some business tips
Committing to something isn’t that easy, right? We all know the feeling of insecurity that can take over us when we’re up to something new and unfamiliar.
Had I known several years ago that e-commerce isn’t actually as scary and intimidating as I originally imagined, I never would have hesitated for so long before launching my first dropshipping store.
To be honest, it’s not just about psychology — some of these aspects turned out to be crucial for the whole business management side of things, and it’s a shame it took me so long to figure them out.
But after all, even though I learned it the hard way, I still learned it. And that’s awesome.
1. Legal obstacles are minimal
Dropshippers generally find themselves in quite a favorable environment. To run this type of e-commerce business, you don’t need to have an officially established company.
I have to warn you, it’s not a universal trend. But it’s certainly true for the vast majority of the markets I have sampled, including China — and I’ll describe this awesome experience a bit later.
Actually, at the very beginning I wasn’t registered as a legal entity. I worked as a private individual, and it turned out I can go with it pretty easily. Not all suppliers want you to be officially registered, and they will readily collaborate with you even if you’re just an ordinary person. The best paperwork is no paperwork.
2. China is great
Not that I didn’t know it before. The country that achieved such tremendous growth in several decades can’t be underestimated, that’s for sure.
Still, when evaluated as a business partner, China is quite often considered to be…well, not quite reliable. It’s a fairly popular superstition that is based on rumors of poor quality items, lousy sellers, horrendous postal service, etc., etc., etc.
60% of shoes manufactured all over the globe are produced in China.
For mobile telephones, this figure is even more impressive — 70%.
These numbers were calculated by The Economist in 2015, and, to be fair, I believe they are slightly higher now.
There’s a Moscow-based indie rock group called Everything is made in China, and oh, I couldn’t agree more. I don’t even want to mention the fact that it’s nearly impossible to track the real origin of items we use daily.
Having worked with Chinese suppliers for over a year now, I know how intensely they fight to secure client satisfaction. The number of local manufacturers keeps rising, and the competition is fierce. Therefore, they either win over clients and partners, or suffer losses. As a potential business partner, I’m happy with such a balance of power.
3. It’s not only about the niche
I have to admit, it was quite a surprise to learn that my commercial success is not exclusively defined by the niche I’ve chosen.
In other words, miracles don’t happen that often!
Sure enough, the niche matters. This is why you need to approach the choice really carefully and consider the financial appeal and marketing potential of a niche, as well as your own interests.
Still, it doesn’t mean that you can pick a fast growing niche and rest on your laurels. That’s not how it works.
It’s not enough to simply choose a niche and create a lovely website with simple and intuitive navigation. You need to keep working on the store’s marketing and promotion. The more internet users you attract to the store, the better.