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How to Start Dropshipping worldwide?

In this section, I will share with you the 8 processes to start a dropshipping business and get success in that.

If you follow these processes exactly, I bet you’ll get huge success in dropshipping. These processes will also show you why most of the newbies become unsuccessful in online business.

Well, without wasting any more time, let me explain these 8 processes to start dropshipping in USA.

The very first one is………

Niche or topic or field of operation whatever you say, it’s the most important ingredient to make a successful business.

If you choose the wrong niche, you will lose your money, time, and energy to water a tree that will not be going to give you the fruits you expected.

So, what do I mean by niche?

I have already written 2 comprehensive articles on choosing a niche for your business. You should read those articles to get the idea of how to choose a winning niche that will make you money online.

Here are the articles,

  • How to Analyze a Niche To Become a Successful Entrepreneur
  • How to Start a Successful Amazon Affiliate Niche Site [2021]

If you don’t want to read these comprehensive guides then I would explain in short choosing a winning niche here.

A niche is a field of operation under which a business is established. It could be anything from shoes to aeroplane. 

A niche can be a broad niche like shoe under which all type of shoes comes, or it can be a micro niche like men’s shoe or men’s canvas shoe.

Choosing a good niche will make your business while a bad one will break?

So, how do you evaluate a niche if it’s good or bad?

There are 2 criteria you should see in a niche,

  1. Audience size (buyers)
  2. Competition

To understand these 2 criteria let me give you an example.

If you choose a broad niche like “Shoes” which is a big niche but there is already a huge competition in this niche then it will fulfill the first criteria but fails in the second one ie; Competition.

Choose a niche

Now, if you choose “men’s shoes” then the competition is lower as compared to “Shoes” yet the audience size is huge as it covers half of the world.

Now, what about “Men’s Shoes in USA”?

This will trim down the other country audience yet has a very big audience size and low competition compared to the other two niches.

Now, let’s think about “Men’s canvas shoes in USA”. This niche has maybe very low competition but not a bigger audience size to generate sales. You have to be limited under “canvas shoes” by choosing this niche. So, this niche will limit your business to only canvas shoes.

So, for me “Men’s shoes in USA” is the best niche which has a good audience size as well as low competition.

That’s how you should think when deciding on a niche for your business. If you choose a broad niche with a big competition or a smaller one but a very low audience then you will fail in your business.

All these facts about niche are equally applicable for all types of business including dropshipping

Deciding the business capital

BUT, in an eCommerce/dropshipping business the big chunk of the capital goes into marketing. Well, we all know that marketing is an important thing in any business. If your marketing is good then you can “sell your pen to anyone”.

So, if you are going to start a dropshipping business then be ready to spend a big money on marketing.

Experts say eCommerce businesses should spend 7-10% of their total revenue on marketing. However, it depends on your goals. If you want more reach then you have to spend more at least in the 1st year of the business.

This costing covers all the marketing tactics including, PPC, social media marketing, chatbots, etc.

Now let’s jump into the next step to start dropshipping in USA

Well, after choosing your niche and doing your product research the third step in the process of building a great dropshipping business in USA is to decide the CAPITAL you are going to use in running your business.

As it’s a physical product selling business, you need a good amount of money to start.

However, it depends on the niche, your marketing needs, and some other factors.

Well, the most beneficial thing in dropshipping is you pay your supplier only when the customer pays.

In dropshipping, when someone buys a product on your website, she pays directly to your business bank account, from there you can transfer the product costing to your supplier and instruct them to ship the product to your customer.

SO, ideally, there is no upfront costing in product purchasing like a traditional eCommerce business. Even you need some extra money in your bank account to manage returns, and replacements.

The above costing is not a big amount and can be managed by anyone.

I know you are thinking arranging these papers is hard and costly. Well, any tax professional can arrange these papers for you at minimum costing.

Professional businesses run over the documents so you should obtain these papers before starting your dropshipping business.

Before starting any business we need to do some paperwork otherwise it will be illegal in the eyes of your government. So, here is the list of documents you need to start an online or offline business.

For Proprietorship business

· Your Tax Id/EAN id

· Company Trade name

· Current Bank Account/Saving Bank Account

· IEC code or import-export code (It’s needed if you sell or  purchase abroad)

· Trade license from the State Govt.

· Credit card

· Your Identity Card

· Your email

· Your phone number

· Your business address proof/Utility bill

 

In this way, you will avoid unwanted circumstances from your government.

Paperwork

For Private Limited/LLC or any other form of business

  • Company Registration Certificate
  • Company Current Bank Accountstatement
  • Company EAN Id/IRS Registration
  • Company’s IEC code or import-export code (It’s needed if you sell or purchase abroad)
  • Trade license from the local State Govt.
  • Credit card
  • Your Identity Card
  • Your email
  • Your phone number
  • Your business address proof/Utility bill

I know you are thinking arranging these papers is hard and costly. Well, any tax professional can arrange these papers for you at minimum costing.

Analyzing the sales and tweak the process

The last step is to analyze your sales and tweak where needed.

Let me explain this to you.

Suppose, you start social media marketing and start getting the sales but you want to increase the sales so you have to tweak the audience demographics, size, etc.

Maybe, you have to increase your product quality, decrease shipping time, etc.

The main thing is to see your results and tweak the process where it’s needed.

That’s it.

eCommerce Template Platform

There are some eCommerce platforms available that you can use to create your dropshipping website.

Websites such as Shopify and Bigcommerce are the best service providers in this category. Especially, if you are new to websites then with them you can create your eCommerce platform with just a few clicks.

BUT, they are much more costly than their WordPress website.

However, you will get all the features like inventory management, payment gateways, hosting, etc ready-made. SO you can think about them as an option.

White page Dropshipping Website

That’s the one in which you and your dropshipper work together. They provide you white page website that you can promote online and collect payments. When a customer places an order it is automatically processed and shipped by the dropshipper.

This is a great way for dropshipping business however, you cannot promote products from other dropshippers. For products, you have to rely solely on your dropshipper who provides you the white page website.

If you want to start your dropshipping business this way then you must read my article on 12 Best Dropshipping Sites in USA.

Now let’s come to the most important step for building a successful dropshipping business.

The Best Experience Ever

"I will show you how to do dropshipping in USA smartly and make it a long career for you"
Deepesh Barod
E-commerce Blogger

For Dropshipping................