Dropshipping is a business model in which a retailer (you) does not keep goods in stock but instead transfers customer orders and shipment details to either the manufacturer, another retailer, or a wholesaler, who then ships the goods directly to the customer. As a dropshipper, you are essentially acting as a middleman between the customer and the supplier, and your role is to market and sell the products, handle customer service, and handle payment transactions. The benefit of dropshipping is that it allows you to start an e-commerce business with a relatively low investment and minimal risk, as you don’t have to purchase inventory upfront. This also allows for more flexibility and scalability as you can easily add or remove products from your store as needed.
Steps involved in starting a dropshipping business
Research and choose a niche
Start by researching different product niches to find one that interests you and has a market demand.
Find a supplier
Look for a supplier that offers a wide range of products, has a good reputation, and offers competitive prices. You can use platforms like AliExpress, SaleHoo, and Oberlo to find suppliers.
Create an e-commerce store
Create an online store using a platform like Shopify, WooCommerce, or BigCommerce to showcase the products you plan to sell.
Import products
Import the products from your supplier into your store using a tool like Oberlo or manually.
Set up payment and shipping
Set up a payment gateway and configure shipping options for your store.
Market your store
Use various marketing techniques like social media, influencer marketing, and Google Ads to drive traffic to your store and make sales.
Fulfill orders
When an order is placed, you’ll need to purchase the product from your supplier and have it shipped directly to your customer.
Keep in mind that starting a dropshipping business takes a lot of effort and patience, but if done right, it can be a lucrative business model.