How To Run A Successful Drop-shipping Business

Drop-shipping business is the next-level version of the classic online store. It is a low-cost, low-risk opportunity for new entrepreneurs.

The first thing that you must d is find a reliable online dropship supplier. Then create your own online store through Shoppee, Lazada, or your own Facebook store or Website and resell products from your dropship supplier.

You will just order the product from your dropship supplier when someone buys from your online store. Your supplier will be the one who will ship the product directly to your customer.

You don’t have to keep inventory with this business model and you have the opportunity to sell to a global market.

Pretty interesting huh? Do you want to put up your own drop-shipping business? What are the tips that will help you succeed? Let’s find out!

How To Run A Successful Drop-shipping Business

Choose The Right Market

Before diving in, choose and know the right market for you.

You can target above middle-class customers for they have great impulse to buy online and have a lot of disposable income. They also have higher tendency to refer their friends to your store if they like the clothes, jewelry, gadget or accessories they bought.

Be Known For A Niche

Many online business is like a shopping mall where they have almost all of the items you are looking for. Your mini mall doesn’t have a chance to survive when you compete with big eCommerce sites such as Amazon, Lazada or Ebay.

Be a specialty store instead. Focus on a specidic niche and be known for that. You can focus on “summer dresses” “hip hop jewely” or “personalized shirt/bag/jewelry.

Update Your Products Regularly

Before you officially launch, sell around 25 products on your website then add up to 20 new items every week. Make sure to monitor what sells well and find more items of those type.

Don’t stop adding items on your store once sales starts to come regularly. Those purchases will eventually trickle down and stop once you stop adding new items. This is a common mistake of drop-shippers.

Make Your Website Customer Friendly

Make sure that your website is user-friendly. You can ask your friends for feedback then eventually from your customers. Know what color and design is appealing to your target market.

Offer Good Customer Service

Be ready how to properly handle issues like shipping problems and customer complaints. It is also normal to have product returns and exchange.

You must have not only aim for a good customer service. Aim for the best for unhappy customer can easily ruin your business by a single review.

Include Timeless And Trendy Items

Include classic designs that are always being sought after by your customers. Having a timeless pieces on your store is great but never forget to also sell what’s trending and popular in your niche.

Ask your supplier for tips on what’s currently new and selling well on your market.

Sell Only Quality Products

Have research on product reviews of the items you plan to sell to see what customers think about it. It will help you sort out which one is good or bad items to sell.

Entice With Discounts And Free Shipping

Use shopping psychology. Most people buy items when it’s on sale or if you offer a free shipping. The fear of missing out on a great deal is a strong motivation to buy on impulse. You can offer a free shipping for a limited time only or if the purchase exceeds a certain amount.

Having this kind of promo will persuade your buyers to buy more items from you.

Replace Bad Suppliers Immediately

Don’t hesitate to immediately replace a problematic dropship supplier. It’s not worth any risk. Your store reputation is on the line.

If your supplier keeps on shipping the order with wrong items or carry inferior products, replace them automatically.

Automate As Much As You Can

Running an online business allows you to automate a lot of the processes or outsourced at the very least. When your sales are good, you can hire freelancer like virtual assistant to help you in fulfilling your customer’s order.

You need to learn how to automate and duplicate yourself in order to scale and grow. In doing so, you can accommodate more and more costumers.

Invest On Online Marketing

Create a budget for online advertising. To reach new and more customers, you need to continuously do marketing. You can’t just rely on word of mouth and referrals.

Monitor Your Competition

Never let your guards down. Dropshipping business is one of those that have fierce competition. Regularly check what your competitor is doing and don’t fall behind in offering what’s new and trending.

You can consider doing collaborative promos with with and make it a win-win for all stores.

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