Dropshipping is quickly becoming one of the most lucrative businesses in Nigeria. It is both stress-free and a low budget business. With the rise of e-commerce platforms, the market looks promising for aspiring online retailers.
You might be looking through a list of businesses you would love to start up and you are wondering what exactly a dropshipping business in Nigeria is or how you can go about starting your own dropshipping business in Nigeria.
If these questions linger in your mind, then I advise that you stick around to find out everything you need to know about dropshipping! In this article, we will talk about what exactly dropshipping is, how it works, and what platforms you can get started with. Come with me as we dig deeper!
What is Dropshipping?
Dropshipping is a type of e-commerce business where the seller doesn’t have a physical store but is an intermediary between the supplier of the product and the buyer. Simply, dropshipping involves selling products without actually having them.
This is how it works. As a genius business owner, all you need to do is set up an online store, sell your products along with their description, and once a customer orders, it gets delivered to them by your supplier. This means that you never see your products. No inventory. No warehouse! Interesting right?
The dropshipping business in Nigeria is extremely lucrative. With increasing population, Nigeria is a promising ground for SMEs in Nigeria. According to Internet World Stats, Nigeria ranks number one in the number of internet users across Africa. She is also a leader in top e-commerce businesses across Africa as well. Thousands of people have made millions every month from the dropshipping business. You can start this business as a side hustle or go into it full time.
Dropshipping in Nigeria is also tax-free! No legal papers, no barriers. Now that’s a plus for any business owner.
Step by Step Process on How to Start Your Dropshipping Business.
Step 1: Find your niche
First things first. You have to pick a niche. A niche is a part or segment of a market. This is where you have to be careful. Picking a niche with really high competition can get you swallowed up.
Also, understanding your niche is very crucial if you want to be in business long. One major mistake newbies make is jumping right into any niche without fully understanding what that niche is about. Understanding your niche in-depth will give you an advantage over your competitors and set you on the path to scaling your business. Your niche must be focused and one that you are genuinely interested in. Picking a niche that you don’t like will ultimately lead to frustration. It is important to carry out product research, look for the best suppliers, and ensure you study the competition in your niche market.
Step 2: Choose your suppliers
After deciding what niche you want to venture into, the next most important thing is to choose your suppliers. Whose products will you be marketing on your e-store? Are they reliable?
Working with inefficient suppliers can drastically slow down your business and lead to frustration.
Some of the most common suppliers are Aliexpress, Alibaba, Oberlo, and many others. You can carry out research on the best suppliers available in your niche to give you a clearer picture of which supplier you should go for.
Step 3: Set up your e-store
Now that you have your niche and supplier all figured out, it’s time to set up your own store!
To set up your own store, there are two options.
- You can choose to sell on third-party e-commerce platforms
- You can choose to set up your own platform
There are many third-party e-commerce platforms you can use. Some of them include Jumia, Konga, Dealdey, and many others. These are reputable e-commerce platforms that can help you sell your products.
You can alternatively decide to set up your own e-commerce platform with Shopify or WordPress.
You may want to take time to consider which of the two options work for you.
Step 4: Market Your Products
Now, of course, this is where the fun starts. Don’t be impressed by the beautiful website and online store you have created just yet. You will need to find customers to buy your products. Just like any business, you need to go out there and get those customers. You can do this by leveraging the power of social media. Promote your product on social media platforms, create relevant content that will spur your target audience to buy from you. You can also run As campaigns to help you generate leads and ultimately create conversion. Using tools like SEO to optimize keywords that will help you rank on Google is also a good place to start. Just don’t stop putting your products out there!
Step 5: Keep Testing
Just like any business in Nigeria, you will need to keep testing what works and what doesn’t. You will need to keep strategizing and restrategizing to make sure you get the best results.
Customer Satisfaction is also an important consideration in this business. Make sure all loose ends are tied and your customers are getting the best experience from your brand. Ensure also that financial activities are also taken very seriously to ensure the smooth running of your business!
Payment Methods
There are several platforms you can use for handling payments. Some of them include Stripe, Paypal report and Paystack.
Summary
So there you go! Dropshipping business in Nigeria is very lucrative but takes time to grow. First, you will need to find your niche, get suppliers, set up your e-store, market your products, and keep testing methods to help your business grow over time. This business is not only very lucrative but requires little capital. You can start today. Don’t be afraid to take that first step!
Do you have any questions or suggestions on SMEs in Nigeria? Drop them in the comment section below!
[…] of the online business ideas that is becoming increasingly common is dropshipping. With dropshipping, you don’t need to have your own product. All you need to do is create an online store that […]