Dropshipping is a sales model that has been growing more and more by e-commerce retailers of all sizes. According to a survey by AmeriCommerce, carried out in 2017, about 33% of online retailers adopt the dropshipping model as the main commercial method. Are you interested? So let’s get to know 3 examples of dropshipping stores.
But before getting to know these successful cases, let’s better understand what dropshipping is and how this method works.
What is dropshipping?
Dropshipping is an e-commerce model in which the retailer makes sales in a virtual store, but the responsibility for the stock and the logistics of delivery is the responsibility of the product supplier. That is, in dropshipping the retailer is an intermediary between the consumer and the supplier .
After the consumer makes the purchase, the shopkeeper passes this order on to the supplier. It is he who is responsible for packing the goods and taking care of all the logistics from the shipment until the arrival of the product at the customer’s home.
Among the advantages of the dropshipping model are:
- Low starting capital: as you don’t have to worry about inventory and product shipping, you can set up an online store with a much lower investment. You only need to create your e-commerce with an attractive design and search for the best products for your sales niche.
- Minor risks: precisely because you need to invest less, the risks that your business is exposed to in the dropshipping model are also lower. Therefore, dropshipping is ideal for beginners.
- Possibility of home office: without a physical store and without the concern with the logistics of maintaining a stock and sending the products, you can work from home, alone or with a small team, also in remote work.
How to do dropshipping?
As you have seen, there are several advantages to investing in a dropshipping e-commerce. But, you may be wondering, how to do dropshipping in practice? Here are 3 tips to get started with the dropshipping model:
1) Think of an initial idea
It would be very difficult to start by looking randomly for products to be sold by dropshipping. Therefore, the ideal is to identify what you would like to sell and whether this idea has a good outcome in the market.
Then you need to think about what your differentials are compared to other competitors. As we have seen, dropshipping is a model that grows more and more each day and if you want to enter this business, you need to stand out.
2) Choose suppliers
As we have seen, in the dropshipping model your venture does not produce the goods it sells and works only with suppliers. Therefore, a central point of a successful dropshipping is to choose the companies that will supply the goods to your store.
It is essential that your business works with reliable suppliers, who deliver without delay and who have quality products at affordable prices. Some pages, like Oberlo, simplify the search for products and partners.
3) Create your online store
Your online store is the only way that the customer has to know your work and make purchases of products. Therefore, it is important to place all the files in the choice of your e-commerce platform and website design.
It is important that your store has an attractive design and features that facilitate the customer’s shopping experience. Several websites offer tools that help you create your e-commerce more easily. Shopify and Midhaz are some of them.
Examples of dropshipping stores
Now that you know what dropshipping is and how to adopt this model in practice, let’s see 3 examples of dropshipping stores. These successful cases will show you that setting up a dropshipping e-commerce is not a big deal. On the contrary, it may be the easiest way to enter the world of virtual sales.
1) Aloysius Chay and Galvin Bay
In the dropshipping market since 2016, Aloysius Chay and Galvin Bay currently earn more than $ 60,000 a day. Before joining e-commerce, partners and friends played poker professionally in Macau. At the beginning of their business, the two had a hard time choosing the products they would sell. They tested between 20 and 30 types of merchandise until they found what actually worked.
Currently, Bay & Chay does not have a specific niche. The company sells products that are in high demand in the market or try to sell new products. And, it is worth mentioning, with great success! The stores that Bay & Chay operate today are among Shopify’s best e-commerce stores.
Allen entered the world of dropshipping e-commerce for fun. He started by creating some stores and trying to understand how online sales worked. Imagine your surprise when one of these stores started to be successful! The result of this game was Leo Gary, a men’s clothing store.
With this e-commerce, he managed to earn 800 thousand dollars in sales and today is an example of dropshipping stores! The company’s idea is to seek quality products from the best fashion manufacturers in the world and offer these pieces in its online store.
According to Allen , with the dropshipping model, Leo Gary can sell a wide variety of products and still be flexible. If a line of parts is not selling well, you can easily choose another product to make available in the store.
3) Thalles Felipe
Thalles Felipe is an example of successful dropshipping stores. And a very Brazilian example. He had a stressful career in loan sales at a bank, but dreamed of having more freedom and more financial return.
With that in mind, he started investing in his own business. He spent five years undertaking in the physical market, until he met the world of e-commerce. He currently manages several dropshipping stores and has already surpassed the mark of R $ 3 million with the model.
Now that you know examples of dropshipping stores and know everything you need to set up a business that adopts this model, how about thinking about partnerships that can leverage your venture?
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What is Dropshipping and how does it work?
If you are an e-commerce entrepreneur, then you know that the challenges of maintaining the business are as complex as a physical company.
However, one of the factors that most cause headaches exclusively to e-commerce owners is to deal with the stock to maintain a good turnover of products to be delivered.
It is necessary to thoroughly analyze the aspects to make sure that the products will be delivered on time and with the proper quality. After all, when it comes to online shopping, there is little care.
Imagine ordering products, like tnt bags, among others, or even different furniture, all without even seeing the product physically. Certainly, if a product arrives with flaws, it can cause damage to e-commerce.
And looking for alternatives to optimize all sales processes and facilitate delivery organization, dropshipping emerged as a way to revolutionize the form of stock of digital entrepreneurs.
Interested in the subject? So in this post we will detail everything about dropshipping and how it works. Keep following us to learn more!
What is dropshipping?
In general, dropshipping is a business model in which the company does not need to have a stock. That’s exactly it!
Its operation is very simple: imagine that a customer made an acrylic sheet purchase in your e-commerce, for example.
From there, you will trigger the product supplier (the one who manufactures and / or stores the product), which in turn packages them and sends them directly to the customer on behalf of your store!
Many companies, such as Amazon, already work based on this model, as this way, both the virtual store and the suppliers gain from the increase in sales and practicality.
In this case, e-commerce does not need to have a physical location to organize its stock. Instead, all the entrepreneur will need is a laptop and an internet connection!
How does dropshipping work?
Overall, the dropshipping process is basically simple. Let’s explain the walkthrough in more detail:
- Step 1: a user arrives at your e-commerce and makes a certain product purchase (such as a printed circuit board, for example).
- Step 2: you receive this order order and, immediately afterwards (manually or automatically), you forward this information to your partner, be it a distributor or supplier.
- Step 3: your partner will be responsible for separating the order and sending it directly to your customer, all on behalf of your company.
Dropshipping is gaining more and more visibility, as the system benefits all sides and simplifies a large part of e-commerce processes.
Now that you know what popular dropshipping is and how it works, what do you think about applying this business model in your e-commerce and stand out? Did you like the post?Share this content on your social networks!