The concept of ‘Zero-Cost Dropshipping’ was the initial allure for me in the dropshipping business model. However, the extent of truth behind this claim is what I will delve into in this article. I must emphasize that this notion creates a misleading impression about dropshipping, as, in reality, initiating a dropshipping venture requires some level of financial investment. Of course, commencing a dropshipping store with an initial cost of 0 is entirely possible if one registers for trial services essential for dropshipping. However, to operate a dropshipping store seriously, investment becomes inevitable.
The article will highlight some cost-free investments, as well as certain expenses that are unavoidable when engaging in dropshipping business. Additionally, we will propose some supplementary investments to help you excel and thrive in your dropshipping endeavors.
Initial Costs to Set Up a Dropshipping Store:
- WordPress
- Description: WordPress is the platform where you can build a custom dropshipping online store. It is free, meaning you don’t have to pay anything when building your website on WordPress. With 34% of websites on the internet based on WordPress, it’s a widely-used platform. Additionally, no advanced technical knowledge is required to use WordPress, making it user-friendly.
- Cost: $0
- WooCommerce
- Description: Another crucial and free component for your dropshipping store is WooCommerce. WooCommerce is a WordPress plugin that adds e-commerce functionality to your website, converting it into an online store with just a few clicks. 99% of online dropshipping stores in the US, Canada, and the UK are supported by WooCommerce. It’s easy to set up with a store designed under the WordPress platform.
- Cost: $0
- Domain Name
- Description: Once your store is set up, you need to assign an address to your website, known as a domain name. It comes with various options like .com, .net, .org, .uk, .us, etc. The most suitable for your business would be .com. You can expect to spend around $15 for your .com domain.
- Cost: $15
- Hosting
- Description: After your website is ready, the next step is to make it accessible on the internet. You need space to store your website, and this process is called website hosting. Many websites provide hosting services. As you’re new to dropshipping and your website is just starting, you won’t need premium hosting services. You can choose a basic package, and hosting costs range from $40 to $170 depending on your requirements.
- Cost: $50
- AliDropship
- Description: Once your website is operational, you’ll need to populate your dropshipping store with products from AliExpress. Manually importing products into your website is nearly impossible and time-consuming. AliDropship helps you import products from AliExpress with just a click.
- Cost: $89
Optional Costs for Your Dropshipping Store:
- Product Inspection
- Description: Your customers expect high-quality products from your store, and that’s a primary reason they choose to buy from you. It is your responsibility to provide the best products available in the market. If the products are of low quality, it will affect the store’s reputation, and in some cases, you may have to incur costs for returns. Therefore, always inspect the quality of the products before dropshipping to consumers. Ordering a sample product will help you assess the product quality from your supplier. You may need to spend around $80 to $150 for this process.
- Cost: $80
- Themes
- Description: Investing in a premium theme helps your store stand out from others using free WordPress themes. You can check my list of top WordPress themes to choose the best one available in the market. You might have to spend between $45 to $70 for a premium theme.
- Cost: $45
- Marketing
- Description: As a newcomer in the market, traditional marketing may take a considerable amount of time. If you want quick results, consider paid marketing methods. On average, advertising on Google costs $1 to $2 per click (CPC), and other mediums like Facebook charge $5.95 for thousands of impressions. To bring approximately 100 users to your website through advertising, you would pay around $60 for Facebook ads and about $100 for Google ads. Initially, it can be costly, but it helps build a customer database and improves your brand’s reach.
- Cost: $160
How do you find this cost level? Is it high or low compared to your expectations? I think this is the lowest amount you have to spend compared to all other forms of starting a business.
