How To Create a Successful Dropshipping Store

Not sure whether you want to use Shopify, WordPress, or another platform for your dropshipping store? Uninterested in finding your own suppliers, or spending hundreds (or even thousands) on directory and supplier rights?

Choosing the right platform for your business is incredibly important, which is why it’s important that you know all of your options and how they stack up. This way you can be sure that you’re choosing the right platform.

We think that Shop1 is the most affordable, comprehensive, and beginner-friendly option on the market for dropshippers of all experience levels. But if you need convincing, keep reading to see how we stack up against the other guys.

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How Shop1 Stacks Up​​

Website Creation​

Your website plays a major role in the success of your store. To be effective, it needs to be fast, mobile-friendly, simple to navigate, and have flawless eCommerce features like checkout.

When you use an option like WordPress to build your dropshipping site, you’ll often have to integrate plugins and other additional tools to create an effective site. Plus, you’ll still have to customize it (and pay for premium features in some cases). 

how to create a dropshipping website

Shopify is simpler, but still requires a bit of work to go from a template to a functioning site with a catalog that is ready to sell.

In both cases, you will still have to research how to design an effective website because themes can only do so much for non-dropshipping platforms out-of-the-box. All and all, you can expect between 40-100 hours before you have a website when using any of the eCommerce platforms in the market.

With Shop1, you have the ability to create a popup store out of the box in just a few minutes using one of the proven templates available. Just customize your branding, import your products, and get selling – no additional plugins required. You’ll also save a ton of time on research and page design – the template options only use effective design strategies.

Suppliers in Dropshipping Store

As a dropshipping business, suppliers control your fate. Their prices, shipping speed, fee structure, and customer service dictate how you can run your company. As a result, they are the most important aspect of your business model, and likely the most time-consuming part of starting a new dropshipping business.

If you plan to open a store alone (without the help of AliExpress integration apps or Shop1), you will have to find, research, contact, and potentially pay a fee upfront to get access to their product catalog. The cost is even higher if you use a directory (though you’ll save some time), and you still need to research them and deal with each separately.

how to find dropshipping suppliers in usa

With Shopify or WooCommerce integrations, you are connecting with Chinese and other international suppliers. This leads to long shipping times that leave customers waiting. Since AliExpress is a marketplace, you’ll still have to vet suppliers for your products to ensure you aren’t sending customers poor-quality products. Plus, your customers are likely to come across AliExpress listings for products you are selling them (at wholesale prices), potentially leading to poor customer satisfaction or a feeling of being ripped off.

When you choose Shop1, you don’t have to worry about any of this. All suppliers are American, vetted, and reliable so that you can focus on your business. Orders are received and processed automatically with the suppliers, stock is updated based on purchases, and products are sent out without the need for you to send a single email. Plus, shipping continentally leads to much faster and affordable (or even free with Business memberships) shipping.

Read more about: US Based Dropship Suppliers

Fees in Dropshipping Store

Dropshipping is business model where you pocket the difference between wholesale and retail prices. So, when you add in extra fees like processing, shipping, or even access fees for suppliers, your profit margins can get even thinner.

 When using Shopify as a platform for your store, you are losing about 3% (2.4-2.9% + $.30) of EVERY sale that is made in your store. These processing fees are enforced in addition to their monthly fee (ranging from $29 to $299), with lower fee rates available for the more expensive packages. 

dropshipping profit margin

With marketing costs and shipping costs considered for each sale, this can seriously cut into profitability. It may even be the difference between making or losing money.

Shop1 charges a single monthly fee, and the cost you see is the true cost and includes all supplier, processing, and royalty fees. Free shipping is also available to Business-tier memberships, allowing you to maximize your sales and conversion as you compete with the big players in the eCommerce world.

Read more about: Dropshipping Profit Margin

Shipping in Dropshipping Store

As a consumer, how many days are you willing to wait for a product to ship? While 5-7 business days used to be standard (or even expedited), those days are over. Amazon Prime’s 2-day delivery means that delivery times (and costs) are more important than ever. To put it simply, people do not want to pay for shipping, nor do they want to wait.

Drop Shipping Store

When setting up a dropshipping store with Shopify and an AliExpress integration tool, you are gaining access to Asian suppliers. If you’re marketing to an audience primarily in the United States, that means the products are going to take longer to get to your customer than if they weren’t halfway across the world. Also, these platforms charge for shipping which either cuts into your profits, or adds another expense to your customers – one they won’t be happy to pay.

