12 Quick Tips on How to Run a Successful Dropshipping Business

Updated: December 13, 2022

Starting a dropshipping business is a low-cost, low-risk opportunity for new entrepreneurs. It is the next-level version of the classic online store.

Basically, you just need to find an online dropship supplier. Then create your own online store. And then resell products from your dropship supplier.

When someone buys from your online store, you will then just order that product from your dropship supplier. After that, your supplier will be the one who will ship the product directly to your customer.

With this business model, you don’t have to keep inventory. And because you’re running an online store, you have the opportunity to sell to a global market.

Are you thinking of putting up your own dropshipping business? Then below are 12 quick tips that will help you succeed.

1. Choose the right market

Most drop shipping businesses sell clothes, jewelry, gadgets, and accessories. The reason for this is because those who buy them normally have a lot of disposable income.

Target above middle-class customers because they have great impulse to buy online. They also have a high tendency to refer their friends to your store if they like what they bought.

2. Be known for a niche

Don’t be a shopping mall, be a specialty store. It’s hard to compete with big eCommerce sites such as Amazon or Lazada. Your “mini-mall” doesn’t have a chance to survive.

Instead, focus on a specific niche and be known for that. For example, instead of just selling jewelry, try to sell “hip hop jewelry”. Or instead of just dresses for women, focus on “summer dresses”.

3. Update your products regularly

Sell around 25 products on your website before you officially launch. Then add up to 20 new items every week. And be sure to monitor what sells well and find more of those types of items.

It’s a common mistake to drop shippers to stop adding items to their store once sales start coming regularly. If you don’t have new items, those purchases will eventually trickle down and stop.

4. Make your website customer friendly

Get feedback about your website. First from your friends, then eventually from your customers. Make sure that it is user-friendly. With color and design that’s appealing to your target market.

5. Offer good customer service

There will always be shipping problems and customer complaints. It will also be normal to have product returns and exchanges. So be ready how to properly handle these issues.

6. Include timeless and trendy items.

Always include timeless pieces in your store. These are products with classic designs and are always being sought after by your customers.

But never forget to also sell what’s trending and popular in your niche. You can ask your dropship supplier for tips on what’s currently new and selling well.

7. Sell only quality products

This is common sense, but it merits emphasis. To help you sort out the good from the bad, you can research product reviews of the items you plan to sell to see what customers think about them.

8. Entice with discounts and free shipping

It’s part of the shopping psychology. People are most likely to buy something because it’s on sale. The fear of missing out on a great deal is a strong motivation to buy on impulse.

Moreover, offer free shipping. For example, if their shopping cart exceeds a certain amount, say $200, then they get free shipping. This will entice them to buy two or more items just to get the benefit.

9. Replace bad suppliers immediately

If you encounter a problematic dropship supplier, don’t hesitate to replace them immediately. Don’t risk your store’s reputation by keeping suppliers that ship late, deliver wrong items, or carry inferior products.

10. Automate as much as you can

The beauty of running an online business is that a lot of the processes can be automated, or at the very least outsourced. When sales are good, you can hire a virtual assistant to help you in fulfilling orders.

Your goal as a dropshipping business owner is to scale and grow. This means you have to learn how to automate tasks and duplicate yourself, so you can accommodate more and more customers.

11. Invest on online marketing

You can’t just rely on word of mouth and referrals. You need to continuously do marketing to reach new and more customers. Create a budget for online advertising too.

12. Monitor your competition

A profitable online business will rarely have a monopoly. And a dropshipping business is one of those that have fierce competition — so never let your guards down.

Regularly check what they’re doing and don’t fall behind in offering what’s new and trending. If an opportunity arises, consider doing collaborative promos with them and make it a win-win for all stores.

Final Words

The dropshipping business model has existed for more than a decade. It’s only been in recent years that it has been getting some spotlight, again.

I’ve met a few people who have become millionaires from dropshipping. And he says that it’s never too late to start this kind of business. In fact, he claims that there’s still room for Pinoys who want to enter this business.

So why don’t you try it and start your own dropshipping business?

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  1. Hi Fitz,

    I think I am interested with the business idea but please teach me too how I can get suppliers. Would it be on line also. Please advise.


  2. Hi Fitz,

    Thanks for this information. I’ve been meaning to enter into to dropshipping business. However, I can’t seem to connect anyhting to my niche.

    I own a personal finance blog “Your Life in Perspective” and I want my products to be related to this.

    Is this possible? Hope you can enlighten me on this and point me to the right direction.

    Thank you.


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