The dropshipping industry is booming with new business opportunities popping up every day. If you’re looking to start a dropshipping company, there are many things that you need to take into consideration before diving in headfirst.
One of the most important considerations is the type of niche that your business will be operating in. Without enough capital or experience, starting out in an already saturated niche can make it hard for your startup to compete against established companies and grow. In this blog post, we’ll explore what I’ve observed are some of the best niches for dropshippers entering the market today.
Through competition, the beauty niche can still be very lucrative. with the right business strategy. Beauty is one of those niches in which a lot of people are willing to spend money on products that they don’t always need, so having quality inventory and competitive prices can ensure your success in this niche. According to Common Thread Collective, sales in the beauty industry will be $511 billion in 2021 and are expected to grow to $784.6 billion by 2027. This means that if you want assured success with your e-commerce store, then it’s important to know what the top makeup products are on platforms like Amazon right now.
2. Survival Gear
This is a popular one, and I’ve observed that survival products are always in demand. You could sell knives and other gear to your audience of preppers and survivalists. This will help you reach the top, in addition to keywords like “survival.”
3. Pet Supplies
If you want something that sells well without being too complicated, then pet supplies might be for you. Products such as cat litter or dog food appeal to people who have pets but not much time or money on their hands for shopping around town. And, people love to make their pets happy. Make sure these items are available at all times, so they can buy from your store.
4. Women’s Clothing
Many women love to shop, especially for clothing — just take a look at any department store across America today — and they’re looking to find the perfect outfit for any occasion. According to IBISWorld, the market size of the online women’s clothing sales industry in 2021 is approximately $37 billion.
5. Baby Products
If you look on Amazon, baby products are among the best sellers, more than any other product category (including books). I’ve observed that unique baby items have a high demand because parents want their children to stand out from the crowd. Plus, many moms will buy another item if they believe that it’s better quality or safer for their children.
6. Health Supplements/Herbal Remedies/Vitamins
With this one, you need to be careful. It’s very hard to know what the real contents of any product are, and anything that has health claims could be scrutinized by the Food and Drug Administration in the U.S. (and other organizations in other countries). This leaves you exposed to legal and other types of liability.
People are always looking for the latest technology and items that can make their lives easier. Gadgets are a great opportunity for people to find items that they may not be able to afford otherwise. With gadgets, you need to be wary of inferior quality items, which can create a much higher number of returns. This, of course, can hurt your bottom line.
8. Sporting Goods
There’s a large demand for sports-related items, which can make it difficult to find the right item without spending significant time browsing through Amazon listings, especially items with high competition like soccer balls and basketballs. This is where you come into play: By launching an e-commerce store targeted at this demographic, you’ll tap into a reliable business model with strong potential for success and ROI. Popular sports to think about are golf, soccer (football), tennis, basketball, MMA, weight training and fitness.
9. Leggings And Sports Attire
Leggings are a staple of many people’s wardrobes, mainly because they’re comfortable and versatile. If you want to capitalize on this trend, which doesn’t show any signs of stopping anytime soon, consider launching an e-commerce store selling leggings. A successful business model to draw inspiration from is Lululemon. The leggings that you choose to sell should be well made, feel comfortable and flattering to the figure. With the rise of athleisure, more people are looking to have clothing that will work well for both their workouts as well as their day-to-day activities. There is now fashion wear, bra tops, shorts and dresses all geared toward an active lifestyle, which means it’s easier than ever to find what everyone needs without having to go into separate stores dedicated solely to either athletics or casualwear. Keep your eyes peeled on trends with these marketplaces because if something sells out quickly, chances are, it won’t come back again until next season.
Jewelry is one of those items that can make an impressive first impression on customers, and it’s also very competitive. It’s hard to distinguish between a high-quality item and one that is inferior. While there are many options and routes that dropshippers can take, having a theme and a targeted audience can make or break you. The good news is that dropship jewelry can be easy to sell on social media. Additionally, I’ve noticed that a lot of people have been leaving this market recently, so there is plenty of opportunities out there. With increased interest from customers who want more personalized items like custom name necklaces or even customized rings, it’s important that you communicate well and understand your customers. They need to know what they’re getting.
I hope that this list has given you an idea of some niches to consider when you dropship in 2021. However, this list should not limit you; rather, it should serve as an idea generator for you. Best of luck!