Is Dropshipping Dead in 2020?

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dropshipping

Despite several successful dropshipping case studies on my blog, I still occasionally get people leaving comments and sending emails, asking whether dropshipping is dead.
“If it was ever properly alive to begin with, increasing a packet rate, it literally kills dropshipping. It’s too late for this business. Most businesses fail. I will never waste my time and money trying to start a business ever again. And if you’re smart, you’ll do the same thing”.

I disagree with those comments because here’s the thing: A lot of people will say things like dropshipping became too mainstream, it’s too late or businesses in general don’t work. And the reason why the’re saying these things is because they are making several assumptions that are all wrong. And so if you are looking to start a store, it’s crucial that you understand what these assumptions are before you start Drop Shipping so that unlike these people – your store can be successful, because no, it is not too late. 

Another thing that I’d like to get right off the bat – there is no substitute for hard work. You can’t outsource product research, in particular shopify product research. This is something that you need to go through and get better step by step – it’s just like cooking – you can’t expect to get better at it, just by reading cooking books are watching cooking shows.

People won’t buy from you. They’ll just buy from Amazon instead

Why would anyone buy products for me, if they can buy products directly from Amazon themselves. It is absolutely true that if you head on over to Amazon, that you will find lots of products that can be purchased directly from AliExpress sitting on Amazon’s digital shelf as well. And of course, if customers were to purchase your products on Amazon, they would then get to take advantage of their Prime two-day shipping. 

So how on Earth could drop shippers successfully Dropship these guitar coffee spoons with two to three weeks shipping via China’s fastest shipping option ePacket, when a customer could come and buy them on Amazon with two day shipping. Amazon is only growing in Q3 2019. Their product sales were up over 17 percent from the same time in 2018. Won’t Amazon steal away all of our sales? No, they will not. As long as you know how to drive traffic to your shopify store, you’ll be fine!

You see here’s the thing. There’s some truth to these comments. Amazon is arguably the better deal for USA citizens. It is better for the consumer to purchase the products on Amazon. So, if they figure out that the product that you are selling them is indeed on Amazon for purchase –  you can bet that Amazon will take that sail away from you. 

But you know what? We literally don’t care!  The sorts of people who see a product and decide that they’re going to research the absolute best deal for it were never our customers in the first place. Nope. It’s the 44% of people that impulsively purchase products online that we are targeting and of course as shown by how Millennials are even more prone to impulsive purchases with 80% of them impulsively buying products. The overall percentage of impulse e-commerce purchases for us to target as dropshippers is only growing and growing. 

You see, successful dropshipping stores are built around that type of customer. The type of customers that enjoyed impulsively purchasing products. It also means that the successful drop shipping stores are usually built around selling products that spike emotion in a customer and makes them think: “I need to buy this right now.” It’s why this AliExpress dog collar has made hundreds of thousands of dollars:

led collar

The advertising dropshippers used is to spike fear in dog owners, pointing out how many dogs die in car accidents each year from not being seen. You can do this with Oberlo or any of the available oberlo alternatives.

That is why when recently received an email from a client asking why his store isn’t successful, I pretty much instantly knew that the store would be selling extremely boring products and I was right. 

t shirt

This is actually a print on demand store not a dropshipping store, but the exact same principle applies. Why would somebody want to buy one of these hoodies, when they can go to Amazon and find cheaper hoodies and shirts with inspirational messages on there. Here is the reality: Typing “Vision” in a plain white circle or “Do Epic Shit”  is not exciting.

 Let’s compare those hoodie to this hoodie: 

dress

What is the difference between the two? The difference is that one hoodie is very boring and the other is extremely interesting unique and unlike anything people are likely to have seen before which is why this hoodies Facebook advertising campaign made so much money for the successful AliExpress Drop Shipping Store “FreakyPete”  and of course, if you’re ever wondering this exact same answer applies to the people that asked the question why would customers not go directly to AliExpress themselves?

It’s because good AliExpress drop shippers sell products that trigger emotions and people and get them to impulsively buy their products so that they never even think to go check if a product is on AliExpress, because they see and go: “That’s so amazing, I must buy one now.” 

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