Guide (26.01.18) Ali Express Dropshipping
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AliDropship WHAT How to start your successful DOES DROPSHIPPING DROPSHIPPING BUSINESS MEAN? with AliExpress ‘If you’re listening to this, you are the Resistance’ John Connor, ‘Terminator Salvation’ If you’re reading this guide, you’re one of us. You’re the one understanding that the world is changing. You’re the one realizing that usual ordinary job doesn’t give you that much security and profit any more. You’re the one seeing that hundreds of people all over the globe are becoming millionaires every day thanks to their own ventures. You’re the one looking for alternative ways of making money, and we totally understand why you’re doing this. According to the recent survey by McKinsey Global Institute, up to 162 million people across Europe and the United States (which is 20-30% of the whole working age population) are involved in some kind of independent work. Remarkably, the number of small businesses in the United States has increased 49% in the last 35 years – U.S. Small Business Administration also reports that more than 500,000 adults in the USA started their businesses each month in 2014. It's not only about the money – the McKinsey’s survey results show that people who work independently in one way or another are more satisfied with their life regardless of their level of income, education, age and country of residence. This is why the same dynamics of starting self-owned business can be seen across the continents - Africa and Asia, along with Australia and Europe, increasingly follow the universally growing trend. It’s easy to see why almost everybody wants to join this community of self-employed independent entrepreneurs! If you never tried dealing with your own business before, most likely, you are still in doubts now, and we guess that you have lots and lots of questions about all this. Don’t worry: we got it covered! STARTING ONLINE BUSINESS: Why it makes sense at all There is number of reasons why a person looking for an additional source of income would prefer online business to any other type of venture. When you think of alternative ways to make money, usually, you want your new business to be: QUICK TO START If you’re still working full-time and just want to experiment with a new business, you obviously can’t spend much time and energy on learning. LOW-COST Different types of businesses require different amount of financial investments at the beginning. For example, if you want to open a store to resell someone else’s products, can you afford buying these items upfront in bulk? EASY TO RUN The main reason why we give up on our regular jobs is our desire to have more free time. Why waste hours on dull reports or risk your life in a dangerous manufacturing facility if you can enjoy relaxing time with your family? Online business ticks all these boxes because: 1 YOU CAN START IT WITHOUT ANY EXPERIENCE AT ALL You know nothing about online business? Not a big deal. There are tons of explanatory articles, educational videos, thematic forum threads and other recourses to guide you through. You don’t have to be a software specialist or a digital marketing guru: a basic set of skills will be more than enough for this. 2 YOU CAN LAUNCH IT WITH MINIMAL COSTS There are types of online businesses that require little to no investments at the first steps of your new journey. For example, there are reselling models like drop shipping – to open a drop shipping store, you don’t need to risk your money and buy products beforehand. You can start with a basic simple website, and only use free methods of marketing and promotion until you got your first profits. 3 YOU CAN MANAGE IT FROM ANY POINT ON THE GLOBE Basically, if you run any type of online business, you are not limited with geographic boundaries. You can work wherever and whenever it is convenient for you as long as this place has stable Internet connection. A first-class co-working space, a sunny beach, your own tiny kitchen – feel free to choose any destination you like because it won't matter at all. What’s even more important, you can always go for semi-automated business solutions. Roughly speaking, there is a particular type of online business that can run itself. Curious to know? Let’s discover it together! Pros and cons of common online business models Generally speaking, if you don’t create and sell your own product(s), you have 3 basic ways to easily earn with online business: Become an affiliate Create your own website and monetize it with advertisements Start e-commerce business with the drop shipping model These business models share the same benefits: EASY START You don’t spend much on launching such a business, and it’s not obligatory for you to get officially registered. NO PRODUCT CONCERNS You can run these businesses without manufacturing anything. Plus, you don’t buy items from suppliers in advance, therefore there are no risks of going bankrupt. You don’t have to rent or buy a warehouse, and you don’t hire additional staff to work on it. Also, you don’t deal with shipments and deliveries, which saves your time and nerves. FLEXIBLE WORKING HOURS You don’t depend on a fixed time and place, so you might as well go on vacation and still earn money while relaxing on a seashore. BUT. If we look at these models more closely, we will see that affiliate programs and paid ads have a number of disadvantages that negatively influence your profits and in general, make it inconvenient for you to run the business. 