Businesses of all shapes and sizes are facing significant challenges in 2020, with the pandemic creating disruption across every industry. Of course there are also intriguing, untapped opportunities for those with the foresight and flexibility to take advantage of them during this time of uncertainty, which could make dropshipping and specific dropshipping niches an appealing prospect for entrepreneurs.
Here is a look at some of the key dropshipping niches that are ripe for harvesting this year, as well as the obstacles that remain in the path of would-be e-commerce operators.
Before delving into the specifics of dropshipping during the era of COVID-19, it is worth mentioning that anyone looking to start a business will be doing so at a time with unparalleled access to the courses and learning resources they need to succeed.
From must-read books like Start From Zero to the digital tools offered by major e-commerce brands like Amazon to support third party marketplace users, it is possible to get an idea off the ground with nothing more than will power and hard work.
The early days and months of the pandemic saw more volatility in consumer demand than any experts might have anticipated before the crisis struck.
While there were shortages of essential goods in many countries as people panic-bought certain products, sales within other categories essentially evaporated overnight.
Fashion was hit especially hard, with demand dropping due to the fact that consumers suddenly found themselves working from home and thus with little need to dress to impress on a daily basis.
Meanwhile there was a sudden spike in demand for dropshipping niches like electronics, with home entertainment becoming a very potent niche while national lockdowns were ongoing, and remaining relevant even after restrictions eased in certain areas.
Home gym equipment was another niche that received a lot of attention in the first half of 2020, with a quintupling of sales reported year-on-year in the spring.
It is worth restating that the current circumstances have altered the subtler ebbs and flows of consumer demand that would normally influence e-commerce, and instead made it important for dropshipping firms in particular to be attuned to minute to minute changes in order to ride the crest of waves that build quickly and dissipate with just as much speed.
Of course jumping on the right dropshipping niches bandwagon at the right moment is not enough on its own; you also need to be able to market your products impactfully if you want to engage with increasingly savvy consumers.
Social media is often lauded for its significance in modern digital marketing strategies, yet it is email marketing which still offers a better level of engagement and loyalty in the long term.
Plenty of entrepreneurs have also taken the opportunity to switch up the kinds of consumers they target with their marketing efforts this year, and the very nature of dropshipping makes this simpler to achieve than in other contexts.
In short it is crucial for dropshippers to be aware of the challenges that they face so that they can also be poised to grab the opportunities that arise amongst them.