What is the markup on goods for dropshipping? Where to start if your business includes dropshipping ideas. Growing your business

We all know that in order to sell a product, the product itself must be in stock. But today we will talk about a slightly different type of business - dropshipping, where you will act as an intermediary. How is it different from the standard sales system? It is thanks to him that you don’t need to have a product to buy it. Let's consider what it is, how this scheme works and is applied.

Dropshipping is a system according to which goods are sent from the supplier to the client directly. You, in turn, are a mediator. This scheme is widespread in online stores.

How is the work carried out? You are looking for buyers to whom you can sell the supplier's goods. You can try to find buyers among your friends, but soon you will run out of people to whom you can regularly sell something. This means it’s better to follow the standard scheme: or, and fill it with goods from the niche you have chosen. Suppliers can be found on the Internet, fortunately there are now quite a large number of them. Below I will mention a few companies with which you can work using the dropshipping system.

After the client has chosen a product from your site or group and is ready to buy it, you place an order and accept payment from him for the product. Then, send the form to the supplier, along with the part of the money due to him. You set the price for the products yourself, and accordingly, the difference from the wholesale price (your profit) is regulated only by you. The supplier sends the goods to the buyer, and all that remains is to wait until the client receives the package. The cycle is complete.

Visually, dropshipping workflow will look like this:

Advantages and disadvantages of the system

• The main advantage is that you do not need large investments, and in some cases, you can do without them at all. The only thing that may require funds is advertising.
• There is no need to purchase goods, everything is located at the supplier. This means you don’t have to worry that it’s “out of season” or that some categories of goods are not being sold in vain.
• You take data about products, their photos, and other information from the supplier. You don't have to look for anything yourself.
• The delivery is provided by the supplier, you do not need to worry about it.

• You cannot clearly evaluate the product. If the product is of poor quality, does not correspond to the photographs, or the delivery or the supplier itself fails, the clients will have to deal with it themselves, because you are the seller.
• If the product is not in stock, you will have to look for an alternative, or inform the client about the refusal, which will negatively affect your reputation.
• There is a possibility that the seller will include a check in the parcel. In this case, the client will find out the real price for the product, and also that you are not the seller. All details must be discussed with the supplier in advance.
• Competition. Dropshipping has a number of advantages according to many criteria. But, like any other system, it also has negative aspects. These include high competition. Indeed, since dropshipping has a sufficient number of advantages (the main one is the lack of need for your own products), a considerable number of people will try to work according to this scheme.

Dropshipping: where to start?

If we analyze the plan for starting work on this system, then it is quite natural that we will not be able to “cover” all aspects and details at once, because As trading progresses, questions will arise one way or another. The plan below includes basic steps steps you need to take to get started with the dropshipping system.

1. Initially, you need to decide on the product you will sell. Let me note right away: do not choose a category that you don’t have the slightest idea about. Otherwise, there is a high probability that the business will not take off. Below you can familiarize yourself with the product categories that are most popular at the moment.
2. Now you need to start looking for suppliers. It is best to use paid catalogs, because... It is in them that you can find those sellers who will suit you both in the chosen category and in the terms of cooperation. You can use the selection of dropshipping sellers located below (if the selected niche matches). Be sure to check the supplier: read reviews about him, if there is a rating system, pay attention to this too. The more information is known, the better.
3. Creation of a trading platform. It could be , or even a group in the same . I don’t recommend following a simple method (created a website in a hurry using a website builder, uploaded photos, set prices). Approach the issue more responsibly - if things are simpler with a group on a social network, then to competently create an online store you will have to invest effort (if you create it yourself), and even money (if you order a site from specialists).
4. Negotiations with suppliers. Write to the sellers you have chosen. Discuss the details, understand the nuances of the work. Enter into an agreement with the seller only when you are completely sure of it. To do this, study the company’s documents and their details. Find out the location of the company, find out how long the domain has been in existence, and study reviews from other dropshippers. Call the company to talk live with a consultant and find out the remaining work issues.
5. Advertising, or, strictly speaking, promotion. When everything is ready, you need to tell people about your site. But how to do this without advertising? You can distribute your resource among your family and friends, so that they, in turn, recommend their friends, etc. But it is more promising and natural to engage in advertising. This will take some money, but with proper promotion, you will get a positive result: you will have interested customers who want to buy the product.

Where to look for suppliers

The number of suppliers that can be found on the Internet is increasing. Which is not surprising: services and companies are also interested in the income of dropshippers, because... this also has a positive impact on their profits. Indeed, the number of dropshipping affiliate programs is constantly increasing. But here a beginner may be puzzled by the question: how to find a good supplier for your project? Below I will give examples of dropshipping sites that have been around for quite some time.

Attention! The list below is provided for reference purposes. The choice of whether to work with one of the companies listed below is up to you.

