Are you a Shopify business owner looking for your next strategic move? Maybe you’d love to scale and grow but aren’t quite sure where to start. Working as a dropshipping seller comes with many perks and can be a very lucrative path to take. A key aspect of this is knowing how to choose and work with the best Shopify dropshipping suppliers.
We’ll tell you all about this here, including:
Automate With the Best Shopify Dropshipping Suppliers and Simple Purchase Orders
Dropshipping: What is it and Why Should You Use it?
Dropshipping is a way to fulfill orders not by stocking the items you sell, but by purchasing those items from a third-party supplier (often a wholesaler or manufacturer) that ships them to your buyers. This means you don’t handle, receive or own the product yourself – you act as the intermediary seller instead.
Benefits of Using Shopify Dropshipping Suppliers
Aside from the potential to earn over 50% more profit than retailers that stock inventory, there are a variety of benefits to using Shopify dropshipping suppliers for your store.
Accessible and low risk with wide product selection
Dropshipping is a highly accessible business model for any business owner, particularly if you’re just starting out or planning your new venture. This is because it’s easy and fast with little risk to learn about the best in-demand products for your store by trying out different ideas. Because you’re not buying your stock in advance, you’re free to offer a wide range of items to shoppers. There’s no extra cost to you for listing dropshipping supplier items in your store.
Little capital required
A fantastic thing about dropshipping is that you can launch an ecommerce business without investing thousands upon thousands of dollars upfront in inventory, as traditional retailers or those using different models have to do. How this works in dropshipping is that you only pay for a product when you make a sale to a customer and receive payment from them. That means very little initial investment is required from you upfront. And, there’s low risk involved when it comes to starting your store or testing out a new product since you’re not committed to selling a specific amount.
Simple to start
There’s a lot to be said about running a business when you’re not worrying about physical products and the expense, storage requirement, insurance and other liabilities they come with. When you choose dropshipping, you avoid:
- Paying for and managing a warehouse.
- Packing and shipping orders.
- Managing and tracking inventory for accounting purposes.
- Continuously stocking and managing products.
- Processing returns and incoming shipments.
Low overhead costs and flexible location
Since there’s no need to worry about running a warehouse or buying inventory, you can enjoy relatively low overhead expenses. This is why many stellar dropshipping businesses are run from the comfort of the operator’s home, or nearly anywhere an internet connection exists and communication happens easily. You’re free from paying for the high expense of a dedicated business location. Of course, if your business scales and grows over time, your expenses will too, but not to the point of brick & mortar store levels. Plus, your ROI should grow accordingly.
Unlike traditional retail businesses, dropshipping suppliers bear the brunt of most incremental work to process higher order quantities, not you. This frees you up to focus on other things in your business. While growth always means more work (particularly around customer support), businesses using dropshippers tend to scale well compared to their traditional ecommerce counterparts.
Simple Purchase Orders Can Streamline Everything With Your Shopify Dropshipping Suppliers
What to Look for in the Best Shopify Dropshipping Suppliers
With the global dropshipping market valued at USD 128 billion in 2020 and expected to have a CAGR of 32% from 2021 to 2028, you might understandably feel overwhelmed when it comes to choosing the best supplier for your business. After all, it seems there’s a never-ending number of them. But, don’t worry, we’re here to help with this list of what to look for in a solid dropshipping supplier.
Industry focus and knowledge from dedicated, organized, efficient sales reps
Quality dropshipping product suppliers come with a knowledgeable and experienced sales team that knows their product lines and industry inside and out. Especially if you’re getting into a market segment or niche you’re only vaguely familiar with, you need to feel comfortable calling your sales rep at the drop of a hat and confident you’re getting good advice.
Speaking of which, it’s ideal to have an assigned sales representative who’s responsible and invested in you and your best interests and is fairly incentivized for this. When you deal with more than one person over time, people don’t know you as well and it’s too easy for issues to get overlooked or take too long to fix. Plus, you don’t want to waste time following up repeatedly and re-telling the same story.
Of course, you need your sales rep and supplier to be organized and competent, too. This might mean the difference between a supplier that uses top-notch systems for close to error-free fulfillment and one that doesn’t, creating errors left, right and center. The thing is, you often can’t tell the better suppliers from the rest without giving them a few test orders first. Do this and observe a few things: How they handle the order process, how fast items ship, how quickly they send order tracking and invoicing, and the package’s condition when it reaches your customer.
Location, location, location
Chances are your customers live all over the US or throughout the world. If you strategically choose a dropshipping supplier located in, say, central US, you’re talking about all-around shorter time frames for shipping east, west, north or south. Packages coming from suppliers on either coast, on the other hand, might take days longer. Carefully choosing a supplier based on location means you get to promise your shoppers quicker delivery times and even save yourself some cash on shipping costs.
The best Shopify dropshipping suppliers have technology at the forefront
When a dropshipping supplier understands how technology benefits their business and chooses to invest in it, they change with the times and can offer you more value than others. You’ll likely enjoy convenient features that provide helpful insights and streamline your processes. Think full online catalog, real-time inventory tracking, custom reporting and searchable order history, among others. This can even be something as basic as accepting orders through email, as it can be a real time suck to pick up the phone multiple times a day or fill out lengthy website forms.
