Like most business owners, ambitious dropshippers start small but after some time, they want to have a thriving business that’s able to generate serious income. After all, the dropshipping market will be worth more than $590 billion by 2027, so why not position yourself to take a piece of that pie?
In order to start growing your dropshipping business, you need to restructure it and turn it into a recognizable and trusted brand that is perfectly capable of competing with bigger players in the industry. And for this, you need a solid strategy that will help your dropshipping business grow.
In this post, we’ve outlined 5 strategies to implement in order to start growing your dropshipping business.
1. Use Proposal Software
If you still haven’t invested in proposal software, now is the perfect time to do it. Why? Because proposal software allows you to submit proposals faster and with a greater conversion rate. Considering the fact that you will move from a disoriented proposal process to software, you’ll be able to solidify your offerings and bring more clarity to both your team and your customers about the products you offer.
With its branded templates, customizable content, and interactive pricing, the software allows you to be crystal clear about various details such as packaging and pricing and avoid redundant questions. You’ll never have to spend time drafting a proposal from scratch; everything you or your team needs is into the system.
As a dropshipping store, you are selling a manufacturer’s products. For instance, if you’re dropshipping coffee, rather than you having to buy inventory, store it, and then ship it, all of that is handled by your supplier, which is why you need a reliable supplier. You, on the other hand, look after your own customers, marketing, and your brand.
With dropshipping, there’s always the danger that competitor dropshipping stores can decide to sell the same product at a reduced price. In such cases, when competitors are making it difficult to increase your revenue, branding is the best answer. Research has shown that consistent branding can lead to an over 30% increase in revenue.
Since your clients can’t examine your offering in person, they will rely on branding when choosing who to buy from. A strong brand will differentiate you from other dropshippers and immediately tell clients who you are and what you stand for, making it easier for them to choose you over everyone else.
It’s difficult to earn money and grow your business if you keep spending, so your next step is to take a good look at your numbers. Here are some areas to pay attention to:
Product choice. Bear in mind that things in dropshipping move fast, so think about adding new products to your business. While it is ok to sell trendy products, you should also invest in products that are consistently in demand.
Suppliers. Be careful when choosing your dropshipping suppliers. Look for ones that are trustworthy and give you great prices. Have a good relationship with your suppliers and order in bulk whenever possible to get the best prices.
Pricing. Think about whether you are pricing your products appropriately. Charging very low prices can hurt your profitability, so be sure to test and, if necessary, adjust your pricing.
When executed properly, customer service can give you a significant competitive edge. That’s because nearly 85% of consumers say that customer service plays an important role in their decision to buy a product.
Considering the fact that 75% of consumers still prefer live agents over chatbots, you’ll need to invest in human customer support agents. You should also offer more than one contact channel such as email, IM, phone, and video calls.
No matter how you decide to design your customer support, be sure to reduce the waiting times. More than 65% of consumers say that waiting is the most frustrating part of contacting customer support, so consider creating a self-service portal or hiring more agents.
5. Market Your Business
Many dropshipping businesses don’t have a marketing strategy, but if you want to expand your operations and connect with more consumers, you simply have to put your business out there. When it comes to marketing, the options are endless, but here are a few suggestions to get you started:
Content marketing. Start creating content so that people can find you online. Blogs, videos, and social media posts are all good ways to drive traffic to your site but don’t forget to optimize your content for SEO.
Email marketing. By regularly sending out roundups with relevant, curated content that resonates with your customer base, you are keeping the name of your dropship business at the forefront of their minds.
Social media. Whether it’s posting regularly on Facebook or using Twitter to engage your followers, the opportunities social media presents are endless.
Google Ads allow you to reach high-probability potential customers. You can target people who have already shown that they intend on making a purchase or learn more about products like yours.
While dropshipping is a business model that brims with potential, it still requires hard work in order to succeed. The five strategies we’ve listed here are great ways for you to generate more sales and continue to grow your dropshipping business to new heights.