Shop1 connects you to American suppliers who will ship continentally, drastically reducing shipping times. Shipping will also be cheaper due to the shorter distance, plus you’ll receive reduced shipping rates with the Entrepreneur membership. Alternatively, you’ll get fast shipping for free if you register for a Business membership.

Returns in Dropshipping Store

Returns are a part of most businesses – even if you don’t want them to be. They can be costly and a logistical nightmare if you don’t have the right platform to handle them.

Selling products online and shipping them out means there is always a risk for something to go wrong with the sale. Products can be lost in the mail, arrive damaged, or customers may simply want to return the item. Depending on your supplier, this may leave you paying a restocking fee or taking the product yourself on top of losing out on the profit of the sale.

Top Dropshipping Products with low returns

When you use Shopify or other dropshipping Store platforms, you may need an additional app or plugin to process returns effectively. Even then, the responsibility still falls on you to ultimately process the return, costing you time and money that you could be investing in earning more sales to make up for the lost sale.

With Shop1, all returns are handled by us. You won’t ever have to see or handle the product – the platform will take care of everything for you.

Budgeting in Dropshipping Stores

Now that you have secured a supplier, it is essential to set a budget for your dropshipping business. During the initial stages of your business, you will have limited resources. Hence, having a sufficient budget allocated will allow you to plan and prioritize business functions. Although drop shipping is a low investment business, you will still require planning your expenses. Having a budget will enable you to keep track of your expenses and evaluate their business outcome.

The most important aspect of budgeting is having a plan and sticking to that. Many entrepreneurs make the mistake of burning too much cash in the early days of their business. 

Budgeting in Dropshipping

The initial days of your business will involve a lot of experimentation. All your strategies may not turn out as planned. Hence, it is vital to stick to your budget rather than overspending. Make sure that you maintain a careful record of all expenses so that you can keep track of them.

With Shop1, you need not worry much about budgeting constraints. We bring you pricing plans that are affordable and cost-effective. So, the question of how much it costs to start a dropshipping business can be answered with “as low as $40/month.” Entrepreneurs have the option to choose their preferred pricing plan based on their present funds, and they can upgrade anytime. Budgeting becomes much more comfortable when the investment in Shop1’s platform is affordable. The goal is to start small and grow from there.

we suggest you read this article : Dropshipping Budget

Marketing your Dropshipping Store

By now, (hopefully) you’ve found your niche and built your eCommerce store with your suppliers’ products. If you haven’t yet, the next crucial step is to make a marketing plan. Don’t be intimidated by this. You simply need to decide how you’re going to bring in sales. A healthy marketing plan enables you to gain a competitive edge; therefore, create your brand awareness. If you are in your business’s initial stages, you may not have a large enough budget for advertising. However, one of the best things about marketing is that it has so many avenues! You can choose your preferred route based on your budget, target audience, and marketing goals.

Here are some marketing avenues that will make your dropshipping business a success:

  • Become an Influencer (free): Do you spend time on social media apps/sites? Of course you so! We all do. Facebook, Instagram, SnapChat, TikTok, YouTube, and Pinterest are where most people spend their personal time online. Think about the number of people you like and follow. They provide you with content you can appreciate; it could be entertaining, educational, inspirational, or maybe a combination of these. Why can’t you be one of those people? Provide value through Social Media and then encourage them to visit your website. Maybe you can feature a cool dog bed or a decorative item that you sell on your website. It costs nothing and it has more potential than you might think.
  • Influencer Marketing (risk-free): Social media has created a massive market for influencers today. Social media influencers have a stronghold on their followers and influence their purchase decisions. Their creatively engaging contents help to promote the brands ingeniously. However, there’s always a chance of less or no conversions. You pay them an affiliate commission instead. Affiliate commissions enable you to pay the influencers on each sale they make. It reduces your risk and gives them more motivation to convert sales. It’s a win-win on both ends.
  • Facebook Advertising: Facebook ads are a great way to promote your dropshipping store to Facebook users. It is flexible as you can set your budget, schedule, target audience, and much more. However, initially, set a low spending budget for your ads. It is because you are still in the trial and experimentation phase. There’s a lot to learn from the analytical results of your Facebook ad campaigns. You can always make changes in your future ad campaigns based on the performance of your present one. Your paid ad budget, regardless of what marketing channel you utilize, should be an amount you can afford to lose. The goal is to not lose the money, but also have to realistic and consider your level of experience when deciding on this.
  • Instagram Ads: To create Instagram ads, the first thing that you will need to do is creating a business account for your business. Once you make some engaging content and a decent number of followers, you can begin with Instagram ads. On Instagram, you have numerous options to promote your business. Some of them are photo ads, story ads, video ads, carousel ads, collection ads, and explore section ads. You can start with $5 per day and go from there. Once you start making sales from an ad, you can easily increase your budget!

