Shopify Dropshipping 2021 Updates | Full Ultimate Guide
Introduction:
In this shopify dropshipping 2021 ultimate guide. You will learn how to go from absolutely zero to a million dollars in sales per month with a brand new shopify store. Even if you have absolutely no experience at all. Obviously that’s a lie and I’m being a bit sarcastic. Don’t worry.
But in this article. I will teach you how to build a legitimate e-commerce drop shipping store. To sell to the world without any physical inventory whatsoever.
So your job is to manage the marketing and customer service. And the overall business operations.
If you don’t know what dropshipping is. You can read this article to get all the information that you need.
Also to manage your store you need to be good in digital marketing. So I recommend reading this tutorial about digital marketing for beginners. Then you can read this free full ultimate digital marketing course.
Overview Of Shopify Dropshipping 2021:
All right so let’s get stuck straight into it. And on screen you can see an overview of the e-commerce business model. So at the top you have yourself. You have the suave looking businessman or businesswoman that you are.
And then of course you have the online store that we’ll be creating. All right that’s the heart of e-commerce. Ecosystem of course it’s your online store. On the left. You have your potential customer or customers. Then on the right you have your supplier.
So this is the person or the business that will be supplying the goods, the physical product that you do want to sell. And of course you have the delivery system.
And then next to you have the inventory. Where you’re going to store the inventory. And most of the time, if you’re starting out in a traditional e-commerce business, it’s usually your home. Or it’s a garage. So let’s pretend in this case. It’s going to be a garage okay.
The customer will order through your online store. Then you’ll see the order. And by the way mind you this is not dropshipping. Just yet I’m just explaining the traditional route of e-commerce.
What you need to do is go over to inventory. If this is a one person shop. You’re going to your garage. What you’re going to do then is pack the actual order. And send it to the postage office or wherever you’re using to deliver the product.
Now of course the supplier. You would have already negotiated with a supplier to buy. And then the inventory. So it’s a pretty simple model. But the complications here is the fact that. It’s really hard to scale.
Because firstly you might have limited space wherever you are to store the actual product. And then beyond that, you have to pack the inventory yourself and go out. And deliver the inventory yourself too.
So if you’re receiving more than 10 orders a day. That is really really time consuming. So this is e-commerce in a nutshell. Now let’s take a look what how does dropshipping come in.
What dropshipping does?
It’s a business model within e-commerce. It still is e-commerce obviously. But the perks here is you’re able to absolutely remove the inventory section. It’s hands off, you don’t need to manage the inventory.
So therefore you don’t need space to store them. And you don’t need to manage the delivery yourself. So a customer will go through your store and make a purchase. You just need to manage the online store. You’ll be able to send your great suppliers a message.
And tell them you just received an order. The supplier then agrees to package the product. And also manage the delivery directly. So you don’t have to touch all of this. Then the delivery will get delivered to the customer automatically.
As you can see, you’re overlooking the entire process. But all of this from the supplier to the delivery is off your hands. And what you’re going to do is you mark up the product on the online store. And you take the profits.
Now that being said you obviously have to manage the customer service. And you need to manage the marketing of your store. So that is a real quick overview of dropshipping in a nutshell.
Now of course it’s much more complicated than this. You can go further into advanced dropshipping. And then you can go further into different supplier types.
But this in a nutshell is dropshipping. And this is the business model that we’re talking about. Which has turned so many normal people like you and I into business owners with successful e-commerce stores.
Shopify Dropshipping 2021 Niche:
Now beyond this let’s talk about picking a niche. Where do you start? I always say pick a niche first. So beyond just brand name and starting your online store. What sort of niche do you want to get into?
So on the list I’ve just pulled up a quick list of common hobbies and activities. And all of these elements can be turned into a niche that you can sell in with your e-commerce store.
And that’s why I love ecommerce so much. Because you’re able to create a business based off a hobby. Something that you’re passionate about potentially. But of course if you’re just looking for a winning product or a winning niche. You can do that too. You don’t necessarily need to be super passionate about it. And that’s okay.
