This article is about dropshipping in Singapore. However, the same advice can be applied wherever you live in the world. We have some amazing advice for you.
Dropshipping is growing in popularity among both full-time entrepreneurs and people who want to make a side income. Dropshipping is a popular option in Singapore because of the ease and regular use of internet by citizens.
Ecommerce in Singapore will be worth USD2,405 millions by 2020. Growth is projected to reach USD4.079 million by 20251. Now is the best time to start a dropshipping company in Singapore.
This guide will help you get started in Singapore, as well as provide tips and tricks for building a successful business. Wise Business will also help you maximize your overseas sales.
Singapore dropshipping statistics
Ecommerce is growing rapidly. It is important to get into a market that is growing as soon as possible. Established players will thrive as more customers switch to online shopping.
These statistics will help you understand the potential opportunities.
- 89% of Singaporeans use the internet for searching products they are interested in buying
- 52.4% of Singaporeans used ecommerce in 2020 to make their purchases. This is expected to rise to 67.2% in 2025.
- Today, ecommerce is used by 3.1 million people in Singapore. The average revenue per user is US$784.52.
- Singapore’s high cost of living means that it is possible to export goods from lower-cost countries with good margins.
- In 2020, food and personal care will be the largest market segment. Nearly a quarter of all ecommerce users are between 35-44 years.
- Qoo10, Amazon, and Lazada are some of the most searched online terms in 2019.
Starting an online store in Singapore for dropshipping
Ideation: It’s a lazy Sunday evening, so you’re relaxing on the beach thinking–life is just a status quo–I have to stir stuff up a little–make it crazy–add some pizzazz. How about a fresh company start-up?
Oh, I understand–everyone I know jumps into ecommerce because it’s an simple, cost-effective way to get my feet wet without burning a pocket hole. What’s better than that–should I attempt dropshipping? I don’t have to do anything–just create an ecommerce website online, set up a dropshipping account, and I’m in company. Whoa! Why haven’t I ever thought about this before?
Sounds cool–does it sound simple? You’re betting. But when everything sounds too nice to be true–read the FINE PRINT!
But hey–don’t get discouraged–with step-by-step guidelines, we’re here to assist. You just need to plan well, cover all the bases and then jump into it with your eyes wide open so you won’t be caught off guard by the problems. Here are some free advice and tips to assist you start an online business in Singapore This post will assist you if you’re thinking about starting a Singapore dropshipping company. You can decide whether you only want to sell or participate in cross-border trade within your nation.
Why are you waiting? Let’s plunge into it!
Knowing your contest is nice before you start
- Take some time to investigate what is done by other dropshippers. Join social media organizations, watch videos from You Tube, study data from the government to discover stats–all over the web.
- Next do some targeted market research to discover your region’s most reliable dropshipping firms. Obviously, China is one of the largest dropshipping industries–from easy arts and crafts to high-end electronics.
- Call and interview various dropshipping vendors. Compare pricing, stock levels, discounts, procedures of shipping / realization; return policies, management of damages. It’ll take time, but it’s worth it altogether.
- Once a few vendors have been selected, compare the products they sell. In order to comprehend trends–which goods are selling, which ones give excellent margins, which products are less susceptible to harm, which ones have a large proportion of yields–try to comprehend customer behavior.
- If you’re prepared with your provider and product blend, it’s time to move into the next stage
Setting up the company: Navigating the legal / regulatory maze
For starters, it helps to be in the nation known for being business-friendly. In assisting people or businesses set up a legal entity permitted to do company in Singapore, Singapore receives top honors. Indeed, even citizens outside of Singapore can set up a legal entity to function outside of Singapore. If you’re a citizen of a nation in / around Singapore, you might discover it simpler to integrate your business in Singapore than you do in your own nation–at least it’s worth thinking!
The Singapore Broadcasting Authority oversees all internet companies in Singapore. Before beginning activities in Singapore, all ecommerce businesses including dropshippers must acquire regulatory permits.
Building your online presence: setting up your brand identity
You’re done with all the paperwork and you can’t wait to get started. That’s my favorite component. KLoc is the location where we assist entrepreneurs launch their dreams online with more than 10 years of experience in eCommerce. Don’t mistake me. I don’t sell my services. Just as you questioned yourself to investigate well before choosing a dropshipping company, I’ll recommend you to do the same to find a “right online” partner that can assist you create, sustain and develop your business. Please be advised that you may need more than one seller to manage your company in distinct ways. Let me clarify it to you.
- Set up your trademark–here in Singapore, Shopify has an outstanding article about registering your mark. Go through it to “reserve” your trademark of your own. To help you develop a distinctive brand identity / name and branding property, you could participate with a designer.
