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Dropshipping with AliExpress: The definitive guide for 2020

December 22, 2019 by Marsha Kelly, Serial Entrepreneur

If you are interested in dropshipping, you will want to start with the right marketplace to grow and secure your new-born dropshipping business. Admittedly, most of the new dropshippers do the first-ever step to ask Google, “What are the best marketplaces for dropshipping?”

Search results show up, and if the name “AliExpress” catches your attention rather than Amazon, eBay, or some similar marketplaces, this article is for you. I’ll get you covered what AliExpress is and how to tip your toe into AliExpress dropshipping. 

Let’s dive in!

What is Aliexpress?

You might have heard about Jack Ma – a famous Chinese billionaire. But if you are a newbie in the eCommerce or dropshipping world, you might not know AliExpress. It’s alright; we’ll get down to the nitty-gritty right now. 

AliExpress is an online shopping marketplace founded in 2010. It’s owned by Alibaba Group – a famous Chinese multinational technology company specializing in eCommerce, retail, Internet, and technology. Alibaba is a retailing giant, and AliExpress is a retail branch under its umbrella. It’s a huge online marketplace with a wide range of products and services provided by worldwide suppliers. 

Basically AliExpress operates under the same structure and fashion as other B2B retail companies like Amazon or eBay and its parent company, Alibaba. According to a well-found source, website AliExpress.com ranks 6th for the eCommerce and Shopping marketplace and 49th globally. Compared to Amazon, AliExpress is still left behind in the game. However, with the huge growth potential, AliExpress is expected to be more competitive in the international market and gain more profits in the coming years. 

How AliExpress dropshipping works?

If you’ve been eyeing on the dropshipping business, AliExpress is an ideal playground for you. Like other retail platforms, AliExpress gives you a wide selection of goods and services, as well as shipping plans. You can pick whatever products you want to sell from this retail platform and sell them on your online store without holding inventory and take care of packaging or shipping. 

Dropshipping on AliExpress means you will resell products from Chinese sellers on this platform. You will not hold the products physically. Instead, you can upload the AliExpress products on your own website with product pictures, detailed descriptions already publicized by the suppliers. 

Once your customer makes a purchase, you place an order with the supplier on AliExpress. The suppliers or sellers will pack the items and ship the order directly to your customer. The difference in prices goes to your profit. When your business scale grows and the order volume increases, you can send orders in bulk to suppliers to get better benefits back. 

Why you should start dropshipping with AliExpress

Hanging on different options for your new dropshipping business and comparing them with a bundle of elements, you might be wondering: “Why should you choose AliExpress?” 

Well, I’m not going to say that AliExpress is the best option for dropshipping, or it’s better than any other retail platform. The point is that AliExpress has advantages making it be a perfect fit for dropshipping businesses. Aside from common reasons like inventory-free, product-shipping-free, here are some highlights you can take into consideration prior to choosing AliExpress or not. 

  • AliExpress provides hundreds of millions of products from thousands of reliable and top-rated resellers and suppliers. There is no chance of not finding what you are looking for on this retail platform. Its product collection is diverse, including fashion, technology, electronic devices, jewelry, accessories, beauty, and health care products to toys, outdoor sports tools, etc.
  • If you plan to choose a free dropship company, but still hold a reservation, AliExpress is a good option. Starting fee for dropshipping on AliExpress is little or even 100% free, so it’s easy for dummies with a tight budget to get their dropshipping businesses off the ground. Products on AliExpress are also lower than other marketplaces like Amazon as they are made and sold by suppliers/sellers in China.
  • You can decide your own retail prices for what you’re selling. Thus, the profit margin is effectively under your control, and you can earn a great profit if having a smart pricing strategy. 
  • You are free to test AliExpress products on your website until you find the most profitable ones for your business. 
  • Suppliers or sellers on AliExpress provide and update new product information constantly. You can refresh your product list with new products, update product descriptions on your site, or find product trends easily on AliExpress.  
  • AliExpress requires a strict and formal reseller registration process. It guarantees that resellers provide quality products as advertised.