2. Delayed access to money Most typically, you will have to wait for 30-60 days until the earned money gets counted and transferred to your virtual account. These disadvantages are: 1. Multiple requirements 3. Few opportunities for growth Any affiliate program, as well as Google AdSense, has its terms and conditions policy which usually sets limits on the intensity of your business activities – and this, in turn, reduces your profit. Basically, all these regulations can be differently understood by you and by the program’s owner, which is why it is a usual thing to get banned from such programs. Plus, the terms and conditions typically change quite often, and it’s not always easy to keep track of them. In other words, you’re fully dependent on the program’s owner and your business doesn’t 100% belong to you. In these conditions, it’s impossible (and meaningless, to be honest) to develop such a venture and try to make it grow. What’s the solution? Let’s go to the next chapter to understand how drop shipping is different from these business models and what benefits it can offer you! What does dropshipping mean? Watch our video to learn more about the dropshipping process: HOW DROPSHIPPING WORKS? How dropshipping works: 1 2 3 A customer gets interested in your products, places an order and pays for it You contact the supplier who stocks this product, and you place the same order as your customer 5 4 The customer receives the order and the deal is completed You ask the supplier to deliver the order to the address of your customer What are the benefits of this type of online business? IT'S THE IDEAL TYPE OF BUSINESS FOR NEWCOMERS YOU SAVE HUGE SUMS OF MONEY It is really simple to set up, even if you have no previous experience in ecommerce and Internet marketing. Dropshipping gives you a great start – you will have no trouble managing this business because the supplier does most of the job for you. Inventory issues, stocking and shipping are not your concern! You don't own these products yourself, so you don't need to rent a warehouse. You also don't need to buy items for your own stock. You only spend your money on a product after a customer has placed an order for it, so you'll never be in the position of having bought stock you can't sell. YOU CAN REACH A REALLY WIDE AUDIENCE Dropshipping means that your store is based on an online platform, or ideally, on your own website. With dropshipping your business gets an international reach – you can connect with any person in any place in the world, no matter how far away they live or what language they speak. What is AliExpress and why would you choose it for dropshipping? What features make AliExpress appealing for dropshippers? Why is it recommended to have your own webstore for your dropshipping business? 1 2 3 4 5 What are the benefits of having your own dropshipping webstore? NO COMPETITION. If you post your products on eBay, Amazon, or any other marketplace or ads portal, there will be lots of competitors selling identical items for a low price. If you use your own website, there will be no other sellers, so visitors to your webstore will only make their purchases from you. FULL CONTROL. Dropshippers who own their own dedicated webstore can run the site and think through its strategy independently. It means they are free to choose any kind of products, they are not limited in their pricing methods, and they can stick to any marketing strategy they like. ANALYTICS. The webstore provides the owner with detailed statistics about the volume of orders, the amount of revenue, the number of visitors, etc. The website owner can easily track the store performance and make any changes that are necessary. ROADMAP: How to start your Dropshipping business with AliExpress Let's describe the process of choosing the right niche for your dropshipping website. Initial research AliExpress Most Popular Products Amazon Best Sellers eBay Daily Deals This will give you plenty of valuable information and help you to decide what niche and products to choose for your store. Popularity and trends When choosing a niche for your dropshipping website, you should focus only on demanded products that show positive or at least stable trend. Go to https://trends.google.com/trends/ to get a better idea about the selected niche. For example, let’s build a store that sells various types of cat-themed clothes and accessories. Let’s take a look at relevant queries on Google Trends and analyze their dynamics in the last 3 years. It is a good idea to check every possible product category you are going to sell. As you can see on these graphs, people get more interested in these items every year, so this is a good niche with an appealing potential. Below you can see a niche ('Nokia') that is not recommended: Competition Of course, it is almost impossible to find a popular niche with a good trend but without competition. Before launching your dropshipping store, it is strongly recommended that you search for similar web stores on the Internet. If you find several popular sites offering the same products (especially with good prices), you should probably think about finding another niche and products, which are generally harder to find. Obviously, there is no point in creating another generic "Shoes", "Car parts", or "Gardening" store. It's better to take a narrow niche and try to be creative. A broad niche might sound like a good idea, and we do understand people who are dreaming about starting an authority website where they can sell many different products, however in practice it can be very tough to get traffic and orders from a site like this. SOME REASONS TO GO NARROW: 01 02 03 04 Due to your specialty, people will be ready to come to you again and again because you are “the one” in their minds. 