How to Start a Dropshipping Business in Philippines

(Posted on: 05-03-2022)

The term "dropshipping" is probably familiar to you if you've been contemplating opening an online business in the Philippines for some time. There are many ways to make money online, but this is one of the easiest and most effective ways.


We'll show you how to create your very own dropshipping company fast and efficiently in this post. Don't worry if you haven't heard of dropshipping at all because you don't have to. We're going to talk about dropshipping, how this all performs, and whether you should begin your own dropshipping business. From there, we'll show you how to start building your online business empire.


People in the Philippines often have queries about dropshipping, and this advice will walk you through beginning your own business and answering many of them, such as the ones above and many more.


Dropshipping: What Is It and How Does It Work?

Shop owners (you) sell products to customers (the people who purchase from you) without keeping any inventory. That is called dropshipping. An order is placed on your dropshipping site, and the product is sent straight to the client by an outside provider. The consumer gets to pay you to establish and pay the wholesale amount to the supplier; the remaining funds are yours to retain (your profit margin).


In this case, why should you begin a dropshipping store?

Dropshipping is a favorite method of entrepreneurship because of its minimal risk. Creating and manufacturing items, maintaining inventory, packaging, and shipping things are all taken care of for you. If you want to sell them, you pay the supplier their cut. Certain drop-shipping suppliers handle the customer care aspect of drop-shipping, so if anything goes awry, they'll handle it for you.


It's an incredibly simple method to establish an ecommerce platform.


Start-Up Steps for a Dropshipping Business

There are many ways you can begin your own dropshipping business: It's time to start on the right foot!


1. Choose a certain niche.

In the same way that any other business strategy works, a dropshipping store must fill a hole in the existing. So, start by figuring out your area of interest and whom you want to reach.


There are many different types of niche markets, smaller subcategories of a larger industry that strive to accommodate particular market needs and determine prices and product efficiency ranges.


To show you how this might work, let's say you work in an industry that sells things like snowboarding gear. In the same way, iPhone instances are a small segment of the economy for gadget apparel.


It's critical to determine a dropshipping niche to be taken seriously from competitors in the market, especially since there are so many dropshipping companies out there.


So, here are some ways to think about when you're looking for dropshipping business model ideas:


  • Determine what you like or what drives you: Identify a topic of interest and pursue it. Recognizing what you sell can facilitate the experience of running a business more fun.
  • Find a way to do something: Is there something you're having trouble with? If so, other people may be going through the same thing. Customers will want to go to your business if you come up with different quick fixes to frequent issues.
  • Research the best-selling items: There's a good probability of money dropshipping if you sell popular things. Then, look up a few things on Google trends or use software resources to see what people will be looking for.
  • Sell what people want: Food, flowers, and organizing items are all things people need in their homes. That implies there's a decent chance to sell these things.

So, carefully think about your dropshipping business idea to come up with a viable business model.


2. Examine your competitors' strategies and tactics

Choose a niche and then study your competitors and see how they're performing and whom they're competing against. You can discover your rivals in two of the best directions we've found so far.


  • You can use Google to search: When you search for one of the things you wish to sell on Google, notice who shows up in the top 10 results for that keyword. People who do the same thing will be your competitors to verify their websites and see how they grow their operations and market their brands.
  • Third-Party tools and apps: Many people don't think to use resources like SEMrush, Alexa, and SimilarWeb to look for competitors in their field. These tools can help you discover people in your field whom you might not have found with a Google search. To learn about your competition, you may use these tools to see how many visitors they receive, what social media accounts they maintain, and what kind of marketing they do.


After you recognize who your competition is, you could use social listening tools to find out more about their dropshipping procedure so you can copy that and do it sometimes better than they do.


3. Analyze the Market

The next process is to do a market survey and comprehensively study the market you're going into.


This assessment should look at both your competing companies and your target audience. That can assist you in coming up with the right advertising and economic expansion methods for your business, which will help your business grow. The data you collect can also determine how much money, profits, and prices will make.


To get your analysis of the market over to a good start, here is another list of things to think about:


  • Study market value and size: As you research your niche, look for statistics that show how big it is and how quickly it's growing. You ought to find out if enough people want to buy the things you intend to sell.
  • Know whom you want to reach: You should think about the demographics of your target market, such as age and sex, revenue and personal interests, and their job or job title.
  • Determine what people purchase: Consumer buying behavior can help determine what makes people want to buy things. By recognizing who your customers are and what they like, they will be easily reachable.
  • Know your competition: Check out competitor sites with toolkits like Similarweb and Alexa to discover them. Examine what distinguishes them from the competition and whether or not there are any holes in the market.
  • Make a SWOT analysis of your competitors: SWOT stands for strengths, weaknesses, opportunities, and threats. It lets you compare your brand to others and gain knowledge from them.


4. Find a supplier who will dropship for you.

Dropshipping suppliers may make or destroy your company, so choosing the right one is critical. If you choose the wrong supplier, people who buy from you might get bad products, compromised wrapping, and long shipping times. If you don't meet their expectations, they'll hold you responsible, which will make your brand look bad.


