Tips on Picking the Best Product Research Tools for Dropshipping
One great way to get started in the world of eCommerce is through dropshipping. However, it is not just simply buying and selling goods in your shop. With this approach, you can avoid paying for costly warehouse areas and spending too much time meeting certain processes.
Dropshipping companies provide eCommerce entrepreneurs with freedom, yet there are crucial points to note when searching for products for your inventory. Once you find the winning products that best suit a dropshipping store, you will have an edge over your competitors and you will be prepared to make sales.
Why Use Product Research Tools
Although researching products by yourself, or by someone you hired, is definitely doable, it can also be costly or time-consuming. Luckily, we now have the technology to rely on.
A product research tool is devised to look for the best products and present you with all the necessary information that you need. Its other features include:
- Finding products on other websites
- Displaying current prices on various eCommerce and supplier platforms
- Displaying top-favored products
- Showing other major data, like Facebook ads, engagements, and profits
- Importing products
How to Pick the Best Product Research Tools for Dropshipping
We have gathered all the high-quality dropshipping product research tools in this list. They will help simplify and speed up the process of researching new products for you. Hence, you can focus on more pressing matters of your business instead, such as searching for the best accounts receivable software to use.
Fulfill the needs of your customers
Find out what customers need, then sell these products to them. Also remember that, sometimes, they do not know what they need yet until they find it on the market.
A product is likely to gain a market if it solves a problem effectively. And this is where good research comes into the picture. Understand both your customers and the products you are about to sell.
Look for trending products
Trending products are good choices for the inventory of your dropshipping business. If you source these products before anybody else, you will have the advantage of low marketing rates and building your brand as a pioneer in the field.
Look for trending products on Wish or Kickstarter. These platforms are deemed as some of the best tools for dropshipping. From any of these sources, find out which products have big revenue potential. Moreover, ponder on how you are going to sell them to your target market.
Target a niche product
Another income-generating option for your dropshipping store is to target a niche market. You may also choose to target an occasional niche, such as Christmas items that peak during the holiday season.
In selling niche products, you will have less competition because you will be looking into a smaller set of customers. Your marketing strategies will also cost cheaper, especially if you will be using Google Ads or Facebook advertising. In addition, your store will be easily ranked on search engines, which is beneficial for the long-term growth of your business.
Remember that having a dropship niche plan does not necessarily mean that you will not be able to grow into various fields in the long run. Upon establishing your store as a figurehead in that niche, you can add more products to your store. Then, you can set up new branches and reach new audiences. On the other hand, you can make an online store and level up your store’s branding to gain, appeal to, and engage more customers.
Do not go for the too unusual
Sell products that are not too unusual. For instance, stocking a selection of brooches shaped like various dog breeds will attract a broader market instead of just attracting Golden Retriever or Labrador owners.
Watch out for potential competitors
Watch out for potential competitors, their products, and how they obtain and sell them. Determine their pricing schemes or, if possible, predict their new products. Be competitive by being a step ahead of them.
If others are already selling the product that you are planning to sell but you do not know how to source it, problems could occur. Perhaps exclude this product from your list for a moment. Reconsider that option once you have established a powerful brand and loyalty from your customers.
Watch Facebook product-related videos
Facebook is also recognized as one of the best tools for dropshipping product research. Find out what videos have been featured in this platform. Watch those that have garnered the most engagement. Read comments, but be wary of fake comments as they may lead you to the wrong products.
Try typing “discount” or “free shipping” on the Facebook search bar and hit the Video tab button. This trick will provide you with a vast array of product videos to gather ideas from.
Visit social shopping platforms
Check out social shopping websites for more ideas. These are eCommerce-equipped websites that deliver a one-of-a-kind shopping experience within their social network. Sharing happens when people like, comment, recommend, or share products with each other. In these platforms, the key idea is to rely on what others recommend to generate more sales.
Study how people use these platforms. Observe customer feedback, how they stand out, and their significance to the user interface.
Be a part of online forums and communities
A plethora of online forums and communities are out there for you to join and discover in-demand products. Joining them can help you have a grasp of the needs and wants of people in specific areas.
Otherwise, search various areas or niche groups, like fashion, fitness, veganism, and so on. Notice the usually mentioned products or pain points.
Google is still one of the best product research tools for dropshipping. By simply typing “products” followed by your niche, you will be presented with a wide variety of websites that talk about or highlight such products.
Google Trends can also provide you with a list of current trending products.
Focus on the sale of low-ticket products
Low-ticket products will not generate a big profit margin for you, but consumers are more likely to buy them, which means that your profits and sales volumes should also go up.
Meanwhile, high-ticket products will require you to spend more time answering customer inquiries that may not automatically end up in sales. It will also require consumers to spend more time in decision-making. Furthermore, customers need to strengthen their trust with you first before spending huge amounts of their money on your products. They may actually choose to visit a physical store when buying high-priced items.
Avoid products that are costly to buy wholesale
These products will demand you to add a large mark-up to generate a fair profit. Keep in mind to factor postage into your expenses. As a rule of thumb, avoid products sold at over $15 to $20 for wholesale.
Avoid big, heavy products as well. Most dropshipping programs charge a price depending on the shipping fee, and that means bigger items are charged more. Select small, light products to keep low costs for your customers.
Keeping Up With the Dropshipping Industry
Finding the best dropshipping tools is among the most challenging things that eCommerce entrepreneurs usually face. On top of that, the dropshipping environment remains competitive and continuously evolving. Personal choice, “gut feeling,” and guesswork will simply not do any good for your business. To keep up with the competition, you should perform extensive product research and examine current sales data.
At the end of the day, the success of your eCommerce venture is fundamentally dependent on your skills to search and equip your store with high-caliber merchandise yet sold at the most reasonable prices.