress appealing—for both the seller and the end customer !
The Pros and Cons of Sourcing from AliExpress
Is sourcing from AliExpress a good idea for starting an e-commerce business? Let's weigh the pros and cons of this Chinese giant!
The Benefits of AliExpress
If the dropshipping has become such a phenomenon in today’s economy, there are good reasons for it! What are the benefits of using AliExpress to launchan dropshipping ?
Its extensive selection
It's a fact: you can find just about anything on AliExpress. No matter what product you're looking for, you can be sure to find a supplier among all the options dropshipping on the platform. From gadgets to luggage, sports equipment to auto parts, the selection is vast.
In addition to having a wide selection in each category, dozens of different sellers offer the same products. This allows you to choose the best sourcing solution for your dropshipping. You can also read some recommendations on how to best choose your AliExpress seller.
The advantage of having this wide range of products is that we can:
- Offer a comprehensive catalog
- Regularly vary the products offered
- Maximize testing to streamline your catalog and keep only the best-sellers.
Its unbeatable prices
With a few rare exceptions, prices on the Chinese market are unbeatable compared to those of European suppliers. This significant difference allows you to control your profit margin. However, this undeniable advantage does need to be qualified. Before putting together your dropshipping on Shopify or WooCommerce, take hidden costs into account. These unexpected expenses can be substantial and jeopardize your business’s profitability.
We’ve gotten used to factoring in customs fees, but it’s impossible to estimate them accurately. Furthermore, as you’ll see in our analysis of the drawbacks, return shipping costs and refunds will take a toll on your profitability and your reputation.
Its reassuring dispute resolution system
If a product is defective or fails to arrive at its destination, you can count on theAliExpress guarantee to help resolve the dispute with full support. An AliExpress representative will handle the resolution of any dispute between the buyer and seller in an impartial manner.
Generally speaking, the Chinese giant offers robust protection to both buyers and sellers at every stage of the sales process. After all, it’s in AliExpress’s best interest to ensure the legitimacy of its suppliers dropshipping it hosts and to ensure the end customer’s safety.
The AliExpress Dropshipping Center
What is theAliExpress Dropshipping Center ? This service saves you valuable time in your search for reliable suppliers and helps you find your best-selling product. Specifically, this free tool helps you:
- Assess a product'spopularity: this way, you'll know if it's the right time to promote it when major trends emerge;
- Discover your catalog of best-selling products. The Aliexpresscenter is powerful enough to let you build your catalog based on your own filters: rating, category, price, delivery time, orshipping country, for example.
Be sure to read our article on this topic: “The Winning Product: How to Find It?”
The Weaknesses of AliExpress
The Chinese e-commerce platform isn't all advantages. Some drawbacks can even become deal-breakers when you want to make a living selling products via dropshipping. What are they?
Difficulties in Communicating with the Supplier
The language barrier is a major obstacle to a good business relationship. A misunderstanding can take on unexpected proportions in international business! Forget French: sellers on AliExpress will communicate with you in English, very often translated literally. Also, be patient: Aliexpress is a marketplace where sellers are constantly receiving messages. So it’s very likely that you’ll have to wait a while for a response.
The return policy: as costly as it is complex
This detail can become a real headache for your business. Indeed, if the end customer requests a return, shipping costs are extremely high. It makes more financial sense to let the customer keep the product and send them a replacement free of charge. Furthermore, in the event of a refund, you still come out ahead, since this additional expense won’t have earned you anything…
Disparities in quality
Product quality, misleading photos, or non-standardized sizes can lead to unpleasant surprises for both you and your end customer . We’ve even seen users point out the difference between a full-size rug they ordered based on a photo and the item they received, which was the size of a credit card.
Surprisingly, the same product can vary in quality depending on the Aliexpress supplier. To ensure your customer receives a high-quality item that matches the product listing, choose your seller carefully and read the product reviews. Be sure to cross-check the information—it’s the only way to get an objective view of the product you want to offer through dropshipping.
