Dropshipping is an activity that has created a buzz in the world of e-commerce. It has made it easier for many people to become online entrepreneurs. Out of 100 virtual businesses, 33 of them are dropshipping shops at the moment.
To get started in dropshipping, you need to take the time to prepare and then look for reliable suppliers while creating your optimal sales tunnel. This is the basis for launching a profitable dropshipping business.
Allow yourself time to get started
Before embarking on a project, you have to prepare yourself. It's the same for dropshipping. Study the different parameters of this activity, discover the good and bad practices. Even if many entrepreneurs advise you to start as soon as possible, don't neglect your knowledge. It will make the difference between successful dropshipping and not.
Select your product niche
The term " niche " is often used in professional activities on the Internet (in SEO or SEM for example), it is also true in e-commerce. A niche is simply an area that is specific enough to identify a precise clientele. It is a form of specialisation. Example: Dog collars are general, anti-bark collars for dogs are a niche.
By having a niche (you'll find niche ideas in this article if you don't have one), you'll be able to focus on how to develop your dropshipping site, design your content, and most importantly target your potential customers.
It will also improve your SEO. For example, if you offer products forsenior citizens, search engines will direct all those people who are looking for senior citizen products to your shop.
Determine the competition in your market
Thesecond phase is to assess the level of competition in your market and to find out which companies will be your main competitors.
Researching competitors gives you an idea of whether there is a high demand for the product you are considering selling. It also gives you an idea of the price at which the product should potentially be sold.
You will also get the customers' point of view on your future product as well as the weaknesses of your competitors. This will prevent you from making the same mistakes in order to get more customers.
Finding a good supplier
Once you have finalised your niche analysis, your next step in building a successful dropshipping business will be to find the right supplier. The choice of supplier is the most important step for your business. It can either take your business to new heights or cause it to fail.
The goods that will be sent to your customers will be shipped by the supplier under your company name. This means that your brand image is at stake.
Therefore, research thoroughly the suppliers available on the market. Read the reviews given to them by customers and then decide whether you want to exhibit their products or not.
If possible, try to order a few pieces from them. This will allow you to check the quality of the product, its packaging and the time it took to reach you. All of these factors will help you decide if they are the right supplier to make your customers happy or not (with the product and/or your service).
If you are satisfied with the quality, start a conversation with the supplier. Ask lots of questions and clarify your concerns before selecting them. If you have doubts or are not comfortable with them, continue to look for a better supplier.
You can also contact designated dropshipping platforms for help. For example, Drop Commerce is a leading e-commerce application that allows businesses and entrepreneurs to dropship high-quality products from North American suppliers.
Create your website
Your website will be the place where people can choose products and place orders.
You don't need to get a degree before creating your website. There are a multitude of platforms available on the net to create your website in just a few clicks
You can use WordPress with the Woocommerce plugin to set up your website. You can choose from several themes for your dropshipping business. There are free themes, others are premium, i.e. they are paid.
The same goes for Shopify, which has a wide variety of themes. Make sure that the theme you are about to choose is suitable for your business. Make sure that all the settings you choose are in line with your business.
In addition, check how your items will be presented on your website, and whether or not this will appeal to your potential customers.
Before choosing a theme, check if its demo is well done and corresponds to what your target audience has the right to expect from an e-shop. The more confidence you give, the more you will turn your visitors into customers.
Add products to your website
Once you have designed the website, you can now turn it into an online shop.
For any online shop, images are of the utmost importance. The presentation of the site (the images) should do the job of attracting the senses of your customers and convincing them to order the products.
You can post photos of the products available in your suppliers' shop. Even if it is ideal to take original photos so that the same ones are not present everywhere on the web.
There are several applications for stock management that also allow you to manually arrange images in your shop. These applications also allow you to calculate :
- shipping costs ;
- your supplier's fees;
- your benefits ;
- etc.
You will be able to take aesthetically pleasing photos of the products and upload them to your website, if the ones from your supplier are not suitable or if you want to go further with the branding of your website and the products.
Set a profitable price
What is the main purpose of running a business? Making money, right? For your dropshipping business to be successful and profitable, you need to set a reasonable price for the product that covers the cost of the product and other overheads.
A simple rule of thumb for setting the dropshipping price is to multiply the actual cost of the product by 3.
This will allow you to manage your marketing, day-to-day expenses and other expenses related to running the business. You can raise or lower the price depending on how much profit you want to make.
Do not set a lower price to compete with your competitors. Lowering your price means lowering your profit, or covering expenses out of pocket.
Write catchy descriptions
Images alone cannot convince the customer to buy from your website. You need convincing product descriptions so that your customer has no choice but to add the product to their shopping cart.
A good product description increases the chances of a sale. So make sure you provide all the relevant information about your product. Highlight its design, size and other necessary details that a customer would be interested in knowing.
Make sure you use language that is easy to understand. Avoid using vocabulary and terms that are difficult for the general public to understand.
Invest in advertising
Advertising is a key factor for the success of your project. As dropshipping is an online activity, you must necessarily animate your page. Advertising is therefore very important. It is thanks to it that your future customers will know you.
Encourage people to buy from your website
Without customers, your dropshipping business will be useless. Select all possible channels and start establishing your presence there. Capture the attention of a wide audience by joining social media and creating your company profile there. Make sure you offer content that is relevant to your niche in order to attract the right prospects.
Create engaging content, connect with people in your industry, stay active in groups and communities to let people know you exist in the market and that you offer great products.
Also start blogging. Blogs are a great way to drive organic traffic to your shop. They allow you to incorporate the keywords that your potential customers use to find you. Create useful and engaging content, add graphics such as
- images ;
- infographics ;
- GIFs ;
- videos.
If you sell products that require a proper demonstration, you can even create your own YouTube channel and create videos that show how to use the product or what other benefits can be derived from it.
Create exciting offers
Some amazing ways to attract customers to shop at your newly established dropshipping shop is to offer compelling offers and packages on your website.
Hold sales and offer special discounts to your potential customers to encourage them to buy from your shop. Discounted prices speed up the customer's decision making process.
Bundles are also a great way to get them to pull out their credit card.
Stay active
To increase the turnover of your dropshipping business, you need to stay active to generate orders and profits. Try to spend at least a few hours on your website and on your company's social media accounts.
Respond to your audience's questions and concerns, engage more on social media to increase brand awareness. Try to process orders as soon as possible.
