Best Dropshipping Product Discovery Tools

 

With the incredible rise of e-commerce and dropshipping in the recent past, more and more tools are popping up online which claim to help you find winning products. 

 

These services range from plugins to add to your shopify store, to unique websites with their own discovery tools, to paid newsletters claiming to publish a list of winning products weekly or monthly. 

 

Because of this, we figured it was about time to break down what the best product discovery tools are for shopify dropshipping in 2021, and which one might be right for you. So let’s get into it. The best Shopify Dropshipping Discovery Tools are: 

  • Sell The Trend 
  • Thieve.co 
  • Dropship Spy
  • Ecomhunt
  • Niche Scraper

 

So let’s talk a little bit about each of them, their features, and where you can find them! 

 

Sell the Trend

 

The first product discovery tool for dropshipping is Sell the Trend. When I was building my own dropshipping store, this is the tool I used the most, mainly because it was the one I got into first, and boy was I lucky that I did!

The main benefit that makes this tool different from many others is the sheer variety of powerful options and features it offers. It has a trending hub, called the ‘nexus’, a search bar with a multitude of different categories to filter by, and they even have a constantly rotating selection of hand-selected products they put on the home page. 

 

While these aren’t always the best products simply because they have so much exposure, they can give you a fantastic idea of what kinds of products are working. This is an enormous insight into product discovery, as long as you analyze what the tool is telling you, and don’t take everything at face value. 

 

Another great part about Sell The Trend is that it has a seven day free trial, so you don’t have to take any risk by trying it out! Sell the trend works by analyzing currently running shopify stores for winning products and then comparing that data to both Facebook ads and trending Aliexpress products. 

 

By doing this, it’s able to provide it’s subscribers with an incredible list of potential products, and ones that are currently working as well. 

 

Overall, I would recommend this tool the most, for both beginners and experienced dropshippers looking to take their site to the next level!

 

Thieve.co

 

The second product discovery tool for Shopify we’ll talk about is Thieve.co. The main function of this site is to show you what’s currently trending on Aliexpress, which will give you a lot of inspiration for your product research. 

 

It starts with a list of trends, and allows you to filter by many different parameters to find the right one, like sales, category, and recent statistics of a product. Currently, there is no free trial for thieve supply, however, by subscribing for just one month, you can get the vast majority of the value this tool has to offer.

 

Dropship Spy

 

The third product discovery tool to go over is Dropship Spy! Currently, they offer ten tools in one subscription. This service works a little like a newsletter, where they’ll add five new trending products to the site every day. While these generally are good products, they also happen to get saturated fast, and we’ve even seen margins crash on some items that were featured in this section. 

 

Overall, I would recommend this tool only if you have the know-how to find out why those products are working and use that knowledge to find your own unique product.

 

Ecomhunt

 

The fourth Dropshipping product discovery tool is Ecomhunt. Unfortunately, they don’t offer a trial, but their pricing is actually more affordable than most other tools, at 20$/month. Similar to Dropship Spy, they add a selection of new products every day, and just like Dropship spy, these products can get saturated really easily. 

 

However, unlike Dropship spy, Ecomhunt provides a host of other statistics, like selling price, targeting information, and a suggested video ad as well! These features make this tool actually pretty valuable, especially at the price point it’s at. 

 

For people just starting out in dropshipping, this can be an extremely useful tool, as it will point you in the right direction, not just for potential products, but also for potential dropshipping marketing strategies. 

 

Although they do offer a free account with limited features, to really be able to use this tool to its fullest potential you’ll have to fork over the 20$ for a paid plan.

 

Niche Scraper

 

Finally, the fifth dropshipping tool we’ll talk about today is Niche Scraper. In many ways, it’s similar to Sell The Trend, but it also has a couple important differences. They do have a selection of handpicked products, like most other tools, but it has a sleek design as well, and comes at a cheaper price point. 

 

I’d recommend this tool only if you like Sell The Trend but want to try some variety, or if you’re very constrained on budget.

 

The Best Dropshipping Product Discovery Tools for 2021

 

Although there are tons of product discovery tools for dropshipping with more popping up every day, some are just better than others. 

 

Overall, If you’re looking for just one product discovery tool for dropshipping, then I would recommend Sell The Trend. With it’s 7 day free trial, you can even check it out without any risk- just be sure to cancel the plan if you don’t like it. 