Other marketing avenues for dropshipping businesses in 2021 are Google ads, email marketing, retargeting ads and display ads, etc. You can opt for them once you have a higher budget for marketing.

Competitor Analysis in Dropshipping Stores

Now that you are in the dropshipping business, you know how competitive this space is. With so many dropshipping companies selling similar products, it isn’t easy to mark your territory. 

Here’s where competitor analysis comes into the picture. Competitor analysis helps you in keeping track of and analyzing the performance of your competitors. 

Based on your research, you can understand where your competitor is lagging and thus take action accordingly.

  • You can find your competitors online by simply searching for the products you sell. For example, if you sell handmade soaps, you can go onto Google and type handmade soaps. You will get several results displaying similar websites selling handmade soaps.
  • You can also go to the websites like SimilarWeb for a more targeted competitor search. These websites give you a detailed summary of the web site’s information, ranking, online traffic, engagement, social traffic, advertising, etc.
  • Tracking your competitor’s social media activity will also give you many insights into your competitor’s marketing strategies. Track how many followers they have, their content, engagement activities, influencer tie-ups, etc. It will help you understand how you can be more innovative in your approach to social media marketing.

Competitor analysis helps you in different aspects where you can gain a competitive edge. You will be able to customize and personalize your content based on your target audience’s liking.

Analyze in Dropshipping Stores

So, by now, you have your dropshipping store up and running, and you have already invested in marketing, you need to track your business’s data and metrics. It includes monitoring your ad campaigns’ performance, website traffic, impressions, checkouts, and cart abandonment, et al. to focus. If your website faces a significant amount of cart abandonment, track the path, and analyze whether there’s something you can do about it. Many times, websites’ bugs, complicated interface, taking time to load, etc. are causes for website abandonment. Keeping track of happy customers and reviewing customer feedback prove helpful insights for improvement. 

Analyzing your ad campaigns’ performance helps you understand what is working for your business and what isn’t. You can allocate a larger part of your marketing budget to avenues that generate more revenue for your business. As you grow and scale your business, you can increase your spending on analytical tools to optimize your business.

Shop1 provides you with aspects such as sales reports, abandoned cart recovery, live training, etc. to help you analyze your dropshipping business. The insights will help you in formulating your future strategies to grow your business.

Optimization in Dropshipping

Upon analysis, you will get many valuable insights related to the performance of your website and business. The next step is to optimize your website with the help of the findings of your analytics. Website optimization is the process of using advanced tools and strategies to improve the performance of your website.

Optimizing your website helps in boosting more traffic, conversions, and engagement on your website. Search Engine Optimization (SEO) is one of the well-known aspects of website optimization. SEO helps your website rank higher in the SERP (Search Engine Results Page). 

Optimization Dropshipping​

It also increases your website’s visibility in front of your targeted audiences. Some useful ways of optimizing your website are image tags, meta tags, meta descriptions, and keywords.

If SEO is a new term for you, you need not worry about it. Many digital marketing blogs will come to your rescue. However, using relevant keywords in the content of your website and ad campaigns is an excellent start to optimization. There are many online tools like Google Analytics, that will help you in optimizing your business. You can also outsource someone for marketing or optimization.

Shop1 provides your dropshipping store with pre-designed logos, banners, websites, etc. that will help you optimize your website. It also allows you with product descriptions and takes care of a portion of your website’s content. It helps you in designing more creative content for your store.


Building successful dropshipping stores is easy when you have the perfect platform with the relevant tools to help you. That’s why you need a dropshipping platform that becomes your one-stop solution to all your dropshipping needs. Do a cost-benefit analysis of Shopify apps, Shopify stores, or any other popular business platforms. Calculate how much you would have to pay if you outsourced all these functions or had to do it by yourself. A successful dropshipping store is about how effectively you can manage your resources. Ensure you make the most of your resources while building your online store.

With Shop1, online businesses can create websites, American access suppliers, automate inventory, process payments, provide customer service, and so much more. The entire process of setting up your dropshipping store becomes easy. Shop1 brings convenience by equipping you with all the tools you need to set up a successful dropshipping store.

Get Started the Right Way with Shop1​

You have a lot of options when deciding on the platform for your new dropshipping store. You need something that can meet all your needs, but also want to keep the startup cost and time investment low.

Shop1 offers you the best of both worlds, providing exceptional value, beginner-friendliness, and all the tools you need to be an effective business.

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