E-commerce Education Technology

How to start a dropshipping e-commerce



Dropshipping is an incredibly popular business strategy for young entrepreneurs, especially millennials and members of generation Z.

Since you don’t have to store or touch the products you sell, you may launch a drop shipping business on a tight budget.

An online store that uses the drop shipping business model buys the products it offers from a different supplier or manufacturer, who subsequently processes the order.

This reduces operating costs while also giving you more time to devote exclusively to customer acquisition.

The seven stages listed below might help you launch a company that can compete with global retail giants while operating on a tight budget.

Even while starting a drop shipping firm doesn’t require a lot of capital, it will be highly labor-intensive.

  1. Pick a niche

Your chosen specialization must be intensely narrow and align with your own interests. Unfocused product lines will be challenging to sell.

It takes a lot of work to build a drop shipping business, so you’ll be more likely to become disappointed if you aren’t passionate about the niche you choose.

When choosing your specialty, keep the following things in mind:

Look for lucrative earnings.

The emphasis of a drop shipping business model is on marketing and client acquisition, therefore selling a $20 item requires about the same amount of labor as selling a $1,500 item.

Pick a market with more expensive items.

Low delivery prices are crucial. Even if your manufacturer or supplier will take care of the delivery, if the price is too high, it can deter customers.

Find something that is reasonably priced to ship so that you may provide free delivery to your consumers and defray the cost as a company expense to increase sales.

Make sure your product will appeal to impulsive, affluent consumers.

Because the majority of website visitors won’t come back, you want to have the best conversion rate possible while you are working to increase traffic.

The goods you are offering should entice people to buy them on the spur of the moment and appeal to those with the means to do so.

Verify that people are looking for your product.

When researching some popular search phrases for your possible niche, use Google’s Keyword Planner and Trends tools.

You are out of luck before you even start if no one is looking for what you want to sell.

Develop a unique brand. If you can rebrand whatever it is you are offering and present it as your own, your drop shipping business will be more valuable.

Look for a product or line that you can white label, brand, and sell under your own name.

Sell a product that isn’t easily accessible in your area. Choose a product that your consumer can’t get on the street.

You increase your appeal to potential clients in this way.

  1. Research the competitors.

Keep in mind that you will be up against other drop-shipping businesses and retail behemoths like Walmart and Amazon.

Many would-be drop shippers make the mistake of looking for a product that has little to no competition in this area.

That is evidence that there is no market for that specific good.

A product may not have a lot of competition for a variety of reasons, such as expensive shipping, problematic suppliers and manufacturers, or slim profit margins.

Look for items with the competition since this indicates strong demand and a long-lasting business model.

  1. Locate a vendor.

It’s critical that you take your time with this stage since choosing the incorrect provider to partner with can completely destroy your company.

Apply the appropriate due diligence. Since the majority of drop shipping providers are situated abroad, communication is crucial for quick responses and mutual understanding.

Move on and continue your search if you are not completely confident in a possible supplier’s communication skills.

One of the most important web platforms for finding and contacting potential manufacturers and suppliers is Alibaba.

In case your company expands rapidly, be sure to probe deeply and find out about its capacity for manufacturing. Make sure they can scale with you by checking this.

Try to pick up tips from businesspeople who have previously traveled this route.

There are several information sources accessible, like this drop shipping subreddit as well as tech and business blogs.

It’s a well-liked subject that may assist you in avoiding pricey supplier errors.

  1. Create your online store.

Using a straightforward e-commerce platform like Shopify will enable you to construct a website that supports a drop shipping business model the quickest.

It includes many applications to boost sales and is easy to use even if you have no IT knowledge.

Use one of the plug-and-play solutions, especially in the beginning, even if you have a significant budget that would allow you to engage a web design and development business to construct a unique solution.

You can consider more website personalization once you’re established and making money.

  1. Develop a strategy for customer acquisition.

While having a great product and a website is fantastic, a business cannot exist without interested clients.

There are several ways to draw potential clients, but starting a Facebook ad campaign is the best choice.

This enables you to start making sales and money straight away, which can help with rapid expansion.

You may put your offer in front of a highly targeted audience on Facebook.

As a result, you can immediately compete with the biggest brands and shops.

Search engine optimization and email marketing should also be priorities since you must consider the long term.

Gather email addresses right away, then create automated email campaigns with deals and discounts.

It’s a simple approach to increase revenue without spending more on advertising or marketing by utilizing your current consumer base.

  1. Examine and improve.

To expand your firm, you must monitor all the data and KPIs accessible.

If Facebook is your primary route for attracting customers, this also includes data from the Facebook conversion pixel and Google Analytics traffic.

You can grow what works and get rid of what doesn’t when you can track every conversion, knowing where the consumer came from and what path they followed on your website that ultimately resulted in a sale.

There will never be a marketing or advertising solution that you can just set and forget.

To determine whether to optimize or change the campaign budget, you must continuously explore fresh opportunities and tweak running campaigns.

  1. Optimization

To maximize the amount of money you make online, testing and optimizing are, in general, the most crucial aspects of running a successful online store.

This guarantees that your website won’t lag behind best practices and maintains you one step ahead of your rivals.


You’re all set! Regarding how to launch a dropshipping business, we’ve got you covered.

You may take steps toward creating your own online empire by incorporating some of the recommendations from this article into your own online store.

And keep in mind that starting a dropshipping business from scratch is the greatest approach to learning how to do it.

Author: Sarwar Abdullah Founder at VAtask.com

Author Bio

Content writing is my passion. And I believe in following my dreams to achieve my goal in life! I am a full-time entrepreneur who believes in investing his time in his profession and passion equally.