Our managers helped the European retailer with the development of a profitable dropshipping strategy for international trade purposes and its scaling up. This way the business became more profitable. The profit margins turned out to be higher after a range of improvements that took place after our audit and strategy development.
What Steps Were Specified for the DropShipping Strategy?
As the retailer was from Europe, the geolocation priorities were EU markets. That is why the strategy was built according to the client’s requirements, market outreach, and estimates. First, the in-depth audit took place. All the weak spots and strengths were determined successfully. Our managers identified 5 steps for the best-matching strategy to help our client to hit the market as the leading retailer in the niche through the dropshipping strategy:
1.
Better interaction with the customers through reviews and website communication channels. Our specialists made an accent on the necessity to improve the retailer’s rating to count more dropshipping opportunities.
2.
Development of retargeting in the context of customers. New categories of goods that complement the main product line are required to increase the buying capacity of the website.
3.
Better SEO content and email marketing strategies are required. These plans will bring more traffic. The following step is to attract the attention of purchasers and sustain them in the shop.
4.
Dropshipping trading runs better with social media campaigns and giveaways. Your partners see the activity on the Internet and your ever-rising reputation. Opt for more business offers and increasing networks for partnerships.
5.
Improved supply chains and lists of goods to import/export. These strategies should be individual for your very business. Note that sometimes your trusted partners are not suitable for efficient trading when it comes to your competitors’ dropshipping experience.
Finally, when the list of steps for strategy optimization was ready, our specialists started to develop a ready-to-use plan of action that would bring all the required enhancements. Together with digital marketing recommendations (including joining relevant communities, video marketing, paid advertising, and approaches against abandoned carts, etc.).
Final Results to Consider After the Strategy Was Applied
Our task was to undertake all the practical steps and technical improvements that concern supply chains, product line selection, a search for potential partners, and relationship management. Other recommendations about social media presence, digital-friendliness of the promotional campaigns, and many more became the plan for the future and the area of our client’s responsibility.
After changing some suppliers and contracting new partners for cost-effective international trade through the dropshipping format, this retailer managed to increase the profit margins up to +10%. At the same time, freight costs were cut down to 7%.
