How To Make Money From Dropshipping Business – 5 Things Entrepreneurs Do

Dropshipping

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If you’re thinking about starting a business without the hassle of managing a lot of inventory or shipping products yourself, dropshipping might be right up your alley. In a dropshipping business, you sell products through your online store, but when someone buys something, a third party sends it directly to them. You never see or handle the product yourself! Sounds convenient. It is, but it also requires intelligent strategies to make real money. Here’s how successful entrepreneurs do it.

 

Understanding Dropshipping and How It Works

What is Dropshipping?

Dropshipping is a retail fulfillment method where a store doesn’t keep the products it sells in stock. Instead, when a store sells a product using the dropshipping model, it purchases the item from a third party and has it shipped directly to the customer. As a result, the seller doesn’t have to handle the product directly.

How Dropshipping Works:

  1. Set up a store: You can create an online store using platforms like Shopify and WooCommerce or through a hosting provider like Hostinger.
  2. Choose products to sell: You select products from suppliers that can provide dropshipping services.
  3. List products on your site: You add these products to your store, setting prices and writing product descriptions.
  4. Customers place orders: When they buy a product, they pay the retail price you’ve set.
  5. Order is forwarded to the supplier: You forward the order to your dropshipping supplier and pay the wholesale price.
  6. The supplier ships the product: The supplier ships the order directly to the customer under your business name.
  7. Customer receives the order: The customer receives their purchase from the supplier as if your store had shipped it.

 

How to Make an Online Dropshipping Store Website

Creating a robust online store is essential for the success of your dropshipping business. Here’s how you can set one up using WordPress with WooCommerce, Shopify, or Hostinger.

Using WordPress with WooCommerce

WordPress combined with WooCommerce allows you to build a customizable online store. WordPress is a powerful content management system, while WooCommerce is a plugin that adds e-commerce functionality to WordPress websites.

Steps to Set Up:

  1. Get Hosting and a Domain Name: Start by purchasing hosting and a domain name. Many hosting providers offer one-click WordPress installations, which simplifies the setup process.
  2. Install WordPress: Once your hosting is set up, install WordPress through your hosting provider’s dashboard.
  3. Install WooCommerce: Navigate to your WordPress dashboard, click ‘Plugins,’ click ‘Add New,’ and search for WooCommerce. Install and activate the plugin.
  4. Configure WooCommerce: After activation, WooCommerce will guide you through a setup wizard to choose your currency, payment methods, shipping settings, and more.
  5. Choose a Theme: Select a WordPress theme compatible with WooCommerce. Many free and premium themes designed specifically for online stores are available.
  6. Add Products: Go to the WooCommerce section in your WordPress dashboard, click ‘Products,’ and then ‘Add New’ to start adding your products. Be sure to include high-quality images and detailed descriptions. 7 manage inventory: WooCommerce provides tools to manage your stock directly from your dashboard.

 

Best WordPress Hosting Recommendations for Dropshipping Businesses

When running a dropshipping business, choosing the right WordPress hosting provider is crucial. Your website’s speed, reliability, and security can all significantly impact its success. Here are some of the best WordPress hosting services we recommend for dropshipping entrepreneurs: Bluehost, Hostinger, SiteGround, and WP Engine. Each provider offers unique features that can benefit a dropshipping store in various ways. 

 

Bluehost Logo
Starting from $1.99 per month
Key Features

Recommended by WordPress
One-click WordPress
Free domain name for the first year

Storage and Bandwidth:
50 GB SSD storage
Unmetered bandwidth

Extras:
Free SSL certificate

 

 

Hostinger Logo Homepage
Starting from $2.99 per month

Use Our Discount Code: MYFIRSTWEBSITE

Key Features

Extremely affordable
User-friendly control panel
LiteSpeed Cache for faster loading times

Storage and Bandwidth:
30 GB SSD storage
100 GB bandwidth

Extras:
Free SSL certificate

 

 

