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Starting an eCommerce Business: How To Dropship In Thailand?



dropship, thailand, eCommerce

People all over the planet dream of owning and running their own profitable business one day. Many are already taking action and turning their dreams into reality. And you can be one of them! You can accomplish this dream by jumping into the world of eCommerce entrepreneurship. In the past couple of years, the eCommerce market has experienced tremendous growth. And one form of successful eCommerce entrepreneurship is dropshipping.

Dropshipping has obtained a fairly popular status in the eCommerce world. And it’s no surprise either. The process of starting such a business is really simple and unlike many other classic wholesale ventures, does not require a lot of investments. Furthermore, it does not matter where you’re from, a tropical island, or a busy metropolis.

Dropshipping provides you with an opportunity to start a business anywhere you want. You’re not required to buy products in advance or in bulk. All you need is a laptop and a stable Internet connection.

With that being said, in this article, we will discuss what’s dropshipping, how you can dropship in Thailand, and what to pay special attention to. Without further ado, let’s check out what is dropshipping.

What is dropshipping?

If you’ve never heard of the term “dropshipping”, don’t worry, it’s not as difficult as it may sound. For those of you who are unfamiliar with what is dropshipping, let’s look at what kind of business this is.

Dropshipping is considered to be an online selling method where the store owner of the does not physically possess, stock, or ship the products. The dropshipping business owner finds and cooperates with a supplier who stores, manages, and ships the product directly to the customers.

The process looks something like this: a consumer visits the online store, finds a product that he likes, and places an order for it. The details of that order are then forwarded to the dropshipping supplier by the owner of the store. Once the supplier has the information on the order, he sends the items to the initial store customer.

How do you make money out of this? Well, it depends on how much you marked up the price. Your income will be the difference between the original price of the supplier and your marked up price.

As you can see in this business model, the business owner doesn’t have to interact with the goods in any way. Sounds pretty incredible, doesn’t it?

This begs the question – is dropshipping legal? The answer is Yes. It is completely legal. However, each country has its own laws and regulations towards businesses. So, this needs to be specified with your local law adviser.

Why start dropshipping to Thailand?

The eCommerce market in Thailand is growing noticeably and has lots of benefits. One of its major factors of progression is the help of the Government, specifically, the Thailand 4.0 program. This program is aimed towards boosting the eCommerce business by facilitating the use of digital payments and eCommerce marketing, both inside and outside the country. The overall plan is to strengthen the Internet connection, enhance the infrastructure and logistics services, and promote trade relations with neighboring countries.

The growth of the eCommerce market as a whole has been influenced and modernized because of the active participation of international and local companies. The younger generation, using social media actively, has also played its part. This is especially important because according to various researches, online shoppers in Thailand make most of their purchases via social network pages.

As can be seen, the infrastructure in Thailand is optimized for eCommerce businesses.

Still, knowing the ins and outs of your local industry shouldn’t stand in the way of you targeting other potential markets.

With the dropshipping business model, you can easily contact almost any consumer anywhere on the globe. This kind of business allows you to deal with customers whether it is a student in the USA, or a computer engineer from England, or a resident of any other country.

If you’re from Thailand, you should be more familiar with the culture, the mentality, the traditions, and the preferences of your fellow citizens.

You are informed about the social and economic environment of your country and can adjust your offer specifically to cater to the local residents.

Although, it really makes little difference if you’re from Thailand, or you’re willing to target this market for your sales. With the dropshipping business model, there are almost no limitations. Yet, let’s see what benefits local entrepreneurs have.

Understanding the psychology of your customers

Every customer audience is unique in its own way. Though, there are some particular features of buying behavior that are specific to residents of certain countries.

These cultural differences affect how people can perceive various pieces of information shown to them. That’s why some marketing tactics will work well for consumers in Europe but won’t show the same results for people in the Middle East.

Having an inside scoop on local trends

Being a resident of the country you’re going to be selling in, you are going to have an advantage as you will have an understanding of the local trends and public demand.

If the demanded product isn’t available in a regular wholesale store, you can showcase it in your online dropshipping store and reap in the benefits!

Knowing the local legal aspects

As we’ve shortly touched upon earlier, most businesses are required to oblige the local laws. And many foreigners are faced with the challenge of getting into the laws of a specific country.

You, however, as a local citizen, don’t really have to worry about this as you can easily consult with a local law advisor.

How to dropship in Thailand

The general process of starting a dropshipping business in Thailand doesn’t really differ from that in any other country. Here are some of the aspects you need to thoughtfully think about when starting such a business:

Find a beneficial niche

It’s crucial for you to find a really promising niche since the success of your business hugely depends on your niche choice.

Of course, you can do it yourself, although it will take some time and lots of effort from you. However, there are lots of databases and researches that can help you at this stage.

Search for popular products and trusted suppliers

You can find what’s popular by using different analytics tools. Google Trends can help you find what is trending and in demand. Also, the Internet is full of free databases that have a lot of suppliers.

Think through the layout of your internet store

Your website is one of the most important aspects of your business. It heavily affects the customers’ perception of your store. So, you have to think everything through and make it as perfect as possible.

Build an online store

Thankfully, the time of having to be a computer specialist to create a fully functional website is far behind us. Now there are a lot of free options available that are easy to set up and allow you to customize your online store.

Alternatively, you can always purchase a ready solution to save a lot of time and start making money straight away.

All that is left for you to do is to properly promote your store and its products for eCommerce conversion.

It can take some time, as you are required to form a proper marketing campaign and find your target audience. But be sure, the end result is definitely worth it.

How to dropship to Thailand: Final thoughts

Thailand is proving to be a great place for eCommerce entrepreneurs, as online businesses continue to develop. Online shopping is one of the components that shows this growth, since most of the population take to various social media platforms to make purchases. Furthermore, the industry is steadily looked over and helped by the government.

Thailand is looking like a country where anyone can start a dropshipping business, or find a potential target audience.

With dropshipping, you have an opportunity to create a passive source of income with almost no startup costs. And the best part? You get to do what you like – when you like and enjoy the incoming profits!


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