 

However, if you’re an experienced dropshipper, you’ll probably keep the subscription because you’ll notice just how valuable it is! If you’d like to learn more, join our newsletter below and become an e-commerce expert!

best niches for reviews

We’ve all seen a product online and then looked up a review for it later. Because of how common and how useful they are, creating review content can be a fantastic way to grow an income online. Review content in a way stays evergreen, because even though a product may become outdated, the broader niche you’re in is much less likely to. But how do you know what niche to start making review content in? Some are better than others, for both monetization and pageviews, and you don’t want to miss out on an opportunity for growth simply because you picked an area not very conducive to reviews!

Consequently, today we’ll go over the top five niches for review content in 2021, and what makes them so viable! Hopefully you’ll be able to narrow down your field, or at least find a starting point to start making content with reviewing products as a focus.

 

 

 

 

 

 

 

 

tech

The first niche which is fantastic for reviews is the tech industry, for many reasons. Firstly, there are a lot of technical specifications and aspects of technology to go over, which leads to more easily generated review content. Additionally, the tech field is usually full of high-ticket items, which means that a consumer is more likely to look for a product review before spending what’s usually a substantial amount of money. Related to this, affiliate marketing can be much more effective, because you only need a few sales to make a not immaterial gain through affiliate links.

 A third and equally important reason the tech field is good for reviews is it’s full of people who use computers more often than others, making them more likely to stumble upon or be searching for your content, giving you a much broader starting audience base to find potential readers. Of course, there are downsides to this niche, with the biggest one being competition. You won’t only face competition from other professional reviewers, but also from amateurs who are just sharing their experience with a product they’re passionate about. This makes it a lot easier to get lost in the noise, especially with hot-topic products in the tech field. However, just being aware of this phenomenon will help you stand out, and make valuable review content people will actually want to watch. One big tip for technology reviewers: Don’t get lost in the specifications. Once someone starts droning on about numbers I don’t care about,I’ll click away quickly.

 

One big tip for technology reviewers: Don’t get lost in the specifications.

 

 

 

clothing

The second niche that is great for product reviews is clothing. Although there are pros and cons just like any other area of interest, clothing seems to be an evergreen area, with the opportunity to take advantage of new trends arising almost daily. And with such a broad selection of products, it’s unlikely you’ll ever run out of ones to review! Another benefit of this niche is that many of the products are extremely cheap, which means you can buy them and test them out or try them on yourself!

However, this can be a double edged sword, because consumers will likely expect a picture of you or at least someone wearing the product, which can mean extra work for each review post having to do with clothing. One big tip for clothing reviewers: Have pictures of a model wearing the product! Without them, your content will be dry and boring, and go nowhere!

 

 One big tip for clothing reviewers: Have pictures of a model wearing the product!

 

 

 

luxury accessories

The third great niche for review content is the luxury accessory market! Similar to the tech industry, the luxury accessory market is full of high-ticket, expensive items, which makes it extremely conducive to affiliate marketing links! Because you only need a few purchases to make a sizable income, expensive items can be great for reviewing! In addition to their price, accessories are similar to the clothing market in that many people will like to see how it looks before buying, and because the products are so expensive, it makes a potential consumer more likely to read a review first!

 However there are some drawbacks to this niche. First of all, people will often want to see the product being worn, and that can be a problem without great stock photos because it may be prohibitively expensive to buy each product you are reviewing, especially as you get started. However, with good product selection with an eye for available photos, this problem can be worked around. One big tip for luxury accessory reviewers: make sure you can get your hands on a product, or that it has great stock photos!

 

One big tip for luxury accessory reviewers: make sure you can get your hands on a product, or that it has great stock photos!

 

 

 

software

The fourth niche for review content we’ll go over is the software industry. While this is pretty broad, it can actually work quite well to check out some pieces of software in an area you’re already interested in and review them. There are a couple great benefits to this niche. First of all, the products are all virtual, meaning you don’t have to deal with any physical products or specifications.

Additionally, there are a lot of little details and differences between software that potential consumers really care about, providing an abundance of content! In addition, many pieces of software offer free trials, which means you can test out a product for free a lot of the time. As an added bonus, many software companies offer affiliate programs, and software is especially conducive to online sales because of the nature of the product. Because of this, the software niche can be surprisingly monetizable. One big tip for software reviewers: Include screenshots! They tell us so much about a piece of software!

 

 One big tip for software reviewers: Include screenshots!

 

 

 

e-commerce

The fifth and last niche for review content to talk about is the e-commerce industry. With an abundance of different products that claim to boost sales and the differences between them, you’ll never run out of potential content! Additionally, the e-commerce niche is especially conducive to monetization because of the lack of overhead to most products, and the value of each potential consumer.

This is because people looking to boost sales are already coming in with the idea that they need to spend money, which is what makes the e-commerce niche so valuable! One big tip for e-commerce reviewers: Establish Credibility! No one wants to listen to someone who doesn’t seem like they know what they’re talking about!