The Key to Making Dropshipping with AliExpress a Success: Addressing Existing Shortcomings
As we've seen, while becoming an AliExpress partner isn't all perfect, it's not all bad either. In fact, to start a ethical business, you’ll need to address the flaws in the business model. What are the biggest flaws that need to be addressed?
Restoring the business model's tarnished reputation
Say the phrase “ dropshipping with AliExpress”to your friends and family, and you’ll see immediate and very strong reactions. Consumers have been inundated with dubious and, worse yet, training programs on dropshipping. However, this business model is indeed legal. It’s up to the dropshipper to set themselves apart through their marketing and product catalog. The business model’s bad reputation shouldn’t stop you from being the exception that proves the rule and (truly) standing out from the crowd!
Develop a strong brand identity
What's sorely lacking in dropshippingis a brand identity. Do you remember the name of the brand in dropshipping that tried to sell you something? Chances are, you don’t. Rather than relying on fleeting marketing that focuses on price, shift your perspective and carefully build your brand.
It's true—it takes work. But no business, dropshipping or otherwise, will make you rich overnight—no matter what the dream-sellers filling up social media ad spaces might tell you!
Add value to the products sold
For several years, the trend toward dropshipping was to sell large volumes without personalizing the customer experience. No effort was made to create unique content: photos taken directly fromAliExpress and crudely Photoshopped served as product listings. Of course, the copywriting was completely absent, and the entire business lacked a clear and solid marketing strategy.
Fortunately, today’s consumers are well-informed and expect a little more to become satisfied customers . We’ll give you some ideas for improvement in a moment, but first, let’s tackle one of the biggest problems with dropshipping : the endless delivery times.
Reduce delivery times
This is obviously the most difficult issue to resolve, since the order processing time and delivery time are not up to you, but rather depend on the seller. Orders are prepared within 2 to 3 days. It often takes the same amount of time for the package to be shipped, and transit time takes several weeks.
Areas to Explore to Adapt to New E-Commerce Standards
We've just reviewed the key challenges involved in dropshipping with AliExpress a reliable and sustainable business model. Let’s take a look at some potential solutions.
Put branding back at the center of your business strategy
Start with one to three key values—ones that resonate with your target audience. Build your company’s story. The most effective marketing is the kind that tells the best stories. The era of the anonymous, easily replaceable company that seeks to maximize profits with minimal effort is over. Maintain a presence on all social media platforms across multiple formats. Creating this content is a lot of work (not to mention community management), but it’s essential for building your brand awareness and credibility with the general public.
Personalize the customer experience at different stages of the purchase process
Even if you sell products from AliExpress, it’s still possible to add value to an item. It’s no longer enough to simply set up a chatbot on your Shopify site to make customers feel like they’re being listened to. Small gestures can make all the difference:
- Negotiate with your most regular partners to get packaging that reflects your brand; simply“branding”the original product’s packaging may be enough.
- Think about including small, inexpensive touches in the packages you send: a handwritten note, a thank-you message with a promo code or a QR code…All of these ideas can clearly set you apart from your competition without breaking the bank.
- Think about your communication strategy—for example, by setting up email workflows for your customers. Here is a simple diagram:
- OrderConfirmation;
- Shipping confirmation with an estimated deliverytime;
- After the delivery period, to determine whether the item meets expectations;
- After a few weeks, follow up to encourage another purchase.
All of these “little touches” add value and will bring you more than they cost in the medium and long term!
Build Customer Loyalty to Increase Revenue
It’s a well-known fact that retaining a customer who has already made a purchase is less expensive than acquiring a new one . It’s therefore very important to build loyalty among your existing customer base. Put them at the center of your strategy. Since you’ll be active on all social media platforms, encourage their engagement and make them feel that they’re important to your business. Offer rewards for their loyalty, and ask for their feedback on upcoming products or their overall customer experience. They are the ones who will provide you with the best insights for improving your business.
Pro tip: To take it a step further, turn your customers into brand ambassadors by incorporating a referral program into your business model. Satisfied customers are best positioned to attract new customers who are ready to buy. For example, after a purchase, you can create an affiliate link for the items in your customer’s order. They can share it in exchange for a commission per sale. It’s a win-win!
