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I run an ecommerce store from Shopify which fulfills the orders by drop-shipping through AliExpress. This is definitely doable for one person, and it isn't tec

by adpoe 10y ago

I run an ecommerce store from Shopify which fulfills the orders by drop-shipping through AliExpress. This is definitely doable for one person, and it isn't technically challenging for a software developer--but the hardest part (at least for me) is marketing, creating content, advertising, and so on. Actually running a Shopify store and fulfilling by drop-shipping is simple. I would definitely recommend that as a good place to start, one person can do it.

pryelluw 10y ago
Im exploring similar options. Mind if we email? Please check my profile. :)
- adpoe 10y ago
  Emailed =)
  - pryelluw 10y ago
    Replied. Thank you.
xcubic 10y ago
How do you pick the products to sell? Can you share the store you're working on?
- adpoe 10y ago
  There are a few good ways, but it really helps if you know the products well. For me, my site sells guitar parts and DIY kits. And I've been playing guitar since I was about 10 years old, so that helps a ton. I had a few other stores before this that didn't sell well at all, and I have to say that's because I just didn't know the products, or what the end users really wanted/needed/cared about. Great ways to pick products: - Terapeak (http://www.terapeak.com/ http://www.terapeak.com/), but this is paid - eBay completed listings - Or most simple (and what I use) -- once you know your products, search AliExpress and sort by "best-selling". That's my go-to. Feel free to check my store for ideas (or if you want to buy something!). URL is: http://modshop.guitars/ http://modshop.guitars/
  - xcubic 10y ago
    I see. Simple but efficient. Last question, you send directly from aliexpress to your clients right? Does it not bother you, your clients receiving packages coming from a different store than expected and with a Chinese address?
    - adpoe 10y ago
      Yes, that's right. I was also initially concerned about that, but I have not had complaints about it. Oberlo (the drop shipping service) does have an email system that lets you track the package on its journey and see where it is shipping from, after an order is placed. So it's not unexpected that the address is Chinese. Most of the vendors actually do a good job on the packaging/presentation, but it's advisable to try each vendor's products (even something cheap), so you know what kind of standards they have. Some are very good, others are poor. You can also leave the vendor an automated message when you order about how to package.
      - robryan 10y ago
        Have you tried going to these vendors directly to dropship? I assume you would get big savings cutting out 2 middlemen. Most suppliers aren't properly setup to dropship but would probably be pretty easy to get an account with a bigger discount without white labeling, at the cost of having to do custom integrations. There are certainly faster shipping options from HK and China that aren't overly more expensive that you could get them to use or provide your own account given enough volume.
floydax 10y ago
Can you share the store URL? Please check my profile. I wonder, how do you deal with customs issues? I've had issues in the past while shipping outside EU and customers always expected me to solve the issues for them
- adpoe 10y ago
  Yes, here's my URL, feel free to share =) http://modshop.guitars/ http://modshop.guitars/ For customer issues, you just need to be responsive and as helpful as you can be. I've also had issues shipping outside the US, but Shopify (the platform that I use) lets you disable shipping outside of certain countries. I've had some issues shipping to Canada, (never had an EU customer), so I only ship within the USA now. And changing that was only a few clicks.
  - floydax 10y ago
    Thanks for sharing, looks awesome :) Do you use Shopify for any specific reason? Or it simply satisfies your needs? Last question (I promise!): Do you place the orders manually or do you have any sort of automated system integrated with your supplier?
    - adpoe 10y ago
      No worries =), I'm happy to help if I can. So yes -- I use Shopify primarily because it's a relatively simple way to get up-and-running. You'll make less money on Shopify, overall, because they take part of the profits you make (~2% to 5%). And that turns some people off, but the payoff is this: You can make secure, good-looking and effective site in just a few days. With no coding or server management involved. Now, I'm a software developer, and I'm capable of building an ecommerce site from scratch (as I'm sure you are, as well) -- but why? It's not worth that kind of time investment until you know that you're going to make $$$ from the project. Shopify is almost like rapid-prototyping. It lets you get started quickly with a working version. So, even if the first business fails (mine did), you're not out 6-months of time and effort from site-building, design etc. Customers don't really know (or care) for the most part that the site is built on Shopify. Overall, it just works. But yes -- I use an automated drop-shipping system called Oberlo: https://www.oberlo.com/ https://www.oberlo.com/ This only works for connecting AliExpress-->Shopify, so it's constraining in that way. But mostly anything you'll want to sell can be found on AliExpress. Try it. =)
