Dropshipping is one of the most popular models for people trying to build an online business. It allows people to start on a relatively small budget, and some dropshippers have been able to make millions from their stores in a relatively short time. Not everyone will have success with the model, however. As a matter of fact, most people aren’t, and it’s usually because of inexperience and/or lack of preparation. In this article, we’re going to look at some of the things you’ll need to do if you want to be successful with dropshipping.
Know How to Pick a Niche
Knowing how to pick a niche is the single most important skill when dropshipping. You have two main approaches here. You can decide to go with either a niche that is very popular with lots of competitors, or a slightly smaller niche with less competition.
Both of these options have their pros and cons. A highly competitive niche will have proven sales, and if you can find a way to get visibility for your site outside of the main channels, then you could be very successful. Going with a smaller niche comes with more risks, but if you have a winner, you could make a killing. So, you will have to find the option that works best for you.
You also have to be very careful with things like shipping costs and returns when picking a niche, and this is one of the things that ends up sinking so many of these businesses. Try to stay away from very personal products like clothing and try to stick with items that aren’t prone to returns. Favour items that are cheap and easy to ship too.
Get a Real Website
You can always build a website on your own on a platform like Wix or Squarespace, but it would be a much better idea to let pros handle this part. Go for a web development agency that is familiar with eCommerce if you want a site that will convert well from the get-go. If you don’t know what to look for in a web design agency, just look at their previous work and contact them for a phone or Skype interview.
Ask them about their expertise in the domain and their team. A good web design agency will be willing to give you all the information you need and should be open to giving you referrals too, so start looking at a few today and give them as many details as possible on what you’re trying to do so you can find a team that will be a perfect fit.
Automate What You Can
You cannot expect to run a dropshipping business on your own without automating some parts. If you put everything into excel sheets, you will eventually get lost, which will lead to delays and complaints. Instead, start searching for tools that will allow you to automate invoices, payments, shipping, shipping confirmation, and certain customer service functions before getting started.
All of these things should give you an edge in the dropshipping business. Be ready for some trial and error at first if you eventually want to find something that works and try to be as creative as possible with your marketing if you want to make a space for yourself.
