Last updated on January 22nd, 2020
Dropshipping business is one of the best and easiest way to make money online in the Philippines or from any part of the world.
The reason why drop shipping business is so unique is that you can start your own personal e-commerce business and turn it into a mega and global e-commerce store without investing in any products or shipping logistics.
Right from the Philippines you can start a dropshipping business and sell to US, UK, Canada or even in the Philippines without seeing or buying the products.
The potential earnings of a dropshipping business is so rewarding that you can start with less than $100 and make over $5000 on a monthly basis.
It doesn’t matter if you have your normal 9–5 pm job, dropshipping could be an extra source of income that will make you money passively.
A common misconception most people have about dropshipping is that products usually take weeks from AliExpress. However, there are ways to handle the long shipping time with AliExpress.
Even better, is the fact that you might not even target Philippine as your customer based countries. You could target the US with a much more larger market or any other country of choice based on your market research.
Another reason why AliExpress is the perfect source for products is that they have over 200million different products that might interest you personally. And with the help of the ePacket shipping option, products now get delivered to customers even faster.
So, how do you start your own dropshipping business from Philippine?
Hopefully, at the end of this article, you should know how to get started.
What is Dropshipping and how does it Work?
Drop shipping is a business model where you sell a product to your customers but you don’t keep product inventory.
Instead, the manufacturer or the supplier of the product is the one who keeps product inventory and responsible for shipping of the products whenever a customer buys from you.
Here is how it works, there are three major players in the dropshipping business. They include:
- Manufacturer /Supplier
The supplier is the owner of the products and at the same time responsible for carrying product inventory and shipping to customers on behalf of the retailers.
The supplier is the one who bears the risks of the unsold inventory and at the same time replace defective products to unsatisfied customers.
The retailer which is you, sell the product under your own brand through your website. Your work is to market the product.
And your profit is the difference between the amounts you buy the product from your supplier and how much you sell it on your website.
Remember, you only pay your supplier when a customer pays you.
In addition, you’re also responsible for customers inquiries and complaints about the products which you’ll have to transfer to the supplier.
The customers are the people who buy the product from your website who might later revisit to buy another or contact you if an issue arises.
Why Starting a Dropshipping Business in Philippine is a Good Idea
The dropshipping business model is a good business for both experienced and inexperience online entrepreneur as it requires little or no experience to start.
Most of the processes are completely automated with the help of a tool like AliDropship.
Below are few of the reason why you should give the dropshipping business model a try. They include:
With the dropshipping business, you could either make it a career or a side hustles to make extra income. With this business model you determine how much you make because you set your own price
No Product Inventory:
You won’t have to border with warehousing your products and keeping inventory. The supplier does all that, your only work is to market the products
No Shipping of Products:
This is another good reason why it’s such a cool business. You don’t have to pay for the shipping of products to your customers. Your supplier is also in charge of that.
Get More Experience:
The best part is that, as time goes on you’ll have more experience and can later decide if you’ll like to add your own personal products and start selling.
How to Start a Dropshipping Business in Philippine in 5 Easy Steps
Since we’ve understood the basics of drop shipping business, now let’s look at the necessary steps to get started.
- Choose a Product to Sell
- Find a Reliable Supplier
- Choose a Selling platform
- Market Your Product
- Start Making Money
Step 1: Choose a Product to Sell
This step is very important as it can either make or break your business. So it’s very important you choose the right products to dropship on your website.
There are over 200 million products on AliExpress to get started with.
I’ll suggest you look into various categories on AliExpress and try to choose from products that in interest you.
It’s always better to sell a niche product on your online store. These are groups of products that are related to each other (Niche Product). This way, your customer will see you as an authority in that particular niche.
However, if you have a supplier already in Philippine that has the kind of product you want to dropship, then you might as well go with that.
But your store will be limited to Philippine but you’ll have a faster delivery time.
Over 80% of drop shippers source product from AliExpress and countless have been successful with their business making 4–5figures US dollars on a monthly business.