GordonS 10y ago
I don't know anything about drop-shipping - do you have any good resources that serve as a guide? In particular, I'm wondering about how to handle problems - when orders don't arrive, when customers want to return defective items etc.
- adpoe 10y ago
  I used Shopify's drop shipping guide to get started--it really is very helpful. They're invested in making you profitable (it's in their best interest as well, since they make $$ from you), and consequently their guides are very good. https://www.shopify.com/guides/dropshipping https://www.shopify.com/guides/dropshipping Fair warning though: you'll still have a ton of problems and spend time dealing with customers. For example, the first time I got a $100+ sale on an item, I went to ship it and found that the vendor took the product down from AliExpress... but my Shopfiy account didn't update to reflect that. So there are tons of pitfalls and things to be careful of, but like any field, you need to experience them firsthand, it's just part of the process. You can make money at drop-shipping, but it really is not easy, and there's still risk involved, like any business.
  - tmaly 10y ago
    When you use AliExpress for drop shipping, are you making money as an affiliate or is it something different?
    - adpoe 10y ago
      No, basically there are software add-ons to Shopify that let you import an AliExpress seller's product into your store. Your customer never sees the original seller's listing, and therefore you can charge any price you want. So, as long as you charge a price that is higher than the raw cost + S&H, you can then collect money from your sale, and use that to purchase the item from the AliExpress vendor (this is automated). Part of the automation process fills in your customer's mailing address, and the vendor fulfills their order directly. (So you don't have to hold any inventory, you're just the go-between.) Your AliExpress vendors will know what's going on, but they expect and anticipate that people do this. It's how they make money. Essentially, the service you provide is marketing, design, and salesmanship. They provide the product.
ericcholis 10y ago
This is defiantly an area I'm interested in. However, I find that the barrier for entry is pretty challenging. IE, finding the right product. The other aspects are well within my skill set.
- adpoe 10y ago
  Do you have any longtime hobbies? I've played guitar my whole life, so I sell guitar parts. It's easiest if you can leverage knowledge you already have. I also tried stores selling items I knew very little about, and it was much harder. =) There are many tools for finding what's selling though. The best ones are paid, like Terapeak (http://www.terapeak.com/ http://www.terapeak.com/), but you can also search eBay completed listings and get a sense for what's selling. Finding the right product(s) is definitely the hardest part, though -- you're absolutely correct. Not only is it hard to find products, you also have to find products with margins that enable you to make money. For some of my sales, I only make about $1-2 dollars. Which is something I need to improve, for my own business.
  - ericcholis 10y ago
    https://www.junglescout.com/ https://www.junglescout.com/ is a good example for Amazon too. But, I think you nailed it, enthusiasm for a niche is key
tomashertus 10y ago
I've been reading about drop-shipping for quite time and it seems definitely achievable. One thing I'm not sure is how do you handle returns? What is someone wants to return the product back to you? Do you send it back to China or just take the lost? How do you handle the costs for shipping etc?
- adpoe 10y ago
  Returns are a pain, yes. It'll be different for every vendor though, so you need to take it on a case-by-case basis. Honestly, my advice is to not worry about it up front, and dive in. You need to worry about making your first sale (which is seriously, very hard), long before you worry about returns. =) You'll figure out it when you need to.
- robryan 10y ago
  In some cases where the product was received damaged can't be resold a good dropshipping company should just take the hit without a return. Depending on the shipping company in use, there may be local returns addresses in some countries that will get on forwarded, or it may be worth it for you to set something up. Assuming you are upfront about the product coming from China I don't think it is too bad to get them to send back there, obviously in some cases a customer won't be happy and you would offer to cover the return on a case by case basis.