05 When you narrow your niche, you get a better understanding about what you are going to sell It's easier to rank higher in search engine results for particular search terms It is always easier to focus on one audience and plan your marketing strategies To get a better idea about a narrow niche, take look at this website we created for one of our clients: AliExpress stock Before starting to build your web store, make sure there are enough categories and products available in the selected niche. Go to AliExpress.com and enter necessary keywords in the search bar. In our case, we started with entering the “cat” query – as you can see, there are thousands of items related to cat-themed clothes and accessories. This is why we can be sure it is a popular niche. Prices Generally, AliExpress offers very competitive (often unbeatable) prices for many products, however we would always recommend conducting some basic research about the prices of products you are going to sell on your site. Ideally, AliExpress prices should be twice lower than the prices of your competitors. You should pick at least 5-10 products in the selected niche and find the best prices for these items on AliExpress. Next, go to Google and search for the same products in order to compare their prices with prices at AliExpress. Let's take an example: We found a highly popular cat necklace (look at the rating and the number of orders) for $0.81. Then, we looked for the identical offers from other sellers. Here is the example from Amazon: As a result, we can see that we can have a good margin selling this item. Product categories For example, let's take a “cat hoodie” query and check the results. In spite of the fact that this keyword has high competition, its search volume looks rather good. One by one you can select keywords for the main categories that will be presented on your site. Step 2: Choose a Domain Name and Hosting Provider Domain name Hosting AliDropship HostGator.com GoDaddy.com Annual plans starting at $3.96 per month. Plans starting at $5 per month AliDropship.com Plans starting at $4 per month. Perfectly optimized for AliDropship plugin Step 3: Install WordPress WordPress is a free and open-source content management system (CMS) that you should install on your web server (hosting). To start the installation process, you firstly need to download WordPress from its official Download Page. There are two ways to install WordPress – quick installation or manual installation. Simply follow the instructions below to install WordPress using your chosen method: WordPress Quick Installation with HostGator WordPress Manual Installation Step 4: Setup AliDropship Plugin The AliDropship Plugin offers a complete set of features that allow you to easily start and run a successful dropshipping webstore. With this plugin, you can easily search for and add products to your site just by specifying categories, keywords, purchase volumes and other filtering options to find the best products. Or, just visit AliExpress.com, find a necessary item and import it directly to your site in just one click. The desired product will appear on your site instantly. See how it works: In addition, you don't have to worry about changes in products prices, variations and inventory. The Plugin's auto updating system will keep your product info fresh with the latest data from AliExpress. The Plugin offers great functionality and many helpful tools. All your products, pricing, sales, profit, traffic stats and orders are available and managed within one single control panel. The AliDropship Plugin features built-in themes that you can easily customize and setup according to your own preferences. All themes are mobile-friendly and have professional stylish design to meet all modern requirements and trends of successful online stores. The process of importing products with the AliDropship Plugin is quick and easy - and there are no limits on the number or type of products you can add to your store. We do however recommend that you add products carefully and focus on those that have over 300 orders and a 4* or higher rating. In addition, we highly recommend offering your customers a free shipping option on all items by taking advantage of the free/low cost delivery offered by many AliExpress sellers. When possible, try to take only products which offer free or very cheap ePacket shipping. Since the majority of products on AliExpress come from China, ePacket delivery is not only the most economical option, but also one of the quickest ways for small goods to get to the United States, as well as other countries. 1 Install the AliDropship Google Chrome extension. 2 Go to AliExpress.com and start searching for products. 3 If the AliDropship Chrome extension is activated on your browser, it will detect and show you the items with ePacket automatically: 4 Visit a product page and click the Import button on the top red panel. The product will be sent to your site. If you want to edit product before import, click Edit button. Change product title, description, price, image gallery, variations as you wish and Publish or Import product. After your products were added to your store, you can edit product descriptions or at least product titles in order to make them unique and look more professional. Having your own unique content will serve your business to rank well on Google and will help you convert better on product pages. It heavily depends on what kind of products you are selling. It's often a good idea to stick to low prices, with a high margin potential. Such products usually cost within a $1-$20 price range and can generally then be priced at $20-$50 or more. You can also try this formula that works well for our own dropshipping projects: $0$100=Your Price: Supplier Price x 1.35 The AliDropship Plugin has a special Pricing Automation system, which you can use to create your own mark-up formula and apply to all or particular products. Now that you have your store filled with products and are ready to dropship, it's time to think about promotion. 