How to Start a Dropshipping Business?
Learning how to start a dropshipping business, as with any type of venture, isn’t easy. Nevertheless, it’s a great first step into the world of entrepreneurship. You can sell to customers without holding any inventory. You don’t need to pay for products upfront. And if you’re serious about your new venture, you can build a sustainable source of income in the long run.
If you’re contemplating dropshipping, consider taking the following business and financial steps in this complete dropshipping tutorial.
Some are mandatory from the outset, while others are just a good idea, but dealing with them up front will save you time and headaches down the road.
How does the Dropshipping Business Model Work?
Dropshipping is an order fulfillment method that lets store owners sell directly to consumers without stocking any inventory. When a customer purchases a product from a dropshipping store, a third-party supplier ships it directly to them. The customer pays the retail price you set, you pay the suppliers’ wholesale price, and the rest is profit. You never have to handle products or invest in inventory.
In order to sell products, you just need to register an account with a supplier.
1) Through a supplier database, like Dropship Direct, Alibaba, or AliExpress.
2) Using an integrated supplier directory in your store’s backend, like Oberlo.
The easiest dropshipping process for Shopify stores is through Oberlo. You can source millions of products from the Oberlo marketplace through AliExpress and import them directly to your store with the click of a button.
When a customer buys something in your store, Oberlo fulfills the order automatically. All you have to do is double check that the order details are correct and click the Order button. The product then ships from the AliExpress dropshipping supplier to the customer, no matter where they are in the world.
In the dropshipping business model, you are responsible for creating a website and your own brand, as well as choosing and marketing the products you want to sell. Your business is also responsible for shipping costs and establishing prices that result in a good profit margin.
Where to Find a Dropshipping Business for Sale?
If you don’t want to create a dropshipping business from scratch, you can find a dropshipping business for sale on Exchange, Shopify’s marketplace for buying and selling online stores—from ready-to-go stores to dropshipping ecommerce businesses to established empires. With over 10,000 online stores for sale, you can find a dropshipping business that matches your interests and budget and start running it right away.
Through Exchange, you can see information about a potential dropshipping business for sale, including traffic and revenue data, in the listing. The data comes directly from Shopify and cannot be edited, so you know exactly what to expect once you buy your dropshipping store.
Start a Dropshipping Business
Here are the 9 steps to start your own profitable dropshipping business:
1) Commit to starting a dropshipping business.
2) Choose a dropshipping business idea.
3) Do competitive research.
4) Choose a dropshipping supplier.
5) Build your ecommerce store.
6) Decide on a business structure.
7) Get your finances in order.
8) Market your dropshipping store.
9) Analyze and improve your offering.
Read more here.
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