What is Dropshipping?

What’s AliExpress Dropshipping?

AliExpress dropshipping works similarly to the traditional dropshipping method. You copy the product from AliExpress to your store and set your own prices/markups. After you sell a product, you purchase it from AliExpress and have it shipped directly to your customer.

AliExpress dropshipping comes with many advantages, but dropshipping is much more nuanced than just stocking the inventory.

Pros and Cons

You can compare dropshipping to other fulfillment models here: The Ultimate Guide to Dropshipping.

Below I list pros and cons specific to AliExpress dropshipping:

Pros:

• You control your own margins. You are not bound to a suggested retail price (MSRP) and can decide your retail price on your own.
• You can start immediately, for free. AliExpress dropshipping is possible even without contacting the supplier.
• You don’t need an established business entity before starting your online store. Though, you will need one when you grow.
• You have access to millions of products. Instantly.
• AliExpress products are trendy. Chinese suppliers do their research watching the trends. 

Cons:

• When dropshipping, it’s very hard to gain any competitive advantage. With AliExpress, it’s even harder.
• There are still a number of copyright infringements on AliExpress and if you aren’t careful, you can become a part of them.
• AliExpress is a retail website, but there’s no unanimous return policy.
• Other than the US, delivery takes over 30 days, which makes it unattractive to many customers.

Is it worth a shot? Definitely yes. I know over 2,200 stores using AliExpress dropshipping, and they have made over $8,900,000 in revenues during the last 6 months.

Here’s how you should proceed:

Add Products to Your Wish List

Go to AliExpress.com and look for the products you decided to sell in. Once you find a product that fits your search criteria, add it to your AliExpress account wish list.

If you plan to sell in the US, make sure your products can be delivered with the ePacket delivery option. ePacket delivery takes only 14 days to arrive to the US, while other delivery options usually take over a month.

Don’t Always Go for the Lowest Price

Typically, the price on AliExpress.com goes down with the quality. So don’t get overly excited when you find the same product at a fraction of the price.

Although a lower price does not necessarily mean lower quality and vice versa, we highly recommend you avoid these types of situations:

Look for Suppliers That Have 95% and Higher Positive Feedback

The two most important things while evaluating AliExpress.com sellers are their Feedback Score and Positive Feedback Rate. The Feedback Score indicates the seller’s sales volume, while the Positive Feedback Rate represents the feedback rate that the supplier has received. Always aim for 95% or higher positive feedback rate and a feedback score of at least 2,000.

You should also consider individual product feedback and the order count. It’s much safer to buy a product that has been ordered a few thousand times with a 90% positive feedback score, than a product that has only been sold twice but has a 100% positive feedback score.

Pay Attention to the Responsiveness of the Supplier

Let’s say you have an emergency situation — a customer files a dispute on your PayPal account and insists on a reshipment. You want your supplier to respond to you immediately, don’t you?

To protect yourself against such situations, always check how responsive the AliExpress.com supplier is before importing their product. Write them a message via AliExpress.com and see how quickly you receive an appropriate response. You can even create a fictional scenario where you say you haven’t received your order. Note how long it takes for your seller to reply and how they handle the situation.