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Drop shipping Stores Fail | Reasons - The Lessons Guy

In the dropshipping model, you get to choose the price of your products, and you donu2019t need to maintain the stock of your products. The supplier will handle stocking and shipping. Your role is to act as the bridge between the customer and the supplier. <br><br>The best part is you get to keep the difference between what the customer pays and the amount you need to pay the supplier. Sounds nice, right? That leads to the next question

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Drop shipping Stores Fail | Reasons - The Lessons Guy

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  1. @ThelessonsGuy 6 Reasons why 90% of dropshipping stores A guide by Arjun & Arya

  2. Three years ago, I saw an ad about dropshipping by a charismatic YouTuber. He was legit and was giving out everything for free. Anyways I am not here to promote him, but I too joined the dropshipping bandwagon because of him. What is Dropshipping? In the dropshipping model, you get to choose the price of your products, and you don’t need to maintain the stock of your products. The supplier will handle stocking and shipping. Your role is to act as the bridge between the customer and the supplier. The best part is you get to keep the difference between what the customer pays and the amount you need to pay the supplier. Sounds nice, right? That leads to the next question

  3. Why are the suppliers not doing this? That is an excellent question, and the answer to it is very simple. Marketing is extremely difficult, and if you are not successful, there is a high possibility of losing money. In modern business, everyone is focusing on a specific part of the supply chain to gain specialty. So from the supplier’s perspective, it is better to split the profit with someone good at marketing and to make more sales than trying to figure something they don’t understand.

  4. Why 90 percentage of dropshippers fail? Perhaps these dropshipping gurus genuinely wanted to share their success with everyone, but their audience sees only the money-making prospects. Most of these audiences jump on without considering the skills needed to be successful and so they fail miserably. Consider this, just because you know English it doesn’t mean you are good at public speaking. Just because you are speaking on the stage, it doesn’t mean you can influence people. The best example of all, Just because you watched a surgery on YouTube, it doesn’t mean you are a doctor. Dropshipping doesn’t need as much training and practice as a doctor, but you can’t understate the need for learning.

  5. 1) Skills needed for dropshipping Customer Service Skills Customer service is the most important skill needed for dropshipping. The way you handle customer query will shape the future of your business Human behavioral psychology You need to understand the weaknesses of human behavior that you can use to your advantage. This skill will help design your store and to create ads that convert.

  6. Researching Skills You need it to set up your store with the right theme and tools Find the right guide when something is wrong with your store You need to find the right product to sell Find the right supplier Communication Skills You will need to talk with the supplier If you are scaling, you might need to negotiate with the order fulfillment company so that you can keep your products nearer to your customers. When your ad account, Paypal account, AliExpress account, etc. gets blocked, you will need to be able to handle it properly Communicate with influencers to promote your products

  7. Accounting Skills There are a lot of numbers thrown at you from every direction. Affiliate income, currency conversion charges, taxes, ad cost, supplier cost, shipping cost, etc. If you don’t have proper accounting skills, you will not even know if the ship is sinking. Time Management Skills The Dropshipping model allows us to work from anywhere in the world, but you need to work. We all have only 24 hours a day. Properly allocate your time for all your dropshipping tasks. You should also be able to perform them consistently without getting burned out

  8. Written skills You will need excellent writing skills to create captivating yet informative descriptions for all your products. If you are looking for organic traffic, you might need to write blog posts. You need to write your privacy policy, terms & conditions, shipping policy, refund policy, etc. SEO Again if you are looking for organic traffic which most of us want, you will need to understand how the searches are optimized in the platform of your choosing.

  9. Legal You need to have a basic understanding of the legal aspects of your target countries like GDPR, privacy laws, intellectual property law, minor law and so on Video Editing If you are creating video ads for Facebook, you will need to get royalty-free music, quality images, and videos. Then you will need to learn to use a video editing software Running Ads You will need to know a lot of strategies to run your ads like how to run a CBO campaign on Facebook or to select the right ad word for Google

  10. Concluding on the Skill requirements Sure, you can outsource these tasks, but it is going to eat away your profit. Besides, it is always better to have hands-on experience before trying to delegate and scale. 2) No strategy or plans You need to have a proper plan for your store. Is it going to be a general or a niche store? Who is your target audience? You will need to be able to strategize the present and future route for your business without which you are sure to fail.

  11. 3) Determination & Perseverance You will need to have a strong determination to learn a lot of new things. You will stumble and fall a lot of times, but you will need to persevere 4) Lack of proper funding When people see the growth potential of dropshipping, they quit their job and invest their time and money into their newfound business. Hold on!!! You should not be quitting your primary job just yet. Learning dropshipping is not going to happen overnight, and you are going to lose a lot of money experimenting. The last thing you will need to do is to exhaust your funding

  12. 5) Keep yourself updated with the Trends and Culture If you are targeting a different country than yours, you will need to know their culture, their festivals, popular trends, etc. For example, you cannot sell trendy but somewhat revealing clothing to people in a conservative country. 6) Consistency You will need to be consistent with processing orders, addressing customer queries, and so on. The customer doesn’t care if your cat is missing or if you are sick, so you need to be consistent 365 days a year.

  13. The lucky 10% of the successful dropshippers are not there just by pure luck. They might have lost money and failed quite a bit, but from those mistakes, they would have horned their skill and evolved their business as they are today. Even if it sounds good, the reality is that dropshipping is not for everyone. Sure it has enormous earning potential, but if you are to succeed, you will need to learn continuously and evolve. Thank You!! Related stories from @The Lessons Guy How to improve work life balance Passive Income Ideas for 2020 How to deal with difficult people at work Understanding Savings Account

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