How to find products to sell online and dropship? Dropshipping products

A good dropshipping strategy starts with selecting right products to sell online and dropship. Finding the right products to sell online is the key to successfully running a dropshipping business.  Unless you get it right in terms of the dropshipping products and suppliers, it does not matter how good you are at other aspects of dropshipping business. Much of your drop shipping business success depends on having good products to sell and great suppliers to supply them.

Deciding what products to sell online and dropship is one of the most important steps in setting up your dropshipping business. Actually, selecting your dropshipping products is the first thing you need do when you start dropshipping business.

An important thing to note here is that though selecting dropshipping products is critical, you must be careful not to get paranoid about it. If you spend ages of time searching for the perfect dropshipping product, you may get frustrated and may never really start dropshipping business. So you need quick and easy way of finding the best dropshipping products. SaleHoo is the answer.

Please visit SaleHoo official website to check out some of the best dropshipping products and suppliers. SaleHoo offers a comprehensive directory of dropshipping suppliers and products. We have written an honest SaleHoo review on our website to help you understand SaleHoo.

It may help if you put together some high level ideas about what your ideal dropshipping product would be like and try to find products that tick off as many boxes as possible. You however need to pay attention to few things while finding products to sell online and dropship.

How to find products to sell online and dropship?

Let us see what you need to look for while selecting products to sell online and dropship.

Prices and costs

Reasonable retail price and wholesale price

Let us see why retail price and wholesale price are important and what you need to consider.

The retail price and wholesale price of your dropshipping product directly contribute to your profits. So you need to select products that have reasonable retail price and wholesale price. Basically you need to compare retail price and wholesale price vs. projected sales and returns, and accept a reasonable trade off.

A low retail price means many people may readily buy your products. As a result, your sales volumes can sky rocket quickly. With large number of sales, you can get more customer feedback and plenty of online  reviews. In online dropshipping business, having as many reviews as possible is a good thing. More reviews means, you will rank high and make more sales.

However, low retail price also means your profit margins will be very low.

On the other hand, if you select products with high retail price, you may find it difficult when someone returns the products. You may end up paying huge sums as refunds and this can bite into your revenues and profits. But a high retail price means your profit margin can be very decent. You however need to put in more effort into sales and have good customer service in place.

So when selecting your dropshipping products, you need to consider retail price and wholesale price and make sure you have a healthy profit margin and achievable sales targets. A healthy profit margin is one of the main reasons why dropshipping business is lucrative.

Shipping costs

Whether it is you that ships the products or your dropshipping supplier, you need to factor in shipping costs. Taking shipping costs into consideration is important as the shipping logistics and charges can bite into your expenses. If your expenses rise, your profits may decline. You may find it difficult to run your dropshipping business when profits decline.

In most cases, shipping charges depend on the size and weight of the parcel. So as far as possible, try to go for light weight and small size products for your dropshipping business. Smaller and lighter products mean lower shipping costs and higher profit margins.

Product features

Fragile or perishable products

Another point you need to pay attention is regarding fragile or perishable products. Such special products may need special and more expensive packaging and special delivery logistics. This may add to your shipping expenses. So to run a dropshipping business easily, you are better off going for simple and easy to ship products.

Subscription products

Selecting products that your buyers would buy again and again means you will have repeat sales guaranteed. If you can find products that are disposable or renewable, you can offer subscription to your buyers and ship the products to them regularly.

So selecting disposable or renewable products that your buyers can subscribe for is a great way to run a dropshipping business. You can even offer discounts to your buyers to encourage them to subscribe for longer periods.

Products with accessories

If you select products that require accessories, you can increase your average sale size. Examples include phones with headsets, cases, screen protectors etc. Once your buyers arrive on your sales page to buy the main product, you can upsell its accessories. You can offer discounts when your buyers buy your products along with accessories as a combo sale. You need to have as many accessories as you can on your product list. Having more accessories to sell means you can upsell more to your buyers and increase your average order size even more.

Complex but essential products

There are certain products out there that are essential to improve someone’s life but complicated to install or use. If you can find such a complicated or confusing product, you can sell helpful guides and videos along with the product.

Having such helpful guides and videos custom made for such products is a great way to run a dropshipping business. It can offer you the advantage of quoting a decent price and effectively increase your order size. Offering better and clear support and  help guides can help beat your competition too.

Thus, if your products are difficult to install, you can offer step-by-step installation guides and leverage the benefit of higher price.

