Branded dropshipping is a way to thrive in the highly competitive dropshipping industry, and it sets you apart from the competition.
Every dropshipping people wants to scale their operation to generate more profits and build a sustainable business that they can operate for years to come.
Learning to brand your dropshipping store is the key to improving your score and beating the competition. This article will show you the pros of branded dropshipping and how to build one in 2022.
What is a Brand?
A brand is a business and marketing concept, a characteristic or set of characteristics that distinguishes an organization from other organizations.
A brand usually consists of a name, tagline, logo or symbol, design, brand sound, etc., which helps people identify a specific company, product, or person.
A brand is considered one of the most important and valuable assets of a company. Marty Neumeier, author and speaker on all things brand, defines brand by first laying out what a brand is not: “A brand is not a logo.
A brand is not an identity. A brand is not a product”. Neumeier says that “a brand is a person’s gut feeling about a product, service, or organization”.
In short, some people also summarize the brand simply as a perception of a brand.
What is Dropshipping?
Dropshipping is a business model in which we can sell products without holding inventory.
A business can deliver a product directly from a wholesaler’s warehouse to a customer’s address without logistics and administration. It is a form of order fulfillment where the seller does not own an inventory of the products it sells.
Instead of stock, a seller can set up a website and purchase products from a third party (usually a wholesaler or manufacturer).
The products are then shipped directly to the consumer, which means that the seller does not need to stock products, order large inventory quantities, or fulfill orders. Instead, the third-party vendor will ship the product on behalf of the seller.
Dropshipping is great for entrepreneurs because running a store doesn’t require the same working capital as a traditional retail model.
You don’t need to open a physical store, hire employees, keep the lights on, pay overhead, or stock products. Instead, you open an online store and sell from suppliers who already have the products and warehouse space.
Dropshipping is a business model that allows you to sell products and deliver them to customers without holding inventory. The delivery is done through a supplier who owns the product inventory.
What is Branded Dropshipping?
Branded dropshipping refers to dropshipper privately labeling the products and creating an online store to establish their own brand and sell their products under their own brand name.
It is very similar to ordinary dropshipping, while branded dropshipping is a mixture of two different business modes that are very closely related.
So, when you decide to name the product with your own brand, you should get a successful product from the market first and customize a logo, colors, and packaging to distinguish it from other ordinary dropshipping.
The best way for branded dropshipping is to meet their unique needs by communicating with your target audience, and it will let you stand out in the niche dropshipping industry.
Why is Building Your Branded Dropshipping Important?
We mentioned earlier that branded dropshipping is very similar to ordinary dropshipping, but unlike ordinary dropshipping, branded dropshipping provides a reason for our customers to come back to buy.
Branding may be the way to stand out from the competition in dropshipping.
Let’s look at some of the benefits of branded dropshipping and why it’s important to build your branded dropshipping?
- Give you an edge over your competitors and gives you a head start in a competitive market
- Builds your store’s reputation and awareness
- Create the right marketing to increase customer loyalty, reduce returns and increase profitability
- Have credibility in your niche
- Gain repeat business and referrals
- Save you money and time
So, branded dropshipping is very important when running an online business.
Many similar products will appear when customers search for a product they want to buy, and a good branding effect may set you apart from other competitors.
In addition, branded products always mean high quality. Therefore, it may bring customer loyalty and a good reputation to your store, making you more likely to get more sales.
Tips: While building your brand, it is still vital to raise brand awareness. Once your customers have a strong perception of your brand, you will be their first choice when they want to buy.
Is Branded Dropshipping Better than Ordinary Dropshipping?
The main difference between branded dropshipping and ordinary dropshipping is whether the product is sold with or without a brand name and under your own brand name or another company’s brand name.
Ordinary dropshipping sells unbranded or other companies’ branded products, and many of them are selling the same products. The competition may be fierce, and the profit may be very low.
On the other hand, branded dropshipping is selling your own branded products, which is done in the simplest way possible by using self-designed packaging or logos on the product.
And in some cases, branded dropshipping can control the development and manufacturing process of the product.
If dropshipper successfully builds own brand, it can offer a competitive advantage over other stores. Plus, it can sell your products at a much higher profit than other ordinary dropshipping companies.
Of course, like all things in business, it’s never binary. In some cases, branded dropshipping is the better choice.
But there are also situations where some dropshippers may be better suited for ordinary dropshipping.
Branded Dropshipping Pros and Cons
As a dropshipper who has generated a fair amount of sales, you may be wondering if branded dropshipping is worth it. We are aware of these concerns, but let’s discuss the advantages first, shall we?
1. Branding builds trust
Business thrives on trust. If customers see your brand everywhere when they search and browse, from product packaging to email marketing campaigns, they will trust you more, which gives them a sense of certainty and pride in their purchase.