 

Establish Credibility! No one wants to listen to someone who doesn’t seem like they know what they’re talking about!

 

 

 

best review niches


In conclusion, while you can make successful review content in any niche, some are more conducive to it than others! In addition to being highly passionate areas, these five niches for reviews are all exceptionally monetizable and conducive to online sales!

 

 

 

 

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Shopify Dropshipping Suppliers for 2021

 

With how much popularity dropshipping has been gaining recently, it’s never been more important to find a winning product, and the first step is choosing your supplier. Although there are many options available, some are better than others, though they all have their pros and cons. In this article, we’ll go over the top 5 Shopify dropshipping suppliers for 2021:

 

  • Oberlo
  • Spocket
  • Modalyst
  • Sell the Trend
  • Inventory Source

 

Each of these dropshipping suppliers for Shopify have their benefits and downsides, but they all accomplish the same basic functions: Sourcing your Products and fulfilling your orders. However, the subtle differences can have an impact, depending on your niche. 

 

We’ll now go over each dropshipping supplier in detail, including pros and cons, pricing, and who each supplier is ideal for. Let’s get started!

 

Oberlo

 

Oberlo is both the largest and oldest dropshipping supplier, and that’s not for no reason. Oberlo makes setting up your first dropshipping store easy, especially with their one-click import function and url-import. 

 

Out of all the dropshipping suppliers we’ll go over, I found Oberlo to be the most easiest and most intuitive. Let’s now go over some of the pros and cons of Oberlo:

 

Pros to Oberlo:

 

  1. Seamless Shopify Integration- Oberlo is simple to install and even simpler to use. If you’re not looking to deal with any technical mumbo-jumbo, Oberlo solves the dropshipping supplier plugin problem easily.

 

  1. Easy Product Imports- You can use either the url import function or the chrome extension to easily import products to your shopify store. This includes product details, variants, pictures, and descriptions. However, you’ll want to look at the descriptions with a critical eye if you expect your dropshipping store to be successful.

 

  1. Easy To Use- Oberlo has a fairly nice looking dashboard, and it’s certainly intuitive and easy to use. If you have any specific questions, they have a fantastic support team as well as video tutorials and their own blog!

 

  1. Automated product order fulfilment- When you’re first starting out in dropshipping, fulfilling orders manually can be very manageable. However, when you start to grow, order fulfilment quickly becomes unmanageable. This is where Oberlo comes in, allowing you to automatically fulfil orders that are placed in your shopify store. You can even set it to only automatically fulfill products when certain conditions are met, like a specific item is ordered, or a specific payment method is used. This can help make your job easier while keeping you protected from fraud.

 

  1. Automatic Inventory Sync- Oberlo keeps track of the inventory of your suppliers, and they’ll automatically update your shopify backend in order to keep your site current with inventory. This is a lifesaver when it comes to items out of stock!

 

  1. Supplier Flexibility- Oberlo is somewhat unique in the field of dropshipping product suppliers in that they allow you to select from multiple different suppliers for the same product. This can help protect you from going out of stock, and can also provide backups in case you have other problems with your main supplier.

 

  1. Shipment tracking- Integral to the avoidance of chargebacks is shipping tracking. If your customers can track where their items are, they’ll be much less likely to dispute a charge on their card for a product they haven’t yet received. This can be an integral part of your store’s overall success, especially in the long-term.

 

Cons of Oberlo:

 

  1. Limited to Shopify- Unless you’re looking to launch your store on multiple different platforms, this won’t be a problem. Just keep in mind that Oberlo is only available on the Shopify platform.

 

  1. Limited to Aliexpress- Unlike some of the other dropshipping supplier plugins we go over in this article, Oberlo only allows sourcing from aliexpress. This can be a problem, especially if you’re looking to ship from the USA or are looking for more niche products. If that’s the case, mayble Oberlo isn’t for you.

 

  1. Limited to One Store- Unless you get the pro plan, which is pretty pricey at 79.90/mo, you won’t be able to link more than one store to your Oberlo account. If you’re looking to start multiple one-product stores, another dropshipping supplier may fit your needs better.

 

Oberlo Pricing Breakdown

 

There are three different options for pricing that Oberlo offers, with the first one being free! Each plan offers some additional features and capacities, which we’ll go over now:

 

  1. Starter Plan- Free- With the starter plan, you can import up to 500 products and process up to 50 orders. This makes oberlo fantastic for those just looking to dip their toes into dropshipping.