Starting from $3.99 per month
Key Features

WordPress-Optimized Hosting, including automatic updates, caching tools, and staging environments for development
Excellent Customer Support
Good Balance of Price and Performance

A well-rounded option for WordPress websites seeking a balance between affordability, performance, and user-friendly features
Suitable for beginners and growing websites that don’t require the high-powered features of WP Engine

 

 

Starting from $35 per month
Key Features

Specializes in hosting WordPress websites
Focuses on speed and reliability
Advanced security

Perfect for established WordPress websites with high traffic volumes that require top-notch performance and security
It is ideal for businesses that value a hands-off approach to website hosting, letting WP Engine handle the technical aspects

 

Using Shopify

 

Shopify Icon
Starting from $17 per month

Get a free trial and start your first month for $1

Key Features

AI-powered product recommendations and marketing
Advanced fulfillment and inventory management
Seamless omnichannel selling

Storage and Bandwidth:
Unlimited storage allows you to upload as many products and images as needed
Unlimited bandwidth means your site can handle many visitors and lots of activity without slowing down

Extras and Inclusions:
Secure, integrated payment gateway, with transaction fees waived if you use Shopify Payments
Access to an extensive app store to add features and functionality
Built-in tools for SEO, marketing, and analytics

 

Why Shopify?

Shopify is an all-in-one e-commerce platform especially popular among dropshippers due to its simplicity, built-in features, and a wide array of integrations with dropshipping apps like Oberlo.

Steps to Set Up:

  1. Sign Up for Shopify: Go to Shopify.com and create an account. You can start with a free trial to test things out before committing to a payment plan.
  2. Set Up Your Store: Shopify’s setup wizard will help you add your products, set up payment methods, and configure tax and shipping rates.
  3. Customize Your Store’s Design: Choose from one of Shopify’s many templates, which you can customize to fit your brand’s style and preferences. Shopify’s drag-and-drop store builder makes it easy to design your store without knowing how to code.
  4. Add Products: You can add products manually or use a dropshipping app like Oberlo to import products directly from suppliers to your Shopify store.
  5. Set Up Payment Gateways: Shopify supports various payment gateways, such as PayPal, Stripe, and Shopify Payments. Choose the ones you want to use and configure them according to your preferences.
  6. Launch Your Store: Once everything is set up and you’re happy with how your store looks and functions, you can launch it.

 

Using Hostinger 

 

Hostinger Logo Homepage
Starting from $2.99 per month

Use Our Discount Code: MYFIRSTWEBSITE

Key Features

Extremely affordable
User-friendly control panel
LiteSpeed Cache for faster loading times

Storage and Bandwidth:
30 GB SSD storage
100 GB bandwidth

Extras:
Free SSL certificate

 

Why Choose Hostinger?

Hostinger is known for its cost-effectiveness and excellent performance, making it a great choice for startups and small businesses. It offers hosting plans supporting WordPress, making it a solid option for running a WooCommerce-based store. Additionally, Hostinger provides easy WooCommerce integration and optimized hosting solutions to streamline your dropshipping business.

Steps to Set Up:

  1. Choose Your Hosting Plan: Hostinger offers several hosting plans to support an e-commerce website, including shared hosting, cloud hosting, and VPS hosting. 
  2. Register a Domain Name: If you don’t already have a domain name, you can register one directly through Hostinger. Choosing a domain name that reflects your brand and is easy for customers to remember is essential.
  3. Install WordPress: Hostinger provides a one-click WordPress installation feature, making it easy to get your CMS up and running in no minutes. You can access this feature from your Hostinger control panel.
  4. Install WooCommerce: Once WordPress is installed, log into your WordPress dashboard and install the WooCommerce plugin to add e-commerce functionality to your site. Hostinger’s servers are optimized for WooCommerce, ensuring fast loading times and a smooth user experience.
  5. Choose a WooCommerce Theme: Select a theme that is compatible with WooCommerce. Hosting customers can access themes directly through the WordPress dashboard or third-party sources. 
  6. Customize Your Store: Customize your theme to match your brand’s style and voice. Add products, configure payment gateways, set up shipping methods, and more through the WooCommerce dashboard. 
  7. Optimize for SEO and Performance: Use plugins and Hostinger’s built-in optimization tools to improve your store’s search engine rankings and performance. 
  8. Launch and Promote Your Store: It’s time to launch once everything is set up and you’re satisfied with how your store looks and functions. Hostinger offers marketing tools to help promote your new store, including access to SEO and social media advertising guides.

