It is very important that you must follow all of the following process step-by-step if you want to see results in your life and business. One of the most important secrets that you need to follow is: "Don't try to do anything that is Original when starting out".
Before we start talking about the strategies that will help you succeed when starting dropshipping business, let's get the basics clear:
What is Dropshipping?
You must have heard the word "Dropshipping" before, but have no clue of what Dropshipping means. Well, here it is:
Dropshipping is a low-risk business where YOU(Retailer) never actually own the inventory you are selling. In other words, you are the middle-man who actually sells the products in your website - and when you receive the order - you pass on the order to the dropshipping company. The dropshipping company will do all the required work for you - pick, pack and shipping to the customer. Your profit is actually the difference between what you charge the customers on your website - and what the dropshipping company charges to you.
Week 1: Product Selection
- Choosing a Product.
- Researching Suppliers.
Choosing a Product:
- Choosing the Right Price Point.
- Getting the Right Target Market.
- Brand Loyalty.
In choosing the product with the Right Price Point, it is very important to choose products that price between $200 to $1000. This way, you can cover the processing, shipping and other miscellaneous costs.
This way, you will be able to cover your required profits which will become a LOT easier for you to make more money.
Getting the Right Target Market:
In getting to choose the Right Target Market, it is very important that you target the upper middle class families who earn between $100K - $200K. Choose those products that appeal to them.
Both low income and ultra-high income class families, customers require more customer service. They tend to be less satisfied with the products - which can result in more returns.
It is very important that you must try to avoid selling products that have a strong-brand association with. Try to avoid selling products like Apple iPhones, Nike etc.. You will be competing with the big branded companies.
You will know that they are dropshipping sites. The best way to do this, it to check the "About Us" and "Contact Us" pages. If they have a physical location, then they will mention it.
If they don't have a physical location - then you hit the jackpot! Because, if they are a drop shipping store - then that means all of their suppliers are willing to drop ship.
When you find stores like these - copy all their suppliers into a spreadsheet for a later research. Repeat this process until you have atleast 20 suppliers that you know dropship.
Week 2: Build a Website
- A functional website.
- 10-20 demo products uploaded.
- Contact Information.
Week 3: Start Selling!
Week 4: Increase your Promotions!
- Continue to get approved by more suppliers so that you can offer more and more products.
- Increase your traffic sources.
- Optimize your store for conversions.
- Start selling related products.