Dropshipping has become one of the most popular business models in recent years. To be precise, millennials adore this kind of business model and many of them dived into the entrepreneurship life thanks to the dropshipping model.
It’s simple to see why these younger individuals have grown along with the rise of the internet and technology boom. Their internet marketing skills outweigh their financial capacities. This may be bad in a sense, but it is also good for this business model.
Since you don’t need to stock or handle the items you are selling (that’s the gist of dropshipping) this is a great opportunity in the eyes of millennials. And, of course, dropshipping works. This business model has brought luck and fortune to a lot of people out there.
If you too are interested in learning how you can start and grow your own dropshipping business, keep reading. The goal of this article is to show you how you can reap maximum results out of your own dropshipping business.
Clearly define your value proposition
Hopefully, you understand that dropshipping means that you are selling products many other eCommerce store owners actually have access to. To be precise, you will often promote the same product as your rivals.
This is why you need to clearly define your value proposition. Simply put, a value proposition is a statement explaining what unique benefits you can provide and to whom. Of course, your value proposition will also explain how you can do that.
An important component, in this case, is the identification and actual framing of the problem. You also need to be able to communicate how your store and its products are solving the given problem.
So, in order to find that out, you need to understand your audience. It is important to know who they are, what they want, and how you can solve their problems with the products you sell.
This will all allow you to craft the perfect value proposition that will attract customers to come to your store and choose you over someone else.
This is something all great dropshipping suppliers have to do in the beginning. Your value proposition is among the foundation rocks of your dropshipping business. So, make sure you have a solid one.
Be a great curator
It’s fair to say that less is often more. And, as a dropshipping business owner, you need to be a product researcher and a great curator who always aims to find the best product that fits well within your value proposition.
For example, don’t you always find it annoying when you start looking for a certain product and then you get bombarded by 100 variations of that product in a certain store? Imagine going online just to buy a fingernail clipper and you get inundated with 500 different clippers to choose from.
To be clear, you need to offer a variety of products, but be wise with it and don’t present too many options to your customers.
As time goes by, you will develop your niche so you will have to be extra wise about the wholesale distributors you want to work with. Many won’t even have everything you need. So, you also need to think about working with multiple suppliers.
When you have more than one supplier you are reducing the chances of stock-outs, especially if there is good product overlap.
Make your website gorgeous
This is definitely easier said than done, but it is one of the most important tips any dropshipping expert can give you. Make your website as good as possible so that it attracts customers.
You can never let the looks and functionalities of your website scare off a customer. Many new entrepreneurs in this field make the mistake of marketing their stores when their home pages are missing images, have placeholder texts, and so on.
Before you launch everything, please, make your website spotless. If you don’t know where to start, take a look at your rivals’ websites:
- What do their home pages look like?
- What is the format of the copy on their product pages?
- What types of pages do their websites have?
Take notes and have clear answers to these questions. After you do that, browse through some stores to further help yourself find your model store. Aim at successful brands and see how they are approaching different aspects of their websites.
When you build a website, you actually create your image. So, make sure you have a presentable image.
Finally, you need to think about the more technical side of things. Learn all you can about hosting providers, see whether you can find something good out of the cheapest domain names for a start, check out security plugins for the website, and so on.
Invest your efforts in marketing
You will learn that a lot of aspects of a dropshipping business are automated. Once you really get the ball rolling, you will have more time to focus on marketing and branding.
As it was mentioned, you will have to create a good website (and a logo), but you will also have to learn how to take advantage of ads, grow your traffic, and boost conversion rates.
Ads and SEO can help drive more people to your store. Now, bear in mind that most stores of this kind convert at a rate of one to two percent. So, if you get 100 visitors on your website, you most likely won’t sell much.
Therefore, it is important to get more traffic to your store since that boosts your chances of converting. For a start, invest in ads. They usually produce instant results and can drive a lot of sales in a short time.
But, in the long run, think in terms of SEO and see how you can rank better. Also, have a social media marketing strategy in place.
Millions of people spend countless hours on social media networks every day, so it would be really unwise not to take advantage of that. For instance, Instagram has a feature where your store’s page can display clickable offers.
Yes, you can post your offers there. Say that you are selling clothes and post a black hoodie on your store, for instance. You will also be able to do that on Instagram and people will be redirected to the checkout within a single click.
However, to attract as many customers as possible, you will need great Instagram feed ideas. Instagram is big in the world of online media marketing, so you need to pay attention to every single detail.
Of course, you shouldn’t neglect other platforms either. But, there is no doubt that Instagram is slowly becoming the most popular social media network out there.
Exceptional customer service is a must
If you really want to set yourself apart from your rivals, you need to provide exceptional customer service.
You should offer refunds and respond to inquiries as fast as possible. However, take another step forward to really become special in their eyes. Joke with them or write them thank-you cards if they buy from you a few times.
Have monthly giveaways exclusive to customers who have ordered from you before, do something that will make them valued and appreciated. Remember, they are the lifeline of your business.
Customers often forget what they bought from you, but they rarely forget how you treated them. So, show them that you appreciate them.
Keep an eye on your competition
Monitor your rivals everywhere. Like them on social media, follow their Twitter accounts, see how they post on Instagram, find out what new ways to reach customers they are using.
On top of that, when you like their pages, you will start receiving targeted ads with their products. This will let you know what products they are advertising and how.
You will also find out if that product gets a lot of engagement (comments, shares, likes) or not.
When you monitor your rivals, you get to figure out what products you need to start selling on your store. And, when you see how your rivals post to their social media pages, you will know what type of content people from your niche like.
This will both make you a better marketer and help you sell more and grow.