- 1.Etsy Dropshipping : Finding Suppliers And Store Integration
- 2.How To Choose Dropshipping Niche Based On Profitability
- 3.6 Types Of Ecommerce Business Models And Strategies
The Ultimate Guide to Etsy Dropshipping business Model
There’s been questions about Etsy dropshipping mostly in dropshipping forums and groups of late,this has been brought about by the desire of dropshippers looking for new dropshipping platforms with more or better options when it comes to product selection,shipping duration and Product quality.
Etsy dropshipping sounds promising since the platform has over 2.1 Million sellers on the marketplace hence the product availability and quality is of no doubt so consider this as an Etsy dropshipping guide.
If you were looking for Shopify dropshipping alternative then be ready as I break down the pros and cons of Etsy dropshipping and goldmine information that comes with doing dropshipping business on Etsy platform,shall we?
What is Dropshipping?
Dropshipping is a simple business model where you the sellers sells products that you don’t manufacture,have inventory or handle the products shipping to your customers. In other words you act as a broker in between the manufacturer/wholesaler to the customer.
Dropshipping business model is most practiced among young entrepreneur who care less taking risks in the quest of financial freedom when it comes to starting eCommerce business online.
Dropshipping has made selling online easy more so to entrepreneur like me and you who hate the idea of running losses and having pile of unsold stock and products you have no idea how you will get rid off if failed to sale.
Dropshipping works great,you only required to but a product only if the customer has placed an order of he same,you don’t have to have the products prior to getting a sale.
After a successful conversion,the seller looks for a reliable supplier ,buys the product then the supplier do the picking,packing and shipping the product to the customer.
In this case serious the seller saves the cash he would have used in manufacturing the product,packaging,shipping and handle inventory.
Advantages of Etsy Dropshipping
Dropshipping model is a common practice in major eCommerce platforms like Shopify,ebay,amazon and Etsy Dropshipping is the new kid on the block,but why are dropshippers showing interest on Etsy Dropshipping? Here is a breakdown to address the why’s;
Sell Handmade Crafted Products
What makes Etsy Dropshipping unique is that they focus on handmade products unlike other dropshipping platforms. There are various crafted products to choose from on Etsy,From knitted blankets for maternity store niches to handmade jewelries.
They have unique products,the only obstacle would be the product may take longer to be delivered since they do make them when an order has been placed this might affect your shop if you handling bulk orders.
Etsy products are dominating specific popular niches
If you planning to dropship handmade gods,printable or wedding cards,then Etsy is your one stop marketplace for such niches.Its the best marketplace for dropshippers looking to sell digital products or wedding accessories related niches,try Etsy Dropshipping.
Etsy Dropshipping Disadvantages
Before you about to fall love with Etsy Dropshipping,there are cons that may make you change your mind of joining the marketplace,so lets dig into some of the Etsy dropshipping cons:
Product Retail price relatively high
The product prices as listed on Etsy is way above the retail value for common dropshippers, a product can be listed for $97.99 and the final price at the checkout might sum up to over $149 hence this make sit hard for any dropshipper to even think of starting an Etsy Dropshipping business with such priced products.
The high retail price makes Etsy Dropshipping unattractive for dropshippers who wants to start and run a profitable and successful dropshipping business online.
Seller’s Listing Fee
In order to list a product for sell on Etsy its a must you pay a listing fee to have your product live on their marketplace. The product listing fees are 20 cents per listing which expires after 4 months.You therefore need to re-add listing to their marketplace which requires more time and manual work compared to other droshipping eCommerce platforms.
This is unlike Shopify where your products remains live on your store as long as your pay hosting fee,but on Etsy you pay listing before and after a successful sales.
Limited Dropshipping Capabilities
Even though reselling is allowed on Etsy but they don’t specifically acknowledge dropshipping model in their seller’s policy.We all know reselling is like dropshipping because both sells products they didn’t make or design, Etsy therefore you can only resell hand made products such as vintage items and other craft suppliers,so yes you can dropship but your options are very limited .
Etsy dropshipping isn’t sustainable
Now that you know you can try your hand on Etsy Dropshipping but still its not sustainable whne it comes to dropshipping products from Etsy leave alone selling the product on Etsy. The marketplace majorly hosts handmade products made by a part time Etsy seller who cannot handle huge orders. The chances of you falling doing dropshipping from Etsy is very high.
Unlike shopify,the suppliers on Aliexpress can handle huge orders daily.
Has no Wholesale Option
The recently updated wholesale program by Etsy in June 2018 has brought dropshipping business on their platform to a stand still,they recently made a decision to shut down the wholesale program,which means sellers to sell to retailers not wholesalers selling to sellers read this update.
Etsy Dropshipping Rules Of Operation
This is the only marketplace that can not accept any other product listing unless its vintage or hand made product,they also insist the product must be made by the seller,if you thinking of listing a vintage product,it must be at least 20 years old as per their rules.
The product you sought to list on Etsy must be unique and only available on Etsy and not on any other platform. You can fin all the information about the products you can sell on Etsy on their ‘What Can be sold’ section.
If you are going to sell crafted products that you didn’t make or own you must credit the designer and also give its environmental aspects indicating the material used whether its bio-degradable or can be recycled.
Etsy Dropshipping business on Shopify Platform
Despite the limitation you will face dropshipping Etsy products on Shopify,you can still sell Etsy products on your store via Shopify apps
The only issue you should acquaint yourself with,is that as a seller you will only be able to sell handmade products and you are not entitle to large quantities or bulk orders more so if you having high volume of conversion and ton of paid traffic. Most of the products on Etsy are handmade and original Products and getting a replacement seller is gong to able a tough task.
Doing Dropshipping From Aliexpress To Esty MarketPlace
You cannot dropship Aliexpress products to Etsy,this is because you can not sell any other product on Etsy apart fro handmade,crafted and vintage products.However you can sell print on demand T-shirts,you can design shirts and list them on Etsy. In rare occasion,sellers have been able to sneak in designs they don’t own,but its very risky,your Etsy account might be banned if caught.
You can dropship on Esty only if you are running a print on demand store which has your own designs and have rights to,but you cant dropship products or designs you did not create or design on Etsy.
So how and where Should you dropship?
Its evident that Etsy limitation is not anything close to starting and running a successful dropshipping store,hence the best way to start a dropshipping business is by having your own dropshipping online store on Shopify. With your own store you have control over your business and these are just but a few things why we love having our own store;
- You have control over your brand: Customers will remember your store name and brand not like Etsy
- Control Over marketing: Freedom to build our own email list,use your visitors behavior for re-target and have your own marketing campaign.
- You can list or sell as many products as you’d like,you options of choosing the products you want from millions unique products and with no listing fees on your store.
Dropshipping business has proven over time to me the newest and most reliable and mostly sustainable business models admired by many for a long term business income.The same cannot be said about Etsy dropshipping this is because the inability of sellers to sell or access high volume of products,they also have expensive product listing and shipping fee.
If you ready to start dropshipping business head over to shopify sign up and start your dropshipping journey today.