Until a decade back, e-commerce was only the unrealistic imagination of businesspersons but it has now become a reality. Along with its surprising growth, it has brought into existence some fascinating business models.
A brand that outsources its products and has them delivered under their brand name- that is drop shipping! Interesting, isn’t it?
For most of the people who enter the e-commerce industry as drop shippers, it starts as a side game. And, eventually, if they’re focusing well and doing all the right things, it becomes their major work, moving everything else to the side. Sounds like the perfect entrepreneurial life… but, hey, it isn’t that easy. This demands dedication and some smartness.
Here’s a quick view of the 9 drop shipping tips we have for you, explained later –
Tip #1. Find Your Niche
Tip #2. Handle Your Logistics
Tip #3. Get A Sample Of The Product
Tip #4. Establish Good Retailer-Supplier Relationship
Tip #5. Optimize Your Website
Tip #6. Marketing Is Imperative
Tip #7. Ask Suppliers For Reviews
Tip #8. Plan For Returns And Other Issues
Tip #9. Monitor Your Competition
71% of consumers who’ve had a good social media experience with a brand are likely to recommend it to others. According to The 2018 Omnichannel Buying Report, consumers spend 69% of their discretionary income to shop in-store. At the same time, Gen Z consumers spend 8% more of their discretionary income each month online than the global average. Despite the competition being so tough, e-commerce is posing as a threat to in-stores because of its rocketing growth.
Hundred mouths will speak hundred different things. And, we being the facilitators of more than 300+ drop shipping brands in India, have learnt about it through experience. Summarizing our learning into nine drop shipping tips, we are trying to throw some light on the parts of the drop shipping path that remains invisible for most people.
Here are the top drop shipping tips for e commerce entrepreneurs you must know –
This is the first decision you need to make as a drop shipper so make sure it’s a good one because it will either make or break your business. You need to believe in the product you are selling because if you don’t, it will show.
Find something that you are passionate about or that your customers would be passionate about, for example- Printrove drop ships regular products like t-shirts, phone cases, notebooks, mugs, coasters etc and the seller gets to choose his design. Here, design becomes personal to the seller and to his audience, and hence, he sells more.
It will be exciting and more profitable to sell everything that comes your way but you need to be very inquisitive about the price of these products and if the supplier can make them available to you anytime you want.
If you are just starting out, it would be recommended you choose a product that isn’t fragile and doesn’t require much technical assistance.
By ordering a sample you are not only checking the quality for yourself but also understanding the product’s dimensions, and the look-and-feel better. When you have sample products, you have more power over how to photograph it and how to make it look more appealing to your customers.
Your product descriptions will be accurate as you will have a first hand reference point. It will also help while writing or recording product reviews. You can make all the necessary changes or adjustments.
This is a very self explanatory tip but we place special emphasis on it because in a drop shipping business, coordination is everything.
List down all the aspects of the business that you and your supplier need to consider and together land on an agreed sales strategy.
Cognizance of what is happening in your business is crucial and thus, communication with all divisions of your business is a must. Maintain absolute transparency with your supplier so there is mutual respect and trust.
The first interaction you have with your customer is through your website. It is essential that you develop a user-friendly and automated website so both of you are benefited at the same time.
Refer to competitor websites and analyse how they are doubling sales with their ease of website navigation. Only once your website is uploaded with all the relevant information should you market it.
It would be a marketing failure if you lead customers to your website and it isn’t efficient enough.
Buying, selling and delivering is just one part of your job but if you want to develop a strong brand presence, you need to be available to your customers all the time.
Your social media is your direct connect to the audience, so be sure to answer their doubts or just have a conversation.
When you personally acknowledge people, conversion rates are higher because your brand becomes more authentic and professional.
You can have the maximum number of ads all across the city but what truly gets a customer to believe you is real testimonials. If you don’t have enough product reviews then people will assume that you aren’t doing as great.
The conversions will be low if there is no one to testify that they have used your brand’s product and it has worked out well for them.
The easiest way to get testimonials to ask your customer for a feedback once the product has been delivered.
Just like any other business, drop shipping also has its set of potential risks like lost or stolen shipment.
Returns can be complicated because you don’t exercise direct control over what the product is and how it will reach your customer.
Nevertheless, planning for these hypothetical scenarios is a great way to control damage if it happens. Develop a policy framework with your drop shipper at the start so both of you are clear of the consequences and work harder at reducing risks.
Don’t look at your competition as a negative, instead look at what they are doing right. When you practice a balanced observation, it helps you learn and grow.
Observe how they handle their social media profiles, what campaigns they are running and what is their target audience’s response.
You will get a sense of what kind of products work in the niche and how should they be marketed.
Do you think you’re ready to take on this thrilling journey of drop shipping? No? Do you think you’ll ever be ready for it? Start your Dropshipping business right away!
Well, there’s no perfect time. You will learn and improve along the way. Take these drop shipping tips along for guidance, and make up your mind. Other than print-on-demand drop shipping, there will be no other easier way to reach millions of people and serve them with awesome products that you can design on your own. What do you think?