Altermoda.ru – dropshipping clothing supplier

One of the largest Russian clothing stores with an affiliate program for the dropshipping system. Products must be placed on their sites. In order to start cooperation, you need to fill out the form posted on their website. After which, a consultant will call you to resolve issues regarding cooperation.

NeoTek.su – textile campaign

It is possible to work with legal entities. Specialization: bed linen, household goods. The supplier can provide you with the necessary materials for advertising, photos and descriptions of the products posted.

Mosdommebel.ru – furniture supplier, dropshipping

This company operates using a dropshipping system and offers a large number of products: from wardrobes and children’s items, to kitchens and living rooms. An important aspect: in the event of a defect, the company undertakes to replace the product.

Megaopt24.ru is a large supplier for one-page websites

This supplier provides a large selection of products for wholesale dropshipping. The minimum order is RUB 7,000 (trial), then RUB 10,000. There is a complete price list on the website. Delivery cost by Russian Post is 350 rubles, EMS is 650 rubles.

Mega-mania.ru - smartphones, tablets, laptops

The seller works in the electronics industry, selling products at wholesale prices. The site has a fairly impressive assortment - from mobile phones to auto electronics.

Outmaxshop.ru - supplier of shoes and clothing

Outmaxshop is one of the largest stores selling shoes and clothing. In addition, the site also has accessories. The seller operates according to a standard dropshipping scheme and cooperates directly with China.

ShoesOptom24.rf - outerwear

At the moment, the seller is engaged in the sale of outerwear both wholesale and retail. There are more than 200 product items on the site.

ApiShops.ru – sales platform

A large platform that includes products of various types. A distinctive feature of the project: the campaign service allows you to create your own online store in just two clicks. There are detailed instructions for beginners.

You can also view the supplier directory.

Features of work

1. Be very responsible when choosing a supplier. Read reviews from other dropshippers. Pay attention to how long the supplier has been on the market. Even with these two methods, you can weed out a large number of unwanted sellers.
2. Once you find reliable suppliers, don't settle on just one option. Think over the scheme so that for one (identical) type of product you have 2-3 sellers in your database with whom you could cooperate if necessary. It often happens that the intermediary receives an order (or even the client manages to pay), but then it turns out that the required product is not in stock. In order not to deal with refunds, and not to spoil the authority of the online store, without even starting to really trade, think about this point in advance. Compile a database of sellers with whom you can cooperate.
3. Run promotions, set discounts (within reason, of course), use bonus systems. You need to try to differentiate yourself from other stores in a positive way.
4. Contact your clients more: you can send notifications via SMS or mail, or even make calls on Skype or by phone. For example, you can inform that the application has been accepted, or a tracking number has been sent. You need to make sure that customers come back to you again.
5. One last point. If you are working with China, and it is impossible to say for sure regarding delivery (or even if you are not in contact with China, but the situation is the same), then you should inform the client about the matter right away. For example, if you promise delivery in 3 weeks, but it may be delayed by as much as a month, then it is better to indicate this: “Delivery time: 3-7 weeks.” Or make a note that usually the parcel arrives in 3 weeks, but there are delays of up to 7 weeks. Of course, such numbers will lower the client’s mood to make a purchase. But this is better than forcing the client to wait “beyond” the deadline and receive well-deserved dissatisfaction. In any case, it’s up to you to decide what to do.

How to advertise

If you are focused on long-term activities, then you need to start search engine promotion of the store. In this way, you will be able to receive customers from search engines, which means that you will have a regular influx of buyers. But this will take a sufficient amount of time, and the effect is not quick. You can promote this way yourself (this will also require money), but it will take you a lot of time to learn SEO. In this case, it makes sense to order promotion from specialists.

Other ways in which you can get a quick and one-time effect (partially affect search engine promotion):

• Contextual advertising (Yandex.Direct and Google Adsense)
• Advertising on social networks (if you have a VK store, then see the article here, chapter “Group Promotion”)
• Crowd marketing (promotion on forums, review sites, etc.). In other words, comment on forums and leave reviews on relevant sites (for example), with a link to your store. I recommend this service for paid promotion.
• Using trading platforms for promotion (for example, Yandex.Market)

Of all the above methods, only crowd marketing can be called free (but very time-consuming). If you don’t want to spend money on promotion using this method, you can register accounts and write comments with a link to your site yourself.

It should be remembered that advertising costs will only pay for themselves if the promotion is carried out competently. This is especially true for search engine promotion, because... in other cases, the effect can be achieved quite quickly, albeit at once.

Is dropshipping a scam?

This question cannot be answered unambiguously. In fact, the buyer does not care where the product he is buying comes from. For example, if you have ever made a purchase in an online store, have you ever wondered who the seller is? Owner of an online store? Or is he an intermediary? In most cases, the buyer does not care where the product comes from. The main thing is that it is of high quality. This means that there is no good reason to believe that dropshipping is a fraudulent system for the client.

How much can you earn from dropshipping?

