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Dropshipping appeals to many young entrepreneurs because this business model allows them to easily start a company with very little capital. The good news is, if you do your dropship product research thoroughly and choose the right niche, you will start making money almost instantly.
However, it's not that simple! I know you guessed it, right? If it was this simple, everyone would do it! Before starting a business, you should understand customer preferences and what you should sell. Choosing a niche on a whim won't be wise. You need to do some research.
Well, let me make things a little simple for you. Before you shortlist your dropship product suppliers, you need to be aware of some dropshipping niches that may be a 'trap'! These product categories will not help you much in the long run. After all, you don't want to jeopardize your newly opened shop.
I've listed 10 dropshipping niches that you should rule out before you start your fantastic business adventure. You should avoid these products at all costs!
#1 Clothing in General
Clothing isn't precisely a niche in itself. It includes a wide range of products; far too diverse for a dropshipping company to succeed. Everyone wants clothes, that's the issue. The competition is too high! You never want your consumer to be everyone while dropshipping. You want to focus on a specific group of people.
Another issue with clothes, in general, is the poor quality. It is just not possible for you to ensure the quality sitting online. Customers will want the exact product you show on your website's product category. But most of the time, they don't get that. You may lose reputation and get a bad review which is enough to throw your business in dust online.
#2 Large Products
Most beginners choose Chinese suppliers for their dropship product sourcing. They use shipping methods like a packet, which are fast and inexpensive at the same time. This delivery system uses fixed rate shipping to save you a lot of money as an e-commerce company owner. The problem is with the size of your products.
The bigger the products, the more you'll have to spend to have them dropshipped. Your products should not be longer than 60 cm and no thicker than 90 cm; also, your product unit should be below 3 kg, according to ePacket regulations. If your researched products are too large and heavy for delivery, you should rule them out from the start.
#3 Everyday Products
You shouldn't add daily commodity products to your dropshipping business. Most people don't think about brand values while buying products such as kitchen utensils, clothes, regular floor mats, shampoos, food items, etc. It's also tough to advertise these products through Facebook ads.
You can remember this basic dropshipping principle: goods must attract users interest. As a dropshipper, you're trying to get consumers to make an impulse purchase on things they wouldn't usually need. Basic necessities are too simple, and most people won't be clicking on your advertisements. Also, if they can buy these things from nearby grocery shops, why they would order online?
#4 Fragile Products
You can Google' dropship product source reviews' to take the time and create a selection of exclusive items you want to sell before opening your dropshipping site. Also, you can research your competitors' product lines for motivation and gaining ideas. However, in an ideal world, you would choose something with no rivalry. But the world of e-commerce isn't perfect!
You should avoid dropshipping clocks, glass ornaments, and other delicate products at all costs. These goods are costly, and there is a chance (even if it's 5%) that they may be damaged during shipping. Some fragile items may break even with the tiniest jolt or drop. That's why, while choosing dropship product suppliers, choose the more robust products.
#5 Dangerous Products
While you're searching for specialized or speciality products as an e-commerce company owner, you can make some poor decisions. You may end up adding products like knives, brass knuckles, or other harmful items. The problems are that these are risky items, and you can't promote them on Facebook. You may not also be able to ship these products because of country laws.
Selling hazardous products can lead to customer dissatisfaction and financial loss in the end. Technically, any legal commodity is allowed to be sold online. However, you should avoid items that are forbidden to be advertised on social media or Google ads, such as adult material, guns & firearms, cigarettes, alcohol, and security devices.
#6 Fake/Copied Products
I'm saying this, again and again, you shouldn't market goods that can't be advertised on Facebook. Copied or fake products of an established brand are included in this category. You should avoid promoting these goods on Facebook because it may result in your account being suspended.
Fake products may trigger confusion among your consumers who want the real thing. Selling copied products is also illegal. Moreover, if you market this niche and get caught, the ramifications can be devastating. Make sure that your dropshipping products are authorized and genuine. Customers may have to pay extra for that, it doesn't matter!
#7 Home Furnishings
Making a profit out of furniture products is always going to be tough. Not selling furniture items is one of the basic principles of dropshipping. The reason is stated before. You should not dropship something that can't be shipped via ePacket! Furniture items are the exact opposite of that. The other delivery options are too expensive for you to dropship. Sometimes the delivery charge can be higher than the product itself.
Instead of selling furniture, you can dropship home décor products which is a very lucrative niche. Consider offering bedding sets or other goods that can be used as complements to big furniture pieces. Consider couch throw pillows and dining room tablecloths, for example. Although these items are in the home decor category, they are small enough to ship via ePacket.
#8 Personal Protective Equipment
It's not wise to sell protective devices that you can't check physically. You may end up selling low-quality products, which will lead to disgruntled consumers. Protective equipment is often used to save human lives. Any fault with those products can result in death or severe injury.
If you sell these products, which somehow creates an injury to the person who's using them, you will be held responsible. You should stay away from dropshipping gloves, mouthguards, padding, shades, and other protective gear used in athletics and manufacturing.
#9 Musical Instruments
Selling high-quality materials such as musical instruments can be too much costly. Though, pinions on how much you should spend on dropship product sourcing differ. Dropship expert sellers recommend that you should not spend more than $100. Some may even recommend you to stick to a budget of $5 max, including packaging.
The reasoning behind this advice is that most people who buy these kinds of high-quality products need more considerations. You should choose a niche you want customers to see the advertisements and shop without worrying much! Musical instruments don't meet these criteria.
Let me suggest one last product category to avoid.
#10 Electronic Products
When you're dropshipping, there's no way to examine the goods before sending them to the customers. That means you and your customer can't be sure that the commodity you're selling and they're getting is fully functional. Electronic devices fall into this category as too many can go wrong with them.
Here are few products you should stay away from:
- Battery-operated products
- Mobile phones
- Surveillance cameras
Do some research and be sure before choosing any electronic niche.
The best thing about dropshipping is that minor errors can be inexpensive. However, choosing the right niche sometimes can decide between making a lot of money and making no money. Avoiding these abovementioned 10 dropshipping product categories is a decent start. Still, you'll have to do further homework to determine the potential of the goods you're interested in sourcing.
Now that you know all the basic of what to avoid while choosing dropship product suppliers, hopefully, you're no longer afraid to begin or continue your dropshipping adventure! It's time to bring everything you've learned to good use!
Don't forget, you can get a fully automated USA based dropship website, built for you, in whatever niche you want, in 72 hours or less. Go to https://learn.dropshipusa.io/webclass to register for our free webinar that will teach you our secret dropship model, and how you can get it built for you in only 3 days!