Last Updated on August 17, 2020 by Henry Ibeleme
Dropshipping business in Nigeria is one of the business ideas I admire so much. That is because you don’t need a physical store or any stress.
I am not trying to make this business look easy, because it isn’t. Instead, I am here to guide you on how you can begin this exciting journey.
The reason many Nigerians are yet to start this business is probably due to the hassles. Running an online store in Nigeria is not typically pleasant.
First, you will have to struggle with no electricity, which is a significant prerequisite for a successful online business.
But if you find yourself in a good location where you have access to a power supply, then you’re lucky.
Mostly, what you’ll be doing is updating your online store with new product images and processing orders.
Maybe when you feel like, you drop some product images as Facebook ad and watch sales skyrocket.
Um… it isn’t that easy, but at least you have a rough idea. Now is the time to break this idea into tiny pieces.
That way, you will understand how dropshipping business works in Nigeria. Ready?
Table of Contents
- What Is Dropshipping?
- Starting A Dropshipping Business In Nigeria
- Making Money From Dropshipping Business In Nigeria
- Struggling With The Payment Gateway
- Success Tips On Dropshipping Business
- FAQs On Dropshipping Business In Nigeria
- Over To You
What Is Dropshipping?
Simply put, dropshipping is the type of eCommerce business where you do not keep products for sale, nor do you have a warehouse or maintain an inventory.
However, you make sales by processing orders through a third party, probably another eCommerce retailer that handles inventory and owns a warehouse.
Also, you don’t even have to worry about delivery, as your supplier is wholly responsible for those.
Your primary job as a dropshipper is to process orders and ensure they get delivered without issues.
If you’re able to automate every process, you will be making money in your sleep. The image below is a graphical representation of the dropshipping model.
From the image above, you will agree that this business model is pretty straightforward. It isn’t rocket science or calculus.
I hate calculus!
Starting A Dropshipping Business In Nigeria
1. Discover Your Industry
If you want to start a dropshipping business in Nigeria, you need first to pick a niche or industry that seems profitable.
Ensuring you choose a niche you’re familiar with will be an advantage. It will help you to determine the best and high-quality products.
When you delve into a niche that interests you, you will find yourself writing better sales copies and product descriptions.
To build a strong brand, you need to discover a niche and stick to that niche. You mustn’t be a jack of all trades – an online store with no focus or message.
I came across a store a few hours ago. It features all kinds of fitness wears and accessories, and the mission was to build more athletes in the world.
This store has discovered a niche and an emotional felt message that resonates with customers. Your niche or industry is something you must get right.
Even if you don’t have a dream, dream one, at this very moment. You should be passionate enough to see this dream translate to reality.
That means you should be able to put in the work and effort required to build a successful dropshipping business in Nigeria.
2. Find A Supplier
Without a supplier, we won’t be talking about dropshipping business at all. That is because your supplier is a vital piece of the puzzle.
You want to make sure that you deal only with reputable and reliable suppliers. The wrong suppliers will doom your business before you could even say, Jack!
Due to my experience working with Chinese suppliers, I always recommend them. With Alibaba, you will be able to discover thousands of potential suppliers.
Since you’re serious about making it big as an entrepreneur, try to find out the production capabilities of potential suppliers and determine if they can sustain your business in the long run.
You need a supplier who can deliver even when your business has blown up to become a major eCommerce platform.
When it comes to finding the right supplier, a tip that always works is to monitor the reviews and ratings. Through this indicator, you can tell for sure if the supplier is the one.
3. Create A Store
You don’t need to pay a dime, nor worry about management. They run an online school, where they guide prospective sellers on how to sell through their platform.
When your business has grown to an impressive height, perhaps then you can create a store. The most important thing is to begin because only then will nothing stop you.
Who knows, you might become the next giant retailer in West Africa if you’re patient enough. Remember, nothing good ever comes easy.
To succeed in dropshipping business in Nigeria, you must be ready to start small, but never stop dreaming big.
The goal is to acquire a lot of experience in the business. That way, you won’t lack the confidence to expand.
4. Marketing Strategies
After setting up every component of your dropshipping business, the next step is to create awareness.
That can only happen when you come up with reliable marketing strategies that work.
Without marketing or promoting your products, no one will know your business exists.
I remember my mentor telling me, if you want to succeed in dropshipping business, you need to learn how to sell.
