The coronavirus pandemic makes it more difficult for dropshipping businesses to be profitable these days but, it won’t destroy dropshipping for good.
Dropshipping businesses sourcing products from China are seeing lower sales and shipping delays due to the extended shut down of factories and warehouses as a result of lockdowns in the country. Fortunately, the rate of positive cases for coronavirus is already subsiding in China thereby allowing businesses to resume work. Resumption is not yet 100% but still, small and medium-sized companies have already resumed operation which is good news to dropshippers.
However, the widespread of coronavirus is a worldwide concern as it affected lots of countries already. Industries like eCommerce, travel, tourism, and health are experiencing the impact of the virus. With Europe now said to be the epicenter of the pandemic according to the World Health Organization (WHO), dropshipping to European countries will be a lot harder these coming days. Spain, Italy, and France have declared nationwide lockdown with Germany expected to follow suit due to the rising cases and deaths due to the virus infection. Ten other countries in Europe are already enforcing border closures as emergency measures.
In Asia, travel restrictions are already up in some countries like the Philippines, Brunei, and Cambodia to ban travelers from affected countries to enter their territories. While in the U.S., Europeans are banned from flying to the country for 30 days and U.S. travelers are required to undergo screening upon arrival. California ordered home isolation for its elderly residents. Schools across the U.S. are closing their doors this week while US service members and their families are not able to travel domestically. Meantime, Australia, New Zealand, and Israel have ordered a 14-day self-quarantine for anyone arriving in their country to stop the spread of coronavirus.
Looking at the current situation in various countries right now, you might think that dropshipping products from China to other countries is next to impossible. However, before you decide to close down your dropshipping business or shelve your dropshipping plans until the virus has run its course, you can try exploring different ways to maintain profitability despite the dropshipping challenges. Dropshipping at these times offer opportunities that you might want to take advantage of to have a competitive edge over your competitors. I suggest that you read this article to find out what are the benefits of actively dropshipping these days.
Despite what other people are saying about dropshipping getting destroyed by a coronavirus, this business model remains active and healthy. Getting sales is harder than ever yet not impossible to accomplish. There are means to overcome dropshipping challenges due to coronavirus and I’m going to discuss the two major challenges and solutions here. Let’s dive in!
#1 Coronavirus Scare
With China being the first country affected by the new coronavirus, many people are scared about buying goods from there. Despite the virus not being able to easily infect your customers by touching packages from China, there will be shoppers who cannot shake out their fear of contracting the virus that easily. However, with the coronavirus now affecting other major countries as well such as the U.S. and the UK, the stigma on Chinese products is no longer as high as before. Shoppers are now more aware that they can’t easily get infected by merely touching packages from China. To stay afloat during the coronavirus pandemic, you should adopt the strategies discussed in this article to address customer concerns.
#2 Shipping Times Take Longer than Usual
On a good day, dropshipping to the U.S. will take 10 – 20 days but with the current situation, it might take much longer than that. The China lockdown is no longer a factor as most businesses have already resumed work. The problem now lies with the destination countries. If your customers are located in countries with travel restrictions and lockdowns, they will not receive their packages within your estimated shipping time.
Although they might already be aware of the possible delays, it is your responsibility as the business owner to inform them about the status of their orders. This article explains the various steps you could take to show your customers that you are addressing the situation to prevent them from complaining or posting negative reviews on social media and review sites.
Dropshipping will be more difficult during the coronavirus crisis. Yet, if you want to stay profitable try out the different measures presented to you. It also helps to stay on top of the coronavirus situation in the countries you’re dropshipping to so you can make necessary adjustments to reduce the impact on your dropshipping business. If the condition worsens in a specific country, you can pause running ads to its consumers to avoid receiving new orders. Focus your efforts on countries with fewer logistics issues until such time that the coronavirus has blown over. When you’re well-informed of what’s going on out there, you can make better decisions that will make your business survive these critical times in dropshipping.