gthtjtkt 10y ago
How do you deal with the insane delivery times? Do you tell customers up front that it might be weeks until they receive the product? Most sellers I've seen on AliExpress estimate 15-30+ days for delivery. In the age of ubiquitous 1 and 2-day shipping, I just can't see customers going for that. Seems like there'd be tons of people who change their mind after a week or two and then start demanding a refund or pestering you about their items.
- adpoe 10y ago
  Yes, this is one of the bigger problems, and there's no good fix for it. You just need to clearly state all over the site that your delivery times are 3-4 weeks. It's unfortunate, but part of the business. The only way around it is to have products that aren't easily sourceable via Amazon. They're out there, but mostly in very targeted niches. You also might find that you're really scraping the bottom of the barrel for profits, but the money is still there to be had. I guess nothing ever comes easy, in any business--but there's still money to be made.
  - gthtjtkt 10y ago
    Wow, I made it up to the payment portion of your checkout process. Not a single mention of the shipping time. The button says "Complete Order" so I assume this is the last chance to notify people before they pay. That's shady as hell, dude. > You just need to clearly state all over the site that your delivery times are 3-4 weeks. You definitely don't do this... at all. It's clear that you've intentionally buried that information in a separate "How we ship" page. Nobody thinks to look for that, they'll all assume shipping is the standard 5-10 days unless otherwise indicated. If this is actually working and not causing tons of angry emails/refund requests, congrats. But I'd feel like a jerk doing that to people.
    - adpoe 10y ago
      Thanks for that -- I actually think that's good feedback, and something I hadn't thought of. We do have the shipping times listed on 3 different pages accessible from the top nav (and bottom nav), one of which is labeled 'How We Ship'.. so I dunno. It's not really something I'd considered before this, or had offered as feedback (everyone so far has advised me that outlining your details on the Shipping page is the industry standard.) And I can definitely say that I have many more visits to the FAQ and Shipping pages than I have orders, so I'm guessing people actually do read them. But again, I can't say for sure, and I haven't seen complaints about it. It also might have to do with the products themselves. These are unattached pieces of metal/wood for the most part, at lower prices than you'd see in a guitar shop. Beyond that, Oberlo and Shopify are setup for these kinds of businesses, so users get a stream of emails confirming each order and tracking the package throughout the journey. That seems to be enough, so far, at least. But like I said, I think that's fair criticism and something I'm actually looking to change on the checkout. It would be great to load in a shipping time on checkout pages (this information is available from the vendors), but that's not supported yet, it doesn't look like.
deleted 10y ago
[deleted]
dingdongding 10y ago
Whats your store link?
FT_intern 10y ago
Is it feasible to get your own warehouse storage, go direct with manufacturers and buy wholesale instead of just reselling Aliexpress items?
- adpoe 10y ago
  I can't definitively speak to that, because I've never tried -- but if you have the capital, then it should be doable. AliBaba (as opposed to the "express" version) is generally used for buying direct from manufacturers, and there are other sources, as well. If you order from AliBaba, many manufacturers will put your branding on items, and you can do custom orders as well--if you have a design for a new item. However, they usually have minimum order quantities (MOQ's) of 500+. So you'll be out a few thousand dollars to get started, even for a cheap item. I haven't done it, simply because it's very expensive to get started, but I've read some blog posts from people who've done what you're saying. The biggest selling point of AliExpress and drop-shipping is that it's low-cost to get started. You can build a business with only about $250 of capital. (Or less.)
- robryan 10y ago
  Depends what you see as your competitive advantage. Of course it is easy to be seduced by the possibility of big margins in scaling up like that. If you are a software developer looking to run a solo or small business though you are suddenly spending most of your time doing deals and managing warehousing and inventory.
dbancajas 10y ago
what's the revenue or profit for 2016?

