You are having a stable nine-to-five job but always dreamt of taking the adventure of an independent entrepreneur? You have probably been thinking about e-Commerce. However, does online business sound that simple and promising, especially for beginners? Oh yes, there is a kind of simple online business without investment, that can be your starting point to build your own dream business – dropshipping.
What is dropshipping? It is a modern business model, where you as a dropshipper will take orders from online shoppers, buy goods from the wholesalers, then have them delivered directly to the door of the buyers without physically touching and managing the goods.
So why dropshipping is a simple online business without investment? Why you, as a starter eCommerce entrepreneur, should consider getting started as a dropshipper? This article will give you a thorough answer by pointing out four reasons. Plus, you will also find out a lot of useful resources to learn the basic techniques in running a successful dropshipping online store from the beginning.
Let’s dive in. Here are the four reasons why dropshipping is the best online business without investment idea.
1. No upfront cost on stocking up inventory
A lot of people are hesitant to start their own business because of financial restraint. While a few people can bootstrap their business venture with their savings from years of working hard, most beginners have to take loans to realize their entrepreneur dream.
The largest amount of upfront investment will normally be spent on acquiring inventory. Imagine now that you are enlightened with a brilliant business idea that requires no capital on stocking up goods in inventory? It means you virtually invest nothing into starting your business, doesn’t it?
That brilliant business idea is dropshipping. Dropshipping is a supply chain method in which retailers do not have to purchase the goods before they can advertise and sell them. By partnering with wholesalers, retailers can advertise a various list or merchandises in advance, take orders from customers, and buy goods from wholesalers later. That way, a positive cash flow always occurs, since the retailers make real sales before they have to pay the cost of goods sold.
In short, dropshipping provides you with such an easy, simple and low-cost way to start selling stuffs online. It’s the easiest way to go ahead and start that online business without investemnt. You are not limited by the burden of owing debts to buying up a large amount of goods. You can also avoid the risk of inventory excess, in case you make mistake of importing some lines of products that cannot sell out. Furthermore, no stocking up inventory also means no heavy cost of renting, management and maintenance for physical warehouses. With dropshipping, you can skip a very huge amount of investment at first.
2. Building an online store has never been so easy
If you decide to open a dropshipping business, perhaps the first initial step is to set up the online store. For non-technical people, building an ecommerce website seems to be an impossible mission. You might think about hiring a team of experienced technicians and programmers to build and maintain a custom web store for you, which surely costs you a huge amount of money.
That is not today’s scenario, when building an online store has never been so simple and fast. Anyone who knows anything about coding can easily set up an online web store in under 60 minutes. How so?
An eCommerce website builder tool, Shopify empowers over 150 thousand online stores owned by non-technical entrepreneurs all over the world. A lot of them have started out just looking for online business without investment and now run a successfull business. Within a few clicks, you can create an account with Shopify and have an online store built up instantly. All you have to do is choose a unique theme in a library of thousands of beautiful theme designs for your store, upload your product lists, and start selling right away.
If you run a dropshipping business, it would be even easier and more convenient with Oberlo – a Shopify app that solves every tie knot in the dropshipping supply chain for you: import products automatically from AliExpress.com, fulfill orders, track shipment, inventory and auto-update price.
The best part? With Shopify’s 14-day free trial and Oberlo’s free starter plan, you literally can start a simple business without investment.
3. There’s only one thing to focus on – marketing
In dropshipping, you as retailers are free from the distress of managing inventory and supply chain. All you have to take care of is drive traffic to the site, optimize marketing channels to convert visitors into paying customers, and provide excellent customer support.
When you first start your dropshipping business, you can try out simple and low-cost marketing channels to acquire the first customers. Social media works very well for online business at every stage to generate traffic and convert into sales. Winning the first place is Facebook marketing.
By optimizing your Facebook ads to be targeted with great content, you can convert a lot of social audience into traffic for your site at very low acquisition cost. Instagram is also another efficient channel to convert cold traffic into happy online shoppers.
Besides social media, email marketing proves to be an unbeaten channel to retain and convert eCommerce visitors. There are a lot of popular free tools to create email pop-ups on the site to help you collect subscribers on site. With Mailchimp’s free version, you can send personalized follow-up emails to engage with customers and bring them back to your site for more shopping.
We also cannot forget to mention Search Engine Optimization (SEO) – the best and most popular channel to drive organic traffic from the internet to your site. When people look for a thing to purchase online, they will search on Google for different options to compare. Finding out the right keywords your potential customers will search if they are looking for products you provide is key to getting your website visible on top of search pages. This method can be done at little cost at first, if you know the basic knowledge in SEO, especially for dropshipping sites.
Delivering a WOW experiences to your customers is also a must in running a successful long-term dropshipping store. You should curate customer support multi-channels to make sure customers can reach out to you anytime, anywhere and receive responsive support. One of the most trendy customer support channel in this modern era is Facebook Messenger:
Looking at the methods we have pointed out, you can see that all marketing and sales channels are very low cost, thanks to the transparency of the Internet and the help of many free tools for small businesses.
4. Failure costs nothing
By now, you probably feel more confident that starting a dropshipping business costs you hardly anything at first. After all, I think you’ll agree that dropshipping is ideal as online business without investment plan. You can build an online store and try it for free for at least 2 weeks, use a full-stack dropshipping management software free for a month, and try many low-cost marketing channels to acquire customers and generate sales.
What if your business turns out a failure? Just unplug the free tools, abandon the site, stop or try creating another business venture for free again. You have invested nothing financially, so it is free of headache and burden to start over and over again until an idea works out for you.
It is said, starting up your own business is scary because you have to risk so much money. With dropshipping, the notion proves partly invalid as failure costs you nothing but your own time and efforts.
Now what? Why wait when you can start a simple online business without investment in such an easy way?
The eCommerce has brought ordinary people closer to their entrepreneur dream. Still, so many people hesitate to start up because of financial risk and burden. Dropshipping has cleared the obstacle away, making online selling such a simple online business without investment.
Have a dream of your own? Crunch our rich resources of how to run a successful dropshipping business, and make the move to become a dropshipper today.