As you already know, the amount of earnings will be calculated based on markups that will be set by you (if there are no restrictions on this in the terms of cooperation with the seller). This leads to the next question: what margin is acceptable? By and large, a lot depends on the topic and demand of the product. Unfortunately, I cannot give a definite answer. But I will write general recommendations that I advise you to listen to:

1. When setting a markup, do not inflate the cost of the product to nowhere. “Check” with other online stores. Find out what their prices are. If the price bar is too high, then you understand that the buyer will go looking for the same product cheaper. Accordingly, sales will fall.
2. The opposite point: also, don’t lower your prices. Dropshipping is a system in which, when setting the cost of a product, it is necessary to take into account all factors. If you don’t calculate something, you may end up making a small profit, or even going to a loss.
3. Taking into account all the points, the markup on a product can range from 15% to 100%. It is recommended not to go beyond these limits, and of course, analyze other stores before setting the final price.

Conclusion

This article provided basic information regarding the Dropshipping system and also identified several suppliers with whom you can get started. If you are interested in this direction, then subscribe to the RSS channel to keep abreast of new materials.

Hi all. Today we’ll talk about dropshipping, what it is and how to make money on it. I will also give several suppliers in Russia who work in dropshipping and talk about how to sell goods using the dropshipping system.

What is dropshipping - how it works

2. Next, you create an online store or a one-page website or a group on social networks(for example, on Vkontakte or Odnoklassniki) and place the goods selected from the supplier there, BUT you set prices more expensive (higher than the wholesale price at which the goods are priced from the supplier).

3. After the store or group is filled, you launch advertising and you have buyers who pay for the goods.

4. You place an order for the purchased or selected product from the supplier and arrange delivery immediately to your buyer’s address. You pay the supplier for the goods at the wholesale price specified by the supplier. And you keep the extra charge you made.

5. The supplier packs and ships the order to your customer.

6. As a result, the client receives the purchased product, the supplier receives money from the wholesale price, and you receive money from the difference in price. Everything is a plus!

I hope I have explained it in detail now. Let's move on.

Pros and cons of dropshipping

Pros:

1. You can start with virtually no investment, because you don’t need to purchase goods;
2. You can choose the best-selling one for yourself based on many products and after tests;
3. You will have unsellable goods lying around because you don’t buy them;
4. You don't have to worry about shipping because the supplier takes care of the shipping;
5. Suppliers already have a catalog of products and you don’t have to look for what to sell. You simply select products from the catalog.

Minuses:

1. You cannot control the shipment of goods and delivery times. If the supplier makes a mistake, the client will call and write to you as the seller;
2. You cannot evaluate the quality of the product because you do not have it in your hands;
3. You cannot control the remaining goods in the warehouse, because you are not the only supplier and the goods sell quickly.

Where to look for dropshipping products and what is profitable to sell

Where to look?

Dropshipping products can only be found from suppliers who sell through dropshipping, or you can find a wholesaler or manufacturer and agree to work with them individually on dropshipping. Look for both on the Internet. Also, suppliers can be not only in Russia or Ukraine, but in China. I'll tell you more about this below.

I will give you some dropshipping companies below, but the second option with manufacturers or wholesalers on individual terms needs to be worked out personally for you. Not everyone can agree, but nevertheless, according to the reviews of my colleagues and acquaintances, such companies do exist and I have a living example.

What is profitable to sell?

Anything, really. First you need. You can also just look at dropshipping supplier catalogs and choose. Such companies usually purchase trendy goods that are in good demand.

But I will still give a list of products and categories:

• Clothing, shoes (men's and women's);
• Children's goods (toys, clothes, shoes, strollers, etc.);
• Accessories (bags, backpacks, watches, wallets, etc.)
• Hoverboards;
• Bed sheets;
• Cosmetics;
• Phones, smartphones, iPhones, tablets and other gadgets, especially Apple brands;
• Electronic cigarettes and vapes;
• Sports goods (clothing, exercise equipment, equipment);
• Sports nutrition;
• Furniture and interior items;
• Auto parts;
• Electronics;
• etc.

Otherwise, rely only on your taste and the product catalog of dropshipping companies.

Dropshipping companies and suppliers for Russia, Ukraine and CIS countries

ApiShops

The site of the company. A platform that allows you not only to sell products through the dropshipping system, but also provides ready-made online stores or one-page websites so that you can start selling right away. Ready-made solutions in the form of websites still need to be sorted out, but the company’s website has many instructions for beginners. They work with countries: Russia, Ukraine, Belarus, Kazakhstan. Maybe with some others, but I found information only on this list of countries.

Below is a video about working with them:

Both companies have good reviews and have been in the market for a long time.

How to open an online store using dropshipping

There are several options here!

We create an online store ourselves or order from a specialist. The store will be on one of the CMS (content management system or engine).