Products with longer continuity

To sell products online by dropship marketing,  you may need to spend money and time in developing a website with great product images and product descriptions. If your products go out of market once a year or so, you may end up re-doing all images, descriptions and website all over again for new products. That might be expensive.

So when you select your products to sell online and dropship, you need to go for products that you are confident of being in demand for few years. You need to avoid products that are likely to be discontinued soon. This will help you lower your costs and times involved in product research, website design, marketing etc.

Branded and designer products

Normally, branded and designer products are strictly controlled by big corporations. As a result it is hard to find dropshipping suppliers that can offer branded and designer products to sell online and dropship. Moreover branded and designer products offer a very narrow profit margin because there are many retailers out there competing to sell them.

So, please do not be mislead by the idea that selling branded or designer products online is a good idea. No it is not easy to make good profits by selling branded or designer products online by dropship marketing. Stay clear of them.

Products that are too popular online

Some first time dropshippers tend to try and copy what many others are doing online. They may look at other websites and find few products that many other dropshippers are selling online. Assuming that such popular products offer great dropshipping business is not very wise. You need to stay clear of products that everyone else is selling because if you choose such products, they all would be your competitors.

Looking for products that have smaller competition makes your dropshipping business easy to succeed. You will find many such great dropship products on SaleHoo.

Products that solve people’s problems

Unfortunately people have problems. Some people have such problems that they are desperate for anything that can help solve their problems. If you can find a product that solves a particular problem for someone, you can be very successful in dropshipping business.

Product Quality and supplier reliability

Focus on quality

As for any other marketing business, having only high quality products on your website is very important. Poor quality products can turn off buyers easily. If you sell products that are poor in quality, you may damage your reputation. Bad reputation means poor brand value and low sales. This is not how you run a dropshipping business.

So you need to focus on quality of products while selecting dropshipping products and later too. SaleHoo offers you a wide range of high quality dropshipping products to choose from.

Reliable suppliers

You need to make sure your dropshipping suppliers are reliable. Dropshipping suppliers need to use only high quality ingredients to manufacture your dropshipping products. They also need to have a reliable shipping process and logistics in place. Unless your dropshipping suppliers can consistently, reliably and safely deliver your products to your buyers every time, it will be difficult to survive in the dropshipping business.

Please visit SaleHoo official website to access world’s most comprehensive directory of genuine and reliable dropship suppliers.

Market research

Before you finalise your niche and products to sell online and dropship, you need to research your target market thoroughly. You need to be sure there is enough demand for your products in the market. You also need to get an idea of the level and nature of competition you may face.

As part of your market research, you can use any of the online free tools available on internet to understand the demand for your products and research the market for your products. Some popular free tools that you may find helpful in market research are Google keyword planner and analysis of Amazon and eBay etc.

Google keyword planner

The best free tool that can be very helpful in researching the demand for your products in market is the Google keyword planner. One way to do this is to enter your product title in Google keyword planner and get the results.

The tool will display various keywords that people use to search for products like yours. The tool also displays historical search volumes related to your products. These  numbers give you an idea of how many times people have been searching for products like yours. Google keyword planner also displays data showing the level of competition you may face from other advertisers.

Another helpful information you can get from Google keyword planner is the advertisement costs. So you can use Google keyword planner to understand the demand for your product in the market, competition and advertisement costs. You may also find new keyword ideas by Google keyword planner very helpful in SEO, SEM and blog marketing etc.

Ideally you would want to go for products that show at least few thousands of searches every month. High competition and high advertising fee mean your advertising expenses could be high. But this should not turn you off as sometimes high competition means the product can be lucrative to sell.

Google trends

Once you narrow down your product research to some extent you now need to find out if your products are going to be in good demand all year round. To do this, you need to enter your product detail onto Google trends.

Google trends shows you search volumes for a selected keyword or product plotted against time. From this, you can figure out how the demand for your products varies over the year.

It is safer to go for products that sell reasonably well throughout the year. Some products sell very well in a season but no body really cares about them for the rest of the year. If you choose such seasonal products, you may struggle to make any sales for most part of the year.

Amazon

Once you have a dropshipping product in mind, you want to check for how similar products rank on Amazon best sellers list.

If products similar to yours rank well on the Amazon best sellers list, it means there is good demand for such products. When there is good demand, you can make easier and higher sales.

Another thing to look for on Amazon is the reviews.

Amazon reviews

One clever way to select your dropshipping products is by looking at Amazon product reviews. When you see a product with few poor reviews and lower customer rating, that’s a good sign for you.

