How to Start Dropshipping in the USA - Profits & Suppliers?

US E-commerce in 2024: Dropshipping Overview

In a broader spectrum of US E-commerce in 2024, dropshipping has taken a sharp spike and emerged as a popular business model in the world of online business. 

It offers a wide range of opportunities to start an online store with minimal investments and the convenience of handling the whole business with a single body. 

In this blog, you will find comprehensive guidelines about the dropshipping business from scratch, even in the USA. Stay tuned with us and let yourself understand all about dropshipping.

What is Dropshipping?

Dropshipping is a retail fulfillment method with slight changes, where you don't have to keep any store for the stock to keep. Rather, you have a platform where you play a role as a third party to provide a ground for the buyer to bargain with it. 

The seller will sell the product directly to the buyer; however, as a middle man, you are left with the commission or any other formalities in selling the product. This means the seller (you) doesn't have to handle the product directly.

How Does Dropshipping Work?

Let's delve into the details of dropshipping and learn how it works, especially in the USA.

Choose Niche

The first step in dropshipping is selecting the particular niches in which you deal. This could be anything ranging from electronics to fashion accessories. 

All you need to do is be active while choosing your niche, as the more supply and demand lead you, the more profit you will make.

Find Suppliers

Once you have chosen your niche category, you need to find professional and reliable suppliers. In the USA, you can source products from local suppliers or from wholesalers who dropship the particular product. 

Platforms like AliExpress, Alibaba, and Oberlo are popular choices for finding suppliers globally.

Set Up Your Online Store

After finding a relevant and reliable supplier for your product, you need to have your own online store in which you can store your product and market it. 

You can use platforms like Shopify, WooCommerce, or even Amazon and eBay to set up your online store. The store reflects your brand and the products you are selling, so customize it accordingly.

Market Your Products

Now, you can market your products through different methods like social media marketing, influencer collaborations, and search engine optimizations (SEO) to drive traffic to your store. 

The more traffic you have, the more you can earn from it by selling your product to the people. For deeper insights into E-commerce trends and strategies in 2024, explore our detailed guide.

Process Orders

When you have an order, you need to shift your product to the supplier, who will then ship the product directly to the customer. You don't need to keep the product physically or store it in the go-down. 

All you need to do is play the role of middleman and take your commission.

Provide Customer Support

Try to offer exceptional customer support service. This can attract customers to purchase the product again from your store. Moreover, your clients' feedback can lead you to the top ranking among your competitors.

How To Make Money Through Dropshipping?

Dropshipping provides you with many ways to earn money. There are several ways, such as:

Markup Pricing

To profit from each sale, set your product price slightly higher than the supplier's price. The gap between the supplier's price and your price is your net profit. Try not to create a wide gap between the values.

Volume Sales

Selling a large amount of product at the same time can provide you with a large profit. The quantity of the product you are selling can also reflect your profit margin.

Upselling a Cross-Selling

You are advised to offer complementary products that are important for daily use. Upgrading to increase the value of each sale can also help you improve your profit.

Subscription Models

You can also offer subscription boxes or services for recurring revenue. Despite that, you can also adopt many other ways provided by the platform to earn more money.

How To Start A Dropshipping Business With Less Money?

It is important to have some investment while stepping into any business; you can minimize costs with these strategies. It will help you make more profit by investing less in costs.

Use Free Platforms

Start with free platforms which do not require any cost to be linked with. Platforms like WooCommerce or list products on marketplaces like Amazon or eBay without upfront fees. The free platform will help you reduce your investment volume.

Negotiate With Suppliers

Try to compel your supplier to give you an absolute advantage while dealing with them. Some suppliers are very fertile grounds for the dropshipping service. However, you need to be active in finding them.

Dropship Aggregators

Use drop shipping aggregators like Oberlo that offer free plans and connect your supplies without any formalities. It can also reduce your costs to some extent. Moreover, it doesn't require any investment.

Bootstrapping

Bootstrapping means starting your investment from scratch. The volume needs to be low, and the profit is fair enough. Then, you can grow your business gradually with the passage of time and opportunities.

DropShipping Suppliers In The USA

Finding reliable and professional suppliers is an uphill task, especially for the one who has recently stepped into this field. However, we have brought you some authentic sources in the USA that can be respected and trusted at all levels. 

Some popular dropshipping suppliers in the USA include:

• Wholesale2B
• Sunrise Wholesale
• Dropified
• Spocket
• SaleHoo

These suppliers have earned respect for providing a wide range of products and reliable shipping options within the USA.

