How to Start a Drop-shipping Store

Starting a drop-shipping store is a venture that takes tremendous time, money, and effort in order to be successful. However, those willing to put in the work and never give up can make sizable profits. As with any other company, a drop-shipping business is something that will require significant commitment from entrepreneurs in more ways than one.


Broadly, the following are the key steps aspiring business owners will need to follow in order to open up their own drop-shipping store:

Find a market niche

The first step is to find a niche in the market. An entrepreneur should find a niche she is comfortable with and have a genuine interest in. Those who aren’t invested in the category of product that they want to sell will have a much more difficult time marketing to others. When picking a niche, there are a few important factors to consider.


First, it is necessary to seek attractive profits. What this means is that entrepreneurs will need to pick a niche that has higher-priced products. Next, they should consider that low shipping costs are vital. After all, sometimes high shipping fees discourage customers from finalizing a purchase! Prospective drop-shipping business owners need to find something that will not be expensive to ship out. If possible, it is nice to offer the option of free shipping, which could potentially attract more customers, and in doing so, more sales. Entrepreneurs should also make sure whatever product they choose can appeal to buyers who make purchases on impulse with disposable incomes. Whatever products they sell should trigger people to make a purchase right on the spot.

Research competition

Once mastering the basics and finding a niche in the food chain of commerce, people will next want to research their competition. The first rule of war is to know the enemy. Drop-shippers, especially novices, tend to fail when they look for products that do not have competition. While this does mean there won’t be people to compete with, this also means that there is a lack of interest in the product. Low demand equals no sales. Potential business owners should not be afraid of their competition. Rather, they should embrace it so they can see which products are high in demand. After finding a viable market, people will need to find a way to make themselves stand out to customers.

Secure a supplier

Another area where new drop shippers tend to fall off the map is the process of securing a supplier. Choosing the wrong supplier can cause an entire business to collapse. Communication will be vital, as most partners many people research are overseas. Those who do not feel confident in having professional discourse with their chosen suppliers should move on immediately. One tip is to want to ask around and see which entrepreneurs have made sizable profits using a specific supplier; then, potential drop shippers can figure out how these suppliers might benefit them.

Secure a platform

After finding the niche, doing the research, and getting a supplier, the next step is acquiring a platform. Fortunately, there is no need to be a whiz at computer graphics or a professional at website making. There are plenty of e-commerce platforms that will already have templates for free use to start up a business. Shopify is one of the more popular sites to use in this regard. Those who have the budget to make a top-end website can try experimenting. However, it is recommended to use a tried-and-true method that has paid off for others first. It is better to wait for steady revenue and a brand to become established before exploring larger options.

Acquire customers

The most important part of running a successful drop-shipping store is to have a plan to acquire customers. All the fancy designs and marketing techniques in the world won't do a bit of good if there aren’t any customers. There’s no business without customers, after all. The most effective option for many would be to start a Facebook ad campaign, so they can start generating sales from the get-go. They can place their offer in front of a targeted audience this way. Other options include email marketing and SEO (search engine optimization), so that it is easier to leverage the customers businesses already have, without the need to spend extra money on marketing.


As all of this goes on, it is also important to track data and metrics, from Google Analytics traffic to Facebook conversion pixel data. This way, it is possible to track every conversion. This will also inform business owners which channels customers are using to go to their website and make purchases.

Final Thoughts

There is a lot that goes into sustaining a drop-shipping business. With enough diligence, however, it’s possible to make one work successfully.