The fact that there are some reviews means, people have been searching for such products and some have been buying them. If such reviews are negative, this means buyers are not getting what they want. That becomes your opportunity. Pick up that product line, collect all the negative reviews and get a dropshipping manufacturer to make a similar product that also addresses all the negative reviews you discovered on Amazon. As you enter the market with a product that addresses buyers concerns, you have great chance of making high sales by dropshipping.

Some products on Amazon have hundreds or thousands of great reviews. Too many great reviews for a seller or product is something you need to watch out for.

If someone selling products similar to yours has too many great reviews on Amazon, that’s not a good sign for you. You need to stay away from such products. the reason is simple. When you start your dropshipping business, you start with no reviews on your product page. Having no reviews behind you or your product, you face serious competition from these sellers on amazon who already have lots of great reviews. Thus, you may find it very difficult to make many sales.

So, look for products that have very few good reviews on Amazon. If an Amazon seller or product has poor reviews, that’s an opportunity for you. You can sell similar products but with better quality and service. This will help you get off the ground quickly because other sellers have negative reviews and you are new on the market. People will prefer you to someone that has already failed.

eBay

eBay is another popular online marketplace that you can refer to during your market research for finding products to sell online and dropship.

You may use an eBay tool called ‘Watch count’ that provides with sales volumes of any product on eBay. Once you have some ideas for products to sell online and dropship, you may go to “Watch count” and enter the product detail to reveal the sales volumes. If products similar to yours are selling well on eBay, it’s good news for you. You too can sell your dropship products on eBay.

Compare Amazon and eBay

Another important piece of information you need to pay attention while you research market on Amazon and eBay is to compare sales volumes across eBay and Amazon. Some products sell very well on Amazon and not so well on eBay. Other products may sell better on eBay but not so good on Amazon. If you know where you are more likely to have higher sales, you can plan your marketing better.

Know your target market

Demographics

When you are trying to sell products online by dropship marketing, it is important to have a clear idea about the demographics of your target market.

For example, there are typical shopping habits and patterns that men and women have. So you need to decide whether you want to target men or women to sell products online. Your marketing strategy can be different for men and women.

Similarly age of your target population plays an important role in the way you sell. People’s spending habits can vary with age and you need to take this into consideration in your dropshipping marketing strategy.

Other demographics like profession, education, income, family size, marital status, location etc. too play a role in dropship marketing strategy. It is a really good practice to create a customer avatar as part of  dropshipping marketing strategy. Having a clear idea about your target population’s demographics will help you target your buyers on social media, paid advertisement, SEM etc. too.

Selling to businesses or the government agencies

If you can find a product that you can sell to other businesses, you have high chances of making it big in dropshipping business. Selling to other businesses is great because businesses generally order in bulk and repeat orders periodically. This gives you high sales and revenues. Finding products that you can sell to government agencies is great too. Governemnt agencies also order products in bulk and repeat their orders.

Target people with expensive hobbies

There are many people out there who have lots of money and would love to spend most of it on their hobbies. So if you can find the perfect hobby product to sell, you may find yourself very appealing to rich people with expensive hobbies.

Common pitfalls to avoid

Think before mixing passion with business

Most first time dropshippers tend to select products to sell online based on their passions. This may not always be a good idea. If your passion lies in an area that offers great products suitable for dropshipping and you find good dropshipping suppliers, it may be great. But if your area of passion turns out to be dull on the dropshipping scene, you may risk ruining your dropshipping business prospects.

So you need to be careful not to be blinded by your passion in making dropshipping business decisions. Whatever dropshipping niche you choose, you need check against the criteria listed in this article to study whether that niche is suitable for dropshipping.

Do not be paranoid to find the perfect product

At the same time, please note that your niche or dropshipping products need not fit every single criterion listed here. the moment you feel a niche or dropshipping product is good enough, you need to go ahead and start your dropshipping business.

If you get paranoid about a product’s suitability for dropshipping business, you may never find a product that you can sell because it does not exist. It is better to start dropshipping business with a good enough product to sell online by dropship marketing than getting frustrated with your never ending quest for the perfect product which does not even exist.

You will find a wide range of highly marketable good quality dropship products on SaleHoo. All dropshipping suppliers listed on SaleHoo are completely genuine and vetted. You can choose any supplier listed on SaleHoo without any fear of poor quality or service. To learn more about SaleHoo, please visit SaleHoo official website or our review on SaleHoo.

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