7 Steps to Begin a Dropshipping Business as Side Hustle
You've probably heard of dropshipping, which has created the best online business opportunity. Dropshipping is an online business platform that can help make a prospective eCommerce entrepreneur a lot of money. With a minimal amount of beginning capital and some sweat equity, you can start dropshipping.
Dropshipping has quickly grown in popularity as one of the most popular online business concepts, and with good reason. According to Statinvestor, there were 1.66 billion digital buyers worldwide in 2016. That number is predicted to rise to 2.14 billion by 2021.
Dropshipping allows people to run physical businesses without having to hire full-time employees or rent a warehouse. It's a 21st-century approach to launching a product-based firm.
What is Dropshipping?
According to Shopify, Dropshipping is a retail fulfilment strategy in which a store does not maintain the things it sells in stock. Instead, when a store sells goods, it buys them from a third party and ships them to the buyer immediately. As a consequence, the merchant is never exposed to or in contact with the product.
To put it another way, dropshipping allows you to develop and sell things without needing to keep inventory on hand. One of the best aspects of beginning a dropshipping business is not having to purchase inventory.
It helps you to get into the burgeoning online marketplace without having to make large upfront product investments or acquire storage space. As a drop shipper, you can also avoid the upfront costs of shipping goods and freight charges.
All you need to start a dropshipping business is a market, a buyer, and a way to communicate with your clients.
What is a Dropshipper?
A dropshipper is a manufacturer or supplier who handles inventories and ships orders for a retail store. The merchant is primarily responsible for attracting clients to the store and processing orders, so you'll effectively be acting as a middleman. Regardless, by marking up the products you sell, you'll receive the lion's share of the earnings. It's a straightforward business idea that can pay off handsomely.
Dropshipping attracts millions of businesses since it has fewer entry barriers and takes less capital to get started. That's most likely why you're curious! What's more, the finest news of all? Dropshipping allows you to start a long-term business from the comfort of your own home.
However, there are disadvantages and benefits to this business strategy, and it's critical to consider them before launching your own dropshipping eCommerce venture.
Working from Home with Dropshipping as a Side Hustle
What is the main benefit of dropshipping? It's the ideal side job because it's flexible and doesn't take up much time once it's fully operational. Many entrepreneurs opt to do dropshipping on the side while working a well-paying full-time job. To put it another way, you don't have to give up your day job in order to pursue your business dreams.
The most prevalent issue is that having a side hustle will interfere with your current job but believe it or not dropshipping is fine with it.
Dropshipping does not need a significant amount of time or effort, so you should be able to execute it without difficulty. Are you concerned that your side gig will cause you to underperform? You are not required to be! You can run a successful dropshipping business even if you only spend a few hours a day on it.
Nevertheless, It is vital to be aware of your limitations. If you frequently work overtime at your day job and struggle to find time for important daily chores, you may not be able to devote the attention that a dropshipping business requires. Even though dropshipping does not require a lot of time, you will need to make time for it.
In 7 Easy Steps, Learn How to Start a Dropshipping Business
It is not necessary to plan for weeks or months before starting a dropshipping business. With a little determination and perseverance, you can be up and running in a matter of days.
1. Pick a Specific Niche.
To begin, you'll need to decide on a business type or speciality.
Health and beauty, fashion, electronics, outdoor life, children and toys, and domestic products are examples of niches. It's critical to be specialized with your business as a dropshipping novice and tests new lines before expanding your niche.
for example, if you want to work in the fashion industry select if you want to offer products for children, men, or women. You may go even smaller and sell only women's shoes, or you can get even more specialized and sell only heels, flip flops, or sneakers.
Choosing a specialization for your dropshipping business will help you stay focused on the proper customer while you develop your brand.
2. Pick a Platform for your Project.
Products for dropshipping can be listed on a variety of sites, including eBay, Amazon, Etsy, and your own website. To reach a wider audience, list the same things on multiple websites.
Another popular choice is Shopify. You can link your Shopify account to your own website or one of Etsy's third-party sites. For new dropshippers, Shopify offers affordable choices as well as premium capabilities such as abandoned cart targeted marketing.