by adpoe 10y ago

pryelluw 10y ago

Im exploring similar options. Mind if we email? Please check my profile. :)

adpoe 10y ago
Emailed =)
- pryelluw 10y ago
  Replied. Thank you.

xcubic 10y ago

How do you pick the products to sell? Can you share the store you're working on?

adpoe 10y ago
There are a few good ways, but it really helps if you know the products well. For me, my site sells guitar parts and DIY kits. And I've been playing guitar since I was about 10 years old, so that helps a ton. I had a few other stores before this that didn't sell well at all, and I have to say that's because I just didn't know the products, or what the end users really wanted/needed/cared about. Great ways to pick products: - Terapeak (http://www.terapeak.com/ http://www.terapeak.com/), but this is paid - eBay completed listings - Or most simple (and what I use) -- once you know your products, search AliExpress and sort by "best-selling". That's my go-to. Feel free to check my store for ideas (or if you want to buy something!). URL is: http://modshop.guitars/ http://modshop.guitars/
- xcubic 10y ago
  I see. Simple but efficient. Last question, you send directly from aliexpress to your clients right? Does it not bother you, your clients receiving packages coming from a different store than expected and with a Chinese address?
  - adpoe 10y ago
    Yes, that's right. I was also initially concerned about that, but I have not had complaints about it. Oberlo (the drop shipping service) does have an email system that lets you track the package on its journey and see where it is shipping from, after an order is placed. So it's not unexpected that the address is Chinese. Most of the vendors actually do a good job on the packaging/presentation, but it's advisable to try each vendor's products (even something cheap), so you know what kind of standards they have. Some are very good, others are poor. You can also leave the vendor an automated message when you order about how to package.
    - robryan 10y ago
      Have you tried going to these vendors directly to dropship? I assume you would get big savings cutting out 2 middlemen. Most suppliers aren't properly setup to dropship but would probably be pretty easy to get an account with a bigger discount without white labeling, at the cost of having to do custom integrations. There are certainly faster shipping options from HK and China that aren't overly more expensive that you could get them to use or provide your own account given enough volume.

floydax 10y ago

Can you share the store URL? Please check my profile. I wonder, how do you deal with customs issues? I've had issues in the past while shipping outside EU and customers always expected me to solve the issues for them

adpoe 10y ago
Yes, here's my URL, feel free to share =) http://modshop.guitars/ http://modshop.guitars/ For customer issues, you just need to be responsive and as helpful as you can be. I've also had issues shipping outside the US, but Shopify (the platform that I use) lets you disable shipping outside of certain countries. I've had some issues shipping to Canada, (never had an EU customer), so I only ship within the USA now. And changing that was only a few clicks.
- floydax 10y ago
  Thanks for sharing, looks awesome :) Do you use Shopify for any specific reason? Or it simply satisfies your needs? Last question (I promise!): Do you place the orders manually or do you have any sort of automated system integrated with your supplier?
  - adpoe 10y ago
    No worries =), I'm happy to help if I can. So yes -- I use Shopify primarily because it's a relatively simple way to get up-and-running. You'll make less money on Shopify, overall, because they take part of the profits you make (~2% to 5%). And that turns some people off, but the payoff is this: You can make secure, good-looking and effective site in just a few days. With no coding or server management involved. Now, I'm a software developer, and I'm capable of building an ecommerce site from scratch (as I'm sure you are, as well) -- but why? It's not worth that kind of time investment until you know that you're going to make $$$ from the project. Shopify is almost like rapid-prototyping. It lets you get started quickly with a working version. So, even if the first business fails (mine did), you're not out 6-months of time and effort from site-building, design etc. Customers don't really know (or care) for the most part that the site is built on Shopify. Overall, it just works. But yes -- I use an automated drop-shipping system called Oberlo: https://www.oberlo.com/ https://www.oberlo.com/ This only works for connecting AliExpress-->Shopify, so it's constraining in that way. But mostly anything you'll want to sell can be found on AliExpress. Try it. =)