• The downside is that you need special knowledge and it will be very difficult for a beginner to create an online store on their own.
• The advantage is that it is easier.

We create an online store using website design. Even a beginner can do it on his own. The process is quite simple.

• The downside is that it is harder to promote sites in search engines using website builders and you will have a template site.
• The advantage is the speed of creation, you can do it yourself.

For website builders, I can recommend Nethouse. I wrote about him in an article about.

In both cases, you need to make a website, fill it with products and start advertising. The links above have a lot of information about what a website should be, how to make one, etc. When orders or payments are received, you will process them through the above suppliers on their terms and conditions.

Selling goods via dropshipping through on-page sites

You can sell not only through full-fledged online stores, but also through (landing page). Dropshipping from one-page websites is very common because you choose a trending product, make a one-page website for it, advertise and sell it.

The advantage of this scheme is that you have one product and a one-page website is designed specifically for selling this product without the ability to go to other pages of the site and “go astray.”

For example, my good friend Roman Kolesnikov, more than 200,000 rubles in net profit per month!

Dropshipping on social networks

This option also exists. You can create a group or public on social networks on VKontakte or Odnoklassniki and sell products through dropshipping there. The scheme is the same as for sales from websites, but orders will not arrive in your cart, but in private messages, and you will be able to accept payments outside the social network.

• The disadvantages are that it is less convenient in terms of payment than selling through websites.
• The advantages are that there is a large audience on social networks and it is easier to attract them. And also, to create a group or public you do not need special knowledge.

I even have an article about . She can help you.

1. To get started, choose your dropshipping supplier. Study the product and terms of work with the supplier. When you 100% understand the conditions and scheme of working with the supplier, then you can start working.
2. Try checking the supplier with your own order. Buy a product to your address or a friend’s address and check the delivery time, packaging and compliance with all agreed conditions.
3. Use only, but at first you can also use. With proven advertising methods, you can test your business model faster and more effectively.
4. Try a little bit at a time. Don't invest a lot of money at once. Gradually analyze your actions and you will come to profit.
5. Try to pay attention to those products that interest you, because you are more likely to sell them.
6. Analyze the competition, because in some products it is so high that it will be difficult for a beginner with little money to get into it.
7. In addition to dropshipping, you can also master.

Conclusion

Now you know what dropshipping is, how to make money on it and start a business. And you even know some of the suppliers. All that remains is to delve into the study of this topic and try. Moreover, this business can be started without investment.

Thank you for your attention! I look forward to your comments!

Dropshipping. This sales system is a magnet for new online sellers. It is believed that dropshipping allows you to open an online store without investment, since you do not need money to purchase goods and their logistics. There are other advantages: creating a brand without a product, easy expansion of the range, etc. But is it? Is dropshipping really beneficial for a newbie webmaster? In this post: All the pros and cons of dropshipping, who really benefits from dropshipping, and so on.

The word “dropshipping” itself means “direct delivery”. This system allows you to sell physical goods without owning them. The seller (webmaster, let's call him that) attracts customers to his online store, accepts the order and transfers it to the supplier. The supplier, in turn, sends the order to the customer. Simply put, with dropshipping, you are actually selling someone else's products.

Beginning webmasters, anyone who wants to make money on the Internet, are promised that dropshipping allows them to enter sales “for free”, since no money is needed for the purchase of goods, their warehousing and logistics. Novice webmasters (more experienced ones are unlikely to do this) willingly believe in the promises of suppliers and all those who promote this system. However, is dropshipping really that good?

First, the advantages of dropshipping.

• You don’t need goods, which means you don’t need investments in purchasing, you don’t need warehouses and logistics. I agree with this, and this is the only rational grain of this scheme.
• You can sell other people's products under your own brand;
• It's easy to expand the range.

That's all. And, as we will see later, some of these supposed advantages hide a serious headache.

Now the disadvantages of dropshipping.

The main disadvantage of this system is that all the difficulties of the scheme begin to appear only when you dive into it and begin to collect all the pitfalls on your fledgling stern. I’ll start right with the third “plus” - expansion of the range.

I don’t argue, there is nothing easier than expanding the range with dropshipping. You just need to select a new product and add it to your store. But it may happen that the new product will already be from another supplier, which means you need to negotiate again, choose the best, and keep your finger on the pulse, since now you no longer have one supplier, but two. Imagine if you have a large store with a bunch of products, most likely this will mean collaborating with different suppliers and monitoring their actions. But this is already a jungle, let's first talk about the more obvious disadvantages of this system.

1. Everything is your fault.

By accepting an order, you will be promising the customer that you have excellent quality, fast delivery and excellent gift packaging. But the trouble is that with dropshipping, you don’t see the product, nor the supplier himself. And if the supplier sends a defective product, then you, as the seller, will be responsible for this. The buyer will call you.

