Owning an online dropshipping store is a great way to replace and earn additional income. But what is dropshipping? Dropshipping is a form of online retailing, Where the retailer holds no physical products. The retailer places orders for their customers and the dropship suppliers deliver the goods directly to the customers.
Dropshipping could be an easy way to earn extra money or a full-time income. A dropshipping store is convenient for work from home entrepreneurs who are interested in operating an online store without spending a lot of money on inventory or startup cost. As easy as it may sound, dropshipping, like any other business, has guidelines. Guidelines that if followed should result in a successful online dropshipping store.
So in this article, I’m going to share with you what to avoid primarily what not to do if you want to be successful at starting an online dropshipping store.
Here are the 8 Mistakes to avoid when starting an online dropshipping store.
Not selecting a dropshipping niche
Dropshipping is very flexible, for example, if you choose to build an online dropshipping store you don’t have to bother with where to store your items for sale. With the stress of storing products gone you have options, meaning you can dropship smaller items. For example books, or larger items like lawn mowers or even playground sets.
In a sense, you can sell anything since you do not have to bother storing products. Due to this flexibility, so many new to dropshipping forget to carve out a specific niche. Remember you do not want your new business to be all things to everybody. You want your new online store to be everything to a particular niche of customers.
Dropshiprocket.com has over 25 niche related premade online dropshipping stores that are ready to operate. Get over to dropshiprocket.com and choose your niche. Here a great review over dropshiprocket and their turnkey dropshipping stores.
Depending on one dropship supplier.
The relationship you have with your dropship suppliers is crucial and goes a long way to determining the outcome of your new online business. Keep in mind the right supplier will deliver quality goods to the customer on time and will be open to handling any returns or issues that may arrive from there products.
An excellent dropship supplier will give you access to inventory stock levels and update you on any pricing changes. However, many new drop shippers start dropshipping from Aliexpress or Amazon and skip over the traditional dropship suppliers. When you choose to use Aliexpress or Amazon as your dropship supplier. Understand that it will be much harder to develop that vital relationship I believe all online stores need an excellent supplier.
The issue is when you start dropshipping and only have access to one supplier for your store. With only one supplier and no relationship, a new online dropshipping store owner will become too dependent on the supplier. If the supplier has any issues with products or quality all the blame from the customer will fall on you. And without a backup supplier, you will be forced to cancel orders or issue refunds.
We suggest if you plan to use Aliexpress or Amazon as a supplier make sure you have at least two suppliers for your key dropshipping items within your online dropshipping store. Also, make sure you dig up your supplier’s contact info and inform them that you are dropshipping there products. Once you start making a bunch of sales of their products, contact the dropship supplier for a discount code or work a better deal out with the supplier. Most suppliers will cut you a fantastic deal for selling their items. But remember you most have two suppliers just encase a supplier ups their prices or run out of stock or there delivery times just becomes unacceptable.
Neglecting the customer
Without customers who are in need of goods, there would be no essence of dropshipping. Many new drop shippers ignore the customer. If you are new to online retail, understand that customer service is the lifeline of your business. Once you get your first sale, you need to get in the habit of treating that client like gold. Especially if you’re selling any subscription-based products or perishable goods that will need to order over and over again. For example air filters or even clothing for that matter.
I have seen it more often than I like to admit. When a new store owner gets a sale then neglects the client. Often potential customers want to make a purchase they just want to feel more at ease about their decision to purchase from a business they never heard of. Nothing would rattle them more than sending an email and not getting a response or making a purchase and not getting a confirmation email.
Remember to pamper all your online dropshipping store customers, and they will come around more often. Make sure you lend listening ears to your customers’ complaints and offer solutions as quickly as possible.
You should be able to inform your customers of the whereabouts and the state of their goods even while it’s not yet delivered. You should, if possible, send complimentary messages to your customers. Anything to make them feel special. Will keeps your dropshipping store growing.
The below video also shares with you what not to do when you start dropshipping.
Not making a marketing plan for you new dropshipping store.
A dropshipping marketing plan is a guide on how best to market your online business. A great marketing plan will keep you focused on the needed day to day activity to grow your online dropshipping store. Without a marketing plan, you will leave money on the table. FYI every online dropshipping business from dropshiprocket.com comes with a detailed marketing plan.
Not actively growing your dropshipping business
Dropshipping is serious business. Like other businesses, there are indefinite competitors in dropshipping. Every other retailer is continually thinking up new ideas on how to attract more customers and thereby better his business. It is necessary to bear in mind that the flexibility in dropshipping does not mean laxity.
Some new to drop shippers may not periodically check inventory or pricing of there drop ship suppliers. Or if you’re using an automated plugin to order and import item some new drop shippers never take the time to assure the plugin was set up correctly. But most often the issue is not following up with the customer after a purchase was made. Some new store owners do not even consider getting a review on the service by the customer. These tiny little efforts accumulate into success. Failure to make the extra effort and go greater lengths would result in a stagnant business. Worse still, it would result in a complete shrinkage to nothingness or worse you losing money.
Trying to avoid shipping cost
Of course, it is dropshipping, and you don’t have to ship the items yourself. The vendor does and is paid by you eventually. Sometimes, depending on the size of the item, how expensive it is and the distance, shipping cost could be a bit outrageous. Sometimes you just have to pay the shipping. It’s better to pay a little more for shipping from a great supplier than to not pay shipping and have your item delivered late, damaged, or not delivered at all. It is somewhat unwise to bother about the charges if there is a certainty that the goods will arrive safely. Not to worry, the cost evens out when other products are shipped at lower prices too.
Anyone who starts an online dropshipping store should bear in mind that it is a risk like any other business. When things do not fall into place, it is advisable to figure out what went wrong correct it and jump right back into your business.
(Last night I took an L, but today I bounce back)
If everyone gave up on their goal everytime they had a setback, we would all still be living in the stone ages. Just because you get a product returned or have to issue a refund or your marketing does not get favorable results. Does not mean all is lost and that you should give up on your online business. Ask any successful business owner if they had any setbacks on there way to success.
Hopefully, your business will run smooth, and there won’t be any mistake with your online dropshipping store. However, if there are any mistakes, make sure you handle it and keep moving forward.
Spending dropshipping profits.
This is a big one, so please listen up. Once you start making sales with your dropshipping business. You will start making some serious money. I understand we all started dropshipping because we need extra cash. However, there is a period between making a sale and spending the profits from that sale.
Once you make your first dropshipping sale, there should be at least a ten-day period where you should not spend any of the profits made from that sale. Reason being encase you get a refund request. If you have the horrible luck of getting a refund request you may need to refund the buyer there money. However, it’s pretty hard to do if you just spent your dropshipping profits on a utility bill.
So I suggest having a small reserve of cash or credit set aside for this purpose. I also recommend that you spend at least 35% of your profits on some form of paid marketing once you start making sales. Do this, and your business will grow fast.
So there are my eight tips on what to avoid once you start a dropshipping business. Hopefully, this article has given you a guide into how to best start your new online dropshipping store. Please be sure to ask a question below in the comment area and please share this article on social media. Thank you for your time, and God bless.