I have been active in Dropshipping industry for 4-5 years now and in this time I have learned some useful things, that helps me to sell more and grow my store performance month-to-month. You can red more about my experience and how I made largest Dropshipping store offering locally produced goods in Latvia here – Dropshipping From Locals.
What is dropshipping?
Dropshipping is a great way of making money without holding inventory. Once you make a sale online the manufacturer will package and ship the inventory directly to the customer. You don’t have to worry about storage, packaging and shipping.
Benefits of Dropshipping:
This business model if great for entrepreneurs who are new in the market as it does not require a lot of capital and has very low risk, which makes it very easy to start up.
Here are some benefits of starting a dropshipping business:
- Low risk: you do not have to spend money to purchase bulk inventory. You only pay for the products that are delivered to the customer.
- Does not require a lot of capital: you need only a little capital to set up the business and run a profitable business.
- Easy to set up: you just need to set up a website, sign up with the manufacturer and start selling right away.
- Automated processes: the product will be ready for shipment as soon as you make a sale. You just need to ensure that you are dealing with top-performing suppliers.
Dropshipping tips to sell more in 2019:
E-Commerce industry is growing at a very fast pace, that is why setting up a dropshipping business can be very profitable. However, before you start this kind of business read these dropshipping tips & trends that will help you to boost sales in 2019:
Tip #1 – Know how to market your products:
The e-commerce market is competitive, and you have to focus on marketing for you to achieve meaningful sales figures. You need to ensure that you have a well-designed website and logo. You also have to learn how to create attractive ads and grow your traffic as well as convert the traffic to purchasing customers.
To drive attract more traffic to your store, your website must be optimized, and your ads must be attractive and seen frequently by your potential customers.
Studies show that cold traffic converts to the buying visitors at a rate of about 2%. This means that the more visitors you attract to your website the more the sales you will get. If you focus on paid ads that attract a lot of traffic, you can expect to make a lot of sales within a very short time. But remember that paid ads will need you to have some investments!
Search Engine Optimization is also critical when it comes to marketing. Optimized websites rank high in search engine. Optimization is achieved by creating high quality blog content that attracts backlinks and brings in new visitors to your shop. Keep your website SEO optimized to make it easy for potential customers to find you easily while searching for products online on Google and other Search engines.
Once you have attracted enough traffic, you need to convert them to buying customers using some tricks. You can use urgency and scarcity tricks to convince your website visitors to buy your product immediately. Adding customer reviews to your website can also help, giving social proof to your potential customers that products are worth buying. Ensure that your website is presentable and has quality images of the products that you are selling.
Tip #2 – Offer some goods on amazing prices:
Offers are a great way of promoting your store and improving your sales. Offers motivate potential customers to buy the product. All your products should be good quality and available at a fancy price. Customers will always remember your website if you have good deals and they will be more likely to visit your website again and buy from you one or more times again.
Note that good deals do not mean undervaluing your products. Although it is possible to get dropshipping products at a lower cost than the
normal price, it is important to know your products real market price. This ensures that you make a good profit and spread a good word about your business.
While calculating the price of an item, consider the cost of all business expenses such as the cost of marketing, your salary as well as other expenses. Even if others are selling below your calculated prices, do not change you price. As long as your prices are not overly high and within the market rate, you will find your own customers. You also need to work hard to improve your turnover figures to make a higher profit. Plan your discount schedule and special offers to ensure that your turnover brings in enough profits to run your business and makes you a bit richer every day.
Tip #3 – Work only with quality manufacturers or suppliers:
For your business to grow consistently, it is important to work with suppliers or manufacturers who are reliable and delivers products on time.
The best supplier should give you a dedicated staff that is responsible for ensuring that products are delivered to your customers as fast as possible. There are numerous excellent suppliers and manufacturers who are available for dropshipping, just do a solid research and compare the different options before settling of a specific one.
Once you settle on a particular supplier, make sure to maintain a good or neutral relationships with your partner-dropshipping business. Good relationship with your supplier will ensure reduction of the cost of running the business as well as the risk involved in doing the business.
Tip #4 – Make your Dripshipping business work on autopilot:
Although most dropshipping tools are automated, you may need to automate your business at the early stages to help you minimize the time consumed on processes that you would have to do manually. Automation can make your business to yield a passive income and it will definitely allow you to spend more time on other important aspects of the business such as marketing.
Some e-commerce automation tools can help you to scale up the automation of your business. Do a research to find the best tools available specifically to your business niche. There are some great tools that can help to automate social media posting and following growth and other marketing aspects of the business.
Tip #5 – Ensure that your website is responsive and presentable:
Customer friendly website is the key to success in dropshipping business. The website should be easy to use. For instance, a store without images of the products can scare away potential customers. Before launching your business ask your friend to comment on its functionality and design. How simple is it to access products that the customer needs? Do the images provided presentable and understandable?
Check the best stores in your niche and compare them with your website. You may also find out some greatapps used by successful businesses and use them to make your store better.
E-commerce is a fast-growing but very competitive industry. Dropshipping is a great e-commerce business model for new entrepreneurs. It requires only a little capital and does not involve a lot of risks. Use the above tips to maximize the profitability of your dropshipping business.