How To Start Dropshipping | 6 Steps To A Successful Business

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Drop Shipping is a business method wherein the retailer does not keep the goods in stock. Rather, he transfers the customer’s order details to the manufacturer, and then the manufacturer ships the goods directly to the customer. In this process, the retailer earns profit from the difference between the wholesale and retail prices. Some retailers also earn through some percentage of commission from the wholesaler upon selling their products. 

The online Drop Shipping business has become one of the most popular and successful businesses in today’s era. It is easy to start a dropshipping business with limited funds as you don’t have to stock and handle the items you are selling. 

How does dropshipping work? Although it doesn’t need a huge investment to start a drop shipping business, it requires immense hard work and commitment to make it a successful business.

How To Start Dropshipping?

To answer the question, how to start dropshipping? You can follow the below given 6 steps to build a successful online drop shipping business:

Select a Market Segment of your interest

How to dropship? You must select a market segment that is accurate and in which you are genuinely interested. An inaccurate product range or market segment would take many hardships to scale up a dropshipping business. Consider the following points while selecting a market segment to drop ship:

Try To Endeavor Attractive Profits

While running the dropshipping business model, your main focus should be on marketing and acquiring the right customers. The amount of hard work required will be the same for both the high priced and the low-priced products. . Therefore, you should always try to select a market with a high-priced product to gain more profit.

Find Out Manufacturers With Low Shipping Costs

 Expensive shipping costs may lead to customer repulsion. Thus, it would help if you always tried to find something which is not very expensive to ship. Various manufacturers also offer free shipping to the customers to attract more customers and increase their sales. 

Sell Unique Products

Try to sell unique products in nature and are not readily available in the market. This makes the product more attractive, gains more eyeballs, and attracts more potential customers towards your product. 

See also: 29 Best Online Business Ideas to Start in 2020 With Very Little Investment

Competition Research Is Mandatory

There are various other dropshipping businesses and retail giants with which you will be competing. A lot of drop shippers look for a product that has little competition. It is advisable not to look for such products, as it is a sign of low demand. 

Competition Research

Therefore, you should check on your competition and the products they are selling. Market Research about your competition is essential while starting a successful online drop shipping business. 

Partner With A Trustworthy Supplier

Always try to partner with a trustworthy supplier because wrong suppliers may lead to a failed drop shipping business. Conduct proper researches while partnering with a supplier. Communication and Connect are extremely important between the supplier and retailer. Don’t stop searching for a potential supplier until and unless you are confident about a supplier. 

See also: 16 Best Ways to Make Money Online for Free

Launch An E-Commerce Website

Use a simple E-commerce platform to launch your dropshipping business model.

ecommerce how to start dropshipping

You don’t have to spend a lot of money by hiring a web designer for your website because of the large number of apps that increase sales. 

Customer Acquisition Should Be The Goal

Although choosing a great product and launching a website is important, you also need to look for customers looking for your products. You have several options to attract potential customers, such as Facebook Ad Campaigns. Instagram Ads, Pop-Ups, etc. 

customer acquisition how to start dropshipping
Customer acquisition

This helps generate sales and revenue growth for your business, contributing to the quick growth in your business. Search Engine Optimization and Email marketing should be a focus for a long-term business plan. Never forget to email the special offers and discounts to your targeted customers. A crucial aspect of how to start dropshipping.

Analysis And Optimization Should Be The Focus

 You should consistently track all the data that is required in your business growth. It would help if you tracked all the conversions happening through your business to become aware of where your customers originate and how the sale increased. This helps in eliminating what is not needed and scaling up what works in revenue generation. 

analysis how to start dropshipping

You should keep on constantly checking new opportunities and solutions to make your online drop shipping business successful. This will help in generating new leads and scaling up the dropshipping business. 

See also: 100+ Online Stores with Free Shipping and No Minimums


So these were the steps on how to start dropshipping. Never give up or get disheartened by not being able to scale up the business. Good things take time. Stay motivated and work immensely hard to make your online drop shipping business a success. Hope this article answers your queries on how to start dropshipping.

See also: 42 Best Small Scale Business Ideas with low Investments