 

  1. Basic Plan- 29.90/mo- With the basic plan, Oberlo allows you to import 10,000 products and fulfil up to 500 orders per month. Unless you’re selling something with an extremely low price point, this plan should work for most dropshippers who need something beyond the starter plan.

 

  1. Pro Plan- 79.90/mo- With the pro plan, Oberlo allows you to import 30,000 products and sell an unlimited number of orders, which will satisfy your dropshipping needs no matter the product. Additionally, this is the plan where Oberlo allows you to connect multiple stores to the same account, which can make management much simpler.

 

Who Should Use Oberlo?

 

You should use Oberlo if you want to set up dropshipping with absolutely no hassle, and are looking for a low cost option as well. However, if you need fast shipping or niche products, it might be worth looking into a different plugin on this list!

 

Spocket

 

Spocket is a newer dropshipping supplier, but it’s quickly gaining popularity for a couple of good reasons. Firstly, Spocket lets you find items with really fast shipping, sometimes even within 1-2 days. Second, Spocket is great at finding US based Suppliers, which can be great for both reliability and quality. Let’s go over some of Spocket’s pros and cons as your shopify dropshipping supplier:

 

Pros of Spocket

 

  1. Platform Integrations- Spocket easily integrates with all the top dropshipping platforms, not just shopify. This makes spocket a lot more versatile when it comes to where and how you can sell your dropshipping products. It’s just as easy as Oberlo, and it’s available on a wider array of platforms.
  2. US-Based Suppliers- Most of Spocket’s suppliers are located in either the USA or the EU, which is ideal for both shipping times and product quality. Additionally, Spocket offers plenty of filters, including one that lets you filter by country shipped from. You can use this tool to find suppliers based in the country your target audience is in.

 

  1. Profit Margins- Spocket is a supplier that focuses on overall profit, because the shipping is generally more expensive and the items higher quality. However, Spocket does a great job of finding products with margins between 30-60%.

 

  1. High Quality Products- In contrast to Oberlo, Spocket vets each and every one of their suppliers. This means that every product is checked for quality, which enables Spocket to offer a higher quality of products on average. Additionally, Spocket makes it easy to order samples of a product for yourself, if you wanted to do personal quality control.

 

  1. Automatic Order Processing- Spocket allows you to automatically fulfil all orders or just some order, similar to Oberlo. This makes it easy to fulfill huge amounts of orders with little to no work on your part.

 

  1. Automatic Inventory Updates- Similar to Oberlo, Spocket automatically updates inventory levels, which will help you to not get caught out with an order for an unavailable product. This can be a lifesaver when it comes to customer management.

 

Cons of Spocket:

 

  1. Limited Customization- Spocket doesn’t allow for custom branding on product tags, packaging, or product, which can make it harder to differentiate yourself from other dropshipping stores. Some niches are more vulnerable to this downside than others, depending on the strength of branding within that niche.

 

  1. Limited Communication- With Spocket, there’s no way to directly communicate with suppliers, as it must all be done through Spocket. This makes it absolutely impossible to work out special deals and can actually limit scaling.

 

  1. Limited Product Selection- Although Spocket does have a ton of products available on their platform, they can’t hold a candle to Aliexpress.

 

Spocket’s Pricing

 

Luckily, Spocket offers a free 14 day trial for any of their paid plans, which makes it easier to test out. However, you can get started pretty easily with the free account, but you won’t be able to fulfill any orders. However, Spocket does offer a few different tiers of plans once you’ve got some customers:

 

  1. Starter- 24$/mo- Spocket’s starter plan is pretty affordable, costing less than your shopify plan. With the starter plan, you can have 25 unique products and fulfill unlimited orders.

 

  1. Pro- 49$/mo- Spocket’s pro plan is for those who have a little bit of experience and are looking to grow and expand their branding. With this plan, you gain access to premium products from Spocket’s catalog, branded invoicing, and chat support.

 

  1. Empire- 99$/mo- Spocket’s Empire plan is for those who are experiencing rapid growth. It allows for 10,000 unique products, 10,000 premium products, as well as branded invoicing and chat support. Unless you’re looking to dropship at a massive scale, this plan is probably unnecessary.

 

The fact that Spocket offers a trial for any of their paid plans is especially notable because they also have a free plan. This means that you can browse for all the products you’d like, then sign up for the trial once you’ve got some orders coming in. This makes Spocket a pretty affordable dropshipping supplier to get started with.

 

Who Should Use Spocket?

 

Spocket can be a great option for dropshippers looking to source higher quality products than those available on Aliexpress, and it comes with the bonus on western-based warehouses and fast shipping. However, if you’re looking to make custom deals with suppliers, Spocket might not be your best choice.