 

5 Things Entrpreneurs Do 

Choose the Right Niche

Choosing a niche means focusing on a specific category of products instead of trying to sell everything. This focus is essential because it helps you identify your target customers and specialize in products that interest you.

How to Do It:

  • Research Trends: Use tools like Google Trends or social media platforms to see what products are currently popular.
  • Consider Your Interests: Selling products you’re passionate about can be more fulfilling. Plus, it’s easier to be persuasive and knowledgeable about products you care about.
  • Analyze Profit Margins: Some products might sell well but have tiny profit margins. Look for products that strike a good balance between popularity and profitability.

 

Find Reliable Suppliers

Your suppliers are the backbone of your dropshipping business. Since they handle product storage and shipping, you need reliable ones to ensure your customers receive quality products on time.

How to Do It:

  • Use Established Platforms: Websites like AliExpress and Oberlo can connect you with numerous suppliers. They also provide ratings and reviews to help gauge reliability.
  • Check Response Times: Contact potential suppliers to see how quickly they respond. Communication is crucial for solving issues that might arise with orders.
  • Order Samples: Before selling a product, order a sample for yourself. This lets you check the quality and the delivery process.

 

Build a Dropshipping Website

Your website often gives customers the first impression of your business. A professional, user-friendly site can significantly affect the number of visitors who convert to buyers.

How to Do It:

  • Use a Reliable Platform: Shopify or WooCommerce are popular among dropshippers. They are not only reliable but also have lots of helpful features.
  • Keep It Clean: Design your website with a clear, easy-to-navigate layout. Overcomplicated designs can drive potential customers away.
  • Optimize for Mobile: Many people shop on their phones. Make sure your website looks good and works well on mobile devices.

 

Market Your Business Effectively

Even the best products won’t sell if no one knows about them. Effective marketing helps bring visibility to your store and attracts customers.

How to Do It:

  • Leverage Social Media: Platforms like Instagram, Facebook, and Pinterest are great for promoting products visually. Regular posts and ads can draw attention to your store.
  • Use Email Marketing: Collect emails from site visitors (with their permission) to send updates, promotions, and personalized offers. Email marketing helps in building relationships with customers.
  • SEO: Search Engine Optimization makes your website more visible in search engine results. Use relevant keywords in your content and product descriptions to drive organic traffic to your store.

 

Provide Excellent Customer Service

Good customer service can lead to repeat customers and positive reviews, which are golden in e-commerce. Remember, happy customers might tell their friends, but unhappy ones will tell everyone.

How to Do It:

  • Be Responsive: Answer customer queries promptly. If you use platforms like Shopify, they can integrate chat services that help you keep in touch with customers.
  • Handle Issues Professionally: If a customer has a problem, address it positively and proactively. If an order goes wrong, offer a refund or a replacement.
  • Ask for Feedback: Encourage customers to leave feedback. Not only does this provide social proof for your business, but it also gives you insights into what you’re doing well and what could be improved.

 

Conclusion

Starting a dropshipping business can be an exciting venture and a great way to make money online, but it takes more than just setting up a store and waiting for the sales to roll in. Successful entrepreneurs in the dropshipping industry do their homework by choosing the right niche, finding reliable suppliers, creating an engaging website, marketing their products effectively, and providing top-notch customer service. Following these steps can increase your chances of building a profitable dropshipping business that stands the test of time.

 

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