Dropshipping: how to start a direct supply business
Internet sales are now more popular than ever, and the number of e-commerce companies is only growing.
Dropshipping is a great option which will allow the budding entrepreneur to start his business without much cost.
Dropshipping is a direct supply business model. You are in charge of marketing strategies, communication with customers and sales. Warehouse management, packing and shipping or returns are handled by your supplier.
Advantages of dropshipping
Business start-up costs are low, you only need funding for marketing and your website. If you have a small start-up budget, dropshipping is the best option, as you don't have to spend on production, purchasing and stocking before you sell.
All this allows the entrepreneur to focus on better customer service, on how to make sales effective.
The ability to work from anywhere in the world
No offline shop, no warehouses. All you need is access to the internet.
Easy to scale
All the inconvenience of scaling your business with the dropshipping model falls on the suppliers.
How to start dropshipping</h3.
Define your niche. What problem your product solves, what your competitors are missing.
When choosing a niche, consider the following:
- Cost of delivery. Delivery of oversized and heavy goods will cost more, which will affect the cost and the buyer's willingness to pay it.
- demand for the product. Check with Google trends to see if people are searching for your product.
- competition. Check if they are offering on sites like olx, prom, rozetka.
Find a reliable supplier. Your dropshipping supplier is key to the success of your business. Delivery time, reliable packaging and quality of goods - everything is in his hands. If something goes wrong, blaming the supplier for the customer is an unacceptable tactic.
Create a website. Your website is as much a part of your success as your supplier. Poor design, awkward functionality may be the reason your project fails.
Attract customers. Use different marketing strategies for promotion.
How to understand that you should start your business in dropshipping.
- you are solving a customer problem better than your competitors.
- your product meets a need or demand.
- Your offer is unique or valuable.
If the answers to all these points are positive - you can start a dropshipping business. Good luck!