Even if your audience is modest at first, you can choose to create your own website and leverage it to sell products and establish an email list. At the same time, you can increase your exposure by listing your products on sites like Amazon or eBay. These platforms are well-known and respected, and consumers use them to search for products like yours on a daily basis.
Developing your own website and employing a specialized marketing plan to attract visitors to your storefront will, in the end, provide you with the highest profit margin. You won't have to pay the high listing and selling fees that Amazon and eBay impose.
3. Make a Product Selection
It's time to choose the precise products you want to sell after you've decided on your speciality and where you'll post your stuff. Make a decision based on your niche.
Will you be selling bridal gowns, sunglasses, or toddler toys? You could be able to include an entire range of things within your niche, depending on your dropshipping suppliers.
In the beginning, don't get too carried away. The goal is to start small and appeal to a specific demographic. You can eventually expand your product line to fill in the holes in a larger niche.
4. Establish your Brand and Loyal Fans
Unless you wish to sell under another company's brand, you'll need to brand your things next. Finding established brands that accept dropshipping isn't a negative thing. However, because they often charge a high percentage on each sale, you may find it difficult to scale your business in the long run if you choose this option.
You may establish your personal brand and a social media following at the same time. Create business accounts on a variety of social media platforms and share essential information on a daily basis. People will begin to notice you and your brand if you are consistent. Take advantage of the opportunity to build an email list and advertise your items.
Instagram, Facebook, and Pinterest are the greatest social media channels for growing a following. Determine where your target market spends their time online and expand your social media presence there. Keep in mind that being honest and authentic will help you connect with your audience. This will help people connect with and trust you, making them more likely to purchase your goods.
5. Select your Dropshipping Vendors
The key to your success is selecting dependable dropshipping suppliers. When feasible, do your research, test, and compare products.
If you're dropshipping from a country other than your own, it's critical that you see and touch the product first. You don't want to be accused of selling low-quality goods and receive refund requests or negative feedback. If it's a knock-off that doesn't perform the job, a $50 vacuum is meaningless.
Check to see if you can secure a sample of the product to use in promotional images and materials. Make sure this is factored into your startup costs.
Dropshipping suppliers such as Alibaba or Oberlo can help you get started. Directly research manufacturers to see which one is ideal for you. Some companies may be prepared to put your logo on the product and distribute it directly to your clients.
Consider distributing products on behalf of an established brand if you aren't ready to brand products as your own. Many manufacturers want to keep their name on the product and promote and sell it through dropshippers. This is especially beneficial for young dropshippers who are trying to build a reputation in their area.
6. It's Time to List your Stuff for Sale!
It's time to publish your things online and start selling now that you've decided on a product, supplier, and platform. However, there is still worked to be done.
You must develop a unique title, make precise bullet point descriptions, and set a competitive selling price for each item when listing it on Shopify, Etsy, or any other site. This is where your competitor analysis comes in helpful, as the information can help you improve your product listings.
You shouldn't become discouraged if you don't sell an item on the first day. It might take weeks, or up to a month for a dropshipping business to get traction. It could take a year or longer if you don't have a lot of time to devote to your firm right away. During this stage, you'll need patience and perseverance.
7. Keep an Eye on Your Results and Figure out How You Might Improve
The hard work isn't done just when your products are on the market. The competition, demand, and product offers in dropshipping are constantly evolving. That is why it is critical to understand what works and what does not.
You may enhance your dropshipping business over time to better serve your target market and sell what they desire. Take a poll on your social media platforms or email list if you don't know what people want. It might inspire you to come up with fresh goods to meet their everyday demands.
The greatest method to create a successful dropshipping business is to listen to your customers and provide what they require.
Dropshipping helps make e-commerce appear simple, but success requires effort and perseverance. Your efforts should pay off if you adhere to the basics and don't deviate from your business plan.
Make a niche for yourself and stick to it. Don't be hesitant to list your products on many platforms, test the quality of your product before going full-scale, and learn from your triumphs and failures. Knowing how to dropship correctly can make the difference between a time-consuming hobby and a full-time, home-based business.
You may begin from the small, with uncertainty and possibly a fear of failure, but all great enterprises have this common origin. Create a strategic strategy, assess prospects and costs, get started, and realize your business goal.