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How to Start Dropshipping Business from Home 20248 min read

Do you know about the dropshipping business model? Are you ready to find a dropship supplier and how to start a dropshipping business from home?

Do you dare to start working from home and establish your own business? Don’t know how to build dropshipping empire?

The Good news is definitely you can!!!

You might have a better job somewhere than working from home. There are so many people who have their own eCommerce home business nowadays.  They feel very proud of what they are doing and established it as their personal business and ultimately living very well in this competitive world.

E-Commerce has significantly changed a lot of lives for the better and you can surely make dropship empire by your own effort. Before the expansion of eCommerce for example, it was very hard to maintain family life and working life together.

Especially for the mothers because they have to leave their children in daycare or even sometimes with a babysitter and leaving out to work. Recently, it is possible to stay at home with your children and at the same time make money with an eCommerce business.

If you are a retired person who wants an additional income from home is not so tough. It’s much better to work from home rather than working in a gas pump or a grocery store. Dropshipping for the retired person is a great choice to start a home business.

At present, if you are a young and dedicated person who wants to be a real young online entrepreneur; it’s a great opportunity for them to set up a home office and start a dropshipping business.

Dropshipping for the young entrepreneur is an ideal choice to start your own business. Because you may earn much money as you want with comfort and ease from your home.

Nowadays, working from home and eCommerce are the best things since dropshipping was introduced into the digital market. Because it is the fastest, least costly, and most profitable of any work-at-home job you could possibly find.

If you are new to eCommerce or even just new to the dropshipping business model you likely have a lot of questions. Unfortunately, the way most people get their information these days is by doing a quick Google search.

And, as with any Internet marketing business, (or any other online ventures), this often isn’t the best way to get information because things can change so fast. Most of the information that ranks at the top of the search engines is old and outdated.

What is Dropshipping Business?

Dropshipping (also referred to as “blind shipping”) is a strategy used when selling online that allows you to sell physical products without actually ever seeing or touching them.

It works like this:

  • You get approved to sell for a “drop-ship supplier”.  This “drop ship supplier” has at least one warehouse located somewhere in your country (like the USA) where they store inventory.
  • Once approved for an account the dropship supplier sends you their product list and you can list these products for sale on your website.
  • When a customer buys these items from your website you then buy them from your “drop ship supplier” and have the supplier ship the item(s) from their warehouse to your customer.
  • The difference between the retail price (what the customer pays you) and the wholesale price (what you pay the dropship supplier) is your profit.

This means you, as a retailer, can sell a variety of products without ever having to stock any inventory whatsoever. This makes the drop shipping business very appealing for new, small, home-based online businesses.

There’s a lot of misinformation that gets passed around when answering these two questions and that’s likely because there are two VERY different types of dropship suppliers.

There’s the kind you want to work with (private brands) and the type you want to stay far away from (paid memberships with no price controls).

Private brands are the best to sell for because they do not sell directly to the public. That is not their objective as a dropshipping business. Their job is to sell to retailers including online merchants like us.

What’s great about selling for brands is that they care about their product’s value. They demonstrate this by offering high-quality product images, excellent customer support, and most importantly PRICE PROTECTION.

These suppliers or brands do not want to work with online retailers who will lessen the value of their brands by offering cheap pricing (for example selling a $1,000 desk lamp for $500 because they are OK with a small profit margin) so to enforce this they set a MAP policy (Minimum Advertised Price).

This makes it so that there is a minimum price that retailers can advertise products for sale. For example; if the MAP for a product is $700 NO ONE is allowed to list it for sale for under $700. Raises prices are fine, but you cannot sell for lower, or you will risk having your account suspended or even banned.

Brands set these policies to protect their image (no cheap products) and the retailer’s profits (no one undercutting you). There can be huge problems when working with dropship suppliers they do not enforce pricing policies.

Suppliers who do not enforce MAP policies are usually the ones that are super easy for newbies to find. Google any niche + drop shipper and they will appear high in the rankings.

These are NOT the types of companies that I want to sell for, and you shouldn’t either. The problem is those dropship suppliers that make this known as their “primary” dropshipping business model do not focus enough on their brand value but rather push products onto their retailers.

They often just have the goal of moving as much product as possible out the door and to do this they do not enforce pricing policies.

They just send you one price list (that you usually have to pay for and I have never paid to be approved by any of my suppliers).

This price list will only contain wholesale costs; there will be no MAP (minimum advertised price). This means to sell the product at ANY PRICE YOU WANT. Sound good right? It’s not, it’s TERRIBLE.

The reason is a lot of newbies are OK with making 5% profit margins (sometimes less), and these dropship suppliers primary goal is just pushing product out the door, so they are quick to approve everyone that applies (and pays). Don’t get caught up selling for these companies.

6 Tips to Start a Dropshipping Business from Home

1. Selecting a Perfect Niche

Choosing a perfect niche is one of the most important factors that influence to have enough traffic and sales. You might check out Amazon or eBay to observe which products are trending with a higher sell-through price.

Make sure you check the keywords of probable niche goods using free Google Keyword Tools to uncover how many global searches are performed for it every month, try to read reviews on Amazon, and have a look at Amazon’s Top 100 in each category.

2. Find a Reputable Wholesale Product Source

The source that gives you genuine wholesale prices, has better quality goods and high-quality business practices for example shipping on time, sending low inventory notices so you don’t in excess of sell, and more.

3. Choosing Perfect Dropshipping Products

First of all, you have to select the right products for your business and then list them either on your own website that you are using for business or the online marketplace of your choice such as either Amazon or eBay.

Recommended Article: 14 Best Drop Shipping Courses to Build Dropship Empire

4. Promote Your Dropshipping Business

To promote the drop ship business you can use different kinds of marketing media like social media, email promotion, content & video marketing. To drive more traffic to your business website you should directly invite people to check out your dropship products.

5. Offer Great Customer Service

Treat your customer right both before and after-sales. You should find out all the essential tools to ensure best services for your new and existing customers. Now, if you know how to start a dropshipping business you also need to have a great customer service is the backbone of any kind of sales enterprise both online and offline.

6. Treat Your Home Dropshipping Business As a real Business

You should always treat your business very seriously whatever the type of your business you are doing. Otherwise, you lose your business and will not be successful working from home.

These tips are very basic and now you know how to start a dropshipping business from home. You can use these tips to make working from homework for you with a dropshipping business.

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