2. You don't know what the supplier will put in the order.

3. You don't have the ability to upsell.

Upselling allows you to significantly increase the profit of an online store. The client placed an order with you, and you offer him an additional product at a discount. About 30% of clients are willing to upsell. Thus, you attract one client and sell two products, and the second sale is free for you, since you do not spend money on advertising this product. When dropshipping, implementing an upselling system is either difficult or impossible in principle, since it happens that the second product must be looked for from another supplier.

4. You are not valuable to the market.

A serious point that novice webmasters do not know about. The task of a good seller is not to sell a product; anyone can sell, and there are millions of them. A good salesman strives to be an exclusive seller, even if he sells the same thing as everyone else. To do this, he tries to come up with any feature that will allow him to stand out and differentiate himself from competitors. That is, in marketing language, he is trying to create his own USP (Unique Selling Proposition). It could be anything: special packaging, an additional gift for the client, or even a handwritten card.

Simple trading will no longer surprise anyone. Ordered, delivered, paid. Everyone is used to this, so a good seller always tries to give a little more. And if he succeeds, then the client is happy. And if he is happy, he tells his friends about the seller, posts photos on social networks, since he did not expect such care. And this, in turn, leads to a viral effect and brings in new customers, which means advertising is reduced significantly. And these clients become his clients for life. And when a good seller buys a new product and sends it to his base, they are the first to buy it, because he is great.

But, you cannot achieve this with dropshipping, since you do not have product interaction with the client. You are not the owner of your product, which means that all of the above can be done by your supplier, not you. Moreover, he will do this at your expense, but more on that below. With dropshipping, you are not valuable to the client or to the online market as a whole.

5. Pricing.

When dropshipping, in addition to the price of the product, you must make yourself a markup. This markup should cover advertising costs and leave you with a profit. But the trouble is that now, with developed context and retargeting technologies, after visiting one site, within an hour you begin to see advertisements for similar sites and products. In this case, there is a high probability that your client, having placed an order with you, will see your competitor’s store, only at the regular price, without a dropshipper’s markup. Guess whether he will buy your goods from the post office after this? And if one of the competitors dumps, that is, they openly lower the price. What can you do against him?

6. Your clients are not yours at all.

With dropshipping, you are essentially giving your customers to the supplier, because this is the essence of this system. It turns out that your supplier collects your entire customer base. Moreover, he collects it for free, and will be able to start interacting with them directly at any time.

7. Costs are inevitable.

This disadvantage is not obvious if you are a novice webmaster. After all, that’s what they lure you into, promising “free” entry into dropshipping. And I agree that you don’t need money for a product, but who told you that advertising on the Internet is free. Or do you already know how to massively attract targeted free traffic? If yes, then why do you need dropshipping?

But it is also advisable to test the product in order to understand what type of advertising is best suited for it. As a result, it turns out that dropshipping is a scheme with investments, and possibly considerable ones.

And I'm not even talking about dropshipping from China. If you intend to take up this variety, I advise you to think twice, since in addition to all of the above, there will be a couple more serious disadvantages.

Firstly, the timing. People are willing to wait for delivery from China, but only when they know that the goods are coming from China. But you will have a Russian-language store, and the fact that the goods will come from China may come as a surprise to the buyer. Will he be willing to wait? Is not a fact.

Secondly, prepayment. With “Chinese” dropshipping, you must take an advance payment to at least cover the cost of the product and its delivery. But the entire Internet is accustomed to giving money upon receipt of the goods, that is, after its delivery. This is how most Runet sellers work and most buyers are accustomed to this. These are the default settings. Who are you, excuse me, that I would give you an advance payment? - he won’t say, but your buyer will think. And if you don’t clearly answer this question, then consider that you have lost a client.

As a result, we come to the conclusion that the dropshipping system is beneficial only to one party - the supplier. You buy goods from him, he doesn’t spend money on advertising, he’s not responsible for anything, plus he keeps your entire customer base.

Dropshipping is possible, but it can only be full-fledged if there is a large organized service, the departments of which will process orders, monitor the assortment, make payments to suppliers, and provide after-sales service. It is impossible for one person, especially a novice webmaster, to do this.

If you dream and see yourself in dropshipping, then wouldn’t it be easier to start affiliate programs (AP)? After all, dropshipping is essentially the same thing. Affiliate programs also do not require goods, procurement, warehouse and logistics. But unlike dropshipping, affiliate partnerships have a number of powerful advantages, such as:

• you don't need a store;
• you don’t bother taking orders;
• you are not responsible for quality;
• you receive a simple fixed reward, without increasing the price of the product.

All you need is a computer and the ability to attract targeted traffic, the cheaper the better.

Everyone who earns income from the Internet knows very well:

It doesn’t matter what type of business you are engaged in on the Internet, the main thing is to be able to attract TRAFFIC.

Traffic is orders, clients, views, visitors, viewers, subscribers, etc. Traffic is people who will come to you. It doesn’t matter what you do, if you don’t have traffic, then there’s no point in anything, whether you have dropshipping, affiliate programs, or your own store.