And when you’re selling an ordinary, unbranded product, and when many others in the market have it, you’re just one of these people and don’t stand out very well. Brand building eliminates this situation and gives you an identity.
2. Branding increase the scales profits
As mentioned earlier, branded dropshipping products sell better than ordinary ones because people usually associate quality with brands.
Branded dropshipping gives you more benefits than other ordinary dropshipping companies competing for the same product.
You can charge a higher price for your product because you have invested in building customer trust and good quality.
3. Branding brings repeat customers
Customers seek out a company’s logo. When they need the same product again, the brand will be the first to tell them to go back and buy it because branded dropshipping makes them happy, and they will think of it immediately.
Sometimes, if you make the extra effort to build customer trust, you can bring benefits because of your brand even though you don’t have a unique product. And while branded dropshipping can be more profitable if done right, it does have its cons.
1. Request a higher minimum order quantity
Branded dropshipping always requests a high MOQ. When you name a product with your brand, it is your own product.
If the product doesn’t sell well, this will cost you money because there is so much stock. So, you have to make sure it is popular, can sell fast, and has a higher profit than an unbranded product.
2. Sourcing should be carefully
If your sourcing strategy is not in place, you will get in serious trouble, such as your suppliers failing to deliver products on time or even defaulting on payments. It’s a delicate balance, as suppliers can be unreliable.
Whether your branded dropshipping can succeed depends largely on your ability to spot these pitfalls from time to time and deal with them before they become a problem for you.
3. You need a reliable agent to handle the execution
Having a reliable dropshipping agent is the most crucial aspect of brand dropshipping, which will make your life easier.
A dropshipping agent can be invaluable to a branded dropshipping operation, from sourcing a trusted supplier to handling the backstage without hassle.
While some suppliers agree to handle order fulfillment for you, most don’t, so this is where dropshipping agents have to join in.
How to Build Your Branded Dropshipping?
If you desire to succeed and stand out from your competitors, you need to take the time to look at the guide below to start your branded dropshipping business.
I will guide you step by step on how to build your brand for each element of your dropshipping store.
Step 1. Identify your niche market
You can build a brand for any niche. However, some niches are easier and more effective to build a brand for. Ideally, it would help choose a niche with a hungry and passionate audience.
Think of that group of people you know who are passionate about something in their lives, which could be hunting, religion, MMA, fishing, moms, etc.
Because you know who your customer base is, you can create a store that speaks to them. Every aspect of your store will be tailored to your customers and their lifestyles. Choosing a niche with a specific audience also makes advertising easier.
Step 2. Create a marketing plan
If you want to stand out from your competitors, you must fully understand them. So, conduct market research to find out the following:
- What do your competitors sell?
- How do they produce them?
- What are the pros and cons of their products?
- What promotional channels do they operate?
- Which social media platforms do they use?
In this case, it will be easier for you to highlight the advantages of your product and poach your customers.
However, you can find a brand strategist if you don’t want to lose personal time on something like this.
Step 3. Define your values and brand commitment
Sticking to values is one of the things that makes successful brands stand out from the crowd.
If you want to stand out and create a meaningful impact, you need to be clear about what core values you want your business to be known for.
It should be easier to develop a brand commitment with your brand values and insight into your target market.
Your brand commitment is what your customers expect from you, so make sure it’s something they want to keep coming back to.
Step 4. Design your brand information
Strong brands connect with their target customers emotionally. The logo and name you choose play a huge role in conveying the feelings and emotions associated with your brand.
Choosing a store logo
You can use your logo, color palette, and typography as an opportunity to communicate visually with your target customers, evoking emotion and making your business easily recognizable.
So create one, and ensure the design and other creative assets are consistent across all your stores.
Name for your branded store
It’s hard to find a good name now because almost all the good ones are taken.
I recommend finding a name with a .com and finally a URL extension for the country you sell in, which is more familiar to your customers and can provide more trust.
Work with your suppliers or third-party service providers to extend your brand identity to your resale products and packaging.
Step 5. Make your website user-friendly
An easy-to-use website is a must for every strong brand. When creating a website for your dropshipping business, you need to keep in mind that it should match your brand’s style.
When customers visit your website, they should understand that it is a brand-specific page.
Your store’s theme needs to match your niche and look professional, and the color scheme you choose also needs to match the type of products you sell. Otherwise, the overall feel of your store won’t be right.
Step 6. Select your product
At this stage, your creativity and market research skills come into play. First, you can consider trendy, novelty items you’ve recently encountered online or offline retail stores.
In addition, you can get product ideas from social media, such as Facebook, Twitter, or Instagram. Why? They’re where your potential customers are.
You’ll find out what your customers care about and which products they like. Then, you may know how your store should act and which products you want to sell.