 

Modalyst

 

Similar to Spocket, Modalyst is a dropshipping supplier that focuses on shipping from the USA and EU, mainly. They work with suppliers to find the best dropshipping deals to supply on their platform. However, there are a couple key differences and unique features that differentiate Modalyst from the rest of the pack. Lets go over some of the pros and cons of Modalyst:

 

Pros of Modalyst:

 

  1. Western Suppliers- Similar to Spocket, Modalyst’s biggest draw is that they source from suppliers with warehouses in the USA and EU. This means that you’ll have, on average, higher quality products and faster shipping times.

 

  1. Great Integration- Modalyst integrates not only with Shopify, but also with BigCommerce. It’s a simple, usually one-click install to get started with Modalyst as your dropshipping supplier.

 

  1. Up-Front Returns- Modalyst makes it easy to find the returns and exchanges policies for their suppliers, so you can make better decisions about which to choose and what products you’ll want to use.

 

  1. Easy Operation- Absolutely everything to do with Modalyst can be managed within it’s dashboard, which means all the info you’ll need is in one place. Additionally, they have all the same features as Oberlo, including product importing, sync, and order fulfilment.

 

  1. Analytics- Somewhat unique to Modalyst is the fact that they have their own included insights section, where they provide you with data about how your products perform, which can be useful along with Shopify Insights and Google Analytics

 

Cons of Modalyst:

 

  1. No automatic order fulfilment- This is a huge downside when it comes to modalyst. Unlike almost every other dropshipping supplier, Modalyst does not have an option to automatically fulfil orders placed on your store. You’ll have to manually enter customer details and fulfil each order by hand. This can be a huge downside, especially as you start to grow with dropshipping.

 

  1. 5% Transaction Fee- Unless you choose Modalyst’s premium plan, Modalyst takes a cut of every single transaction placed through them, which can actually make a big difference, depending on your existing margin. If your margin is small enough, Modalyst’s fee may make your product unprofitable.

 

  1. Limited Branding- Similar to Spocket, there’s no way to set up individual branding with your suppliers, which can make it more difficult to expand your brand awareness, depending on your niche.

 

Modalyst’s Pricing Options

 

Luckily, Modalyst offers a free plan for an unlimited amount of time, if you just want to try it out. Unfortunately, the free version comes with a 25 product maximum, limited suppliers, and a 5% transaction cost. If you want to really get started with Modalyst dropshipping, you’ll probably need to grab one of Modalyst’s paid plans:

 

  1. The Start-up Plan- 35$/Mo Modalyst’s start-up plan offers up to 250 unique products, but you’re still limited to non-premium suppliers, and Modalyst also still takes a 5% transaction fee.

 

  1. The Pro Plan- 90$/Mo At this tier, you can have an unlimited amount of products loaded into your store, and modalyst starts to offer their premium suppliers. However, Modalyst still takes a 5% transaction fee in this plan, too.

 

  1. The Business Plan- Quote- For this tier, you’ll have to contact Modalyst to get a personalized quote. At this level, you still get access to everything from the previous tiers, but Modalyst only takes a 2% transaction fee.

 

Based on pricing alone, it’s worth trying out the free plan before diving into one of their more expensive options.

 

Who is Modalyst For?

 

If you’re not sure yet about dropshipping, Modaylst can be a great way to dip your toes in the water. However, because of their pricing, and the limited options Modaylst offers for automatic product fulfilment, if you’re looking to expand greatly, Modalyst might not be the best dropshipping supplier for you.

 

Sell The Trend

 

On top of being a dropshipping supplier, Sell the Trend is also one of the best product discovery tools out there, and it’s the one I still use myself to find winning dropshipping products. As a combo tool, it offers tons of functionality, but doesn’t specialize in automation, which is one thing to keep in mind with Sell the Trend. Let’s go over some of the pros and cons of Sell the Trend:

 

The Pros of Sell the Trend:

 

  1. Product Research Tool- probably the number one benefit to Sell the Trend as your dropshipping supplier is the fact that they are a product discovery tool first and a supplier plugin second. This means that Sell the Trend has, on average, higher quality dropshipping products and sometimes even unique products in untapped markets.

 

  1. Product Selection- Unlike Oberlo, Sell the Trend doesn’t source exclusively from Aliexpress, they also source from various other suppliers, sometimes in the USA or EU. Sell the Trend probably has the biggest selection of products overall, simply because they include Aliexpress as well.

 

  1. Exclusive Data- Sell the Trend provides you with curated data about all the different Shopify stores and Facebook ads featuring your product. This means that you can easily size up the competition when you’re looking for your next winning product.

