shopify dropshipping app

A Guide To Dropshipping For Your Shopify Store For 2023

Learn how to start your Shopify dropshipping business and start earning in 2023.

Starting an eCommerce business is easier said than done.

But there are ways to get an easy start.

One of the easiest ways to kickstart your online business journey is eCommerce dropshipping.

It’s a business model where you don’t have to own inventory or ship orders yourself. Your suppliers handle those aspects. This factor makes starting-up achievable and less challenging.

Experts predict the global dropshipping market will reach $ 243.42 billion in 2023. And if you want to get a slice of the pie, this is the guide that will get you started with your Shopify dropshipping business.

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The basics of Shopify dropshipping

Before we get into how to run your dropshipping business, let’s get clarity on some of the basics—what is dropshipping, how it works, its benefits, and why you should consider this business model.

What is eCommerce dropshipping?

In dropshipping, the Shopify store does not own or keep any inventory. Instead, the Shopify website serves as a go-to between customers and the supplier that makes and provides the goods.

The idea is straightforward: When a customer wishes to purchase something, they place their order through the Shopify store. The Shopify store forwards the order to the supplier. The supplier sends the product directly to the customer.

Dropshipping stores are advantageous because they don’t require the Shopify business owner to invest in inventory or overhead expenses. It’s a simple way for merchants to enter the eCommerce industry without having to spend on inventory or incur other costs associated with traditional business models.

Benefits of eCommerce dropshipping

Low starting-up costs: Dropshipping makes it easy to start an online business as it requires less capital. You can avoid the biggest cost – inventory – through a dropshipping business model.

No order-fulfillment work: As the suppliers take the responsibility of packing and shipping orders, you can focus your attention and resources on other strategic aspects of your Shopify business.

Offer a wide product collection: You can create a large catalog to offer a wide range of products without the hassle of actual inventories. Thus, cater to a wide range of consumers. This makes it easy to adjust with market trends, diversify, and experience.

Function without location constraints: Ecommerce dropshipping enables you to manage your store from any location, hence, take advantage of international markets. Therefore, this business model is easily scalable.

How does dropshipping work?

Here’s a step-by-step of how dropshipping works.

1. Once you create and launch your Shopify dropshipping website, customers will place orders on the website. At this time, the customer will pay the retail price to you.

2. Your Shopify website will automatically send details of the order placed to the respective supplier’s order or warehouse management system. At this time, you (Shopify store) will pay the wholesale amount to the supplier, keeping the profit with you.

3. Next, the supplier gets into action. The supplier packs and ships the order to the customer’s address.

4. The customer receives their order and the order is fulfilled.

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10 best practices for your Shopify dropshipping business

Setting up an impressive website and an efficient Shopify customer account page is just the beginning. Like any other business, you’ll have to ensure your dropshipping business gets noticed, attracts traffic, and brings revenue via sales. And for that, you’ll have to apply the best practices and strategies. Here are some for you to try:

1. Create product offers

One of the best strategies for dropshipping businesses is making enticing offers. Think discounts or bundles. If none of your products are on sale, customers might not be motivated to buy from you. You’ll have a better chance of converting them if you offer the correct products with the right offer.

Another of the best-kept dropshipping secrets is the use of bundle offers. Concentrate on selling more of the same product when making a package deal. For instance, if you sell food products, include additional items (get 1 new jam flavor when you purchase 1 bottle).

Personalize the offers by analyzing data from the Shopify customer account page. For example, create offers from products in the wishlist or items already added in the carts.

2. Choose your dropshipping suppliers carefully

Your choice of suppliers will determine how well your dropship business does. Suppliers handle order fulfillment on your behalf, so they must deliver high-quality, expertly packed goods on schedule if you want to maintain your brand’s reputation and image.

Your reliability, dependability, and reputation will suffer if the suppliers you work with don’t comply with your strict quality standards and the shipping deadlines you’ve set to your customers.

Some tips to choose the best suppliers for your eCommerce dropshipping business:

  • Remember you are responsible and accountable to your customers, not your suppliers
  • Take your time, conduct adequate research, and select the best suppliers
  • Nurture long-term relationships with your suppliers
  • Do not rely too much on one supplier. Create a bank of suppliers and back-ups
  • Place test orders with new suppliers
  • Keep placing test orders every now and then to ensure supplier quality is consistent

3. Automate your Shopify dropshipping site

Automating your business processes can provide you more time and freedom to work on strategic areas of your business. To automate, you must use automation tools and solutions designed for Shopify stores.

