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How to create a dropshipping business?

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Business, Dropshipping, ecommerce

How to create a dropshipping business?

magazine team 21 Feb 2021

The dropshipping is a marketing technique of offering online products that will be delivered directly from suppliers to end customers. Online shopping sites act as intermediaries in the process. Creating an e-commerce then becomes much easier, faster and less risky: you don’t have to deal with stock, unsold items, shipments, etc. If you want to create an online store but have limited time and resources, dropshipping  is the ideal solution to get started anyway. We show you below the steps to start your business in dropshipping .

  • Choose a product
  • Choose a supplier
  • Create an online sales site
  • Marketing: a step not to be overlooked
  • Customer service

Choose a product

First, you will need to determine which products you want to sell. Pick a niche that you know well and that you have personally tested different models for. Even if you don’t need to stock up, you will still need to give your customers the best possible information! Preferably select unbranded products to avoid counterfeits. The opinions of customers who have already tested the products in question can be of great help to you. It goes without saying that the articles that you will offer for sale must be of quality and that their functioning or their solidity must have been proven. You can also learn about the categories of items that sell the best on the Internet.

Choose a supplier

Choosing the supplier for your dropshipping business is very crucial, as you will depend on them first for products and deliveries. Your goal is to find a reliable wholesaler with whom you can negotiate favorable dropshipping terms . The ideal would also be to be able to meet directly with your potential supplier if you have the possibility, so you will be better able to assess the seriousness of the latter. Feel free to test suppliers by making them small orders to see how things go and what the actual delivery times are. It may be tempting to choose a supplier in Asia, where the products are cheaper, but due to the large number of players in this field, partnering with a local supplier is considered less risky. In any case, learn very well about the company in question: satisfaction rate, responsiveness …

You will need to be sure that you can communicate quickly and properly with her in the event of a problem. Obviously, the supplier must be able to offer attractive prices that leave you a sufficient margin on each sale (the latter, to be comfortable, should be around 50%). To reduce your dependence on a particular supplier, you can consider having more than one. Thus, you will be ready to face if any of them change their conditions in a way that is unfavorable to you.

Create an online sales site

When it comes to dropshipping , you have the choice of creating your online sales site or using a turnkey site. There are even online services that include both vendors and online stores. You can also use an e-commerce solution like Shopify. Ideally, the system should be able to pass orders to your wholesaler without too much manual intervention on your part.

The online sales site is the showcase that you will need to take special care of, make sure that your customers are attracted by the design, that it is free of spelling errors and perfectly secure. In short, offer a beautiful showcase for your products. The site should also be well adapted to smartphones.

Marketing: a step not to be overlooked

You will understand that a large part of the business model based on dropshipping is based on your ability to stand out from your competitors by being faster and more present on the Internet. For this, you will have to invest significantly in advertising and natural referencing on the Internet. It is essential to arrive at the top of the results in the search engines because many prospects will not look any further. Be very present on social networks, many potential customers are there. Do not hesitate to launch marketing campaigns there with your target audience. Take care of the description of your products. The more precise and interesting your product sheets, the more your chances of appearing as a priority in the results will increase.

Also offer other “extras” to your customers: discount coupons, small gifts, etc. Customers are always sensitive to these attentions. On the shipping cost, offer free shipping if you can. This is a strong argument that can set you apart from your competition.

Customer service

Remember that when it comes to dropshipping , it is you as an e-merchant who is responsible for sales. Thus, you will need to establish terms and conditions for returns and refunds, as wholesalers generally do not take care of this aspect. You need to ensure that your customer service is flawless and that your customers have a satisfaction guarantee. Make sure you respond quickly and in a commercial manner to your customers when they ask for information or if they have a problem with their orders. Since you do not manage shipments and your supplier may be based in a distant country, it often happens that the times for your customers to receive goods are quite long. It may be appropriate to install a parcel tracking system at your site in the personal account of customers.

The dropshipping is an opportunity for traders wishing to launch their online shopping sites without having to invest a large sum of departure and he delivers them from all logistics related to commands. However, suppliers are also there because they benefit from showcases allowing them to sell their merchandise without having to manage marketing or the sales process. Carried out with the right partners, dropshipping allows you to launch your e-commerce quickly and while limiting the risks.

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