Top 9 Dropship Mistakes That Can Kill Your Business

Dropship as a supplier chain management method that enables retailers make profit with 0 inventory and a littler capital investment booms in recent years.

However, easy access to dropshipping and some other factors make dropshippers hard to go to a higher level and some even have to abandon their dropshipping business. Many ask the questions such as “Is Dropshpping Dead” or “How can I earn $1000/mon”. Here I’d like to say that dropship is not dead and you are in a link that keeps growing. Just keep yourself avoiding these 9 terrible mistakes, your business will be increased as the trend of dropshipping shown above.

1. Start with a General Store

One of the most difficult decision for newbie to make is which kind of store should they run. A general store with a variety of categories that target a bigger customers or a vertical store that focus on a niche and target a special group of customers, which is better to your business? The answer to this is vertical store. Though general store target bigger customers, it is hard for you to know your targeted customers and make proper and effective strategies to market and improve your sale. Besides, a general store is much difficult to impress customers and build adhesiveness of customers.

2. Spend Too Much Time Finding Niche

Niche decides the future sales of your store, which is crucial. However, a niche that with good statistics may not has good performance in practice. So you need to test it and adjust your strategies efficiently when you find a niche that has an opportunity to enter. My suggestion is that you can pick up about 10~20 products of this niche to test the market potentiality. The earlier you come up with strength in this niche market, the more chances you can defeat others.

3. Know Nothing about Suppliers but Import Most Products from Them

Never have all your eggs in one basket. Don’t make your business with only one supplier as emergency happens and then the supplier may stop selling the products or increase their price that makes you sell losing money orders. If you have another choice, things will be much easier. Of course, if you feel so the about the suppliers and going to do long-term business with them, you’d better sign a dropshipping contract with them about the cooperation details to make sure your business goes smoothly. In my personal opinion, Aliexpress is a good start and other suppliers like us.banggood, Chinabrands will help you much to a higher level.

4. Sell Items That Are Not Proper to Dropship

There are some items that you should avoid to sell:

  • Items have copyrights or VERO. Never sell this kind of items. It will cause your store be shut down and make your all effort in vain. To avoid this, I suggest you checking VERO with ShopMaster before listing.
  • Items with long delivery time. You should be careful about the supplier shipment time that shows in the description. Customers always hope to get their parcel as soon as possible. If you must sell these kind of items, you should put a clear delivery time on the listings to let your customers know that so you will not get troubled with shipment problem.
  • Items with no sale record or negative reviews. Don’t import products from 0 sale listings or negative listings. For 0 sale listing, supplier may actually have no inventory for this product. If you must sell it, confirm the listing’s information about inventory, quality, shipment method and shipment time and so on. For negative review listing, it means unqualified goods, you should avoid this kind of product

5. Pay Little Attention to Marketing

The low threshold of dropshipping means high competition. Numbers of dropshippers sell the same product is common to see. Dropshippers will think that as long as there are enough products, there will be sales. Actually, no! Never expect the sale grows with the quantity of listings. What you should do is optimize your products to catch eyes and put them to social media like FaceBook, YouTube, Twitter, Instagram. Or you can contact hot bloggers or self media by searching from Google. Or you can market on Reddit which is popular among American people. Here you can use followerwonk to find celebrities of YouTube quickly.

6. Poor Customer Service

Customers sometimes will make pre-sale consultations, sometimes sellers will ignore or delay too much time to reply due to no time. In this case, customers easily turn to your competitors and have a bad impression to your store especially when there is a cancelation. If not handle properly, you even losing money for not making a confirmation. It is necessary for you to send a confirmation of order placed successful, shipment confirmation and a thank you later will be better after delivery. All these show that you care about them and this will increase customer satisfaction and good for them to become active customers of your store which even helps you to promote spontaneously.

7. Unclear Return and Refund Policy Procedure

Return and refund always a big problem for dropshippers, because it concerns suppliers, dropshippers and customers to handle this, which can be complicated. So it is essential to establish your return and refund procedure system. You need to let the customers what your return and refund policy is and how to do it to avoid unnecessary dispute. Making sure you clear about the supplier return and refund policy to avoid losing money and handle it in time.

8. No Awareness of Supplier’s Holiday

This is a big problem for dropshipper whose suppliers most from China. Usually, suppliers from China stop doing business in China public holidays. Be clear about this and adjust according to the actual situation. Here is a China public holiday for you to refer to:

9. Too Anxious to move on and give up quickly

You’d better not expect to become a great dropshipper in a short time. Though the start is easy, next lever is much more difficult. Usually, it takes years for you to become a dropship specialist. Failure is common. If you really interested in it, just carry on. Keep learning and grow the help of ShopMaster.

ShopMaster Support Team

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