Dropshipping is nothing new, and is generally very simple to understand.
When you are dropshipping, you are a store owner, without stock. You get an order for a product; you pass that order to the supplier of this product. The supplier then sends the product directly to your client.
Traditional retail stores and a lot of online businesses actually keep stock of products in a brick and mortar location, and then ship orders to their clients. With dropshipping, you don’t need to have a warehouse; your suppliers take care of it.
This business model allows you to focus on the most important: get orders for your products and make profits from the margin you created, all this from a laptop! For this reason, millions of people want to or have started a dropshipping business, which can become your main occupation in the long term!
Of course, nothing comes easy, and like every business, hard work is required, but once you understand the basics, you can easily keep going and improve!
Why do dropshipping?
It’s easy to start
Many people with successful stores have no previous experience in retails, e-commerce or business in general. We live in a world where you can learn about everything easily on the internet. There are 1000s of free online content for you to learn from on YouTube, Facebook and many other places.
You can create a store online now in a couple of minutes, there are plenty of platforms which specialize in this. You can then find products and start selling as soon as you feel confident enough!
Some basic knowledge is required, and finding the right tools to help you will most likely take some time, but you can learn as you go.
The same is true about the starting cost; you don’t need thousands of dollars to get started! There are plenty of opportunities to start to make a profit with the right information!
It’s easy to manage
You can manage your store and your spending very efficiently and easily just from a laptop. You don’t need an office, you don’t need a warehouse, you just need the internet.
You are your own boss, you make your own hours, and you get to work from where you want, as much as you want. You make the decisions, and you decide what’s good or not. Very few business models give you as much freedom.
Growing your business will only depend on you. Once you have found the right product for the right audience, your only worry should be to get more sales!
Too good to be true?
It is important to note that dropshipping is not an easy way to make money out of thin air, it also requires time and dedication. You will most likely not make millions with the first product you try to sell, and you will never stop learning. Nothing comes for free, and the secret to succeed in dropshipping is to persevere and keep trying, keep learning.
You will need some basic capital in order to start your business, for the store itself, the domain, trying and testing product and advertisement.
The cost may vary depending on the platforms you use, but here is a breakdown of what the first two months should cost you in the worst case scenario:
You need to find and pay for a platform on which to create your online store. This is an imperative.
Take your time to do some research, and take even more time to make it attractive to your potentials customers. An attractive store will help you get more sales! There are different platforms on which you can create a store, such as Shopify, WooCommerce or Wix. Find the one best suited for you.
A good store is a brand store. Your name is as important as your products; it is part of your identity and will help your customers feel closer to your brand. You can ask your friends for suggestions, use a name generator then work from there, but make sure that you enjoy that name, and other people too! You can buy a domain name on various websites specialized in this, like Godaddy.
Testing orders: Depends
Testing if everything is set up correctly is important, you will want to try and place orders on your store as a regular customer would to make sure there are no bugs, and that everything goes as smooth as possible. The amount you spend on those testing orders will depend on the value of the product you decide to sell.
You will need to advertise your products to get customers and orders. You can advertise on Google, Facebook, Instagram, or any other platforms. The price of an advertisement will vary depending on the platform you choose, and your target. Make sure to research what platform is best suited for the type of products you sell!
As you can see, dropshipping is a very straight-forward business model, but it does require some basic knowledge, which can be forever expanded, and can be started and managed easily!
It is not a way to magically make money, but a real business that requires efforts. The only difference between a successful store and one that fails is the motivation one will put in it, along with the preparation, knowledge and research done.
Don't hesitate to contact us if you have any questions!