• to know, ;
• understand what exactly you want, what direction you are most interested in pursuing;
• study this direction (type of business), begin to slowly build it.

Take a look, you might find something for yourself.

Creating a business from scratch is akin to how we learn to swim: some are sent to lessons in the pool, while others are mercilessly thrown into the pond with the words “Swim!” The second case is work without dropshipping: it’s good if the person doesn’t drown, but in the end there is a risk of earning a lifelong phobia so that he never gets close to water again (more precisely, opens his own business).

The first method, obviously, seems more humane, reasonable and civilized. But despite all the advantages, there is still a risk of making a lot of mistakes and never learning to swim. And with dropshipping, things are exactly the same. Today Reconomica will look at common mistakes when starting your own dropshipping business.

for those in the tank)

Dropshipping- a form of partnership between an individual and an operating enterprise, when the partner provides organization for the sale of goods (usually through an Internet site or landing page), and the goods themselves are produced and shipped by the manufacturer.

This is Lake Basin in Kazakhstan. Try to get out of there yourself!

The dropshipper has no physical contact with the product. In fact, this is a truncated business, or a business “light” version - you only do marketing. That is why we compared dropshipping and a regular retail business like a swimming pool and a natural body of water.

And this is the Round Lake pool. It's hard to drown in it.

Thus, the enterprise benefits by obtaining a sales organization, and the dropshipper receives income from the partnership, which has potentially no ceiling. Therefore, dropshipping is gaining popularity and is a good practical business school. Knowing how to sell, you can start your own production and switch sales to it.

Anyone can get into dropshipping. But let's move on to the pitfalls.

Bad advice for beginning dropshippers (and just as many useful ones)

And what needs to be done to ensure that you do not succeed in fruitful cooperation in dropshipping? This is a rhetorical question, which is not at all necessary to understand. And yet, there are answers:

Tip 1: Never contact the supplier

What not to do: We live in the wonderful 21st century, in which it is customary that decent people do not call. And really, why? You just need to go to a search engine, find the right supplier, save up money for the launch, and that’s it – it’s all in the bag.

How to do it: And yet, we really live in the 21st century, when it is easier to create a new website than to remake an existing one. As a result, the information may no longer be relevant 25 times, and the supplier of strollers has turned into a supplier of office furniture. Therefore, you definitely need to call and do everything possible to ensure that such a dialogue takes place:

Hello, are you a supplier?

Are you a stroller supplier?

What about a supplier of strollers, not wheelchairs?

And after the third “yes,” when there is no chance of error, you can safely start saving money to open your own online store. But that's not all.

Remember that not all people in this world are conscientious. Someone sleeps peacefully at night, selling goods not at a wholesale price, but at a retail price. Some don't even have a sane warehouse. And instead of getting into trouble and throwing away 3 months of your life, you only need to spend one day - come to the supplier and personally verify the availability of premises, people and signs of work. Trust but check.

What not to do: Think about details a lot, often and extremely hard. Visualize your desires, for example, start right away with choosing a CMS for the site, then move on to ideas about the colors of the buttons on the site and complete the fantasy with several original product descriptions. Charge yourself for success and start practicing in 2-3 weeks, when the fuse has subsided. Become a modern Ilya Ilyich Oblomov: think that you are doing something.

How to do it: Less words and more action. You will not lose anything if you randomly choose the platform on which the site will work - you can always change it in the future. The more you think, the more problems you find, instead of solving them as they come. The best advice that can be given to those starting out in dropshipping: take it and do it, without unnecessary curtsies.

Tip 3. Concentrate on advertising - the more of it, the better!

What not to do: Spend as much money as possible on advertising. To contextual, native, targeted, in general, to any one you can think of. Don’t think about numbers and indicators, just plug all channels of communication with the buyer so that you definitely don’t go anywhere and place an order.

How to do it: Get to know and make close friends with services designed to measure website traffic, for example, Yandex.Metrica or Google Analytics. End-to-end analytics is complex, but useful. You need to know which advertising channels work and which ones simply eat up your budget. Advertising and working advertising are two diametrically different things; in the second case, you need an understanding of your target audience, knowledge of where exactly your potential customers are and the ability to choose the appropriate method of promotion.

Whiskers, paws and analysis of statistics - these are your documents.

Tip 4: Create a killer design

What not to do: Make a unique website design, polish every link and button, draw banners that no one else has. Just impress everyone with your creativity and brighten up the look of your website. And then, then the orders will flow like a river, you can rest assured.

How to do it: Of course, at the initial stage there is a colossal amount of work to be done, including in terms of design. But it’s a little unreasonable to kill time by choosing the shade of the site’s header, it’s enough so that it just doesn’t look like an eye-catcher.

