Dropshipping is a retail fulfillment practice giving individual sellers the ability to purchase products from wholesalers and manufacturers (dropshipping suppliers) and send them directly to customers.
Essentially bypassing any further involvement from suppliers, dropshippers merely list and sell merchandise from dropshipping partners in a third-party fashion.
Immensely popular in years past, dropshipping was seen by aspiring entrepreneurs as the foolproof way to easily make quick money. However, as 2018 rolled in, dropshipping was soon characterized as “a sinking ship,” and risky endeavor unworthy of time, effort, and financial investments.
The decline in dropshipping popularity is due to a variety of factors. Most notably is the misconception by many that dropshipping is a rudimentary process that merely entails the purchasing of products to be sent directly to customers.
Although dropshipping is defined by the procuring of products sent directly to consumers, establishing a successful and sustainable dropshipping business involves an array of other elements that must be fully understood and subsequently employed consistently.
As such, many would-be dropshippers gave up on their aspirations, disappointed that the undertaking proved to be more complex than initially expected. Further diminishing dropshipping popularity was the exponential rise of e-commerce site Amazon.com, in addition to skyrocketing costs of essential Facebook ads.
Amazon’s enormous web presence resulted in seemingly insurmountable competition, more profits being kept by distributors, and ultimately a rapid decline in drop sellers. Additionally, the increasing costs of Facebook ads further exacerbated issues for drop sellers, as they had to spend more on advertising, resulting in narrower profit margins.
Despite the significant decline in dropshipping, the concept is still alive and well today. Savvy dropshippers keeping in tune with the ever-evolving internet have accumulated compellingly potent strategies for success in 2018. By leveraging these new strategies, dropshippers can unequivocally turn immense profits, expand their enterprises, and increase their market prowess.
If you are an aspiring entrepreneur wanting to discover how to make dropshipping lucrative for you, read on below to view our informative guide to begin strategizing your way to success in 2018 and beyond.
Profitable Strategies for Dropshipping Products in 2018
Strategy #1 – Get Acclimated with Cryptocurrencies
In today’s evolving internet, cryptocurrencies have become an internationally recognized digital currency whose security relies on cryptography. Held in high esteem by governments, global companies, and banking institutions, cryptocurrencies are on the fast track to becoming the currency of the future.
Among the earliest forms of cryptocurrency was the Bitcoin. Launched in 2009 by an individual using a pseudonym, Bitcoin revolutionized the way currency was viewed, exchanged, and valued.
As of 2018, there is an estimated circulation of 17 million bitcoins valued at over $140 billion, resulting in Bitcoin’s status as the premier cryptocurrency in existence.
As the internet continues to mature and expand, cryptocurrencies such as Bitcoin are becoming rapidly adopted by sellers, buyers, and marketplaces. In fact, many attributes the rise of cryptocurrencies as one of the chief reasons behind the resurgence in popularity of dropshipping.
Savvy dropshippers with a keen eye on the future understand maintaining market relevance will be incredibly reliant on the learning the various aspects of cryptocurrency.
With dropshipping manufacturers and wholesalers offering virtually anything and everything for sale, from apparel and cosmetics to sports equipment and electronics, the focus is on marketing. Making their products visible to online consumers is paramount and requires consistent monetary investment.
In addition to marketing costs, these companies must also shoulder overhead expenses including shipping and storage costs, all of which culminate to decrease overall profit margins.
However, cryptocurrencies such as Bitcoin have proven to be incredibly attractive to manufacturers and wholesalers. Because cryptocurrency is not issued by a central banking institution, businesses can leverage the power of cryptocurrency by lowering transaction fees, appealing to a broader range of customers, and experience a significantly reduced reliance on high-fee credit/debit cards.
- Hailed by the international marketplace as the currency of the future
- Impenetrable to governmental interference
- Significantly reduces transaction costs for drop sellers
- Is rapidly becoming adopted as the currency of choice for dropshipping in 2018
- Offers customers an alternative payment method
- Speculated as reinvigorating and transforming the world of drop shipping unprecedented way
- Immune to counterfeiting due to the integration of cryptography
- Has been readily embraced by governments, banks, and businesses as an imperative concept
Strategy #2 – Forge Partnerships with Reputable Dropshipping Companies
There are legions of drop shipping companies that entrepreneurs can choose to partner with. It is of critical importance to be aware of the disparities between drop shipping manufacturers and wholesalers.
To highlight the importance of finding a company of repute, consider that many dropshipping companies produce inferior products, charge inflated prices, or require bulk purchasing. As an aspiring dropshipper, you want to send your customers high-quality products at competitive prices, with the flexibility of ordering as much or as little as you desire.
Reputable dropshipping companies to consider partnering with include the following:
- Dropship Direct
- Sunrise Wholesale
- Wholesale 2b
Strategy #3 – Utilize All Available Resources to Stay Ahead of the Curve
Consider the following ideas as sources of inspiration to maintain success as a dropshipper in 2018. The internet is constantly evolving as are the opinions, habits, and behaviors of your customer base.
Keeping abreast of shifting trends and new concepts will serve to broaden and augment your professional expertise as a dropshipper and ensure success in the coming years.
Broaden your professional horizons by taking an affiliate marketing course, cultivate a niche to remain distinct from competition and maximize profits, and consider developing a business plan. Furthermore, you can also research new tools to freshen up the design of your online store and conduct market research.
Dropshipping is alive and well in 2018, with millions of entrepreneurs enjoying the benefits and convenience afforded by the direct selling to customers. While many dropshippers have closed up shop, it can largely be attributed to the miscalculation of the various efforts and strategies required to maintain a successful force.
You can be different from the rest and make your dropshipping business thriving force in 2018. Consistently refining your professional expertise by keeping informed of the latest technologies, trends, and concepts will result in potent results that you can count on year after year.