Before listing these products, ensure the seller has excellent reviews and feedback. Anything less than excellent can make a huge difference, as poor customer reviews mean faulty products or unreliable sellers.
Step 7. Branding your dropshipping products
Printing your logo on your products is a great way to build your brand. It looks like you are the original creator of the product, which will build trust and authority among your customer base.
You can also ask your suppliers to customize and improve your products to make them unique in the marketplace.
You will need to make a bulk order and negotiate these terms to make these changes, but it can make a huge difference to your business.
Step 8. Select a supplier
Finding a good supplier to offer our products is critical. Your dropshipping business relies on high-quality products to maintain your brand image.
Here are some features of a great supplier:
- Friendly to the dropshipping
- Private labeling/custom packaging
- Provides product branding
- Fast shipping times
- High-quality products
While a good supplier does not have to have all of these characteristics, the more characteristics a supplier has, the better it is for your business.
Step 9: Promote your branded store
Promoting your store is the most direct way to build your brand presence. To achieve this, you need to explore different ways to market your business.
If you have a good budget, paid advertising on Facebook and Instagram is a great way to get your brand name exposed and expanded.
For beginners, free marketing channels such as SEO(search engine optimization) and influencer marketing can be just as effective in gaining the attention of their brand.
Whichever method you choose, you need to consider whether it’s right for your product. After all, the best fit is the best.
Step 10. Process your orders
After promoting your store, orders will inevitably arrive, which means you have to fulfill them by going to the supplier’s website and placing orders for your customers.
There are two ways of processing orders: manual fulfillment and automatic fulfillment.
- Manual fulfillment means going to the supplier’s website for each order, filling in the customer’s details, and placing the order.
- Instead, automated fulfillment saves you time and replaces this tedious process by processing bulk orders, automating orders, tracking updates, and handling returns.
Tips: When a customer receives a package, he will also receive tracking information that can be customized to showcase your brand.
Step 11: Shipping fast
Shipping fast is important because you build a brand and provide your customers with the best experience to improve your reputation.
If you are doing dropshipping from China, the shipping time will be quite long and unavoidable. However, there are ways that you can reduce the shipping time.
Step 12: Personalized after-sales service
Personalized after-sales service is not just about handling issues such as deliveries and returns but also about providing Personalized care for each customer.
Likewise, any problems that arise should be resolved in time. Communicate with customers to let them know they are being taken care of. Communication should reflect our brand image and values.
In short, building a strong brand can make your ideal client more memorable, more attractive, and more trustworthy. And also make it easier to attract more people to buy from your dropshipping store.
Your customers themselves can influence their peers to support your brand, these will ultimately affect your branded dropshipping. So, don’t wait too long and start building your brand as soon as possible.
How to Find the Best Branded Dropshipping Suppliers?
Now you know how to build your own branded dropshipping, but is there any method you can follow to find great dropshipping suppliers?
Here are some steps to ensure you find the best dropshipping supplier:
Step 1. Research
Once you’ve decided on the product you want to sell, research what dropshipping suppliers are there and which ones could meet your needs.
You may need to choose between domestic or overseas suppliers, whether dropshipping outside the US or catering to local customers.
Step 2. Try Niche Scraper
Niche Scraper is a product research tool that helps dropshippers discover trending items. It also provides users with a daily list of recommended products, suppliers, and ad targeting methods curated by its experts.
Step 3. Extensive Google
Many dropshipping suppliers haven’t mastered the marketing methods yet. With this in mind, you should search Google for various keywords and look on the first page of Google results. Don’t overlook a supplier because of a bulky website.
Step 4. Good experience
Dealing with new dropshipping websites can be risky, as they can be fraudulent, and new websites often go out of business.
For these reasons, it is important to check the age of the supplier’s website. We recommend using a website that has been in business for at least two years.
Step 5. Read the reviews
If the supplier has customers’ reviews, check what people say about their products and customer service, which will give you an idea of how customers will perceive the quality of their products when you sell them yourself.
Step 6. Contact the supplier
Talk to dropshipping suppliers that meet your needs, and start building a relationship with them. Talking to them will allow you to ask questions about their services.
They can even provide you with some contact information for existing customers so you can get a first-hand experience of working with a supplier before committing.
Step 7. Order from your competitor
Order some products from a competitor or a dropshipper you want to be.
The search return address will tell you who their dropshipping supplier is, which is a great opportunity to check out the competition and find potential suppliers simultaneously.
Step 8. Legit fees
Suppliers are doing the heavy work of keeping inventory and shipping your products, so it makes sense for them to charge a pre-order fee.
Just remember that you want to make a good profit and not be used by unnecessary fees.