The reason being that AliExpress has over 70% of what you need to be successful with your dropshipping business. From product tracking to the buyer protection program.
If you have a product in mind and would like to know how profitable such product can be you can use this free Niche tool to validate it.
Or go through this list of hobbies and choose one that interests you. But make sure there’s a product around that hobby.
Other than that, you could also check the Google trend to check any product you like to dropship.
Step 2: Find a Reliable Supplier
Your supplier is more like the backbone of your business, no supplier no business. So, the quality of your supplier determines the quality of your business. For those that will be using AliExpress try as much as possible to choose a reliable supplier.
To make sure your supplier is a reliable one, always check their feedback score and positive feedback rate.
The feedback score represents the total volume of products sold by the supplier. While the positive feedback rate represents the total feedbacks receive by the seller. Always go for 95% and above positive feedback rate and at least 2000% feed scores.
Other things you should look out for is how responsive the supplier is when it comes to communication. Try and make sure they are responsive and avoid seller selling branded products.
When it comes to branded products you can’t be sure if it’s not a counterfeit product, so the best option is to always avoid it.
Step 3: Choose a Selling Platform
For you to have a professional drop shipping business you need an online store to display your products. When it comes to dropshipping, the two popular platforms to start your business is >>Shopify<< and >>AliDropship<<.
Shopify comes with a 14 days trial to test the platform after which you need to start paying $29.00/month to keep your store running.
If you have experience with WordPress already you can easily create your website through the AliDropship Plugin.
Even if you don’t have an experience or the time for creating a store by yourself. You can order for a complete custom dropshipping store.
The custom dropshipping store is a complete dropshipping site that is specially made for you from scratch and it includes product from AliExpress in it all ready for you to start selling immediately.
Here are the features of AliDropship Plugin
Auto import from AliExpress:
The plugin allows you to automatically import products in bulk from AliExpress and add it to your website.
whenever you have an order, the plugin visits the supplier on AliExpress with all the customer details. This way, you won’t have to do it all manually. You just need to click the confirm button to have the order sent to AliExpress.
Additional Money with AliExpress:
the plugin allows you to make extra additional income with AliExpress affiliate program. You can make up to 18% extra commission on every product sold through your store on AliExpress.
Auto Price & Update:
you can easily set price automatically for every product on your website, without having to set the price for each price manually.
To learn about the Plugin, read the complete Alidropship plugin review here
Step 4: Marketing Your Products
This step is also crucial, as no one is going to know about your business except you create awareness for it.
Marketing your products can be very easy if you know exactly how to do it. The platform below can give you a head start with marketing your products.
- Pinterest etc…
If you are using the AliDropship Plugin you’ll have access to free marketing tools like Abandoned Cart for sale recovery, cross-sales etc.
Another good way to market your business is having your website optimized for SEO. This way, you’ll be getting free organic traffic to your website from the search engines which can invariably boost your sales.
Another way to make your work easier is by automating your product marketing with a plugin called the Social Rabbit.
The Social rabbit plugin works with your social media accounts by generating traffic from social media. The plugin is integrated with Pinterest, Instagram, and Twitter.
Here is how it works!
The plugin post content on your behalf on any of the social accounts and also like comments posted by your followers. It also looks for related social media account and shares some of their popular post on your social account.
It auto comment, like and follow individuals by creating awareness for your online store on social media.
You just have to update the plugin and it does the hard work for you. Read the social rabbit review here
Step 5: Start Making Money
Once everything is in place you can relax and expect your traffic to increase and generate more sales.
You do need to know that you’ll have to run paid ads to your store at first for creating awareness.
You could run Facebook ads or Instagram Shoutout and as time goes on you could start getting free organic traffic from the search engines.
From Philippine, you can create a store that generates sales from various part of the world. You don’t have to handle any shipping the supplier does all that for you.
What do you think, are you ready to give a trial?
Or perhaps get started with Shopify 14days trial. You have all the options at your disposal
There’s no limit to how profitable dropshipping with AliExpress can be. The Skye is always your limit.