Do you want to boost your Shopify sales? If so then it’s important to know the basics about dropshipping & Shopify. This will help to get you started and on your way to racking up traffic and sales to build your business to 7 figures in business cycles.
What is Dropshipping?
This system allows store owners to sell products to customers without needing to stock products themselves. In fact, it’s not a brand new concept since Zappos began dropshipping nearly two decades ago in 1999. Various online companies like Amazon also use the business model now. Drop shipping is used by up to one-third of e-commerce companies and mostly as an inventory management model.
This system is popular with small e-commerce companies since they don’t have to hold inventory. That results in lower investments up front. This also allows online companies to focus on finding new customers since they don’t have to deal with inventory issues.
Here’s how the system works. An online retailer posts products on a website. Then a customer submits an order and pays for it. The online merchant then fills the order through a supplier. The supplier then sends the product to the online customer.
In the case, companies use Shopify and host the products the mobile apps make the entire process faster and easier since they link supplier and e-commerce shop where the products are shown and bought. Such apps allow e-commerce sites to import items from suppliers to their online stores. This makes it easier to manage any changes in inventory/pricing, so there are no differences between what the online retailer is displaying and the item’s actual features in the marketplace.
What Are the Benefits of Dropshipping?
Drop shipping provides people and companies with various benefits. One of the main ones is it’s very flexible. For example, they control their profit margins. They also don’t have to follow the suggested retail price (MSRP) for products and can instead pick their prices. There are also other major benefits. Dropshippers don’t have to be a registered business before they launch an online store. You will also be using this model in a slightly different version in the 7 figure business cycle model. However, once the business starts to grow, they’ll have to take that step. Dropshippers also have instant access to millions of products.
Tips for Dropshipping
1. Have a GREAT product
A key to drop shipping is to offer an incredible offer to your visitors. That can include sales/bundles. In fact, people might want to avoid buying your products if you don’t offer sales. Meanwhile, if you offer good products at good prices, you’ll be more likely to convert sales.
2. Focus on marketing
It’s important to focus on marketing when you operate a dropshipping business. There are other tasks you’ll have to do involving websites, graphics, and logos. However, it’s advisable to focus on the marketing itself.
3. Quickly remove bad suppliers
Most suppliers are easy to deal with, but some aren’t. If you’re dealing with bad suppliers, make sure to ditch them quickly.
4. Don’t under-price items
Your goal when doing dropshipping should be profitability. So it’s important not to over-price your products. Make sure to consider the many related costs including costs, marketing, etc.