Published by: Fera Team

Dropshipping, dropshipping, dropshipping...

Everybody seems to be talking about this eCommerce business model, from famous YouTubers to online bloggers.

But why is it so effective?

Well, here's how it works...

When a consumer purchases a product from the store, you assign a third-party supplier to ship the product directly to the customer. You won't need to order in bulk or have a physical inventory.

Even though it sounds that easy, running a dropshipping store is incredibly hard.

You need to:

  • Set up online advertisements,
  • Create a Shopify website,
  • Manage connections with your customers,
  • and deal with a lot of anxiety!

However, as time passes, you might feel like you have the skills and mindset to reach new heights and lead your brand to bigger stages.

Or, in other words, you want to get into the big business model - branded eCommerce.

However, put the brakes on for a second.

Switching from dropshipping to branded eCommerce can be quite challenging.

Getting your business going can require a lot of patience and money.

But don't worry - we're here to lend you a helping hand.

In our post, we will show you how you can transition from dropshipping to branded eCommerce in an easy step-by-step guide.

Let's get started…

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Why Should You Transition From Dropshipping To eCommerce?

Despite being one of the most profitable online businesses, dropshipping can also have many disadvantages.

Low Margins

In general, most dropshipped products have significantly lower margins.

So, you will need to make a series of recurring sales to see big profits.

Competition

The next thing that can put you off is the massive competition.

With so many resources available for would-be entrepreneurs, dropshipping has become one of the easiest ways to earn money online.

So, you must rely on exceptional marketing strategies to differentiate yourself from the competition.

Low Control

Also, since you're not in control of your inventory, some items might become out of stock without any alerts, which can lead to serious problems.

No Control Dropshipping

So, let's talk about branded eCommerce...

With branded eCommerce, you can fully control your business from packaging to shipping to inventory levels!

You can negotiate your manufacturing expenses and create your individual offering price to ensure you're getting the right margins.

Plus, you can make your own packaging and dispatch them through different shipping options.

Talk about convenience!

But, just remember - starting a business requires some kind of investment.

But with dropshipping falling out of favor, this can be the perfect time to use the money you've earned from dropshipping and put it into branded eCommerce.

How to transition from Dropshipping to Branded eCommerce

A) Create a Business Plan

First thing first, make sure that you conduct thorough market research and create a superior business plan for your eCommerce company.

If you're trying to offer a product you've dropshipped before, you should already have all the details you need.

But if you want to get into a whole different niche, then don't worry.

By performing some competitive analysis, you will be able to find out your target audience and see the current demand for similar products.

Make sure to put as much time as you have into this step. It's crucial and can be very beneficial for your eCommerce business.

Once you have a better vision of what your business will look like, you can proceed to the next step!

Create a Business Plan

B) Develop Your Brand

Secondly, you should develop a beautiful brand and overall design, including the product's logo, shape, color, and text.

Don't forget the graphic elements of your site and the motto/mission that are related to your brand positioning.

If you don't have experience creating a brand, we recommend hiring a professional graphic designer and branding specialist.

Simply tell the branding specialist everything about your mission and brand, and they will be able to develop an excellent product design that will help you position your brand in your niche.

Also, don't forget to take a moment to think about the design of your packaging as well.

You want to make the entire experience magical for your customers.

Develop you Branding

C) Product Manufacturing

Factory

Will you create the products independently, or will you hire someone else to do it for you?

This can be a tricky question.

Building an entire factory can be a pretty significant investment.

So, we advise using other manufacturers if you're just starting out. There are a lot of oversea businesses that will charge you nominal prices for their service.

You can use B2B marketplaces like Alibaba or Global Sources to connect with foreign markets and make a contract in just a few easy steps.

When you're doing outsourcing, make sure that you do thorough research before buying from the seller.

Establish some lines of combination and see how responsive the individual really is.

Delivery

With the branded eCommerce business model, you’ll be required to manage your own inventory and shipping.

Even though this might seem easy initially, it can become a real pain as your brand starts growing.

That's why you should contact a 3PL to handle the entire process and get the best rates for both storage and transportation.

Make sure you find a provider that can scale with your growth and offer great support to your customers.

Branded Delivery

D) Promote Your Brand

Have you made it this far?

Well, congratulations!

You're only two steps away from completing your transition from dropshipping to branded eCommerce.

Now, you can create a website and update your social media with your new logo and brand name.

Don't forget to post recent updates on your products to notify all of your customers about your transition. Keeping your customers updated helps create engagement and a sense of ‘being in the know’.

Additionally, if you want to make this product launch special, contact popular influencers in your niche and offer some incentives to all the early purchasers.

Promote Your Brand

E) Enhance the Final Experience

Contact your customers and ask whether they want to write a review about the product they received.

This will show your new customers you appreciate and care about their opinions. All of this can improve your brand's awareness and reputation!

A lot of the best product review apps will allow you to send automatic review requests to all of your customers with just a few clicks.

Ask for Reviews

Conclusion

By following all of the steps mentioned above, you will be able to launch a successful eCommerce product in absolutely no time.

If you want to learn more about the majestic world of eCommerce, then you should definitely take a look at all our other blog posts.

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