Dropshipping… for years, people have been making use of dropshipping in their attempts to make a quick buck, but there have been fears in recent times that dropshipping is dead for 2020. However, this is not the case at all – in fact, Ecommerce and dropshipping are both just as profitable for people who put in the time and effort to make them worthwhile options to pursue! So, without further ado, we explain why dropshipping is not dead in 2020, and how you can make a go of dropshipping this year if you’ve been considering starting your own Ecommerce online business.

Why People Think Dropshipping is Dead in 2020

When it first came out, dropshipping was the in thing to do for a huge number of people, but in recent years its appeal has begun to tail off a little for many. Indeed, there is a perception that it is no longer the big money maker that it once was when it first came out – and there are a number of different reasons behind this misconception which have been skewing people’s opinions of the topic. Unfortunately, this also means that many people have missed out on great opportunities in the dropshipping and Ecommerce world simply because they failed to do their research and look past the obscurities and mistruths regarding dropshipping for the truth.

So, why do people seem to think that dropshipping, which once held so much potential and drew so many online entrepreneurs in, is no longer of the same value it once was?

#1 – All Niches are Saturated with Competition Anyway!

This is one of the most common arguments which people have as to why dropshipping is dead for 2020, but it is really too simplified of an argument to hold much merit really. Indeed, while the existing dropshippers and Ecommerce stores may already have a big footing in and share of the market, that’s not to say that new opportunities aren’t opening up all of the time! Instead, you simply need to start your new online business a little smarter – look for gaps in the dropshipping market, because these will always be there for as long as people are selling products online!

Look for areas where you could potentially outcompete competitors with lower prices or better promotions, for example, or otherwise go a slightly different direction with your dropshipping and focus on selling new products in an already established niche. This will give you and your online Ecommerce store the USP that you need to make a success with your dropshipping attempts.

Furthermore, while focusing on trending products might be the most obvious thing to do, it’s worth remembering that most of your competitors will already be doing this; instead, as a new dropshipping Ecommerce store, you could easily take advantage of them flocking to the newest product by focusing your efforts on the products that they left behind or ignored, which may have slightly less demand but which will still be in demand for fans and loyal customers!

So, then, it’s clear to see why it’s too simple to say that dropshipping is dead because the market is already saturated with competition. There is still a huge amount of opportunity for online entrepreneurs if you enter the market with a level head and look for those gaps, which will always be there – no one online store can do everything!

#2 – Trade Wars with China and Tariffs

There seems to be a lot of fear these days about the trade war with China which seems to be going on and the threat of more and more tariffs on imported goods. Now, if you are specializing in dropshipping Chinese products, this will definitely increase your costs – but don’t look at it solely from the negative, as a lot of Ecommerce stores will likely switch to domestic goods instead as a result of this change. Either you could choose to avoid the tariffs by doing the same and selling domestic products, or you could find yourself with a bigger share of the market for Chinese imported goods as a result if you can hang on through the tariffs. Both of these represent possibilities for your business – and after all, it’s really up to the customer what they want, and as a dropshipper, you should be working to provide your customers with the products that they’re looking for. After all, your customers aren’t likely to stop wanting new shoes – if that’s your niche – just because the tariff on the shoes went up slightly!

#3 Increased Advertising Costs make Dropshipping Unprofitable!

This is the third major argument that we often see about why dropshipping is supposedly dead for 2020, but it is just as flawed as the previous two arguments because it simply isn’t looking at the bigger picture. And, while it is true that advertising costs have gone up, this isn’t the be all and end all; for one thing, advertising is still seeing a great return on investment (ROI) for many dropshipping platforms due to the increasing success rates seen with advertising mediums. Moreover, just because the advertising strategies of 10 years ago no longer apply, doesn’t mean that dropshipping has no future – it just means that online entrepreneurs and Ecommerce store owners need to think a little more carefully about their advertising strategies.

If anything, this can be seen as an opportunity to get into dropshipping and establish your brand before the costs rise even higher! Don’t forget – a lot of people are put off the idea of dropshipping because the advertising costs seem high, which means new Ecommerce stores can potentially face less competition from other new stores by getting involved now!

Dropshipping Isn’t Dead – So Get Involved!

Making a success of dropshipping may need a little more thought now than when the concept was first introduced, but that doesn’t mean that it is dead at all. There is still a huge amount of potential for online entrepreneurs for dropshipping; if you want to get started the right way and learn how to overcome the “limitations” of the 2020 dropshipping market, then we highly recommend you try an online dropshipping course to learn the skills you’ll need.