GordonS 10y ago

I don't know anything about drop-shipping - do you have any good resources that serve as a guide? In particular, I'm wondering about how to handle problems - when orders don't arrive, when customers want to return defective items etc.

adpoe 10y ago
I used Shopify's drop shipping guide to get started--it really is very helpful. They're invested in making you profitable (it's in their best interest as well, since they make $$ from you), and consequently their guides are very good. https://www.shopify.com/guides/dropshipping https://www.shopify.com/guides/dropshipping Fair warning though: you'll still have a ton of problems and spend time dealing with customers. For example, the first time I got a $100+ sale on an item, I went to ship it and found that the vendor took the product down from AliExpress... but my Shopfiy account didn't update to reflect that. So there are tons of pitfalls and things to be careful of, but like any field, you need to experience them firsthand, it's just part of the process. You can make money at drop-shipping, but it really is not easy, and there's still risk involved, like any business.
- tmaly 10y ago
  When you use AliExpress for drop shipping, are you making money as an affiliate or is it something different?
  - adpoe 10y ago
    No, basically there are software add-ons to Shopify that let you import an AliExpress seller's product into your store. Your customer never sees the original seller's listing, and therefore you can charge any price you want. So, as long as you charge a price that is higher than the raw cost + S&H, you can then collect money from your sale, and use that to purchase the item from the AliExpress vendor (this is automated). Part of the automation process fills in your customer's mailing address, and the vendor fulfills their order directly. (So you don't have to hold any inventory, you're just the go-between.) Your AliExpress vendors will know what's going on, but they expect and anticipate that people do this. It's how they make money. Essentially, the service you provide is marketing, design, and salesmanship. They provide the product.

ericcholis 10y ago

This is defiantly an area I'm interested in. However, I find that the barrier for entry is pretty challenging. IE, finding the right product. The other aspects are well within my skill set.

adpoe 10y ago
Do you have any longtime hobbies? I've played guitar my whole life, so I sell guitar parts. It's easiest if you can leverage knowledge you already have. I also tried stores selling items I knew very little about, and it was much harder. =) There are many tools for finding what's selling though. The best ones are paid, like Terapeak (http://www.terapeak.com/ http://www.terapeak.com/), but you can also search eBay completed listings and get a sense for what's selling. Finding the right product(s) is definitely the hardest part, though -- you're absolutely correct. Not only is it hard to find products, you also have to find products with margins that enable you to make money. For some of my sales, I only make about $1-2 dollars. Which is something I need to improve, for my own business.
- ericcholis 10y ago
  https://www.junglescout.com/ https://www.junglescout.com/ is a good example for Amazon too. But, I think you nailed it, enthusiasm for a niche is key

tomashertus 10y ago

I've been reading about drop-shipping for quite time and it seems definitely achievable. One thing I'm not sure is how do you handle returns? What is someone wants to return the product back to you? Do you send it back to China or just take the lost? How do you handle the costs for shipping etc?

adpoe 10y ago
Returns are a pain, yes. It'll be different for every vendor though, so you need to take it on a case-by-case basis. Honestly, my advice is to not worry about it up front, and dive in. You need to worry about making your first sale (which is seriously, very hard), long before you worry about returns. =) You'll figure out it when you need to.
robryan 10y ago
In some cases where the product was received damaged can't be resold a good dropshipping company should just take the hit without a return. Depending on the shipping company in use, there may be local returns addresses in some countries that will get on forwarded, or it may be worth it for you to set something up. Assuming you are upfront about the product coming from China I don't think it is too bad to get them to send back there, obviously in some cases a customer won't be happy and you would offer to cover the return on a case by case basis.