1 SMM Social media marketing (SMM) is the process of gaining traffic from social media sites, lifting sales, raising brand awareness, gaining reputation and communicating with customers on social networks (Facebook, Twitter, Google+, YouTube, LinkedIn, Instagram, Pinterest, etc), as well as in blogs and forums. Commonly businesses avoid too much advertizing on social media, however the experience of some of our thriving projects shows that selling goods via social media is not only possible, but can be a great success. Just look at this Facebook fan page and the number of its subscribers! The conversion rate of this store is really high owing to SMM! Some niches, such as fashion, sports, fan merchandise, entertainment, baby care, etc., are ideal for sales via social media, so why not take advantage of this strategy? We have great experience of promoting dropshipping businesses via SMM channels and have proved that the most winning strategies are: Attracting attention to dropshipping stores in niche Facebook groups. See the strategy and a success story: How We Made $4500+ Revenue in Three Months of Promoting Our Dropshipping Store in Facebook Groups; Shoutouts on Instagram. See the strategy and a success story: How We Upgraded from 3 Orders in March to 195 Orders in May by Promoting Our Dropshipping Store via Instagram Shoutouts; Auto-promotion with Social Rabbit plugin. See the strategy and a success story: How We Got 66 Orders and $813 in Just One Month by Promoting Our Dropshipping Store in Social Media with a Special Plugin; You are welcome to share your own success story and SMM strategy with us and with the dynamic community of dropshippers we've created. Contact us, tell your story and become a new hero of our blog! 2 Facebook Advertizing Make sure your website and Facebook page are ready for new visitors, and ensure that all the necessary information is provided and all works well; Choose products to be promoted: your own favorites or the ones marked as bestsellers on AliExpress; Control and optimize your campaign. We'd recommend starting with small amounts until you gain some experience and get ready for managing higher budgets. Read the success story of one of our clients who used Facebook advertizing: 2,500+ Orders in the First Three Months. 3 SEO If you want to get more clients from search engines then you should take care of the following on-page SEO activities: 3 Video Marketing Every video should also be optimized right at the moment you upload it (not later): 4 Email Marketing What you need to do: On checkout, you can leave a message for the seller, like: “We're dropshipping. No promotions & invoices, please!” That's it! Now it's just a matter of waiting for your customer to receive his order. What should I do if my customer didn't receive the order? In case your client did not receive the order or is not satisfied with his purchase, you should follow the AliExpressBuyers Protection Policy. AliExpress has a good protection system, with a full money back guarantee. So, if your customer is not satisfied with a product and asks for a refund, you should dispute the purchase with the AliExpress seller. If you are selling inexpensive products, your AliExpress supplier should usually refund you quickly without having to return the items because they don't want the headache of disputes and receiving returns for relatively low value items. This enables you to give a full or partial refund to your customer through PayPal without them having returns either. The reputation of the wholesaler is rather exposed and they are willing to do anything to maintain their feedback rating. Benefits of using our solutions AliDropship is a great comprehensive solution developed for those interested in running an AliExpress dropshipping business. Using the service, customers can: What are the unique benefits of AliDropship? HIGH PROFITS NO EXTRA CHARGES The service is developed to let dropshippers earn as much as possible. It is achieved by using numerous instruments of website development, marketing, promotion, etc. that are easy to understand and use. You pay for the service once, and you won't be charged any additional fees later on. You won't have to pay any commission for successfully processed orders, and there is no limit on the number of completed transactions. CONVENIENCE FLEXIBILITY You can order a customized dropshipping website with all the settings in place, and it will let you start your business smoothly. You will get a turnkey webstore and professional help from customer support members who will guide you through the whole business process. If you have some basic knowledge about developing and running your own website, you can just buy the AliDropship plugin to adapt your website for dropshipping purposes. OWNERSHIP You are the full and only owner of the webstore. There is no need to get anyone's approval while selecting products, styling your website or choosing a marketing strategy. You have all the rights to create your own brand, build a specific strategy for promoting the store and interacting with customers – and you can sell your store later on as a valuable asset. Are You Ready to Start Your Dropshipping Business Today? If you want to build your own dropshipping store right now, buy our powerful AliDropship plugin with a 15% discount! Coupon code: STARTER15 In case you want a 100% hassle-free start, order a turnkey custom store with a 10% Discount - and begin getting revenues from day one! Coupon code: CUSTOM10 Order Custom Store Buy Plugin
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