Indian Drop-Shipping v/s International Drop-Shipping- ഏതാണ് നല്ലത്? | Dropshipping Malayalam

Summary

In this video, Tony, an e-commerce expert with 5 years of experience, compares Indian and international drop shipping. He highlights that Indian drop shipping requires a lower investment, has less competition, and offers better control over customer relationships and inventory management. On the other hand, international drop shipping demands a larger investment, faces intense competition, and higher advertising costs. Tony recommends starting with Indian drop shipping due to its affordability and lower risk, and once experience is gained, moving to international markets. The video provides valuable insights for beginners to choose the right approach for their e-commerce journey.

Takeaways

• 😀 Starting an Indian drop shipping business requires a lower initial investment, with a minimum of ₹10,000-₹50,000, making it more affordable for beginners.
• 😀 International drop shipping demands a significantly higher investment (₹2-5 lakhs minimum) due to higher running costs and initial capital required.
• 😀 The Indian market is still in a growth phase with less competition, making it a promising area for new businesses.
• 😀 The international market, on the other hand, is highly competitive and saturated, making it more challenging for newcomers to succeed.
• 😀 Advertising costs in the Indian market are relatively low, and with a ₹2,000 daily budget, it’s possible to generate good conversions and sales.
• 😀 International advertising costs are much higher, with a minimum monthly budget of ₹2-3 lakhs to generate conversions and sustain the business.
• 😀 Customer relationships are easier to manage in the Indian market, as products are locally sourced, and issues like payment gateway bans are less frequent.
• 😀 Managing customer relationships in international markets can be difficult due to challenges like international product delivery and payment gateway issues (e.g., PayPal and Stripe bans).
• 😀 Indian drop shipping allows better inventory control, as local suppliers can be managed directly and product tracking is easier.
• 😀 In international drop shipping, inventory control is more difficult due to reliance on overseas suppliers and third-party logistics.
• 😀 Profit margins tend to be lower in Indian drop shipping, with typical margins ranging from ₹1,500 to ₹3,000 per product.
• 😀 In international drop shipping, profit margins can be higher, with products yielding $200-$300 in profit per sale depending on the product price.
• 😀 It is recommended to start with Indian drop shipping for beginners due to lower investment, less competition, and easier customer management, and then scale to international drop shipping once the business is more established.

Q & A

What is the primary difference between Indian dropshipping and international dropshipping?

The main difference is that Indian dropshipping has lower competition and lower initial investment compared to international dropshipping, which requires a higher capital and is more competitive due to market saturation.

How much capital is required to start Indian dropshipping?

You can start Indian dropshipping with a capital as low as ₹10,000 to ₹50,000, depending on how well you manage your operations.

What is the capital requirement for international dropshipping?

To start international dropshipping, you need a minimum capital of ₹50,000 to ₹2-3 lakhs to cover running costs and advertising expenses.

Why is the Indian market considered to have a higher potential for dropshipping?

The Indian market is growing rapidly in the e-commerce sector, and it still has a lot of untapped potential with comparatively less competition, which makes it a good choice for beginners.

How does advertising cost differ between Indian and international dropshipping?

In international dropshipping, advertising costs are much higher, potentially reaching ₹2-3 lakhs per month, with fewer conversions. In contrast, Indian dropshipping requires a much smaller advertising budget, leading to more visitors and sales at a lower cost.

What are the challenges of customer relationships in international dropshipping?

Maintaining good customer relations is challenging in international dropshipping due to issues like delayed shipping, product origin uncertainty, and potential damage or returns. Payment platforms like PayPal or Stripe can block accounts if there are problems, making it harder to handle customer issues.

How does customer relationship management differ in Indian dropshipping?

Indian dropshipping allows better control over customer relations because you have more direct oversight of product delivery, quality, and customer satisfaction, which is easier to manage compared to international dropshipping.

What is the role of inventory control in dropshipping?

In international dropshipping, inventory control is limited, making it difficult to manage product delivery, stock availability, and shipping times. In Indian dropshipping, you have more control over these factors, leading to smoother operations and better customer satisfaction.

How do profit margins compare between Indian and international dropshipping?

International dropshipping typically offers higher profit margins, with products potentially generating $50 to $2000 in profit. In contrast, Indian dropshipping usually has lower margins, but with effective product management, profits can still be achieved.

Why does the speaker recommend starting with Indian dropshipping?

The speaker recommends starting with Indian dropshipping because it offers lower competition, easier management, and more affordable advertising costs. Once you gain experience, transitioning to international dropshipping can be considered.