Step 9. Review policies
Since the supplier’s policies will effectively flow to your customers, you will need to know how they handle broken products, lost packages, returns, etc.
If the supplier does not have these policies on their website, contact them directly for inquiries.
Step 10. Order samples from suppliers
Once you select two or three suppliers to do business with, pls do these first: order samples from them and test the quality of their service, delivery times, packaging, and other supplier-related issues to be completely satisfied with your choice.
Step 11. Fast shipping
It is important to sign up with a supplier who can ship faster than your competitors, which will keep you and your customers happy. It is best to ship within 24 hours, but less than 48 hours.
Step 12. Look for automation
As your business expands, it may not be feasible to manually manage inventory levels, place orders, and track shipments.
Ideally, suppliers should integrate with your e-commerce platform to automate these workflows, so let you focus on growing your revenue streams.
Why Should You Avoid Bad Dropshipping Suppliers?
You should avoid bad dropshipping suppliers at all costs. In addition to bad reviews, negative feedback, and cheap products, several other factors can show a bad dropshipping supplier.
Reason 1. It is a bad sign if a dropshipping supplier insists on a monthly or ongoing fee to do business with them.
Reason 2. Normally, pre-order fees will increase slightly depending on the size or complexity of the order or decrease on larger orders.
Check those suppliers that will highlight who charge higher than normal pre-order fees, and you have to stay away from these suppliers.
Reason 3. Minimum order quantity is another thing to consider when choosing a dropshipping supplier.
In most cases, suppliers are willing to charge a minimum start-up fee and fulfill orders as they come in, but some will fulfill orders immediately as they come into your online store. You have to avoid these suppliers.
How to Find the Best Branded Dropshipping Products?
You’ve found your dropshipping suppliers and identified your niche, so you’re ready to stock up your online store.
But which brands of dropshipping products do you want to choose? There are so many options, so what should you do?
Here are some steps to ensure you find the best branded dropshipping products to sell online:
Step 1: Google Trends
Almost every online retail purchase starts with a Google search. Google Trends is a free tool that analyzes the top search queries in Google Search by region and language.
The currently trending products are the best choices for your dropshipping store inventory.
How to use Google Trends for dropshipping?
- Choose a well-known brand
- Choose a trustworthy product
- Avoid market- saturate products
- Keep products lightweight and small
- Avoid seasonal products
- Choose products that consumers buy frequently
Step 2: Other online stores
You can find profitable products by analyzing the sales of other online stores, especially the big ones.
The trick here is to browse other online stores’ best-selling products, trending products, and even the least-selling products to gauge what to include and not to include in your list of dropshipping products.
Step 3: Social Shopping Sites
A social shopping site usually works similarly to an online store but with consumer recommendations.
It centers on a community of social network users who have similar interests and rely on the opinions of others. You can get more product ideas from social shopping sites.
Step 4: Focus on your competitors
Learn from the best of people. Check the top brands in your niche. What are their best-selling products?
Your competitors are a wealth of information about your business. Check out their social media profiles and follow their stores.
When they move to new products, this could be a sign that you need to check your product range.
That’s it. Now that you’ve got all the information, start sourcing the best branded dropshipping products. We know you’ll be successful.
Branded Dropshipping FAQ
1. Is branded dropshipping worth doing?
Since customers prefer brands they can trust, branded dropshipping is worth doing.
2. Can I do branded dropshipping products?
As long as you follow the rules and regulations, branded dropshipping products are excellent to do.
3. Is dropshipping legal?
Yes! Like other business forms, dropshipping is a legit way to make money by selling items that do not physically exist in your store.
Thousands of companies are already using this method to offer and sell different products online.
4. Is the dropshipping product a good idea?
It is usually best to test the market with dropshipping before buying bulk products.
When you learn more about the market, you can reasonably expect how much quantity hope to sell and investigate buying in bulk to set aside cash.
5. Does dropshipping offer customer support?
As a dropshipper, you are 100% responsible for managing your customers. You will have to build and market your website, handle customer support issues, deal with problems and manage any issues.
In short, you will act as the middleman between your supplier and your customers.
6. How do I pay my dropshipping suppliers?
In the beginning, suppliers expect you to have a MasterCard to pay for orders. Make sure you get a Visa or MasterCard. Most suppliers will not recognize Discover or American Express.
Branded Dropshipping Conclusion
Congratulations on your valuable experience in creating a branded dropshipping. You are now ready to create your own trustworthy brand that customers will love.
Branded dropshipping has great potential to help you build a legit e-commerce brand. We hope this article has helped you better understand the process.
We recommend working with only one good sourcing agent who will manage your entire business.
I am Yan, the founder of Yansourcing, the best sourcing agent in China, who can quickly and safely help you buy and import from China. If you need help sourcing from China, please do not hesitate to contact us.