How to start a Successful Dropshipping
Business in only 6 Steps

Written by: Angel Byles

Do you want to start a dropshipping company? 

This is how.

Because internet marketing skills far outweigh financial capacity, dropshipping is an extremely popular business model for new entrepreneurs, particularly Gen Zers and millennials. 

Because you don’t need to stock or handle the items you sell, you can start a dropshipping business on a shoestring budget.

A dropshipping eCommerce website obtains the items it sells from a third-party supplier or manufacturer, who then fulfills the order. This not only reduces operational costs but also

 frees up your time to focus solely on customer acquisition.

If you are ready to start a business that can compete with retail behemoths then proceed with the six steps outlined below. 

While launching a drop shipping business does not require a large amount of startup capital, it does necessitate a significant amount of hard work.

1. Pick a niche.

The niche you choose should be laser-focused and something in which you are genuinely interested. A non-focused product line will be difficult to market. 

Because it takes a lot of work to successfully scale a drop shipping business, if you aren’t passionate about the niche you choose, you will be more likely to become discouraged. 

Here are some things to think about when deciding on a niche:

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2. Seek out lucrative profits. 


When you run a drop shipping business model, your focus is on marketing and customer acquisition, so the amount of work required to sell a $20 item is essentially the same as it would be to sell a $1,500 item. Choose a niche with higher-priced products.

The importance of low shipping costs cannot be overstated. Even if your supplier or manufacturer handles shipping, if the cost is prohibitively expensive, it will turn off customers. 

Find something that is inexpensive to ship, as this gives you the option of offering free shipping to your customers and absorbing the cost as a business expense in order to attract more sales.

Make certain that your product is appealing to impulse buyers with disposable income. When it comes to driving traffic to your website, you want to see the highest

conversion rate possible because the majority of visitors will never return.

The products you sell should elicit impulse purchases and appeal to those who have the financial means to make an immediate purchase. 

Make certain that your product is actively being sought after. Check out Google’s Keyword Planner and Trends to see what popular search terms are related to your potential niche. 

If no one is looking for what you intend to sell, you’re already out of luck.


The importance of low shipping costs cannot be overstated. Even if your supplier or manufacturer handles shipping, if the cost is prohibitively expensive, 

it will turn off customers. Find something that is inexpensive to ship, as this gives you the option of offering free shipping to your customers and absorbing the cost as a business expense in order to attract more sales.

3. Find a supplier.

Partnering with the wrong supplier can be disastrous for your business, so don’t rush this step. Carry out proper due diligence. Because the majority of drop shipping suppliers are located overseas, communication is critical, both in terms of response time and mutual understanding. If you are not completely confident in a potential supplier’s communication abilities, move on and continue your search.


Alibaba has grown to be one of the most important online resources for locating and communicating with potential manufacturers and suppliers. In the event that your company expands rapidly, make sure to ask a lot of questions and learn about their production capabilities. You want to make certain that they can scale with you. Some companies do all the work and you just add them directly to your platform like Wholesale 2b.

4. Create your e-commerce website

Using a simple ecommerce platform like Shopify is the quickest way to launch a website that supports a drop shipping business model. You don’t need a technical background to get started, and there are plenty of apps to help you increase sales.

Even if you have a large enough budget to hire a web design and development firm to create a custom solution, it’s a much wiser move to use one of the plug-and-play options, 

especially in the beginning. Once you’ve established yourself and your revenue is coming in, you can look into further website customization.


5. Develop a strategy for acquiring new customers

You can have a great product and a great website, but without customers looking to buy, you don’t have a business. There are several methods for attracting new customers, but the most effective is to launch a Facebook ad campaign.

This allows you to generate sales and revenue right away, which can help you scale quickly. Facebook allows you to directly place your offer in front of a highly targeted audience. This allows you to compete with the biggest brands and retailers right away.

You must also consider the long term, so search engine optimization and email marketing should be prioritized. Collect emails from the beginning and set up automated email sequences with discounts and special offers. It’s a simple way to capitalize on your existing customer base and generate revenue without spending money on additional advertising and marketing.

6. Conduct an analysis and optimization

To grow your business, you must keep track of all available data and metrics. This includes Google Analytics traffic as well as Facebook conversion pixel data if Facebook is your primary customer acquisition channel. When you can track every 

single conversion – where the customer came from and what path they took on your website that led to a sale – you can scale what works and eliminate what doesn’t.

There will never be a one-size-fits-all advertising or marketing solution. You must constantly test new opportunities and fine-tune existing campaigns in order to determine when to optimize or shift campaign spend.

On Point

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