So as you can see. Acting, Archery, Architecture, Art, Golf, Gardening, Football, Knitting, Jewelry, Yoga.
All of these are potential niches that you should take a look into. So take a pen and a notepad out. And jot down some things that you might want to look into. Almost practically anything you can sell of course within reason. Don’t sell illegal things like firearms and silly stuff like that. Don’t sell anything illegal. So within reason and within common sense. And then talking about legalities as well the next step beyond that. A lot of people overlook is of course your business structure.
Now i have to say that i’m obviously not an accountant. So don’t take this as financial advice if you’re looking for financial facts. Then head to a qualified accountant. But business structure is so important. And even though initially, it may not be that important. Because you don’t know if it’s going to be an extremely profitable business. You don’t know how many sales you can make. You should still approach an accountant to have a chat about business structure. It’s sort of future proofing your business to ensure that you have the correct structure in place so you’re able to scale.
It’s always better to set that up prior rather than changing your business structure. Midway through when you’re already receiving a crap ton of sales. Because trust me, I’ve been there and it is a nightmare.
So just a quick overview. Obviously if you’re just starting out in business. You’re going to be traditionally a sole trader. Something that just works themselves. And there’s a lot of different tax structures. And implications for being a sole trader in comparison to going to a partnership or whatever it might be. But then of course you have your company structures. And that’s different across the globe in the states. It’s called an llc.
Then beyond that, you have trusts. So with a trust there’s different advanced tax advantages where. You should really look into those things. Only when you’re making a substantial amount of money. Such as a trust, and a company, proprietary limited, llc. All that good stuff.
But those things are there in place to firstly protect you from any legal repercussions. It’s going to be incredibly hard if not impossible to sue somebody who has a trust or a brightly limited company. And then secondly and just as importantly you can minimize your tax.
If you’re going through a trust for example. So you’re able to distribute your profits. And whatnot. Now i’m not going to get into detail about that. But my recommendation here is do your research at the very least you need to register your business, through your wherever you are. Through your government.
So take a look into that. Because that’s extremely important, something that people overlook. But yeah the most important thing is obviously get going with your business. But on the side make sure that you are looking into the right structures. And whatnot.
AliExpress:
So the next thing is of course the supplier chain. Now going back to this very messy chart at the moment. We’re going to talk about the supply chain. Where are we going to grab the products from. How we’re going to arrange this dropshipping agreement well?
There’s a few ways to do this. And the chances are if you’re reading this article. You’re a beginner. The best way to do this is through aliexpress. It is a chinese company that is essentially a directory filled with suppliers and products. That being said there is a thing called advanced dropshipping. Which i also teach. And that allows you to gain access to a wider range of products. Faster shipping times. Branded products and branded packaging. Really important stuff when you’re scaling up of course. So if you’re just signing out. Just use aliexpress.
I’m gonna quickly go on aliexpress. And show you a few things as well. If you are interested about advanced dropshipping. Leave your email down below. I’ll leave a link to potentially a free training.
So here is aliexpress and this is what almost everybody starts off with including myself. I remember when i was scrolling through aliexpress for the first time knowing how dropshipping worked. My mind was blowing. Because you see the product prices here and you see the huge selection of products here. And you’re able to really understand the potential here.
You see the potential here in really creating a store to sell all sorts of different products. So of course you’re gonna have to sift through some products that are pretty crappy. But there are just as many great products that you’re able to sell and that will sell. Just as many as there are crappy products.
So you do have to go through your products. And run tests. Run them through different testing methods and systems. But well worth it when you’re able to scale up this product.
So go through, take a look at the niche that you’re looking for. Bags and shoes for example. And go into women’s sandals. And just take some time to take a look at the reviews, the prices, all that good stuff. Essentially what do you want to sell.
The question is going to answer through, the niche research that you do. So use aliexpress. If you’re first signing out is a complete beast. Now that you know how to use aliexpress on the platform. What are we going to do with creating your store?
Create Your Online Store:
Well, you obviously need an online storefront. And of course now there’s a lot of different platforms that you can use. But there is one platform that we always go to.
