Our ultimate guide to the dropshipping market in 2021

Published on:
November 25, 2021
- Author:
Elysa
- Reading time: 4min
Our ultimate guide to the dropshipping market in 2021

Dropshipping is a business that more and more people are becoming interested in. It can generate great sources of income. To do this, you will need to be patient, use the right tools and apply a good strategy. You will need to know as much information as possible about this field in order to make the right decisions.

The dropshipping market: the advantages of this business

With dropshipping, the dropshipper does not have to worry about stocks. They only have to worry about finding suppliers and offering products to customers. To attract interest, put the winning products on your site. Use a tool like Minea to find them.

The first advantage of this business is that it does not involve stock management. The e-merchant does not have to worry about logistics costs. You can save on charges. As you don't have to worry about stocks, there is no risk of unsold goods. You will still have a large and varied catalogue at your disposal. As far as working capital is concerned, it will always remain positive. According to the figures, dropshipping is 50% more profitable than businesses working with stock. 

With dropshipping, you can spend your time finding customers and selling your products to them. The Internet is the best platform for selling. It allows you to get in touch with different targets. However, to stand out in the business, you need to have a lot of expertise: natural referencing, paid referencing, social networks, etc. 

The dropshipping market: how to get started in this business?

Before you can engage in this type of activity and enjoy income, there are a number of steps to follow. 

  • Starting a business 

Before you start dropshipping, you will have to declare your activity. In this way, you will be in compliance with the law. As your activity will generate a turnover, you are obliged to create a company. At the beginning of your activity, you can be satisfied with the title of auto-entrepreneur.  

  • Searching for a product and supplier niche 

Choosing which products to offer on the dropshipping market is often complex. Before selecting a niche product, make sure it meets the following criteria, it must :

  • Be easy to transport: if the product is too big or too heavy, you will be faced with high logistics costs. Avoid fragile objects. They may be damaged during transport, which may cause you inconvenience. 
  • Have a good price: the initial price of the product should be low enough for you to make a good margin. The price should not be too high. This will allow Internet users to make a compulsive purchase. 
  • Be useful to the buyer: the product must be useful and functional.
  • Corresponding to enthusiasts;
  • Value for money: if you were in the buyer's shoes, would you buy the product?

Once you have found the winning products you want to market, you will need to choose a good supplier. The choice of a wholesaler depends on the niche you want to enter. If you are selling the same products as other dropshippers, you will have to find a way to stand out. 

  • Opening an online shop

If you are not planning to sell your products on marketplaces, you will need to create a showcase site. Your shop should showcase the items you sell. People will need to access information about your products. Make sure that your site lists the essential details of your items, no matter how small. This will help you increase your conversion rate.

Why do a dropshipping market analysis?

Through dropshipping market research, you will have access to the necessary information about potential customers and their needs. It will also give you the opportunity to learn more about the demand for a product. It may be that after analysing a market, you notice that there is not enough demand. In this case, you will have to look at another market.

By doing more research, you will know the real reasons why your prospects are buying in certain niches. In this context, your marketing strategy will be mainly focused on the needs of your real customers. You will need to adapt your product sheets, online advertising, emailing, etc. 

When you launch an advertisement, you will need to target audiences. By referring to the market research, you can identify your personas. You will have access to various crucial information relating to the development of your dropshipping online shop. This will be the time to see the age groups interested in your product, their budget, their job, etc. 

  • Primary market research 

This is a direct study of the niche. Various actions will have to be taken in order to collect the essential data. You can use a survey, questionnaires, opinions, forums, etc. The studies will make it possible to highlight and analyse the key figures. 

  • Secondary market research

With this study, you will have to rely on existing studies and analyses to get an idea of the market. On the web, you will have access to various data and information already collected. You can also refer to consumer trends. This research will help you to be better informed about your sector of activity. 

This alternative is the most suitable when it comes to dropshipping. However, you must be careful about the data you analyse. Only rely on reliable and concrete studies. Refer to platforms that are known for publishing quality content. 

The dropshipping market in figures: what you need to know about e-commerce statistics

In France, in the course of 2016, the turnover of e-commerce reached the threshold of 72 billion euros. Compared to 2015, this offers a growth rate of 15%. 16% of this turnover comes from mobile purchases.

Since 2015, the number of online shoppers has increased significantly. In the year 2020, for example, 41.6 million French people choose to shop online. This is an increase of 1.5 million compared to 2019. 17.1 million of these purchases were made via mobile.

What are the market trends in 2021 in e-commerce dropshipping?

The evolution of the dropshipping market depends on the trend. During the year 2021, ecological tools have gained popularity. At present, Internet users are trying to reason their consumption in order to preserve the planet. Among the most successful products, you will find for example ecological reusable straws, solar batteries, etc. Products related to new technologies are increasingly popular. Examples include Wi-Fi surveillance cameras, connected watches, Bluetooth wireless headphones, etc.

Conclusion

Dropshipping is one of the ways to make money in 2021. To succeed in this business, it is important to do a market study and find a winning product. To access a winning product, refer to Minea.

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Discover Minea the platform to find winning products

E-commerce is changing. Find winning products from all traffic sources and launch them in unsaturated markets and channels.
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