gthtjtkt 10y ago

How do you deal with the insane delivery times? Do you tell customers up front that it might be weeks until they receive the product? Most sellers I've seen on AliExpress estimate 15-30+ days for delivery. In the age of ubiquitous 1 and 2-day shipping, I just can't see customers going for that. Seems like there'd be tons of people who change their mind after a week or two and then start demanding a refund or pestering you about their items.

adpoe 10y ago
Yes, this is one of the bigger problems, and there's no good fix for it. You just need to clearly state all over the site that your delivery times are 3-4 weeks. It's unfortunate, but part of the business. The only way around it is to have products that aren't easily sourceable via Amazon. They're out there, but mostly in very targeted niches. You also might find that you're really scraping the bottom of the barrel for profits, but the money is still there to be had. I guess nothing ever comes easy, in any business--but there's still money to be made.
- gthtjtkt 10y ago
  Wow, I made it up to the payment portion of your checkout process. Not a single mention of the shipping time. The button says "Complete Order" so I assume this is the last chance to notify people before they pay. That's shady as hell, dude. > You just need to clearly state all over the site that your delivery times are 3-4 weeks. You definitely don't do this... at all. It's clear that you've intentionally buried that information in a separate "How we ship" page. Nobody thinks to look for that, they'll all assume shipping is the standard 5-10 days unless otherwise indicated. If this is actually working and not causing tons of angry emails/refund requests, congrats. But I'd feel like a jerk doing that to people.
  - adpoe 10y ago
    Thanks for that -- I actually think that's good feedback, and something I hadn't thought of. We do have the shipping times listed on 3 different pages accessible from the top nav (and bottom nav), one of which is labeled 'How We Ship'.. so I dunno. It's not really something I'd considered before this, or had offered as feedback (everyone so far has advised me that outlining your details on the Shipping page is the industry standard.) And I can definitely say that I have many more visits to the FAQ and Shipping pages than I have orders, so I'm guessing people actually do read them. But again, I can't say for sure, and I haven't seen complaints about it. It also might have to do with the products themselves. These are unattached pieces of metal/wood for the most part, at lower prices than you'd see in a guitar shop. Beyond that, Oberlo and Shopify are setup for these kinds of businesses, so users get a stream of emails confirming each order and tracking the package throughout the journey. That seems to be enough, so far, at least. But like I said, I think that's fair criticism and something I'm actually looking to change on the checkout. It would be great to load in a shipping time on checkout pages (this information is available from the vendors), but that's not supported yet, it doesn't look like.

deleted 10y ago

[deleted]

dingdongding 10y ago

Whats your store link?

FT_intern 10y ago

Is it feasible to get your own warehouse storage, go direct with manufacturers and buy wholesale instead of just reselling Aliexpress items?

adpoe 10y ago
I can't definitively speak to that, because I've never tried -- but if you have the capital, then it should be doable. AliBaba (as opposed to the "express" version) is generally used for buying direct from manufacturers, and there are other sources, as well. If you order from AliBaba, many manufacturers will put your branding on items, and you can do custom orders as well--if you have a design for a new item. However, they usually have minimum order quantities (MOQ's) of 500+. So you'll be out a few thousand dollars to get started, even for a cheap item. I haven't done it, simply because it's very expensive to get started, but I've read some blog posts from people who've done what you're saying. The biggest selling point of AliExpress and drop-shipping is that it's low-cost to get started. You can build a business with only about $250 of capital. (Or less.)
robryan 10y ago
Depends what you see as your competitive advantage. Of course it is easy to be seduced by the possibility of big margins in scaling up like that. If you are a software developer looking to run a solo or small business though you are suddenly spending most of your time doing deals and managing warehousing and inventory.

dbancajas 10y ago

what's the revenue or profit for 2016?