Now there’s woocommerce, there’s magento. There’s a whole load of stuff. But i always go back to shopify. It is the easiest way to start. And it’s basically all you need. You can easily scale up to six figures with shopify alone. And now I’ve partnered up with shopify here to offer everyone a free 14-day trial.
By the way, this article is not sponsored by shopify. I obviously just truly believe in shopify. It’s an amazing platform. Just as hundreds and thousands of people out there believe in shopify.
Why Shopify Is Great?
So the reason why I’m recommending shopify is because it’s cheap first. And secondly it’s so easy to start. And everything just works. So I’m going to go into the back end of my shopify test store. And show you a couple things.
So here’s the shopify back end. And here is where you’re going to build out your product list. Then obviously connect it to what we’re looking at which is aliexpress. So you’re just basically importing the products into a storefront. You’re not just importing it of course. You have to spruce it up. Add some copywriting in there. Add some images. Of course the best solution here is to create your own images. Take your own images and import them in.
You can migrate these products simply through an app called oberlo. There are other ways to do it. But when you’re starting out oberlo, is perfect and really simple to use.
With this backend. Shopify has just updated the interface. It’s slightly different. I think it looks pretty clean. Very neat.
When you boot up your store. You have to think about things like branding. Design, conversion, optimization. All that good stuff to establish a credible looking store. And a credible looking storefront with great products in order to generate sales. And now you can do this through a whole variety of ways.
Acquire Customers:
Now, we’re going to talk about how do we acquire customers?. Let’s go back to the storefront. Now you have the supplier and you have the delivery method. So how are we going to acquire the customer? The easiest and by simplest way is facebook ads. Facebook ads is great because it’s quick. It’s relatively cheap. And you’re able to push a lot of traffic really quickly. When I say facebook ads, paid ads overall is great. So instagram ads, snapchat ads, tick tock ads.
So all of these things are great to push traffic to your store when you’re first starting. One of the craziest things too nowadays is shopify has so many partnerships and robust partnerships that they’ve teamed up with facebook and instagram.
So you’re able to set up an instagram and facebook shop as well through shopify. I’ll show you what i mean.
If you click facebook and set up a sales channel. You get access to shops and instagram shops. So you can start set up and it’ll guide you through how to set up your store also on instagram and shops.
Now you can think about doing this later. When you’ve set up your store on shopify and you start to make some sales. But this is important and you should take a look into it when you have your store all live.
Now going back to generating sales and getting customers to come through to your store. Shopify has changed a lot over the past year or two. Let me just show you.
I’m over on the marketing tab now which is a new tab.
If you click create campaign, now you can see there are a whole load of options now to basically advertise directly on the platform.
Even snapchats here, we have shopping campaigns. We have pinterest. We even have shopify email. So if you click facebook audience building ad, it’s going to guide you through how to create the ad very simply.
So this is great for beginners. You don’t need to do anything except just follow instructions. And create ads and really drive that traffic over to your store. You can basically do almost everything on the shopify platform alone.
Of course I recommend that you do the work to learn facebook ads on the facebook platform. There’s more control and transparency over there. But as a beginner this could be a great way to start learning facebook ads and starting to gain some traffic through to your store. And potentially some sales.
But again, my recommendation is learn how to do facebook ads properly. Save yourself, money, and drive more sales. So it’s a profitable store earlier on.
Conclusion:
Obviously there are a lot of questions. And other aspects that i’ve yet to cover in this article. This is more just an overview to get you started. And so you can practically follow on and start your store live right now.
But like I said, there’s a lot of questions and aspects that I didn’t go over. So feel free to leave a question down below. I’ll try to answer as many as i can. Beyond that if you’re interested in how i personally created a six figure store while working a full-time nine-to-five job. I’ll leave a link down below to that free web class that you can check out so you can understand the tactics and strategies that you use to create a six figure store while working at nine to five, i had very limited time.
In the meantime, I’ll leave useful articles for you about e-commerce, digital marketing, and of course online business. So if those topics interest you. Make sure that you join our mail list. Share this article if you found it useful. Thanks for reading.
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