Before starting a successful dropshipping business, you should focus on several aspects.
For instance, who are your target customers?
Which products should you sell?
Most importantly, where will you source your products?
Today, we focus on this last question- where do dropshippers get their stuff?
Generally, dropshipping involves selling products you don’t own or have in stock. All you have is an online shop where you can display the products. As such, when a customer orders a product, you buy it from the supplier, who sends it directly to the customer.
Given this complex series of activities, you must have suppliers you trust to ship high-quality products on time.
This makes the process of choosing a supplier for your dropshipping shop vital.
So, how do you go about it?
First things first;
Table of Contents
Why Do People Want to Engage in Dropshipping?
People starting dropshipping businesses do it for several reasons. For example:
It is Easy to Start
Generally, dropshipping has few complications when starting. Once you have your target customers and niche, you only need an online store and a source for your products.
You can then incorporate AI tools like EcommerceBot to streamline your store’s activities from ad creation and placement to customer order fulfillment and engagement.
It is a Good Source of Income
Whether you want an extra source of income or a full-time business, dropshipping fits the bill. When done right, it can be a lucrative venture.
However, you need to be strategic, acquire the right e-commerce tools, and identify products that move. Otherwise, you might open a shop that fails to achieve your sales goals.
It Offers Independence
Besides offering an excellent opportunity to be your boss, dropshipping also provides freedom regarding location. Since you are doing business online, you can conduct it from anywhere, as long as you have your online shop and internet. Also, you can sell to anyone around the globe, giving you a broader customer base for more sales.
But since you don’t get to meet your customers physically, communication becomes a crucial part of your store’s success. That’s where AI-powered customer engagement tools come in. EcommerceBot’s Omnichannel ChatBot is a great choice here.
You can try Ecommercebot for free; no credit card is required. You agree to turn your E-commerce business into a success story by clicking the image below.
How to Choose Your Dropshipping Suppliers
Now that you know what dropshipping is and why people love such kinds of business, how do you choose your suppliers? What criteria do you use to get the ideal suppliers?
Well, here are the best tips for picking a dropshipping supplier:
Understand your Market
Understanding the market is crucial. What do the customers want? What products are moving? What is the competition doing?
Answering such questions helps you choose a product and supplier that meets market needs. You don’t want to choose a product that’s too popular, or that might be too hard to penetrate the market.
Know What is Trending
Trending products are more accessible to sell. This is because the demand for the products is already high.
You can identify trending products by searching for them on Google or browsing various marketplaces like Amazon, eBay, etc. This way, you can know what people want or what they are looking for and pick suppliers based on your search.
Consider Pricing
How much is a supplier offering their products? Also, what is the shipping cost? You should consider These two costs as they determine how much profit goes into your pocket.
If the cost of the product reaching the customer is high, you might need to raise your prices to get the markup you want. This could lower your customer base as more customers seek cheaper products elsewhere.
Understand your Competition
Not understanding what the competitors are doing is a remedy for failure. Therefore, start by learning about your competition. What tactics are other drop shippers in your niche using?
What marketing strategies are working for them? Also, what needs to be fixed for them? This will help you pick the best tips and find gaps that can enable you to create better strategies to outshine the competition.
Consider the E-commerce Platform you are Using.
Before picking a supplier, ensure that they offer integrations. For example, if you are using Shopify, look for suppliers whose systems allow integrations with Shopify. This way, you won’t encounter hardships when you want to import products from the supplier to your store.
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A good example is Aliexpress and Shopify. These two platforms integrate seamlessly to allow product importation through EcommerceBot’s Shopify integration. This AI tool helps to automate the entire product importation process from Aliexpress to your Shopify store.
Define your Brand
You should find a supplier who represents your brand. Remember, the customers don’t know the supplier; they know you and your brand.
Therefore, choose more than just any supplier. Choose the one that promises quality products and the shortest delivery time.
Make a Test Order
You can only fully know how a supplier operates once you order a product. Also, there might be some product details that you need to see physically to decide whether that’s the best supplier. So, make a test order before settling on a specific supplier.
This way, you can better understand the products’ quality and the shipping duration.
Now, back to the question of the day!
Where Do Dropshippers Get Their Stuff?
Well, there are several places and ways of finding dropshipping products to sell. It might be challenging to locate the best suppliers, but these methods can make the search much more accessible.
Google Search
This is the most straightforward way to find dropshipping suppliers. Google search for the best suppliers based on the products you want to sell.
The only drawback of this method is that most wholesalers and suppliers are not easily found on Google. Why? Some don’t invest in SEO practices that can make them more visible on Google.
Some of the suppliers on Google’s first page are scammers or not-so-serious sellers. Others are those who have perfected the art of SEO.
Therefore, even after your search, conduct more research on such suppliers to ensure they are legit and reliable.
Supplier Directories
The second option in finding the best suppliers for your dropshipping business is signing up for supplier directories. These platforms or organizations keep a list of suppliers, including their products, prices, and locations.
However, unlike with Google search, this method is paid. This makes it expensive, but they offer reliable resources. Unlike a Google search that provides thousands of results, this option offers more filtered results.
This way, instead of browsing many options to find the best supplier, you can browse through a shorter list and easily find the kind of supplier you want. The list is already narrowed down for you.
