In today’s video I’m going to show you how to place a drop ship order on AliExpress with this AliExpress dropshipping advice tutorial.
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What is AliExpress?
By now you’ve probably heard of Chinese billionaire Jack Ma, or at least his $307 billion-dollar company Alibaba. He’s considered the Asian version of Amazon’s Jeff Bezos.
Started in 1999, the company was a result of Ma not being able to find Chinese products online easily. The resulting platform enables Western buyers to connect with Chinese and Asian sellers and has revolutionized ecommerce around the globe.
Alibaba, the original site, is built for wholesale purchases. Sellers usually have minimum bulk order requirements. You can directly connect with Chinese manufacturers to place orders, and payment is usually via bank transfer.
Aliexpress is its sister site. It’s made for smaller retailers who don’t stock the products they’re selling, and it accepts credit card payments. Think of it as Amazon, but cheaper and with a two-week delivery time.
Instead of buying directly from the manufacturer, the sellers are actually third-party individuals or companies who are reselling to you. You won’t get the best price, but the buyer protection and ability to make single orders makes it perfect for dropshippers.
Why do I not need any start up money or capital?
Sounds too good to be true, right?
Well, in this case, it actually is true. Let me explain:
Because these manufacturers mass produce goods, they can sell them for pennies on the dollar.
We’re talking fancy jewelry for under $0.30 a piece, nice shirts for $1, and even electronics for a few bucks that you can resell for $50 or more.
“But I still have to buy products, so I need some money!”
Actually, you don’t. That’s where the drop shipping comes in.
You don’t have to buy a thing until you get an order on your website (which you can set up with SaleHoo Stores). So you pay for your products with the money your customers pay you.
Now, you might be thinking…
“What about shipping costs? It’s coming from China – it must cost a ton!”
Nope. With the invention of ePacket shipping, you can get these items from China for free. (Or at the most, a dollar or two.)
The only startup money you need is enough to buy a domain and hosting. So less than $20.
Dropshipping simply means when your customer makes a purchase from your site, you order the item from your Chinese supplier and they ship the item to your customer. You don’t need to hold any inventory or worry about packaging and shipping.
Dropshipping from AliExpress requires you to first set up a store or have a place to sell your goods, like Amazon or eBay.
When a customer makes a purchase, you place the order with the seller on AliExpress. The seller ships the items and you keep the difference in prices as profit.
Once the item is sent to your customer, they believe it’s from you. There’s no reason to know it’s a dropshipping process.
As you get bigger and scale your store, you can send in bulk orders to these suppliers for better rates and terms. That’s why it’s so important to choose the right suppliers from the start and build a relationship with them.
Hope you enjoyed my video How to Place a Drop Ship Order on AliExpress – AliExpress Dropshipping Advice