How to Grow an e-Commerce Brand Through Dropshipping
In this episode…
Do you know how dropshipping works? Have you ever sold products that have been dropshipped through your e-commerce brand? Would you consider getting into dropshipping to expand your customer base and increase sales?
In today's episode of the Relationship Commerce Podcast, Dean Dutro talks to Sean Reyes, the CEO and Founder of Shock Surplus, about how e-commerce brands can grow through dropshipping. Sean shares some of the mistakes he’s made (and you should avoid), his strategies for growing your dropshipping business, and explains how to use Google ads and SMS marketing to drive sales.
Sean Reyes is the Founder and CEO of Shock Surplus, an automotive e-commerce brand on a mission to provide a variety of top-quality shock absorbers and coilover options in the car, truck, and SUV market. He started the company in his bedroom in 2013 and grew the brand by 25% with each passing year. Now, Shock Surplus is a seven-figure brand with 12 employees scattered around the globe.
Before starting Shock Surplus, Sean was the Marketing Director for Maxtrac Suspension and Sales Manager for BNS Suspension. He holds a degree in Business Administration from California State University, Fullerton.
Dropshipping To Grow an e-Commerce Business
Many large e-commerce businesses got started by selling products on marketplaces like eBay and Amazon. Sellers join the marketplaces, create listings for their products, and once the business grows, they venture out on their own. This is what Sean Reyes did after growing his e-commerce business through dropshipping on eBay.
So what does dropshipping involve?
We’ll explain. As an e-commerce seller, you’ll enter into an agreement with the manufacturers or distributors of the products you sell, where the seller promotes the products to drive sales but the distributor ships the items directly to the customers. This is beneficial for you as the seller because you won’t have to worry about keeping inventory on your business premises—and you still earn revenue from each sale. It is a low margin type of business with low expenses.
How To Manage a Shared Paypal Business Account
When running an e-commerce business with a business partner, it is very important to have a PayPal business account. If you want to avoid embezzlement, misuse, and loss of money, it’s best to avoid using your account or your partner’s.
During the first few years of starting his business, Sean Reyes went through a difficult time when his business partner embezzled the company’s money through his personal PayPal account. Where did they go wrong? They’d been using one of their personal accounts for business transactions, which ended up costing the business a significant loss of money. This also negatively affected their relationship and they eventually went their separate ways.
When looking for a business partner, you need to find someone who is professional, can complement your skills, help grow your business, and, importantly, be a good friend. You need a good partner who can amplify your strengths and talents, and make up for your weaknesses.
The Power Of an e-Commerce Brand
Despite the many benefits of selling through e-commerce marketplaces like eBay and Amazon, there are many challenges and obstacles associated with it. One of the most common difficulties is how often marketplaces update their policies—which ultimately affects business. They could also suspend or close down your account without prior notice, potentially affecting your reviews.
To avoid such situations from happening, Sean Reyes has some important advice for you: improve your website and customer engagement on the site. You should make it user-friendly and easy to navigate. You also need to pay close attention to your ad costs and improve your marketing methods to drive and convert leads from your website.
Resources Mentioned in this episode
- Shock Surplus
- Sean Reyes on LinkedIn
- Repurpose House
- “How to Spread Love Through Your e-Commerce Products” with Lisa Rueff
- “Maximizing Google Display Ads to Grow Your Business” with Adam Feldman
Sponsor for this episode...
This episode is sponsored by Worth eCommerce.
Worth eCommerce is a small mighty team of eCommerce email marketers who help businesses of all sizes dramatically grow revenue with lifecycle email marketing. It is made up of copywriters, designers, strategizers, and marketing extraordinaires who specialize in nurturing relationships and guiding sales through the sheer power of email.
Worth eCommerce's sole focus is creating a lasting relationship between eCommerce sellers and their customers through the most personable form of digital connection: email. Businesses that send personable, interesting, and helpful emails earn the trust and continued business from that same customer.
Worth eCommerce’s mission is to help small medium sized e-commerce businesses generate more than a million dollars a year each in revenue using their own marketing channels.
To learn more about Worth eCommerce, visit https://worthecommerce.com/pages/home.
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