Top 4 Shopify Dropshipping Suppliers
SupplyMeDirect is a free Shopify app that uses reliable, private-label sourcing to help you sell branded products, boost profits and scale your business. It primarily operates in the US, Canada, UK and European markets, a great thing since it helps cut delivery times which average a quick 4-7 days. You can sell a range of products from apparel and accessories to housewares, toys and more.
Price: Fees are for products & shipping only, if originating from their warehouse.
Get it here.
Oberlo is a dropshipping platform ideal for both newbie and veteran dropshipping users alike. It helps you easily find products on AliExpress, a huge marketplace of small businesses based mostly in China selling nearly every product under the sun. The platform lets you connect with dropshipping suppliers worldwide and import items from over 30,000 options in over 60 niches – including jewelry, antiques, car parts, furniture, fashion accessories and more.
Price: $29.90, free plan available.
Get it here.
DropNShop offers 100% France-made products to sell online, so if you’re looking to get into a new market this could be a great option. It sources thousands of items from French manufacturers and works with ecommerce partners to help diversify its product catalog.
Another thing that makes this supplier stand out is all of its inventory is maintained under strict conditions set by French legislation. This means you can be assured your customers are getting high-quality products – from skincare, hair and beauty items to toys and everything in between. International shipping rates vary but are fair, and a free plan for the app is available.
Price: From $14/month, free plan available.
Get it here.
Through its free app, CJDropshipping allows retailers like you to easily import products to your Shopify store from hundreds of millions of options in the 1688 and Taobao marketplaces. These sources stock items from indie designers and small businesses in China, including obscure, mainstream and virtual products.
You’ll have access to US-based warehouses, same-day order processing and carriers like USPS, UPS, DHL and FedEx.
Get it here.
Tips to Get Started With Shopify Dropshipping Suppliers
Before you take the plunge and start contacting dropshipping suppliers, take some time to ensure you’ve crossed your t’s and dotted your i’s. This way, you’re not going back later to take care of any administrative burdens potentially holding up your ability to sell, sell, sell.
Know what you’re dealing with
For starters, you need to understand how to recognize a legitimate wholesale dropshipper from a retail store pretending to be one. Yes, this happens! A real wholesaler buys directly from a manufacturer and will typically offer much lower prices. Watch for indications of this on their website, in online reviews or simply by speaking to them and collecting information.
Be a legal entity in your jurisdiction
Legitimate dropshipping vendors will require proof that you’re a legal, launched business before they let you open up an account with them. You may not even have access to a wholesaler’s pricing until this happens.
You might feel that email is the quickest, easiest way to communicate with a supplier, but consider the fact that dropshipping vendors receive hundreds, if not thousands, of emails daily and think again. Often, the best way to get the information you need is to pick up the phone and call. Make the most of your time and theirs with a prepared list of questions you might have.
Help them help you
Dropshipping suppliers are contacted day in and day out with questions and requests for information or favors from people without a real business or who have no intention of following through. So, if you need information or have a special request, don’t make it appear like you’re one of those people. Be armed with as much information as you can so you appear as the trustworthy business person you are. This makes their job of helping you as easy as possible all around. The more sales you make over time, the more credible you become and the more willing and available your supplier should be when it comes to accommodating you.
How to Automate Dropshipping With Simple Purchase Orders
Simple Purchase Orders is great to use when working with dropshipping suppliers. Your Shopify dropshipping order fulfillment becomes a breeze with the tool’s automated purchase orders and inventory restocking.
Put the tool to work for you by setting up dropshipping supplier records and importing their products at cost prices. From there, it’s incredibly easy to send orders to those suppliers. You simply create purchase orders for a dropshipper by generating and emailing a PDF in seconds. The tool will even conveniently split orders between suppliers for you, automatically.
The best part about dropshipping with Simple Purchase Orders is its simple automated order fulfillment. When you’re using full auto mode, the tool creates POs for your dropshipping supplier as soon as a confirmed order comes in. What does this mean for you? Easy, automated dropshipping that’s seamlessly rolled into your operations.
Simple Purchase Orders Automated Dropshipping Features
You’ll enjoy a variety of handy features for working with your dropshipping suppliers with Simple Purchase Orders. You can:
- Generate and issue a purchase order for your dropshipping supplier from an Order, Product, or Supplier record, which gets filled out automatically with products/variants/SKUs and split between suppliers, if needed.
- Import and automatically add product variant cost prices to a PO along with details of your dropshipping supplier, your shop and your customer.
- Take total control over the look and feel of your purchase order with an editable template engine.
- Customize as much as you’d like by setting dropshipping supplier cost prices, SKUs and notes or details by variant.
- Automatically send orders to dropshipping suppliers the moment you have a confirmed and paid order.
- Work with any currency worldwide, so you’ll never limit your buyer pool.
How to Create a PO Automatically With Simple Purchase Orders
Check out this quick video to see how easy it is to create a PO directly from an order with Simple Purchase Orders:
Simple Purchase Orders Makes Working With Shopify Dropshipping Suppliers a Breeze
This guide to finding the best Shopify dropshipping supplier for your business has hopefully given you a glimpse into some exciting new possibilities for your ecommerce store. Wherever the world of dropshipping takes you, whatever sparks that inspiration, keep these handy tips, tricks and tools in mind as you move forward and grow. Good luck!