- Selecting the correct brand image–you reflect your brand–your ethos, your passion, your objective. It should show obviously what you stand for. Your business line should be illuminated by the logo / tag line. You could attempt to participate with skilled developers on locations such as designcrowd.com and then choose the design resources you want.
- Register a domain name–An expansion of your brand identity is a domain name. In conjunction with the above operations, you should attempt to research and reserve the domain name as it is an essential component of your internet company. Here’s a nice starting point.
Start Selling Online
- It can be a daunting challenge to choose the correct platform for your company. With 600,000 retailers in more than 160 nations, Shopify is obviously the market leader when it comes to setting up a user-friendly, branded storefront for your dropshipping company.
- Oberlo allows you to begin selling ind products online to sell, add them to your shop, and you’re prepared to sell them.
- Once all of this has been set up, register with the Intellectual Property Office your names / branding assets to safeguard your mark.
- Ensure that you set up your payment gateway (Shop Payments or Shop Payment Gateways, Singapore)
Building the Store
- Shopify is probably the only DIY platform there is, but if you have better stuff to do with your time, leave the setup, design and growth to an organization like us and concentrate on what’s essential to you–your company.
- Hiring an expert enables you make the correct decisions when it comes to configuration like selecting the correct theme or third party app, selecting the correct characteristics for your shops, tips and tricks to enhance traffic and conversions, and optimizing efficiency.
- The specialist can assist you incorporate the gateway of payment, integrate the dropshipping application, and deploy the shop so that you are accessible to company.
- Oh wait, there’s something else. It is always a great idea to document explicitly all your strategies such as Privacy Policy, Shipping and Return Policy, Terms and Conditions and a general FAQ (Frequently Asked Questions) obviously on your site in accordance with your countries
- Testing the entire workflow is the foolproof way to guarantee that your clients have a smooth purchasing experience.
Start Shopify Dropshipping in Singapore
In this guide, we’ll outline everything you need to know to start shopifying and selling on Shopify in Singapore.
There are a few steps that you need to take in order to start dropshipping in Singapore. First, set up your shop on Shopify. Next, create an account and post your products for sale.
1. Do your research: Start by doing your research and understanding what Shopify dropshipping is all about. There are a lot of factors to consider before getting started, such as your product, price point, shipping costs, and more.
2. Choose the right product: When starting out with Shopify dropshipping, it’s important to choose the right product category. You don’t want to start selling products that are too niche or difficult to sell, as this will result in lower sales and lower profitability.
3. Establish realistic shipping costs: It’s important to understand shipping costs and how they can affect your business. Setting realistic shipping costs will help you stay profitable while dropshipping.
4. Create an effective marketing strategy: It’s essential to have an effective marketing strategy when dropshipping on Shopify. This will include things like creating content featuring your products, developing an affiliate program, and more.
5. Stick to a consistent sales process: One of the key elements of successful Shopify dropshipping is sticking to a consistent sales process.
The Downsides of Shopify Dropshipping
Dropshipping can be a great way to start your own e-commerce business, but there are a few things to keep in mind before you get started. Here are the six biggest downsides of dropshipping on Shopify:
1. You need to have a lot of inventory
If you’re Dropshipping on Shopify, you’ll need to have a lot of inventory in order to make sales. This means that you’ll have to spend a lot of time and money acquiring this inventory, and you may not be able to make as much money as you would if you run a traditional e-commerce business.
2. You need to be able to handle shipping and returns
If you’re Dropshipping on Shopify, you’ll need to be able to handle shipping and returns yourself. This means that you’ll have to invest in advanced shipping tools like FBA, which can cost several thousand dollars. It also means that you’ll need to be comfortable dealing with unhappy customers.
3. You may not be able to make as much money as you would if you ran a traditional e-commerce business.
Dropshipping tax in Singapore
Dropshipping income earned in Singapore is subject to tax. To avoid any hassle, make sure you fully understand all requirements for your income and business registration. Also, file tax returns, pay your bills, and complete everything on time.
Dropshipping is an understandably popular business model which allows entrepreneurs to start up online businesses with very low initial outlay and risk. The simplicity of the model, though, can be deceptive. There are plenty of things to think about to set your dropshipping business in Singapore up for success. And because there are few barriers to getting started in dropshipping, the competition can be tough going in some niches.
Conclusion
If you’re thinking of starting a online shop, Shopify is the platform of choice. It’s user-friendly and fairly affordable, making it an ideal platform for new businesses. However, if you want to start dropshipping on Shopify, there are a few things you’ll need to know first. In this article, we’ll teach you how to set up your Shopify store so that dropshipping can be a part of your business strategy. So whether you’re just getting started or you’ve been selling online for awhile but want to take your business to the next level, read on for our tips on how to start Shopify like a pro!
