As per recent studies, more than 80% of drop shipping businesses fail to operate for even a couple of months due to low and even no profits. The problem is not with the business model. The main concern is some common mistakes that most Shopify dropshipping app owners make.
There are tremendous opportunities for entrepreneurs to establish a profitable business in this multi-million industry. All you need is the right strategy so that your Shopify dropship app can perform well in the real world.
Today we are going to discuss some tips to ensure success with your Shopify dropshipping app. Before we jump on that, let’s know more about dropshipping business and why it is trending.
What is a dropshipping business?
Imagine a business where you can sell anything to your customers without worrying about stocking the products. Does it sound good? The dropshipping business works exactly like that.
While your store will sell products like how other online retailers sell, you do not need to own or stock the inventory you listed on it. All you need to do is fulfil the orders using the services of third-party suppliers or manufacturers.
A Shopify dropshipping app acts as a medium to connect the stores with trusted suppliers. The store owners can access the database of suppliers using such apps. The apps also allow the stores to import products and list them on their store within a couple of minutes.
They can import products, list them on stores and earn commission on every sale initiated by their stores. Below are some of the benefits of investing in the dropshipping business:-
- It does not require huge upfront costs that are needed to establish an online store with its inventory.
- Shopify dropship app can help you kickstart an online store within a couple of minutes.
- You can scale up the business anytime without worrying about putting in more investments.
- Dropship businesses are not bound to a specific location. Your business will keep earning even when you are on vacation.
- The best advantage is that you don’t have to worry about shipping and returns. It is a big headache for most of the eCommerce stores that you know.
Tips for success with Shopify dropship app Business
- Never work with unreliable suppliers.
One of the most common mistakes that dropship app owners make is not evaluating their suppliers. You can partner with lots of different suppliers from any corner of the world. Imagine what will happen if your suppliers fail to deliver or the products are not what they pretend to sell?
If something like this happens with you, you will never be able to get back the lost trust of your customers. Always choose to work with suppliers who have a good reputation and withstand their commitments.
- Ensure good customer support.
Good customer support is the backbone of your dropshipping business. You have to provide prompt resolutions to the queries and issues the customers are facing with orders.
You can’t connect your buyers directly to the suppliers. Medium to get resolutions for the problems that customers are encountering. If you fail to provide it, your business may find itself in jeopardy.
The customer support of your Shopify dropshipping app should cover every aspect of the customer journey. From finding the right products to making the returns, your support team should act as a helping hand for the users.
- Don’t start with too many products.
One of the most common mistakes people make is starting with too many products in the initial stages. Rather than overwhelming your dropship business with hundreds of products, it will be good to test the product niches.
It helps you choose the products your customers like to buy and helps to get more sales in the future. Moreover, marketing so many products can become a headache for a dropshipping business that just started its operations.
- Pay attention to the product margins.
Revenue is the most vital aspect for any business, so you need to pay attention to your margins. We have seen many dropship businesses failing because they cut their margins extensively to overcome competition.
Rather than selling on negligible margins to match the prices of your competitors, focus on other aspects. You can gain the trust of users by providing good customer support, better user experiences. It will still don’t stop them from comparing prices but can help you become their first preference.
- Focus on a good design and SEO
Intuitive designs and a good interface can easily help you get good results with your Shopify dropship app. The users will avoid shopping in stores that are unable to provide them with a good experience.
Focus on your search engine visibility to get new users constantly. Apart from the UI, consider working on the performance of your dropship application too.
So these were some tips that you can follow to ensure the success of your Shopify dropshipping app. If you want to build a Shopify dropship app, hire professional Shopify development services to get the features and quality meant for apps built for success.