For example, to automate features in your Shopify customer account, use Flits customer account page app. Flits automates marketing processes around features such as wishlist, recently viewed products, reorder, store credits, etc. Using ecommerce automation solutions can help you expand and scale your company faster.

4. Mention shipping time clearly

Customers shop online because it is convenient. However, a number of things can negatively impact a customer’s online shopping experience. One is the unpredictability of shipment and delivery schedules. Provide customers with tracking information and be upfront about delivery times at all times. They will have a better shopping experience as a result, and their faith in your band will grow.

5. Be ready to scale your eCommerce dropshipping business

Your Shopify dropshipping business may be simple to launch. But all businesses have to scale to grow. Scaling is not easy and requires solutions to many challenges.

As your store grows, you’ll need to pivot multiple times. For example, your niche may see new trends that you must include into your store to maximize sales. If your customers don’t like a product you really enjoy, you may need to remove it from your store.

To be prepared to scale, you will need to think long-term when you’re launching your dropshipping business. Choose a Shopify customer account page app that allows you to scale easily. As your registered customers number increases, your app should be capable of handling large numbers.

6. Be consistent with giving a good customer experience

Here’s a hard truth about dropshipping—it’s not easy to sell products via dropshipping. Why? Because there’s massive competition. Other eCommerce dropshipping stores are also selling the same products. And so, it’s not like having a good Shopify dropshipping site is enough. You’ll have to invest time and effort into marketing.

In a dropshipping business, there’s not much you can do or have to do in terms of packaging, shipping, and order fulfillment. So think of the aspects that you can focus on. Here are some:

  • Concentrate on providing quality customer service
  • Offer a good customer experience on your website. For example, you can do this by setting up an effective customer account page with features that makes customers’ shopping easier, faster, and convenient
  • Install Flits recently viewed products feature to make shopping easier. Flits social login makes sign-ins faster, and reorder feature makes order-placing convenient
  • Keep an eye out for trending products and add them to your store

7. Work out shipping rates for your products

Shipping charges are based on many factors—whether you’re shipping from one warehouse or different suppliers, inflation and increase in fuel charges, speed of delivery, etc. And so, you’ll have to put in some thought into the shipping charges. Here are some tips to work out the best shipping rates:

  • Take a look at past orders and work out average flat shipping rates
  • You could consider charging based on the order value
  • Free shipping might help increase sales but you’ll have to price your products accordingly
  • Evaluate your shipping costs from time to time and revise them if necessary so that you don’t incur losses

8. Be consistent with marketing

Without marketing and advertising, you might not be able to sustain your Shopify dropshipping business for too long. Because there’s already a lot of competition in the dropshipping market. Besides, there are new eCommerce dropshipping stores coming up.

In such a competitive scenario, you will have to stay consistent with your marketing plan. Not just that, you’ll have to come up with new marketing strategies that ensure you’re up to speed with market trends and consumer expectations.

9. Create a long-term dropshipping brand

Let’s get one point clear, you’re not going to start earning profits as soon as you launch your dropshipping business. You’ll see the results only in the long term. Hence, take a long-term approach. Here are some basics of long-term business thinking:

  • Create a distinctive selling proposition and brand identity
  • Keep enhancing customers’ experience by using data from your Shopify customer account page
  • Choose a customer account app that can scale as your business grows so you are always ready to scale
  • Consistently add value to your customers

10. Use your Shopify website features to boost engagement and sales

For eCommerce businesses, marketing is exciting, as there are so many digital marketing strategies to apply. For instance, you can run store credits, rewards programs, discounts, etc.

And so, the most crucial step is to actually begin developing your eCommerce business website with the most relevant marketing features. In addition, keep the customer at the center of your website, choose features that make their shopping experience enjoyable and convenient.

Get started with your Shopify dropshipping business

Dropshipping business is just like any other business model. You have to put in a lot of effort to keep it going successfully. You have to provide excellent customer service, enhance your customers website experience by adding features, and choose the best suppliers, etc.

However, these aspects aren’t rocket science. Once your Shopify dropshipping store is set up, your Shopify customer account page should take care of a lot of processes with the help of automation.

To install the most efficient customer account page app, explore Flits customer account page app and its add-on features.

Explore Flits Customer Account Page App for your dropshipping business today!

Install Flits To Set-Up Your Customer Account page Right-away

Vanhishikha Bhargava
Vanhishikha Bhargava
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