Dropshipping in 2024: 6 Most Frequently Asked Questions

It seems everyone is hustling to make money on the side. Your friends might be driving for a rideshare service or running around town delivering fast food. And maybe you, too, are facing a rent increase or struggling to make ends meet. But what can you do if you aren’t crafty, don’t have a car, or simply don’t want to deliver burgers?

In this article, we’re going to introduce you to dropshipping, an easy-to-start online business model that has big potential for profits in 2024 and beyond.

 

1. What Is Dropshipping?

Dropshipping is an online business model in which business owners outsource a large portion of their retail business, specifically the manufacturing, stocking, and shipping of products. By outsourcing these costly and time-intensive tasks to a dropshipping supplier, business owners can focus on providing exceptional customer service and marketing their dropshipping business.

 

2. Can I Really Make Money with a Dropshipping Business?

Like every legitimate business venture, entrepreneurs have to work hard to grow their dropshipping business. But the answer is a resounding yes: you can make money with a dropshipping business. And here are the numbers to back it up:

● The worldwide e-commerce market is expected to reach $3.6 billion in 2024, with an annual growth rate of almost 10% through 2028 (Statista).

● Shopify (a popular site where owners build their dropshipping stores) has over 2 million daily users, and the average customer spends $72 on the platform (Shopify).

● The average dropshipping business earns a net profit margin of 10% of total sales (ProjectionHub).

 

3. How Much Money Does It Take to Start a Dropshipping Business?

The amount of money it takes to start a dropshipping business is much less than many other types of businesses. Here are some of the upfront and ongoing costs of starting a dropshipping business:

● A domain name for your website costs less than $20 per year.

● If you host your online store on a site like Shopify or Wix, you’ll have to pay a small monthly fee. For example, the monthly fee at Shopify starts at $29.

● Your dropshipping supplier will charge a small monthly fee. At TVCMALL, we provide one-on-one customer service, free samples (for Gold clients and above), customization services, and more.

● Optionally, you may choose to invest in your dropshipping business in other ways, such as professional website-building services, paid advertising, or influencer marketing.

 

4. What Do I Have to Do to Make My Dropshipping Business Successful?

Obviously, more goes into making a dropshipping business successful than slapping a few products on a website.

First and foremost, you’ll have to invest your time. You’ll have to do things like creating a consistent social media marketing and content marketing schedule. You’ll need to answer consumer questions and provide customer support in other ways. You’ll also need to work closely with your dropshipping partner to make sure everything runs smoothly.

Additionally, you’ll need to fill in gaps in your business knowledge. You’ll need to learn how to market your business, how to organize your business, and how to create and follow a business plan.

As an e-commerce business owner, you’ll also need to perform product and market research so that you’ll choose profitable and popular products, which brings us to our next question.

 

5. What Kind of Products Should I Sell with My Dropshipping Business?

Choosing the products you’ll sell is probably the most important decision you’ll make with your dropshipping business. Start with these tips:

● Sell products you know and care about. People are more likely to buy your products if you’re enthusiastic about selling them. So, choose products you’re actually interested in.

● Cater to a niche. Selling to a niche audience will help you stand out from your competition. For example, instead of selling camping gear to a general audience, sell watersports gear to consumers enjoying Class I rivers and inland lakes.

● Consider customizing your products. Customizing your products with a niche audience in mind will make your dropshipping business unique. You can create your own designs for everything from cell phone cases to travel mugs. The right dropshipping partner can turn your designs into reality to sell from your online store.

● Test products you’re considering selling. Your online store will only be as successful as your reputation. Negative reviews will tank your dropshipping business before you’ve had a chance to make it successful.

 

6. What Should I Look For in a Dropshipping Supplier?

Your dropshipping supplier should be more like a partner that provides support and guidance. At TVCMALL, we strive to provide that support.

Your team at TVCMALL can help you with everything from choosing your products through our market research feedback to processing returns with our worry-free warranty. We test every product we sell, and we help you stretch your dollars with perks and rewards from our loyalty program.

Most importantly, you want a dropshipping partner that shares your values. At TVCMALL, we’re on a mission to help entrepreneurs like you actualize your dreams. After all, we know that success comes through helping those around us. Because together, we THRIVE.