Ever dreamed of having a business, but do not have the necessary location and inventory to start a business. Well, a few decades ago that would have just remained a dream, but today with the onset of Information Technology and the reach of the World Wide Web, this dream can turn into a reality.
This reality is called Dropshipping. What exactly is Drop shipping? Well, Dropshipping is an online retail method, whereby the company doesn’t keep the products in stock. Instead when they receive an order, they buy the product from the supplier and ship it to the customer. Essentially, it works as a standard retail store but without the hassles of owning and keeping stock. They get the stock from the manufacturer or wholesaler as and when needed. This is possible through the facilitation of attaining stock through the Internet and dispatching it to the consumer.
How to get Started:
You can buy and sell products on online markets to start off your business. However, if you really want to excel in this line of business, then the best thing to do is to have your own online store. There are many ways in which you can build your online store such as making use of online store builders like Shopify. These sites can help you create a web store by using their features and templates to create an online page and then adding in your products and services.
But before you actually start building your online store, you need to look at certain factors that will ensure success in your business.
- First, you need to conduct market research. Find out the products that are trending. Consider factors such as market saturation, competition in that particular market before you decide on the products you feel will be viable options to start selling.
- Next, get to know your target market and niche market. Look at the demographics, age and gender of your target and then pick your products according to these factors.
- Then, you need to choose the right dropshipping product. Not all products will yield success, so finding the right product is essential. There are no hard and fast rules to which product will be successful but you can start by making a list of possible products based on research, facts and figures. You can consider aspects such as retail price, size and weight of product, the durability and turn over rate of the product.
- After you have determined your product, find the right supplier. An efficient and reliable supplier will ensure that your business will be a success and your sales will not lead to delays or damaged products.
- Once the basis of your business has been set up, you can either sell on the online market or make your own website. Making a website allows you to brand your business which is beneficial in the long run.
- The website you create needs to be marketed to attract customer and build awareness. This can be done through social media sites, email marketing and PPC sites. All these are good ways in which you can make your presence felt online and start selling.
This ends the comprehensive guide on setting up your own online dropshipping business. Once you have mastered the above steps, you are well on your way to make your business a success. An advantage of this kind of business is that even if you feel that a particular product or strategy is not working, you can change your product line and experiment with other products.
Due to the low cost involved, you have the flexibility of experimenting until you find the right products that will help make your dream come true.