Do you know that 33% of online retailers have adopted dropshipping as their primary business model? The dropshipping industry is expected to reach a market valuation of $557.9 billion before 2025, registering a CAGR of 28.8% over the forecast period.
Dropshipping is an excellent opportunity for someone to start their own business. You can run it from your house, office, or anywhere with an internet connection without inventory. Dropshipping is a great way to get started in e-commerce if you don't have much money and sell products without keeping stock.
How does dropshipping work?
The dropshipping business model of eCommerce involves three parties: the retailer, the customer, and the supplier or manufacturer.
The dropshipping process is followed in three steps:
- A customer purchases a product on the eCommerce website.
- The retailer communicates the order details to the dropship source.
- The supplier picks up, packs, and ships the product to the customer.
Steps to start a successful dropshipping business in 2021:
1) Select your dropshipping niche
Selecting a niche can make or break your dropshipping business. You have to be very careful in niche selection.
There are two types of niches:
Products that have a lot of style: Example: rugs are customizable and have a wide variety of sizes & design
Products that have a lot of variation: Furniture comes in wide varieties, shapes, colour and sizes. People do not mind waiting for it.
Products that can wait for due to its uniqueness: Lighting has hundreds of style options for commercial & home and has no brand loyalty.
Personalized products: Seasonal products like apparels that can cause customer service issues
Products that have emotional attachment: Electronics – its technical issues can cause customer service issues
Products that have a deadline: Personalized products like beddings that have a very high return rate
Businesses can finalize the niches by researching & evaluating current dropshipping trends and brainstorming them.
2) Finding dropshipping products & dropshipping suppliers
Once you have identified a profitable niche, you need to find future suppliers for your dropshipping business.
One of the best methods to find them is to google them using these keywords:
- Niche, product or keyword + “wholesale”
- Niche, product or keyword + “bulk”
- Niche, product or keyword + “dropship”
- Niche, product or keyword + “supplier”
- Niche, product or keyword + “warehouse”
Please write down the supplier's contact details and make sure to contact them. Check if they have the capacity to produce and ship enough of your product to meet client demand.
3) Start a dropshipping store
It's time to build an eCommerce website where you can distribute your products. If you have a big budget, you might engage an experienced web developer and custom designs for your store.
However, we strongly advise you to go for the easier solution: a professional eCommerce platform like Fynd Platform.
What are the advantages of the Fynd platform?
- Create a business ready business website or mobile app in 30 minutes
- Businesses without a technical background are relieved of the burden of managing technological difficulties such as server maintenance, plugins, and payment gateways.
- Fynd platform is highly affordable and the perfect option for everyone new to this business model.
Click here to get started for free and build your eCommerce website quickly with the Fynd platform.
4) Promote the dropshipping store
Here are some proven tips to promote the dropshipping store:
Customer reviews & ratings: Add customer reviews, ratings, and testimonials to the website to build customer trust
Start a SEO optimized blog: Start a blog that helps answer user queries & drives organic traffic to the dropshipping website
Join a online community: Identify where your niche hangs out and join their online community to see what your target customers are discussing
Capture customer’s email: Capture your visitor's email as within 15 seconds of a customer’s visit, 55% of visitors leave a website
Use retargeting Ads: 98% of visitors won’t buy on their first visit. Once retargeted with display ads, they are 70% more likely to convert to your site
Run PPC Ads: Build brand awareness by running Google display Ads, Instagram Ads, and Facebook Ads
Launch contests: Launch seasonal sales, yearly sales, create contests and giveaways on a special occasion, event or festival
5) Monitor your dropshipping business
You can monitor the performance of the dropshipping business using Google Analytics. It can help you know what works well and what doesn’t for your online website.
Conversion Tracking: Conversion tracking helps you know how many people have visited your site and where they came from - organic search, paid search, social media, or referrals
Customer Engagement: Use metrics like bounce rate, pages per session & average session duration to know the customer engagement
Shopping behaviour: Monitor the shopping behaviour of customers by observing metrics like Total sessions, sessions with product views, sessions with Add to cart, Sessions with transactions, Cart Abandonment, no shopping activity, and more
Best products to dropship in India
- Face masks
- Laptop skins
- Essentials oils & candles
- Tea and coffee
- Greens and plants
- Pet supply
- Medical supplies
- Fashion and clothing
- Health supplements
- Books and music
- Educational courses
- Peel-off masks
- Nail polishes
- Exercise bands
- Water bottles
Now, when your dropshipping business is ready, customers can quickly visit your business and make a purchase. Don’t wait another day to launch your online business. Join Fynd Platform today and get started with dropshipping in India.