China Dropshipping:
How to be a
Successful Dropshipping Company

Advisory: Since the COVID19 breakout started last December in Wuhan, China deliveries are getting delayed. Although some countries have opened their country’s economy, there are strict guidelines in some other countries about parcels, especially coming from China. It is still best practice to know the current situation in the target country before accepting orders to avoid inconvenience on both parties.

 

Dropshipping is one of the most profitable types of online business, and also the least capital among them all. Some even started this business without shelling out any penny – at all! But how does this business goes? What should every aspiring drop-shippers know before launching their store? There are a lot of rumors that it’s about to die soon, how true is this? And lastly, how can you spot a supplier who can ship your products fast to your customers? Here are some of the questions that we will be answering later, but first, what does drop shipping is?

 

Dropshipping: What is it and How Does it Work?

 

Dropshipping is an eCommerce model that does not require stocks to be physically available to the seller; the supplier or the manufacturer is the one who stores the products and handles the fulfillment on behalf of the drop shipper.

 

One of the reasons why most of the small business owners preferred drop shipping is because low start-up costs to sometimes – none at all. Furthermore, it does not require you to pay hefty fees, unlike the traditional retail business.

 

Dropshippers also do not need to worry about warehouse rental, shipping costs, and other fees because the products directly shipped to their customers. All they need to do is to market the product on their preferred platform and place the order of their customers to their supplier; then, the supplier will arrange everything from picking to shipping the item to your customer – that easy.

 

Are you already convinced to start this venture? If yes, then here are some information that you need to know first before committing yourself to dropshipping business.

 

Is Dropshipping A Profitable Business in 2020?

 

Just like any other business, there is no assurance whether it will make or break your pocket. But for some reference, here is what we have found.

 

Ever since the COVID19 breakout in Wuhan, China, people panicked. As lockdown implemented in different countries, people’s lifestyles changed since then. More and more people stayed home; thus, their online activity also increased. People preferred to get their goods online rather than going to a physical store where they might catch the virus unknowingly. However, is this the right time to start dropshipping?

 

How Much Can You Earn in Dropshipping?

 

As aforementioned, there is no constant answer to the question of how much you could earn from this model. It all depends on your effort as well as your relationship with your customers.

 

Know that in drop shipping, there are people who made it, and there are those who didn’t. It takes effort, the right platform, and the best supplier to keep you in the business.

 

There are a lot of people who swear online that they earned six digits monthly consistently through dropshipping, we are not saying that this is not true, but note that there is no average fixed monthly income you can earn through dropshipping; this is not a quick-rich scheme, remember that!

 

China Dropshipping During Pandemic

 

Since the news broke out about this pandemic, most people decided not to purchase anything from China due to the fear of getting contaminated products. Some customers are even keen to ask where the items originated; however, the World Health Organization (WHO) already gave an advisory that despite the ongoing pandemic, it is still safe to get products from China. The virus cannot survive long on surfaces or other objects. Proper disinfection is highly advisable to prevent the spread of the virus.

 

Surprisingly, on the other hand, some merchants still purchase their products from China despite the scare. We all know that China is the haven for most merchants because the products are cheaper than in any other country.

 

Top China Dropshipping Websites

 

Now that you are convinced about the dropshipping, here are some top China dropshipping websites to outsource your products.

 

Aliexpress

Aliexpress is the well-known retail dropshipping website in China and is the counterpart of Alibaba, that focuses on wholesale.

Aliexpress offers over 100 million product listings that include clothing and accessories, cellphones, laptops, consumer electronics, jewelry, home and garden, luggage and bags, maternity and baby essentials, health and beauty, sports and hobby, and a lot more.

Alliexpress accepts major credit cards as their payment methods such as VISA and Mastercard; however, Paypal payment is not available although they have buyer protection.

 

DHGate

DHGate is almost the same as AliExpress; they also connect small-to-medium business owners in China to buyers all over the world.

With over 30 million listings about apparel and accessories computers and networking, consumer and electronics, toys and hobbies, health and beauty, jewelry, home, auto, and a lot more that everyone will surely find a product they can sell from this platform.

DHGate accepts VISA, Mastercard, and American Express; however, just like AliExpress, the Paypal payment method is not available on this platform.

 

TOMTOP

Tomtop is a wholesaler site that also offers dropshipping focusing on gadgets and other electronic products.

Although Tomtop focuses on gadgets, they have more than 1 million listings a drop shipper can choose.

For Paypal users, Tomtop is one of the E-commerce sites in China that accepts Paypal payment, as well as other payment methods plus, they also have buyer’s protection.

 

Deal eXtreme

Just like in Tomtop, DealeXtreme focuses on gadgets and electronics as well. One thing they can proud of is everyone can call their US number regarding their concerns.

Although DealeXtreme focuses on gadgets and electronics, they have over 300,000 massive listings on their site open for drop shippers.

Another E-commerce site from China that accepts Paypal payment is this DealeXtreme, and there also other payment methods available like VISA, Mastercard, and American Express.

 

Light In The Box

If you are looking for an E-commerce website that accepts dropshipping of apparel, accessories, gadgets, home, and garden – this is the best place you can get products to sell. Furthermore, it also offers custom dresses for special occasions.

This retail company publicly traded in the New York Stocks Exchange (LITB), which means aside from their address in China, they also have a legal address in the USA in case of a dispute.

LITB accepts Paypal payments as well as other modes of payment, such as VISA, Mastercard, and American Express, to name a few.

 

How To Ship Products from China Dropshipping Ecommerce Sites

 

First of all, you need to check with your supplier whether they can ship out the items immediately to calculate the time that your customers will get the orders. Also, you can ask the supplier if they have recent experience in shipping the items to your customer’s area for you to have an idea about the issues they have encountered shipping on that location.

As a drop shipper, you also need to research on the current regulations of where your customer is. Know that with the current situation, there are delays with the shipment everywhere. However, it can somehow cut the delay time by doing the following:

Find a supplier that has a warehouse near your customer’s location. Since the supplier will do the fulfillment, and if they have a warehouse within the vicinity, it will not take long to ship the item directly to the customer.
If there is no available supplier with a warehouse within your target area, put a disclaimer on your shop about the shipping delay. Be upfront with your customers.
Choose a supplier with an express shipping option.

Dropshipping all boils down to how fast your customers will get their item, and the quality of the product you are selling. As a practice, you have to ensure that your target supplier has a good reputation, not just with the shipping but also with the product that they are selling.

To gain the trust of your customers, and to build a relationship with them, give them the best service as possible and be transparent with the issues that may affect their goods.

Logistics is one of the most underrated parts of the retail business; but, it is vital because any delays or issues about the shipments will reflect you as a business owner. So it’s better to choose the best logistics service for your business.

 

Here in Zhenhub, we make sure to be transparent to both parties, on the current situation of the shipment; through this, we would be able to help your business grow and get the trust of your customers.