This loyalty program is a powerful sales tool that can help you increase your order volume without raising the customer acquisition cost.
Addressing delivery delays and communication challenges through a hybrid system
With your experience in dropshipping with AliExpress, you’ll quickly notice that some products sell better than others in your WooCommerce store. Assign these products to a sourcing agent. The agent will handle sourcing these top-selling products and reduce processing time by shipping them directly to your customer as soon as the order is placed.
In addition to optimizing this time and your costs, you’ll be able to have your packaging customized before shipment by this intermediary. Stick with the traditional process for products undergoing testing. This hybrid system will give you greater flexibility. Ultimately, the goal will be to build a catalog of best-sellers so you can entrust all your logistics to a sourcing agency. Your delivery processes will improve, customers will be satisfied , and they’ll be more likely to place repeat orders through your ethical store!
How to Choose the Right Seller on AliExpress: The Criteria You Can Count On
Given the overwhelming selectionon AliExpress, choosing a supplier can be a daunting task. Rest assured, even though it’s a time-consuming process, it will pay off if you follow the right steps from the start. Here are a few surefire indicators of an AliExpress seller’s reliability.
Check the seller's overall rating
Even as consumers, it’s something we all do instinctively: look for social proof before taking action. To build a dropshipping site with AliExpress, you’ll need to go through this analysis. Read the seller’s profile carefully: if the satisfaction rating is 95% or higher, you can consider them a reliable seller.
Investigate the frequency and volume of its sales
How long has the company been in business? How many sales has this potential partner made? Does the seller make sales on a consistent basis, or do you notice any gaps in the comments, for example? Get a sense of the sales volume and frequency. If the seller makes a lot of sales on a regular basis, that’s a good indicator of the seller’s reliability.
Read customer reviews of its products
No one will speak more highly of your product than a satisfied customer . To find out if you’re dealing with a reputable AliExpress supplier, take the time to read customer reviews. A satisfied customer is less likely to take the time to post a positive review on a platform like Aliexpress (at least, less so than a dissatisfied customer ). If you see a lot of positive reviews under the Aliexpress productslisted by the supplier you’re evaluating, there’s a good chance they’ll be a reliable partner who delivers items that meet the end customer’s expectations!
Get your information straight from the source: Ask the salesperson your questions
Finally, the best way to complete your evaluation of a potential AliExpress seller is to contact them directly. Send them a message in English to learn more about their products, their processes, their shipping rates, and how easy it is to communicate with them. This will give you the opportunity to assess how quickly they respond before giving them a spot in your Shopify store.
Conclusion: Dropshipping with AliExpress—Outdated or Worth Exploring?
In conclusion, yes: dropshipping with AliExpress still works, but…
Basing your entire business on Aliexpress sellers has some advantages and major disadvantages. We’ve had the opportunity to demonstrate why the as we know it as we know it isn’t an option if you want to thrive with your e-commerce business. There’s no longer any room for sellers of dropshipping who peddle static, copy-and-paste techniques.
You'll need to stand out to build credibility for your Aliexpress store. To boost your business growth through dropshipping business with AliExpress, here are 5 areas to focus on:
- Build your brand image: branding, social media presence, and personalized customer experiences. The customer must be at the center of your strategy.
- Use these strategies to optimize your costs: source your best-sellers from a distributor to reduce delivery times, and build customer loyalty by offering referral and affiliate programs.
- Build your catalog carefully using tools such asAliExpress Dropshipping Center.
- Set aside a contingency budget for reimbursement costs, funding a sourcingagent ,and so on. Cover your bases to avoid unpleasant surprises, and learn the necessary lessons from every experience—even negative ones.
- Choose your suppliers carefully to ensure customer satisfaction. Consider various criteria and contact them directly to get a sense of their reliability and the quality of their products.
After reading this article, you'll be prepared to avoid the pitfalls of dropshipping with AliExpress. Ready to build your e-commerce site? Here, too, it’s essential to have the right support: your digital agency specializing in WordPress can help you build a profitable and sustainable business using WooCommerce or Shopify solutions. Contact us today for personalized advice!