At first, I didn’t take him seriously. I was like: when I reach the bridge, I will get across it. How wrong I was!
The majority of your marketing campaigns will be done online. So, you don’t need to worry about knocking on offices or homes to sell your product.
Remember, you don’t handle products, inventories, and warehouses, whatever!
As long as the dropshipping business is concerned, the only thing you’re handling is your store and product images.
Here are some marketing strategies that would help you promote your business.
- Run Facebook Ad
- Email Marketing
- PPC Advertising
- Referral Program
- Content Marketing
To get a better idea, ensure you read my article on marketing strategies you can use to grow your business.
With the right marketing tactic, getting orders will never be a problem. As your guide, I would advise not neglecting Search Engine Optimization.
That is because you will be getting consistent organic traffic if you invested in content. With keyword research, appearing for some transactional keyword is possible.
5. Entrepreneurial Mindset
A blog reader asked me sometimes ago to share an entrepreneurial lesson that I cherish so much. The request plugged me into deep introspection.
After some minutes, it was evident that failure has been my greatest lesson. Thinking of it, I have failed numerous times than I could count.
But then, I never allowed failure to deter me. I kept getting back up to tackle that issue over and over again!
If you want to succeed in dropshipping business in Nigeria, you must learn to rise from failure.
The journey of an entrepreneur is not rosy, but the end reward is worth every sacrifice.
I love to always apply the two-year rule in everything I do.
The Two-Year Rule: It is merely focusing on one business idea for two years, irrespective of whether the business is doing well.
With this mindset, you’re more likely to succeed in your business. The reason many companies fail is that the starters were impatient.
If you can push your hunger for quick money aside, you will be surprised how much you’ll accomplish in two years.
Making Money From Dropshipping Business In Nigeria
While seeking ways to automate a dropshipping online store, I came across an incredible plugin – The AliDropship Plugin.
This plugin pulls images and product descriptions from your supplier’s website to your store.
With a single click, you can do this without any glitch.
Through this plugin, you can sell your product quickly. The only thing you will have to worry about is paying your supplier.
After payment, your supplier will ship the product to your customer.
Your customer won’t even think that the product is from a third party, making the dropshipping model an incredible idea.
If you’re looking for a way to create multiple income streams and live financially free, dropshipping business in Nigeria is worth giving a try.
Struggling With The Payment Gateway
In the dropshipping business, the only way you can process order is through a payment gateway.
Through such a mechanism, your customers can pay directly using their card, PayPal, etc.
To many Nigerians, the payment gateway is the major problem in this business. The fact is, it has discouraged many.
However, that shouldn’t be so. To quickly solve this issue, you can use Paystack.
This platform accepts payment in Nigeria, and you don’t need to worry about registering your business.
But if you’re to receive orders internationally, your business has to be registered with the CAC and a corporate business account.
Within 24 hours, you will be ready to receive payment via your online stores.
Success Tips On Dropshipping Business
- Plan your finance and ensure you’re tracking your progress. Always separate your personal account from your business account.
- Pay attention to customer feedback, since they help your business to improve and become better.
- Never stop running marketing campaigns, even if you’re getting consistent orders.
- Dealing with a reliable and trusted supplier will ensure your customers have the best experience.
- Be ready to grow and expand. Never get too comfortable that you stop growing.
FAQs On Dropshipping Business In Nigeria
Yes, you can start dropshipping in Nigeria without issues. The only requirement is learning how this business model works.
Shopify works in Nigerian, and yes, you can create a Shopify store for your dropshipping business.
Amazon allows dropshipping, but you will have to read their dropshipping policy to ensure you don’t default.
The cost of starting a dropshipping business depends on your niche. However, a budget of #50,000 is ideal, especially if you’re not ready to create an online store yet.
You can make thousands of dollars every month from dropshipping. The most important thing is being ready to pay the sacrifice.
Oberlo is one of the platforms you can use to run this business successfully. So, you can use Oberlo in Nigeria.
Over To You
No matter how profitable a business is, you will never know unless you start.
Now that you have a rough idea of how to start a dropshipping business in Nigeria, the next step is kicking off.
Business capital shouldn’t deter you from starting this business, nor should you fear or doubt. Start small and never stop dreaming big.
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With that being said, I wish you success!