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Drop shipping for dummies

Drop shipping one of the most popular online business model in the world now, it allows retailers to purchase merchandises individually, and then suppliers or manufacturers should deliver merchandises directly to end-customers. It is believed that drop shipping business model is quite simple as a e-commerce model worldwide, and it is possible to know drop shipping is fits for beginners or dummies. The brief drop shipping process can be divided into 3 stages include preparation, starting selling and searching for new niches. In this post, I’m gonna explain the process of drop shipping step by step, and introduce a drop shipping platform to show where can retailers find clothing dropshippers uk tutorial to learn drop shipping business model.

Drop shipping step by step

In this part, I’ll introduce the process of drop shipping step by step.

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A. Preparation.

Retailers need to do a market analysis first before selling which can make them easier to do drop shipping.

a. Market trends. Try to following the market trend through carry out a simple market research. As we know that a professional market research whatever preliminary or secondary research should be complicate for carrying out, so you only need to do a secondary research online or from magazines and books, try to understand the current market trend in order to know what to do next include product selection.

b. Niches selection. Selecting a right niche can help retailers to lead the market quicker than competitors, which means they can make profits from it and they can also quit from it once the niches become stronger competitive. Retailers need to collect up-to-date information and statistics by carry out the market research. Moreover, it is believe that all the hot niches should has the same characteristic that is repeat purchasable. It is possible to understand that repeat purchasable products should have higher profit margins than others.

c. STP analysis. STP stands for segmentation, targeting, positioning. However, a professional STP analysis requires retailers to spend so much time and money on it. Therefore, retailers only need to do a simple STP analysis which means they only need to figure out what are the targeted customers. The STP analysis also helpful for do pricing because prices are the key factors affecting the first impression of the products.


d. Decide what to sell for drop shipping business. As retailers finished all the market analysis and have targeted customers for selling, they should need to decide the specific products or categories for drop shipping. Retailers have to try to choose the products which can be profitable even it have lower profit margins, because the average of profit margins of drop shipping business is approx 15-30%.

e. Supplier selection. Once the products or categories are selected by retailers, they need to find qualified suppliers or manufacturers immediately. It is believe that reliable suppliers and manufacturers can provide higher quality products which is the key to increase sales for drop shipping business. Furthermore, it may be difficult for retailers to find a suppliers who provide the high quality products when retailers are decide to jump into a new niches business. Therefore, most of drop shipping platform may have a lot of partners who can manufacture higher quality products. Cooperating with a drop shipping platform such as Chinabrands should be a better choice instead of finding suppliers by retailers themselves.

B. Starting selling.

Once retailers finished the preparation well as the description in the above part, the second steps of the drop shipping process is selling. However, it is quite important to do marketing operation during the selling part include promotion and advertisement.

a. Promotion. It is believe that coupons or discounts are the most common ways for doing promotion. For example, retailers can create a 10-30% off coupon for those customers who are the first time to purchase. It is helpful for attracting new customers for the drop shipping business.


b. Advertisement. Advertising is another common way for promoting drop shipping store. Doing advertising campaign in a specific period related to products should be helpful for selling much more products. For instance, flowers retailers should try their best to do advertisement in some festivals such as Mother’s Day and Valentine’s Day.

. Searching for new niches.

As we know that retailers should keep their drop shipping business is always running forward, which can means retailers need to stay more focus on searching new niches. Retailers should not wait for the niches died and then start find a new niches. The thing they have to do is keep searching new niches everyday even they may have better performance in the previous drop shipping business. A long period of sluggish sales should directly affect the market performance of the entire drop shipping store. Therefore, retailers need to do new niches research even they are already selling for the drop shipping process.

Also Read: wholesale iphone screens

Kirjoitettu Thursday 09.08.2018


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