The primary task is to create a working and functional store, upload a product catalog, divide it into sections, etc. And only after receiving a stable number of orders per month can you worry about the length of the girl’s fingers on the main banner.

What not to do: Ask yourself the question “why would you pay someone money if you can do everything yourself?” That's right, there is no need, it is better to spend money on advertising that is already loved on all fronts. You yourself are able to understand the difference between HTML, JavaScript and WordPress, you will quickly create a website just by looking at the example once.

How to do it: The fact is that you will only be able to draw a simple house using codes in Pascal after a week of studying this language. Creating a website and its layout will obviously take more time. Even on a ready-made engine, deploying a cursive and properly optimized store is not as easy as it seems.

Be reasonable. The nth amount should be paid to the Programmer Programmer, at least in the name of efficiency and reasonable use of time. Moreover, there are dropshipping providers in the world that sell ready-made websites. For example, Happiness Supplier, AdvantShop or InSales.

conclusions

Despite the simplicity of dropshipping, none of us are immune from mistakes, because we are people, not robots. But popular wisdom says: do it normally, it will be fine. That is, conscious, planned mistakes are the same problem as a panicked desire for an ideal (which does not exist, by the way).

And now you are warned, which means you are armed.

What is dropshipping – the essence, advantages/disadvantages of the niche + an example of how a business works. How to make money with dropshipping - 4 steps on the path to success + review of a proven product supplier Gearbest.

In 2019, only the lazy did not shop through online stores. This element has become so deeply integrated into our lives, although only a couple of years ago only a few people knew about remote purchases. What is a means for some is business for others.

In today's article we will tell you what dropshipping is. We will explain the scheme, the features of the niche + we will give an example of cooperation with one of the trusted suppliers of cheap goods for speculative remote trading, the Gearbest company. Those who want to earn money without getting out of bed, come here.

What is dropshipping: features + overview of the advantages/disadvantages of the niche

Despite the intricate word, there is nothing complicated in the scheme itself. For individuals who know about speculative trading in offline/online manifestations, dealing with dropshipping will not be a problem.

1) The essence of dropshipping + pros/cons

If we draw an analogy with more well-known tools, the closest thing to dropshipping are affiliate programs. Users make purchases by going to advertisers' websites through special links.

Dropshipping (in the original Dropshipping) is direct deliveries through an intermediary, who is an entrepreneur. The intermediate link searches for customers + organizes demand for products.

Important! The niche attracts an increasing number of aspiring entrepreneurs every year, because the implementation of the idea does not require start-up investments, and the apartment is not cluttered with goods from China. If you want to have a competitive advantage, we recommend starting now.

The emergence of dropshipping dates back to the current decade, when Internet technologies have firmly taken root in the minds of ordinary people. In 2019, there are thousands of suppliers of goods from China, Europe and America, working according to an agreed business scheme

Travels online 2 working schemes for dropshipping. Following the first, the supplier looks for a client for the product, takes an advance payment, and only then orders the product from the supplier, leaving the markup in his pocket. The second option involves direct settlement between the client and the supplier, and then the latter sends the percentage to the intermediary’s card.

Note! Manufacturers are initially interested in intermediaries, because this helps to promote the product with minimal marketing costs. Following this, do not hesitate to extract favorable terms of cooperation and low prices.

Prepayment is more reliable, but only 20%-30% of suppliers will agree to work under this scheme. Most prefer direct payment. If you do not want to follow the lead of foreign suppliers with an unverified reputation, you can find supply points in Russia. The option of direct trade from the factory is not excluded.

Example of work using the dropshipping system:

1. A man decides to start selling sports nutrition. Researches the niche and identifies the top brands that are in greatest demand.
2. Creates a page on a social network or buys a ready-made one. He promotes it on the topic of sports nutrition, reaching 5,000+ subscribers and high audience involvement.
3. Looks for suppliers of goods with favorable prices and makes posts with links to the landing page (if hidden trading) or to the main trading site.
4. Buyers shop, and at the end of the month the person receives a percentage of sales.

Looking more closely, you can find similarities with affiliate programs, and indeed it is. Some entrepreneurs even manage to combine dropshipping with traffic arbitrage.

2) How to turn dropshipping into a stable business - step-by-step instructions 2020

From the idea to the first profit from dropshipping, a person will need to go through 4 steps.

Step #1. Market research and niche selection

Ideally, the issue is handled by a marketing manager, but due to savings, the development will fall on your shoulders. You’ll have to delve into the jungle of marketing + read a couple of specialized books.

The structure above is a universal plan for analyzing any sales market. The frequency is once every 2-3 years, because the data obtained are of a fundamental nature. Before compiling, it is necessary to highlight the objectives of the study. More details in the table below.

Research tools can be qualitative and quantitative methods - reviews, statistics, hypotheses, interviews, and so on. More details in the screenshot below.

Be realistic and study only those parameters by which you have the opportunity to make an objective assessment of what is happening. The conclusions are important, not the process itself.