 

  1. Easy Imports- Like most other dropshipping suppliers, Sell the Trend makes it easy to import and manage your shopify products, with the ability to import images, edit the description, and select your chosen varieties and set their prices.

 

  1. Video Making Tools- Embedded inside Sell the Trend are video making tools for your product. This means that if you don’t want to make the time investment into a product video, you can easily have Sell the Trend set you up with something based on product images. Just keep in mind that these will never be the highest quality video ads you could make, and if you’re planning on putting significant marketing investment into a product, you’ll probably want to have a more well put together ad.

 

  1. Tons of Filters- You can be as specific as you want when it comes to filtering products available on Sell the trend. Whatever characteristic you’re looking to sort by, it’s probably available, from the number of stores carrying a product, to the top customer countries, to where it ships from. This makes Sell the Trend perfect if you know what general area of product you’re looking to dropship.

 

  1. Automated Order Fulfilment- Just like Oberlo, Sell the Trend enables you to automatically fulfill your customer’s orders, all without you lifting a finger.

 

The Cons of Sell the Trend:

 

  1. Weak Curated Selection- While the products and the product filters are great on Sell the Trend, the “hot” and “trending” section doesn’t always contain the best products. However, they can be helpful in giving you a general idea of what’s working right now for dropshipping.

 

  1. No Free Plan- Unlike most of the other options on this article, Sell the Trend doesn’t offer a free plan at all, which means you’ll have to pay 39.99/mo to be able to use it. This is because it functions more as a product discovery tool than a supplier plugin, and most discovery tools are paid products. However, they do offer a 7-day free trial, so you can test out the tools for yourself before you commit.

 

Sell the Trend’s Pricing

 

Unlike most other options out there, Sell the Trend only offers one price, and it’s actually fairly low, at 39.99/mo. Sell the Trend enables all their features at this level, and they allow you to import and fulfil unlimited products in your dropshipping store. For this reason alone, they are the best paid dropshipping supplier on this list.

 

  1. Sell the Trend- 39.99/mo- All features, unlimited product imports and fulfillments.

 

Who is Sell the Trend for?

 

If you’re just starting out in dropshipping, Sell the Trend can be a great way to make sure you don’t waste your time with products that don’t work. And because they offer a 7-day free trial, you can try them out for yourself without any risk! Just be sure to cancel if you don’t want to be charged!

 

If you’re a little more experienced with dropshipping, Sell the Trend can be a good way to narrow down your potential list of products within your chosen niche. Because of all the filters they have, you’ll easily be able to  find winning products, especially if you know what you’re generally looking for.

 

If you’re very experienced in dropshipping and don’t care at all about discovering new products, you might want a supplier focused entirely on advanced automation, as opposed to product discovery. If this is the case, Sell the Trend might not be for you.

 

Inventory Source

 

Inventory Source is a dropshipping supplier whose main draw is that they are great at automation. They also integrate easily with even more platforms than Spocket, including Amazon and Ebay, and even walmart. This makes it easy to manage inventory across multiple stores, and make sure everything is synced correctly. Lets go over the pros and cons of Inventory Source:

 

Pros of Inventory Source:

 

  1. Automation Rules- Advanced automation settings allow you to control everything about order fulfilment, from payment types to specific products or product catalogs. Additionally, shipment tracking is synced across all e-commerce platforms you might be using automatically.

 

  1. Direct Access- Inventory Source delivers all items from supplier’s at no markup to you, which is different from some other dropshipping suppliers like Spocket or Modalyst. Direct access to the suppliers enables you to get the lowest possible price, customize shipping, and communicate with specific suppliers.

 

  1. Customer Support- If something goes wrong with inventory source, their 24/7 customer support team is always ready to help. This provides a level of comfort different from other suppliers without such a robust customer service team.

 

  1. Order Routing- In addition to automatic order fulfillment, Inventory Source provides a way for you to set specific routing for suppliers through their warehouse management tool. In this way, Inventory Source offers you the most control out of all the supplier’s we go over in this article.

 

Cons of Inventory Source:

 

  1. Weak Product Discovery- Inventory Source doesn’t offer much product discovery whatsoever. Of course, there are filters, but nothing nearly as useful as Sell the Trend. 

 

  1. Expensive- Inventory Source doesn’t offer a free plan that lets you fulfil products, which indicates its more for serious dropshippers and those with more experience who are willing to invest more into starting up.

