Is Shopify Drop Shipping dead? What are the pitfalls and proven strategies to overcome?
Benefits: In this article, you will learn-Is Shopify Drop Shipping ecommerce business really dead ? What are the pitfalls in Shopify drop shipping industry? What is the proven strategy to be successful in shopify drop shipping business model?
- “Business is not all classes of people.”
- This post is for only the people who are serious in business.
Dear readers, before answering the questions mention above, I would like to show you a genuine statistics so that you have an assumption of this ecommerce business model.
When I’m writing this post I have peeped through Shopify website-it shows that over 600,000 business are running, 1,000,000+ active users & $55B sold on Shopify. I think you don’t disbelieve this information. A reputed and leading ecommerce company like Shopify never lies.
After that I have just had a glance in Oberlo website. You know Oberlo is the most popular and used Shopify-AliExpress drop shipping apps. You can see
“Since the company’s founding in September, 2015, Oberlo merchants have sold over 85 million products around the world.” at their website. It is unbelievable amount. Readers, what do you think?
I think most of you know about Dropified-one of the most famous premium Shopify-AliExpress, Amazon, eBay, SammyDress, Overstock, Walmart, Blinq, Wish.com, and many more drop shipping apps, tells that they reaches 15,879 -Stores, 20,128 -New Users, 1,542,608- Products Added, 6,258,221-Orders Fulfilled.
This statistics is for one eCommerce platform and two famous drop shipping apps. Shopify has more drop shipping apps. Only these two apps sold 86.5 million products all over the world.
Probably, you have known another 2nd largest and most reputed ecommerce platform. Yeah, it is “Bigcommerce”. Like Shopify BigCommerce has drop shipping Apps its own. Thousands of store owners doing their business in BigCommerce.
Magento is one the largest and reputed ecommerce platforms. Every year, merchants around the world do more than $50 billion in business through the Magento platform. People do drop shipping business in Magento with different drop shipping extensions.
Rather, an uncountable number of people use WordPress with WooCommerce to do their drop shipping business.
So, what can we tell after seeing this statistics? Is Shopify drop shipping really dead? Wait, I want to show you some examples of successful drop shipping business owners who use simply Shopify and Oberlo and earn millions.
Irwin Dominguez ( former local marketing consultant) ,San Diego is one of the most successful ecommerce entrepreneurs who use Shopify and Oberlo earns $1,000,000 within 8 months. (Oberlo).
Australian company(SkinnyMe Tea) sells all-natural detox teas. In only-9 months after this Shopify store started, they were earning $600k in monthly revenue. (Oberlo)
I think by this time, you may predict the answer. Yes, it is absolutely ‘NO’. Shopify drop shipping is not dead. It is really tough for “get rich quick” type people. Yeah, drop shipping is almost dying for day dreamers. It is not easy to earn a single penny from others pocket. Yes, shopify drop shipping is “live” for realistic, smart and hard workers. Still now they earn millions and they will continue it by any means.
What are the main pitfalls in Shopify drop shipping business model?
Product Return is one of the main pitfalls in Shopify drop shipping business. Returning products is problematic in every business especially it creates a critical situation in drop shipping business where suppliers and store owners stay two corner of the world. It is really tough to get easy and comfortable solution for return policy. In this state, you have to find out suppliers who accept damaged or detective goods. Before importing products into your store, make sure it whether your supplier has such return policy or not. If your supplier doesn’t have this policy, don’t import his products and try another who has sound return policy. To avoid this barrier, choose the best quality products and fastest shipment policy. So, enjoy ‘no returns’ ‘no problems.’
Shipment is the prime culprit in Shopify drop shipping ecommerce business model. Specially those who drop ship from AliExpress needs longer shipment time(maximum 60 days) which has negative effect in customers mind. After month long waiting if customers get damaged or broken products, it becomes as like as giving petrol in firing wood.
Arriving products to your customer’s hand is really a challenge. International shipping is complicated as it depends on variety of functionalities like package size, package weight, departing country, destination country, insurance, and more.
How to solve Shipping issues in drop shipping business:
To avoid longer shipment, you can choose “ePacket” in AliExpress, source products from domestic suppliers for domestic drop shipping business. You can import products from another source like Amazon, eBay, Wish, DHgate or others with ePacket(8-30 Days). You can also invest money for your domestic country( you can collect products and send them your customers within your country which will ensure quickest delivery).
Ultimate solution is to sell digitally downloadable products like eBooks with “sendowl” apps which ensures instant delivery.
“Get rich quick” is one of the main pitfalls in Shopify drop shipping business. Really, no business is perfect for day dreamers. One can’t get success over night. The people who desire to get money just after next day of launching their store never gain success. E-commerce business is like a game in other word. Beautify your store, write catchy and conversion driven product description, use high quality images, run campaign both free and paid ways. Remember, “organic” visitors are real traffic for a store. So, emphasis more on SEO to get quality and most potential organic traffic.
I notice people who don’t get more sales always busy with marketing in Facebook and Instagram. Most of them are unaware of doing marketing in other important places like Twitter, Pinterest, Reddit, YouTube, Google Plus, Forums, Blog and so on.
(See also: How to do marketing freely on social media.)
I suggest always going through different ways whether competition is less. Most proven way to get easy sale is to do affiliate marketing. You can create affiliate function in your store (Shopify affiliate App). You can join most popular affiliate marketing place like ClickBank, Commission Junction, JVZOO, Ratuken, ShareAsale and more places. In those marketplaces millions of affiliates are ready to promote your products. So, you can get easy sale.
Another proven way to get sales by email marketing. Probably you get thousands of visitors who only peep though your store or abandon cart. You can bring back these visitors to your store and turn them buyers. You can collect most targeted email by two ways 1. Email subscription by Shopify Apps and 2. Creating a Landing Pages.
Email Subscription: You need to install email collector Shopify apps like Hextom and collect email. After that you need to export email numbers and send mails through email automation software like MailChimp or Blast4Traffic
Landing Page: This is one of the most proven strategies to collect huge most targeted potential emails and boost your drop shipping ecommerce business. Most of the successful store owners and drop shippers follow this method to earn much of money. This technique acts as like as a Funnel. You will get filtered customers/visitors in this way. Yeah, ClickFunnel is the boss in the field of Funnel generator or landing page creator. This place is not only for Shopify but also for all ecommerce platforms. You can build high professional landing page in ClickFunnel for promoting your business quickly. Learn How a landing page increases your sale triple.
Stock Management: As you have no opportunity to touch, smell and use the products you are selling, you have no control over your products and stock maintenance. So, you have to keen eye for your store and suppliers. Up to date with your apps and store so that your customers can’t order a product which is out of stock. Write engaging product description and use high quality images from different angles which will help to get better conversion rate.