How To Start Dropshipping On Amazon, eBay, And Etsy?

Here, we will give you brief guidance about these platforms, which are considered reliable and authentic in the USA:

Amazon

To start dropshipping on Amazon, begin by conducting thorough market research to pinpoint lucrative niches and high-demand products. Next, source reliable suppliers from platforms like AliExpress or SaleHoo, ensuring they offer quality products and efficient shipping. 

Once you've secured your suppliers, create a seller account on Amazon and meticulously craft your product listings, incorporating relevant keywords to boost visibility. Utilize Amazon's Fulfillment by Amazon (FBA) services for seamless order fulfillment.

eBay

eBay provides an excellent platform for dropshipping businesses. Begin by conducting thorough market research to identify profitable niches and products with high demand. Find reputable suppliers who offer quality products and reliable shipping services. 

Once you've established your supplier network, create an eBay seller account and start listing your products. Optimize your listings with relevant keywords and captivating descriptions to improve visibility in eBay's search results. 

Utilize eBay's fulfillment options, such as eBay Global Shipping Program or third-party logistics providers, for efficient order fulfillment.

Etsy

If you're eager to delve into the world of drop shipping on Etsy, start by researching Etsy's marketplace to identify trending niches and products. Source reliable suppliers who offer unique, handmade, or vintage products that resonate with Etsy's artisanal community. 

After selecting your products, create a compelling Etsy seller account and craft visually appealing product listings. Incorporate relevant keywords to optimize your listings for Etsy's search algorithm.

Leverage social media platforms and Etsy's built-in marketing tools to drive traffic to your shop and attract potential buyers.

Shopify Dropshipping

Shopify is one of the most popular platforms for dropshipping in the USA and worldwide. Its user-friendly and robust features provide a very fertile ground for selling your products. 

You can easily integrate, manage orders, customize your store and brand name, and adjust your requirements to suit your business needs. Learn more about creating a profitable dropshipping business through Shopify in our comprehensive guide.

AliExpress and Alibaba Dropshipping

AliExpress and Alibaba dropshipping are also popular platforms for sourcing dropshipping suppliers. They offer a wide range of products at very competitive prices. However, it is essential to select reliable suppliers carefully and communicate effectively to ensure smooth order fulfillment.

Conclusion

Dropshipping offers a low-risk and high-reward opportunity for earning money. Moreover, it also needs a very small amount of investment to initiate your business. 

We have led you to dive into a fleeting look at dropshipping, which helps you grab some concepts about dropshipping. 

For more insights into how to launch a successful e-commerce business, check out our guide on the top 5 e-commerce platforms for small businesses.

Frequently Asked Questions

What is the best way to find a supplier for dropshipping? +

The best way to find a reliable dropshipping supplier is by using reputable platforms that connect businesses with vetted suppliers. Websites like AliExpress, Alibaba, Oberlo, and SaleHoo are popular options. You can also use dropshipping directories or work directly with manufacturers. Always vet suppliers by checking reviews, order fulfillment times, and sample product quality.

How do you source a dropshipping supplier? +

To source a dropshipping supplier:

• Identify your niche: Choose a product category you're interested in.
• Research suppliers: Use platforms like AliExpress, Alibaba, or Wholesale2B to search for suppliers in your niche.
• Contact suppliers: Communicate with suppliers to understand their product offerings and terms.
• Order samples: Test the product quality yourself.
• Negotiate terms: Discuss pricing, shipping, and fulfillment terms to ensure the best deal.

How do dropshipping suppliers make money? +

Dropshipping suppliers make money by selling products at wholesale prices to the retailer (you). The difference between the wholesale and retail price set by the dropshipper is their profit. Some suppliers may also charge handling fees, especially if they handle packaging and shipping.

How do I find the most profitable dropshipping product? +

To find profitable dropshipping products:

• Conduct market research: Use tools like Google Trends or SaleHoo Labs to identify high-demand, low-competition products.
• Analyze competitors: Assess what successful dropshippers are selling.
• Evaluate profit margins: Ensure a good markup between the wholesale and retail price.
• Test niche markets: Focus on niche products that cater to specific audiences with less competition.

What is the most sold item in dropshipping? +

The most sold items in dropshipping vary, but popular categories include:

• Fashion accessories (e.g., jewelry, watches)
• Tech gadgets (e.g., smartwatches, Bluetooth earphones)
• Fitness equipment (e.g., yoga mats, resistance bands)
• Beauty products (e.g., skincare, haircare tools)
• Home décor (e.g., lighting, storage solutions)