 

Inventory Source’s Pricing

 

Inventory Source offers three different pricing plans, with the free one being introductory and exploratory in nature- you can’t actually import products or fulfil orders, only look around. Here are Inventory Source’s pricing options:

 

  1. Directory Account- Free- Exploratory in nature, you can look around and figure out the basics of the app before using it, but you can’t import products or fulfil orders with the free version.

 

  1. Inventory Automation- 99$/mo- The first paid option for inventory source is pretty pricey, costing even more that evn Oberlo’s highest tier. At this level, Inventory Source offer’s it’s basic inventory automation, platform integrations, and product sync.

 

  1. Full Automation- 150$/mo- The most expensive option we’ve seen so far, this plan is for dropshippers who are looking to fully automate their store, and make dropshipping as passive as possible. At this level, you’ll need to be selling a significant amount each month to make it worth it. However, this level also includes multi-Supplier order routing and easy order processing.

 

Who is Inventory Source For?

 

If you’re looking for a dropshipping supplier dedicated entirely to automation, Inventory Source is it. Inventory source specializes in advanced product importation and automatic order fulfilment. 

 

If you’re looking for something with a robust infrastructure, Inventory Source might be for you. If you’re looking for a supplier focused more on product discovery than robust automation, you might want to choose a different dropshipping supplier.

 

Dropshipping Business Model Explained

 

Dropshipping is an extremely exciting and inspiring business model, with its enormous potential for rapid growth, and it’s shockingly low upfront costs. In fact, you’ll often see videos of youtubers claiming to start a dropshipping business with 150$ or less, or sometimes even for “free” or “from scratch.” 

 

While these are some pretty out-there claims, they’re not actually that far off the truth! Additionally, with dropshipping you never actually hold physical inventory yourself, aside from maybe a test product or two, so there is very little risk of getting saddled with inventory you can’t move, like with traditional e-commerce or Amazon FBA. So what exactly is the dropshipping business model?

 

At its core, dropshipping is when someone buys a product, a company, who is usually the manufacturer, ships them the product, and you get a cut of the profit for marketing that product, which can sometimes be very substantial. 

 

Essentially, you’re providing value by branding and marketing a product.The business model is basically in between  the Amazon FBA and  the Amazon Affiliates program, wherein you have to find your own suppliers, but you don’t have to maintain your own inventory. 

 

So let’s go over the Dropshipping business model, starting with pros and cons, the model’s potential and limits, some growth strategies dropshipping websites are using in 2021, and finally, where to learn more, or get started.

 

Dropshipping Pros and Cons

 

So why dropshipping? Let’s go over some of the pros and cons of the dropshipping business model: 

 

The Pros of Dropshipping- 

 

  1. Growth Potential- Unlike any other business, you can explore new products very easily, because you don’t have to take a chance on inventory that might not sell very well. You simply find a supplier, usually on aliexpress, alibaba, or a similar site, and list it on your own, with your own branding. In this way, if you have an established audience already, you can easily test new offerings on that audience.

 

  1. No Inventory Required- You do not need any inventory to get started in dropshipping. Because of this, you can get started very quickly, because the startup time is effectively just how long it takes to build your website. Additionally, because you’re not holding inventory, you don’t have to take time packaging and shipping yourself, and can focus solely on maintaining the website and marketing campaigns. 

 

  1. Low Barrier to Entry- Another pro to this model is an extremely low barrier to entry. As opposed to traditional, brick and mortar stores or even programs like the previously mentioned Amazon FBA or traditional e-commerce, dropshipping requires very little financial and time investment to develop, source, or manufacture products. Consequently, as mentioned before, you can also save on storage and other inventory-related costs. And unless you hire a virtual assistant, there’s also no staffing costs!

 

  1. Better Cash Flow- A third Major benefit of Dropshipping is an improved cash flow position. For a typical store or e-commerce site, you’d have to first purchase products, wait for them to arrive, and then ship them out again, all the while floating money, and taking on risk. However, with dropshipping, you access funds sometimes as soon as your customers make a purchase, and can then use those funds to fulfill their order within a couple days at most, at least on shopify, which is the most popular dropshipping platform by a long shot.

 

  1. Passive Income Stream- Finally, the last huge benefit of dropshipping we’ll talk about is the potential for it to become a passive income stream- it requires upfront work, but then provides cash flow with minimal daily maintenance. You could be at work or asleep, and your dropshipping business would still be earning you money! This is different from Amazon FBA or traditional e-commerce, because order fulfillment can be automated, as opposed to you having to send out products manually.