So, you need to be very careful if you choose a supplier for your dropshipping online store.


  • Affirm their legitimacy: Locate suppliers who are accepted by the industry and have a decent image. Check for the supplier's business permit and see whether they have a decent customer base to prevent con artists.
  • Check their web presence: The best way to see how good a service is is to look at the people who provide it.
  • Please do some research on how well they treat their customers: Make a phone call to the provider and inquire about their level of responsiveness and professionalism in dealing with customers.
  • Check the high quality of the product: Purchase a few sample sizes and look at them to see if they work well for you. No, they don't look like the pictures on the supplier's company ecommerce website. What percentage of the product description on the website corresponds to what you get?
  • When you get your package, look to see if it looks good and is safe: Consider purchasing a fragile product and sending it to a few spots to see if the supplier is coherent with its packaging and shipping.
  • Test the order fulfillment procedure: For how long do they process and send out an order? Yes, they do a good job of taking care of refunds.


5. Make sure your finances are ready.

Running any business is important to keep your personal and commercial money differentiated. Not only does this help with accounting and legal procedures, but it also makes it far easier to keep track of investment portfolios and income.


When you start a dropshipping business, you need to figure out how to make money. In this section, we'll show you what to do.


  • Make a bank account for your company: When you start a dropshipping business, you should open a bank account and get a business credit card with your brand image on it. Ensure you use it for business.
  • Apply for permissions in your area: Please find out how much it will cost to get a tax permission and resale license from your government department.
  • Consumers should pay sales tax: When someone buys something from a business, they usually have to pay some consumption or sales tax to the business. Ensure that you verify with each local government agency and examine the regulations governing its sales tax nexus before making a final determination.
  • Pay the taxes owed to your suppliers: In this case, you ought to think about interstate commerce tax. Dropship providers may have sales tax nexus in other areas or give tax-exempt status for individuals who hold a resale certificate. Check to see whether your dropship suppliers meet these requirements.
  • Set aside funds for upkeep: It would help if you thought about marketplace fees and advertising costs to keep and expand your business.


6. Establish a store for your dropshipping business on the web

As of now, you've got a decent niche, managed to find out if it's financially beneficial, and managed to find a dropshipping supplier to collaborate with. Next, you need to get a place where consumers can order your great products. If you go with, you'll get an online web store.


Here are the things you will get:

  • A domain name (get a .com)
  • A backend platform (
  • A design

When you've completed those three steps, you'll be prepared to begin operating your dropshipping company.


7. Promote Your Shop

The last thing you need to do to begin a dropshipping business is advertising your product. Email marketing, sponsored advertisements, social media, and everything else in combination are just a few of the many options available for promoting your shop. If you need a stable traffic flow and start making sales, it's good enough to justify it. You won't wait for customers to gather into your store. No one walks around here.


To help you advertise your dropshipping business, we'll make a list of the top three methods of doing so.


Email Marketing

Many ways to market your business, but email marketing is stronger. Besides the basic email newsletter, we suggest that you add such emails to your email marketing plan:


  • Emails of welcome are always nice to receive: When a person subscribes to your email newsletter, they look forward to hearing from you at some point. People who sign up for your newsletter should get a welcome email sequence of 3–5 emails to get them to recognize you better and then let each other know what's coming.
  • Reduced prices and promotional deals: A good way to build your subscriptions like you is by giving them discounts and other special deals. Everyone likes to save money. Don't neglect special deals for holidays!
  • Emails for abandoned shopping carts: Emails to people who have left their shopping carts should be sent as often as possible. It happens when someone puts a product in their cart and then leaves your store without paying for it. 
  • Review requests: If you want to make your store seem more trustworthy, you want reviews and testimonials from people who have used it. For them, send emails to the people who buy from you and enquire.


Social Media

People who use social media are more likely to engage in what you already have to say or do. Many good contents should be put up (including product pictures). Marketing your company's products or services through facebook ads is the major goal of this channel. Sharing intriguing articles and photographs makes this much simpler.

  • Embrace the video: People who show off their products through videos are sometimes better than people who show them through pictures. Start with a few instructional films that demonstrate how to utilize your items to prospective buyers.
  • Engage your audience: Social media is a great deal of fun! Many brands don't interact with their fan base, making their accounts fun. When people comment on your products and brands, you should respond to them.
  • Use people who have power: Our company,, thinks that celebrity endorsement is a good idea. To determine the perfect person to help you spread the word about your business, look for people who have a specific audience to yourself. Influencers may assist you in obtaining user-generated material to distribute with your audience, directing traffic to your website, and a variety of other tasks and activities.


Boost your eCommerce business with dropshipping.

When it comes to starting an ecommerce store, dropshipping is an excellent option. It's very uncommon for people to establish a dropshipping company to have sufficient income while working a full-time job. However, some people go all in and make their dropshipping business profitable.

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