Everyone and their dog wants to get into dropshipping these days because they think it’s a low-investment, hands-free way to make the big bucks… little do they know: running a successful dropshipping store in the long-term DOES take time and energy. Here’s 5 common mistakes you’re probably making in your store right now and how you can fix them!
Due to the low barrier entry to enter the dropshipping industry, many people think it is effortless to start and manage as there is no such obligation to handle inventory and order fulfillment. Though this is true in some ways, there is still a LOT to be done when it comes to running a successful store.
Believing that you will succeed in the competitive dropshipping market with little to no time-investment on your behalf is a big mistake. To succeed in this business, you need to be persistent, hardworking, and patient. You should not expect to have a profitable business within a matter of days or weeks.
When people hear about dropshipping and how easy it is to start, they are quick to sell as many products as possible to make easy money.
This is a trap! You need to do your research before you dive in. There is a good chance that some of the items you put up for sale are actually trademarked, and selling trademark items without prior approval or permission from the manufacturers will result in lawsuits (not good, not cheap - to be avoided at all costs!). Not only could your business take a hit, but in some scenarios, you could personally be held responsible due to infringement laws in some states.
Do. Your. Research (we cannot stress this enough).
To avoid such a hassle, focus your energy on generic products. You can also try to white-label products that are not trademarked, their manufacturers allow rebranding in the way you choose. You can put your brand name on white-label products, and if you have the right supplier, you can quickly scale your business and get healthy profits without the headache of a lawsuit.
Your perspective matters here. Dropshipping isn't a get rich quick scheme.
Marketing is a crucial aspect of the dropshipping business model as you have to invest money into paid traffic. To stand out from your competitors, you need to adopt a strategy that makes your product look unique. Copy/pasting product descriptions, images, and reviews are easy ways to ensure failure in dropshipping; low energy, low effort and low reward. To stand out, you need to put in the work and prove yourself as a brand. It can be through your brand's language, imagery, or copy (but we recommend putting time and energy into working all 3).
This is the most common mistake that dropshippers make.
It’s completely understandable to want to make yourself seem like you’re NOT just another dropshipping site that will take 4-6 weeks to deliver: but you have to be honest with your customers if you want them to actually come back.
Giving them false hope will cause more harm than good; and poor reviews are a big no-no if you’re just starting out.
There are so many things that could go wrong during the shipping process, and if you don't deliver the shipment to your customer when they’re expecting you to, this will hurt your business. It is a proven fact that customers are discouraged by long delivery time, but it will negatively impact your business more if your customers get their shipments late.
Talk to your supplier and find out the real, most accurate delivery time estimate and communicate this to your customers beforehand. You can do this through an FAQ page, order confirmation email, or shipping confirmation email (or all of the above for maximum transparency and trust). You can also give your customers incentives like free insured shipping or occasional surprise gifts that are of little to no cost to you, but add to the customer's overall experience and leaves them feeling good about buying with you.
As it's a new business venture for you, and there are so many other things for you to think about, you may think that it's not important to write unique policies.
There is a chance that you just copy and paste various policies from other dropshipping websites. Still, some of the terms mentioned in these generic policies may not suit your business model or specific needs; which is why it’s important to personalize them to your own company. Not only this, but not paying attention to your policies could land you in legal trouble; it’s always better to be safe than sorry, so take the time to do your research and write your unique policies as per your business needs.
If you don't put a clear system in place for returns, your business can quickly turn into a nightmare. It's important to respond and take care of issues in a timely fashion to prevent chargebacks.
To avoid such a situation, lay down a return policy plan with your vendor. Customers usually tend to wait for their refund after they send out the return shipment. Therefore, you need to organize the return and refund process to process the customer's refunds without delay.
Dropshipping is not very easy as some may think, and it doesn't matter how cautious you are, you will surely make a few mistakes as you go, but you'll learn along the way. We hope this article was super helpful, and able to shine some light on some of the easy mistakes you can make as a dropshipper.