Trade Shows and Conferences
Finding manufacturers and wholesalers at trade shows or conferences is straightforward. They usually come to showcase their products at such events, making it the best place to find your suppliers.
Even better, these events might be ideal places to learn what is happening in the market. What products are trending? What are the new technological advances? These are the places to be for such info. Therefore, don’t ignore such events.
Contacting the Manufacturer
Sometimes, taking the challenging route might be the most productive. For instance, once you identify the products you want to sell, you can look for the manufacturer’s information and contact them.
Please inquire from the manufacturer about the wholesale distributor they use. If you can get this information, you’ll be just a step away from finding your supplier.
The only problem is that it might be challenging to contact that manufacturer. Most manufacturers need to be more responsive, and it might take time before you get that list. However, it can be the ideal option for finding a dropshipping supplier in the long run.
What are the Best Dropshipping Supplier Directories?
Now, to make your search even more accessible, here is a list of some of the best supplier directories in the market. You can choose your supplier from here depending on the type of product you wish to dropship.
AliExpress
AliExpress is among the largest dropshipping sites, connecting dropshippers with suppliers and products. As an international platform, AliExpress is available to drop shippers worldwide—in fact, it’s available to around 220 countries globally.
Most of the products on AliExpress are manufactured in China, and even the suppliers are primarily based in the region. It’s free for anyone, and the products’ shipment takes 15 to 45 days to reach the customer. You can, however, pick a premium shipping option for a higher price, which lowers the shipping time to 7 to 15 days.
AliExpress is ideal for both beginner and veteran drop shippers. With over 100 million products in various categories, finding what you are looking for is challenging. Also, the prices here are relatively lower compared to other platforms.
Alibaba
Next on this list is Alibaba. The platform boasts over 2.8 million suppliers and thousands of product categories. This makes it an incredible place to locate suitable suppliers and products.
However, unlike AliExpress, Alibaba is more of a B2B platform, connecting buyers and sellers. This means that it serves wholesalers more than it does single sellers.
So, while the suppliers here can become suppliers for your store, they usually need you to make bulk orders.
Alibaba is ideal for advanced drop shippers looking for private-label manufacturing or buying products in bulk.
Spocket
If you are looking for a Shopify dropshipping platform, Spocket is an excellent match. Spocket is an app designed to help users identify and import products from suppliers to their Shopify stores.
For example, you can use Spocket to import products from Aliexpress to Shopify.
The app is designed to pull orders from your store and automatically adjust it accordingly for seamless ordering processing. This way, it ensures that there are always enough products in stock.
Spocket works with suppliers from the US, Australia, Europe, and Brazil globally.
SaleHoo
SaleHoo is a supplier directory with over 8,000 suppliers offering dropshipping services. However, it is known to focus more on suppliers using Amazon and eBay platforms.
The platform’s relatively low monthly fee of $27 attracts many drop shippers. It also comes with a 60-day money-back guarantee. SaleHoo usually sources its products from AliExpress and serves markets such as the US, Australia, the UK, and New Zealand.
Sunrise Wholesale
With over 10,000 products, Sunrise Wholesale is another viable option when looking for dropshipping suppliers. The good thing about Sunrise Wholesale is that it offers inventory updates, product data, and price adjustments for your store. It also comes with reporting tools that ensure you have the necessary data at your fingertips.
However, Sunrise Wholesale is not available globally. It serves customers in the US and Canadian markets. As for the average shipping time, it takes only one to two days.
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Conclusion
Finding the best supplier for your dropshipping store is crucial to its success. You must partner with suppliers that can quickly ship the right products to your customers. This will allow you to quickly build trust among your customer base, paramount in growing sales.
Incorporating AI automation tools like EcommerceBot is also essential. For instance, this platform automates the order fulfillment process through Shopify AI integration. By simplifying this process, you can efficiently serve your customers without hitches.
You can try Ecommercebot for free; no credit card is required. You agree to turn your E-commerce business into a success story by clicking the image below.
Also, with features like Omnichannel Chatbot, you can initiate effective customer engagements that lead to satisfied customers and more sales for your business.
Frequently Asked Questions
Is dropshipping a pyramid scheme?
Dropshipping is not a pyramid scheme. It is an online business model where store owners collaborate with suppliers to sell products to customers. The customers place an order, the store owner buys the products from the supplier, and the supplier does the shipping.
Is dropshipping ethical?
Yes, dropshipping is ethical. However, it’s only ethical when the drop shipper maintains transparency, communication, quality products, and fair business practices. Anything less will raise ethical concerns.
Is eBay dropshipping profitable?
Yes, eBay dropshipping can give you good money and is also low-risk. However, you must identify low-priced products that move and sell them at a higher markup.
Do you need an LLC to dropship?
It’s not a must to have an LLC to start dropshipping. But that doesn’t mean it’s not necessary. Having an LLC (Limited Liability Company) protects your assets in the event some financial or legal issues arise.
Does Walmart allow dropshipping?
Yes. Walmart is second on the most extensive global retail e-commerce platform list. Walmart offers drop shippers access to a vast marketplace where they can reach more suppliers, although it is less competitive than Amazon.
Can you drop ship on the Facebook marketplace?
Yes! Facebook marketplace dropshipping is not only possible but also profitable. Like in other marketplaces, you don’t need huge capital to start, as you only need to get suppliers who stock and ship the products. Your role is only to get the products in front of customers’ eyes.
