How do I start a dropshipping business?

how to start a dropshipping business

You can start a dropshipping business using one of the available E-commerce platforms such as

and then adding products from dropshipping suppliers such as the ones found on

Read the rest of the article to learn more on how to do this properly.

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Dropshipping business is the most trending business model of 2019. It allows making money online easily with winning products and minimum risk and investment

The dropshipping business model is a typical online e-commerce business where the business owner (entrepreneur) sells winning products on an online store without having to purchase the inventory. As there is no direct handling or stocking of inventory, thus the investment required to start a dropshipping business is meager. It is really a great way to make money online.

With an increase in the growth of online marketplaces like Amazon, eBay, etc., it has now become a lot easier to start your own online store. But it is also highly competitive as a low barrier to entry have led to massive growth in the dropshipping business trend in the last couple of years.

So, if you’re thinking of starting a dropshipping business and are ready to enter this highly competitive marketplace, set yourself up for success. Here’s how

How does it work?

the dropshipping business model

The dropshipping business model is rather simple and works like this:

  1. A customer buys a product from a merchant’s (your) online store
  2. The merchant (you) forward the purchase order to the supplier
  3. The supplier ships the product directly to the customer under the merchant’s (your) business name

Now that you know how the dropshipping business model works, let’s explore how to start dropshipping business in 6 easy steps

How to start dropshipping shipping business

To be successful with your dropshipping business, it all starts with:

1. Choosing a profitable niche

The first step is choosing a profitable niche. A niche is the segment of the market that you’ll be focusing on selling your winning products. To select a profitable niche, you should:

  • Focus on something that interests you, and you have unique knowledge about.
  • Research the niche you are choosing for competitiveness and profitability
  • Choose products that help solve a problem, are non-seasonal, not readily available and not dominated by major retailers.

2. Competition Research

Once you’ve found the niche, conduct competition research on that segment. Research on how many sellers are already in that niche. Analyze their product listing, descriptions and customer reviews. Make use of that information and refine your approach to customers by bringing them better products to meet their requirements.

3. Find a Dropship supplier

Aliexpress Dropshipping SupplierA dropshipping supplier is an important business partner as the business is very much dependant on its product stocking ability and timely delivery.

When choosing a dropship supplier, look for a supplier who legitimately provides dropshipping as a service and has a good year of experience offering this service. Consider the supplier fee and the shipping times for fast delivery. Do check product samples before committing to the supplier and ask them for referrals of businesses they’ve conducted with others.

4. Select a selling platform to sell

Now that you’ve selected a product and secured a supplier, the next crucial step is to choose a selling platform. You can choose from an already existing marketplace like Amazon, eBay, and Etsy or can decide to start your independent store by setting up an e-commerce website using some of the options we noted at the beginning of the article.

Creating your own online store does require some investment upfront but also has its benefits such as you have full control of your store, the brand, and layout. There is no direct competition from other sellers, and there are no fees, and the profit margins are high.

It is also easy to set up with online tools like Shopify which require no prior technical knowledge to set up.

5. Implement Customer Acquisition Strategy

With dropshipping platform setup, now you need to attract customers to your business. This is where you need a good customer acquisition strategy.

An excellent way to start is through Facebook Ads, as with this you can tap into a vast customer base. Facebook Ads give you full control on how much to spend, target audience and the results are fast.

Other long-term strategies could include search engine optimization, social media and influencer marketing, and email marketing.

6. Analyze and Improve

To be successful in business and to grow it is essential to evaluate analytics, make use of the right tools and improve your business based on results. This way you can analyze which strategy is working for your business and how you can further grow it, and start to make a sustainable income from dropshipping.


The outlined six steps should be enough to get you started with your dropshipping Business. The critical thing to remember is that the competition is high. The only way to do a successful business is to choose a focused niche to sell your winning product, connect with the right supplier, set up an e-commerce store and implement a successful customer acquisition strategy and you’ll be set for success. But don’t forget to analyze results and improve your strategy along the way for steady growth. Good luck!