 

However, it’s not all sunshine and roses, and we’ll go over the cons of the dropshipping business model next:

 

The Cons of Dropshipping:

 

  1. High Competition- The first major con is extremely high competition. Because it’s so easy to get into, lots of people are trying the exact same thing you are, which can lead to increased competition. This is why it’s more important than ever to find a winning product or niche, and be diligent about your branding. You’ll have to find exceptional ways to stand out when others are selling the exact same product from the exact same suppliers.

 

  1. Lack of Control- Another con to dropshipping is a lack of control, in both quality and otherwise. Because inventory never passes through your hands, you can’t check to make sure the condition is okay before it goes on to the customer, putting your store’s reputation at risk if it’s not. Unless you have an established store and a fairly substantial ordering size, you won’t be able to negotiate special deals with your suppliers or use packaging to make your product unique. Again, this removes some of the agency and control you would have had in a traditional e-commerce store.

 

  1. Shipping Problems- Another major con to dropshipping is shipping and processing issues. Although there are tools to automate fulfillment, you won’t be able to find bulk discounts that bigger retailers can rely on, because you’re essentially shipping the products one at a time. Your customers may also receive multiple packages for the same order, which can waste time and money for you and your shoppers, especially if you have multiple items in  your store. Additionally, like we mentioned before, you’ll have extremely little negotiation power when it comes to shipping.

 

  1. Unstable Margins- Dropshipping can become extremely cutthroat, with margins disappearing overnight because someone else came into your product’s market and undercut you and everyone else severely. This also plays into the lack of control we talked about earlier.

 

However, there’s still lots of potential, and profit to be made with dropshipping in 2021. Let’s talk about that potential.

 

The Potential Limits of the Dropshipping Business Model

 

Obviously, as with any business that is technically just buying low and selling high, the ceiling is “technically’ infinite. However, there are some aspects of dropshipping which could limit its potential, which we’ll go over now. 

 

  1. Low profit Margins- According to bigcommerce.com, the average margin rate for dropshipping products is only 20%. While this may seem great, it’s actually fairly low in comparison to big-name retailers, or even bulk shipping e-commerce stores. Naturally, this limits expansion because you still have to pay for advertising and website upkeep ,and means that even if you do big sales numbers, your actual profit after shipping and advertising could be tiny. Also, you’ll have to keep reducing margins on even very profitable products as other retailers and dropshippers enter the market, and start to undercut you. Otherwise, you’ll just lose business entirely. 

 

  1. Bad Suppliers- Another issue which limits growth potential is the lack of control over suppliers. If there is one bad delay or problem with a supplier during a large batch of orders, your store could get so much bad feedback that it’s done for, not to mention the problems your facebook ad account may face. 

 

  1. Branding Difficulty- A third potential limiting issue is the difficulty of building a solid brand. Because you can’t put a logo on the end product, most customers will forget about the brand in favor of the actual physical item’s brand. Although this makes sense, it still makes it difficult to build a dropshipping brand in 2021, especially with a one-product store. 

 

So now that we’ve gone over some of the potential issues with dropshipping, lets go over some growth strategies that are actually working for the dropshipping business model in 2021.

 

Dropshipping Growth Strategies

 

While there are tons of different ways to develop your business, some are better for dropshipping than others:

 

  1. Market Research- The first growth strategy we’ll go over is a time-honored one: Market Research. When you do manage to find a product that seems to be working well, use that opportunity to pivot to a new product, try out new marketing campaigns, or test a new niche entirely. The number one problem for all e-commerce, but especially dropshipping, is stagnation, because if you’re not growing and looking for the next big thing, then your competitors will eventually dry up your niche and you’ll be forced out of the market entirely. 

 

  1. Backup Suppliers- A second strategy important for long-term growth in dropshipping is to have backup suppliers. Rather than relying on just one supplier that may cause you problems if they have problems or change their fee structure unexpectedly, try to find a product with more than one reliable supplier. This way, not only do you have protection in case your relationship with one goes south, but you also know that they’ll be competing against each other for your and other dropshippers’ business. 

 

  1. Pass off Inventory Costs- Finally, the last growth strategy for dropshipping in 2021 we’ll talk about is dropshipping high maintenance products. By not ever having to pay the maintenance, you’re able to pass those savings on to your customers, or have much higher overall margins. It also allows you to more easily complete with larger stores, because although you may have higher shipping costs, you’ll have far lower inventory maintenance. 

 

The Dropshipping Business Model Explained-Viable for 2021?

 

Overall, the dropshipping business model is still viable in 2021, and don’t let anyone tell you otherwise! However, like all business models, it still has it’s pros and cons, and its limits and growth strategies. 

 

Hopefully this was valuable information, and if you’d like to learn more about e-commerce and dropshipping, sign up for our newsletter below!