According to the National Institutes of Health, the supplements market in the U.S. is valued at more than $37 billion per year, and global estimates put its value at more than $100 billion. Given this market size, it’s no secret why many entrepreneurs dropship supplements. In fact, recent market trends demonstrate that supplement sales offer a great chance for savvy business owners to get ahead.
Despite these prospects, every business faces challenges, from manufacturing and marketing to shipping and customer service. Fortunately, today’s market is adapting, and new solutions and technologies are making it easier for entrepreneurs to manage their business and expand their profit margins.
The Basics: What is Dropshipping?
For business owners worried about how they’ll store and ship products to their customers, dropshipping offers a convenient solution that eliminates these concerns.
Many entrepreneurs, especially small business owners, simply don’t have space or capacity to store significant quantities of products and supplies. And shipping can take up valuable time from other essential responsibilities.
Dropshipping supplements is both a product storage and fulfillment solution that takes care of these aspects of the supplements business. Rather than purchasing supplements and then selling and shipping them to the customer, the dropshipper stores the business’s product line and fulfills orders and shipments to the customer.
Dropshippers often offer a wide variety of shipping methods and carriers to support your product shipping and fulfillment. This helps to ensure that the product makes it to the customer on time and as intended.
Think about dropshipping as an on-demand logistics provider for supplement providers. Dropshippers allow you to focus on other important areas of your business like strategy, finance, and marketing.
By outsourcing shipping and fulfillment processes, businesses can expand their customer base and reach an even larger population. Production of dropship supplements is easy to scale, as businesses are less constrained by the workload demands that increased sales create.
Setting Up a Private Label
For an added layer of service, businesses can consider setting up a private label. A private label dropshipper not only fulfills and ships products but also manufactures them.
A private label refers to a product that is sold by one company but manufactured and shipped by another. In other words, the dropshipper produces and distributes the product, but it uses another business’s label or brand.
Private label dropship supplements provide a business with a greater level of control over the finished product. When all of these processes are taking place under one roof, the production quality and marketing can be integrated more seamlessly, and overall quality can be carefully managed by the business.
Dropshipping allows businesses to support a wide selection of products. Since dropship supplements are dependent on customer orders, a business can sell popular and generic items that are kept in stock, while also developing and investing in specialty products. In this way, the business can provide additional value to its customers and reach a wider customer base.
In addition, businesses can work with dropshippers to design labels and packaging that fit their brand. SMP Nutra offers a huge variety of vitamin packaging from basic clear bottles to blister cards. Businesses can also work with graphic designers at SMP Nutra to create a label that passes industry guidelines and also catches the customer’s eye.
Benefits of Dropship Supplements
There are many advantages to dropshipping and private labels, but a few benefits stand out in particular. These benefits are important to consider when developing a production and fulfillment plan for your business.
Maximizing Profit Margins
The main advantage of private label dropship supplements comes down to profit margins. Private label products have lower unit costs than branded products. When the product is produced at a lower cost, your business can maximize the profit margin.
Over time, your private label can even grow its brand. As the label becomes more popular, the product can be sold at an even higher price point. A popular brand always increases the value of a product.
Ensuring Brand Quality
But that’s not all. Dropshipping isn’t just about profit margins. Private label dropshipping gives businesses greater control over product quality, specifications, and production. This oversight and power allows entrepreneurs to offer their customers high quality and a certain level of exclusivity.
Dropshipping provides entrepreneurs greater flexibility. Without having to deal with the physical requirements of the business such as storage and shipping, business owners can work from just about anywhere. All you need is the ability to communicate with the dropshipper.
Given this fact, dropshipping makes it much easier to start a new business. There’s no need to worry about managing inventory and fulfilling orders. All of these processes including packing, shipping, handling, and returns are taken care of by the supplier.
Is Getting Started With Dropshipping Difficult?
There is always some concern when starting a business or operating under a new business strategy. With dropshipping, that is what is resolved, the uncertainty.
When you find a professional manufacturing company that offers dropshipping, you will not have to worry about anything making the process as easy as possible for you.
Especially if they offer stock products, you will be able to instantly get a product made and have your label slapped on it. You will have saved time and been able to focus on other things such as marketing and branding.
Finding a Dropship Supplements Partner: Things to Consider
When thinking about a private label and identifying a dropshipper, there are several things that businesses should consider.
Is Your Manufacturer Professional?
First, remember that the success of the business is dependent on the quality and professionalism of the dropship supplements partner. When you place the responsibilities of order fulfillment on a third party, you need to trust that your partner will get your product to the customer on time and in one piece.
Do you Trust Your Manufacturer?
When manufacturing a private label, you need to trust your manufacturer to develop a product that meets your requirements and reflects your brand. This quality should be found in each and every supplement or vitamin that makes it to the customer.
Does Your Manufacturer Understand Your Brand?
That’s why it’s important to find a dropship supplements partner that understands your brand. Every brand is different, and there’s no one size fits all approach to dropship supplements. Find a partner that understands your business and takes the time to learn about your needs.
Is Your Manufacturer an Efficient Fulfiller?
Ultimately, your dropshipping partner needs to be efficient in fulfilling orders. Customers care that their products arrive on time and that they receive exactly what they expected. The dropshipper should be able to handle your sales volume and be able to support the product line that you offer.
Will is a Co-Founder of SMP Nutra, founder of GetKnownPros, and owns a handful of supplement brands. Will has extensive knowledge of trends in the nutraceutical industry after contract-manufacturing for hundreds of brands. Will has spent the last decade learning the best online marketing & brand-building techniques for supplement & vitamin brands and enjoys sharing this unique knowledge with his nutra-entrepreneur community.