Step #2. Development of a product promotion tool

Things to take care of:

• general style;
• page structure + hierarchy;
• enticing hat;
• Contact details;
• catalogues;
• Card Product;
• terms of delivery, payment + guarantees;
• social connection;

A call back form and a quick purchase option are required. It’s easier to work through the designer, but the functionality of such projects is often limited to paid plans, and this is not good for marketing.

Best website builders:

Using constructors is a quick solution to the problem. Next, it is necessary to promote the online store, and for this purpose an integrated approach of paid and free promotion tools is used. More details about promotion a little later.

In addition to the online store, you can also use alternative tools for selling products through the dropshipping system. More details in the table below.

Niche testing will determine the level of demand for the product. If the audience is wary of the product and is reluctant to purchase, switch to another supplier or product. Don't be afraid to experiment. Wordstat.yandex.ru will help identify trend keys in the product segment and will protect against the realization of low demand.

Step #3. Search for suppliers and conclusion of contracts

You can see the most popular suppliers in the table below. The last column is responsible for the potential profitability, which is formed based on the difference between the initial cost from the supplier and the competitive markup from the dropshipper.

There are from 1,000 to 10,000 retail purchasing points for dropshipping online. The whole question is how safe they are. We advise you not to chase cheapness and sky-high margins, but to give preference to proven companies.

Step #4. Resource promotion and first sales

For paid methods, the disadvantage lies in the time spent, and for paid methods, the disadvantage lies in money. For optimal performance, use a 3-3 combination. Three ways to advance from both directions.

As the popularity of the online store increases, sales growth will become proportional. All that remains is to monitor the timeliness of deliveries from the partner company and keep the site in search engine trends, periodically investing in an advertising campaign.

A detailed description of the term is provided. Top suppliers of this year:

About what Gearbest dropshipping is: site features + work algorithm

We have already stated that there are many platforms for purchasing goods through the dropshipping system, but you can only trust 10%-20%. If we take into account Chinese suppliers, and this is important, because prices for goods in China are always lower than ours, the number of candidates will be reduced even more.

Gearbest is a Chinese online store with warehouses in Russia. The second part is especially important, as it allows customers not to languish for months waiting for goods, but to receive them within a week by Russian Post or other convenient delivery service.

What you can trade through Gearbest:

• household/electronic/computer equipment;
• construction tools and supplies;
• vehicle accessories;
• lighting equipment;
• jewelry, watches, bags, shoes and other women's items;
• toys and hobby goods;
• everything for home/garden;
• clothing for everyday use, for sports and tourism.

On the site there are 15+ product categories, and the range is updated with new interesting things every month.

Important! Prices on Gearbest are lower than on Aliexpress and other top Chinese sites. The reason is the presence of a large amount of goods in the warehouses of our state. Working without intermediaries reduces the cost, allowing the dropshipper to make a higher markup.

The disadvantage of the site can be called no mandatory refund for problems with the product. In order not to risk your money, you will have to buy insurance. For those accustomed to shopping on Alik, where the cost of each product is easy to reimburse, such a sales option can scare off 15%-25% of potential customers of an online store, which is not good for dropshipping.

Algorithm for making money on Gearbest:

We have described a simplified type of cooperation, but if you want to strictly adhere to dropshipping, you will have to change the algorithm a little. Registration, purchase and sending of goods to someone else's address– this scheme will help to completely hide the supplier, making you the main player in the online store.

How to buy products on Gearbest:

1. Registration + filling out data in your personal account.
2. We look for the required product through the search bar or through the categories in the left panel.



3. To speed up the process, it is rational to use built-in filters.



4. The number of screening parameters provided is impressive even for a sophisticated buyer. Each lot has a rating (1-5 stars) and the number of people who added the item to their favorites.



5. “Favorites” is an item that provides quick access to a product. It is good to use in dropshipping, when a person has expressed a desire to purchase an item through, but has not yet made an advance payment.



6. Before purchasing, the user has the opportunity to study the product card. It is no different from analogues from other Chinese suppliers - price, warehouse, color, and other typical parameters corresponding to the product category.



7. Scrolling down, you can come across a lot of add-ons. One of the most important things for online stores is the ability to purchase products in bulk. After sending the application for consideration, a company representative will contact the user and clarify the details of the wholesale order.



8. Next, we complete the purchase using the form.



9. We indicate the delivery method.



10. And we make payment for the lot.

50% of products have free shipping, but in this case, the shipment is made without a tracking number, and this is a risk. To save up to 90% on purchases, it is rational to use cashback. This will allow you to increase profitability even more without increasing the price tag for the products.

The Gearbest platform is easy to use + has a Russian version of the site, which makes it convenient for any novice dropshipper to collaborate with. If you don’t know where to start, then this store from China is at your service.

Useful article? Don't miss new ones!
Enter your email and receive new articles by email