Dropshipping has gained unimagined popularity in recent years because this model is one of the easiest ways to sell a product and start an eCommerce store. But like every eCommerce business, certain criticalities, such as finding the best dropshipping suppliers, require your focus.
A supplier who can source quality products is a keystone in your hunch of starting an online dropshipping business. Dropshipping is an order fulfillment method in which you sell the supplier’s product without keeping the product in stock. So you know what products to sell, how, and whom to trade. The only thing you need to ensure is partnering with great suppliers who can keep your eCommerce business hopping.
It is sometimes intimidating; with so many suppliers and wholesalers in the market, it is hard to say who is genuine. In this blog, we’ll discuss tips for finding dropshipping suppliers, and you’ll close it with zero doubts.
What Makes A Good Dropshipping Supplier?
A good supplier will always be professional with his services. Dropshipping is a professional relationship between you and your supplier. Therefore always look for professionalism in the supplier you’re vetting.
Positive Supplier Reviews
Online reviews are very effective. They’re beneficial in telling the black-and-white of a supplier. Make sure to screen supplier reviews on review sites like the better business bureau to check any complaints against the supplier. It would help if you also reviewed the customer’s review of the product the supplier sells. Customer reviews are the best way to know the product’s quality and the real-time experience people have with the product.
The punctuality of a supplier matters the most in dropshipping because if the supplier is not punctual with shipping items, it will break the customer’s experience. Nobody wants to wait more than a week to get their product. We live in an era where if a customer orders a product today, they want it to be delivered by tomorrow. Therefore, to provide customers with a memorable experience and to make them remember our stores and brands, we need to provide fast.
Newbies often overlook this, but genuine suppliers have a practical return policy for their products. Always ask suppliers how they handle and deal with product returns and defective merchandise and how quickly the product returns are executed.
Suitable suppliers always deliver high-quality products. It is obvious. The good and bad supplier is distinguished by their product’s quality and the services they offer. To check the quality of the product, check online reviews, ask for product samples and test it for a month or more.
Top Tips For Finding Dropshipping Suppliers For Your eCommerce Business
Consult With A Dropshipping Directory
A dropshipping supplier directory is a database of pre-vetted suppliers. Some directories even include supplier reviews which can ease your vetting process. These directories can save you time and energy by giving you instant access to suppliers who are willing to fulfill orders on your behalf. The only downside of dropshipping directories is that you can be charged a one-time or subscription membership fee.
Going directly to the manufacturers to consult about potential suppliers is one of the easiest and undervalued tactics for finding suppliers. You know the product you want to sell, so instead of searching google, go to the product manufacturer and ask for the list of approved suppliers they use to distribute. They’ll be more than happy to give. This simple step will ensure you a list of legitimate suppliers.
Keep Everything Legal
Having everything approved legally is important to avoid potential disputes between you and your suppliers. Before you finalize suppliers and ask them to fulfil orders, it is recommended to make a contract for smooth practicing of business. These are some aspects of business that should be included in a contract with suppliers:
- Communication: Remember to mention how you will inform the supplier about the order. Also, mention how long suppliers take to confirm the order’s reception.
- Commission: Your contract should mention the percentage of every sale you will take. Most drop shippers take around 30% of the sales for low-price products and around 15% for high-priced products. It’s your right to negotiate commissions against your work as a seller.
- Payment periods: Establish a fixed payment date and method after deciding mutually.
- Shipping: This is the most important aspect of the eCommerce business. It clearly defines the period the product needs to be delivered to the customer.
- Compensations: Remember to mention the compensation suppliers need to bear if the established clauses do not comply.
Go to Networking Events
You can establish a relationship right on the spot by meeting suppliers face-to-face at events and tradeshows. In-person or action is always the best way to form a relationship. By going to these events, you can meet different dropshipping suppliers under one roof. Now, while some of the trade shows are free, you may need your business license or seller permit to attend.
Now, this is also one effective strategy to find the best supplier in your niche. First, buy the product of your competitor you want to be like, check the quality of the product and use it for a couple of days. Then, if you’re 100% satisfied with it, check its return address to find out the supplier of the product. By doing this, you’ll have a sound knowledge of your competitor and a good supplier to source orders.
What if your supplier is out of operations for certain uncertainty? That’s why having more than one supplier in your pocket is ideal for your dropshipping business. You never know what is coming in the future. Therefore, being proactive will help you stay consistent in your business.
According to recent studies, the global dropshipping market is forecast to reach $196.78 billion in 2022, a whopping 23.7 percent year-over-year increase from 2021. Therefore if you’re looking to start a dropshipping business, now is the time. Finding a supplier is heavy-duty, and the work still needs to be completed after getting the supplier. You might need to shift to another supplier if the previous one needs to meet the expectation. So, indulge yourself in a careful vetting process before committing to a long-term agreement with any supplier.
What is the most profitable item to drop ship?
The most profitable dropping niches are:
- Personal care products
- Fashion and wardrobe accessories
- Gym and sports accessories
- Kitchen and grocery
- Pet products
- Gadgets/tech accessories