How to start dropshipping with AliExpress

Choose a niche for your dropshipping business 

Whether it’s dropshipping or not, selecting the right product to sell is the key to your business success. That’s why the very first step should never be anything else but finding a profitable niche. 

So how to choose the right niche? 

The easiest way is to choose based on your interest. You will want to put your money, effort, and invest in what you adore. Something that inspires you to start thinking about being the boss of your own business. For example, if you’re really into makeup, skincare, and even an expert in this area, cosmetics on AliExpress are a good option. 

Otherwise, you can go with the trends by searching for trending products through tools like Google Trends. See what people are looking for online and pick ones that can bring profits. 

What’s more? 

You can spy on other well-known brands and platforms, browse on their top-rakings or best-sellers to find what most people are buying from them. It might have something to do with your dropshipping business. Finally, once you come up with some product ideas, search for them on AliExpress. Or else, you can start right from AliExpress’s best-selling and top-rankings pages. Another way is using the AliExpress dropshipping center – a set of tools that help you find products to sell more efficiently. You can get access to this AliExpress dropshipping tool easily and quickly find trendy products on AliExpress. 

Secure a reliable supplier

On AliExpress, suppliers are the ones who provide and ship products directly to your customers, so it’s critical to choose a trustworthy and reliable supplier. No matter how good you brag about your products, if your supplier can’t deliver the quality as expected, it ruins your reputation as a whole.  

Finding a supplier on AliExpress can be a daunting and expensive process because of high competitiveness between thousands of suppliers. 

Here’s a checklist to do if you want to work with a supplier who can give you a strong edge against the competition: 

  • Choose top-rated suppliers
  • Compare prices between different suppliers 
  • Ensure the supplier’s authenticity 
  • Contact and discuss with the supplier to clarify your questionnaires
  • Negotiate with suppliers for a better price and terms 
  • Pay attention to seller guarantee 

Set up your dropshipping website 

You need an online website to show and sell your products. There are many platforms you can use to build your website. One of the simplest and intuitive platforms is Shopify that enables you to set up your online store without any technical difficulties. You can then integrate your Shopify store with AliExpress for dropshipping, add products to your website, and start selling.

Decide your shipping method

Shipping methods play a vital role in your store performance generally. Just because suppliers are responsible for shipping doesn’t mean you should put it aside. From the start, it’s essential to determine the suitable shipping method for your products. There are two main shipping methods on AliExpress: 

  • AliExpress Standard shipping: with this option, the shipping time depends on the destinations of the orders. The nearer, the faster. Usually, it takes from 12 days to about 2 months or even more. 
  • AliExpress Premium Shipping: this is the ePacket delivery option. This method is quicker than the standard one. 

Be clear about AliExpress return and refund policy 

AliExpress claims to guarantee your orders and legal rights. On the Buyer Protection page, you can get all the details about the return and refund policy. Make sure you read and understand all of them so that you can deal with the situation when it actually happens. 

Usually, many suppliers on AliExpres do not offer returns or refunds. Therefore, in many cases, you have to discuss and negotiate with them in advance about this issue and figure out ways to deal with your returned orders and refund requests. 

Shout out to the world your dropshipping business 

Once everything is completed, it’s time to show off your marketing effort. Bring your products to target customers’ eyes. This step is way more important when you’re running a new online store. Raise brand awareness first, then think about making the first sale. As you are free from order fulfillment, inventory, and shipping, there is no reason to ignore marketing your business. 

There are many ways to promote your products. Using social media to drive customers’ interest or creating an advertising campaign via Google are good options. 

Final thoughts

Are you ready to land on AliExpress dropshipping world? 

Aliexpress is a cool eCommerce retail marketplace where you can find anything to sell online. It’s an easy way to start up a business of your very own without a huge budget. This article has got you covered with a definite guide on how to start dropshipping on AliExpress. Now it’s time for you to jump-start your business idea. 

I wish you success with your AliExpress dropshipping business. If you find this article useful, please share it with others. And if you have any questions, feel free to let me know. 

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