Dropshipping is a popular business model characterized by low upfront investment. It is a viable business idea for people looking to venture into e-commerce without investing and handling other operational aspects like manufacturing, shipping, packaging, or warehousing. Dropshippers have third-party companies managing the logistics, allowing them to focus on promoting the products and building a brand.
This blog covers the basics of dropshipping with Temu, including key industry insights and how to get started with dropshipping in 2024.
Table of Contents
What is dropshipping?
Is dropshipping a viable business idea?
Understanding the Temu platform
How to dropship from Temu to eBay, Amazon, or Shopify
Conclusion
What is dropshipping?
Dropshipping is a business model that allows businesses to sell products without keeping an inventory. The dropshipping business owns an online storefront and promotes products. Once a customer places an order, the company notifies the supplier or manufacturer, who then packages and ships it directly to the customer. Therefore, the seller acts as a middleman, connecting customers and the company manufacturing or distributing the products.
Is dropshipping a viable business idea?
The recent expansion of the e-commerce market has led to increased demand for dropshipping services. Most customers are using e-commerce marketplaces to access and buy a wide range of products. This has led to significant dropshipping market growth and value.
The IMARC Group estimates that the global dropshipping market generated approximately US$ 268.2 billion in 2023. This value is projected to reach US$ 1787.4 billion by 2032, growing at a compound annual growth rate (CAGR) of 23.46% between 2024-2032.
There are various factors propelling this market growth, including:
- Increased awareness about dropshipping through free courses and tutorials
- Increased reliance on e-commerce marketplaces for daily essential and luxury products
- Growing collaborations between manufacturers and retailers
- Rising number of third-party logistics companies (3PL) that handle order fulfillment, inventory management, and warehousing
Despite the global e-commerce growth, dropshipping platforms perform better in certain markets than others. The two major regions with the highest market opportunities are Asia Pacific and North America, which are projected to grow at a CAGR of 37.7% and 33.3% during the 2023-2031 forecast period.
Understanding the Temu platform
Temu is an e-commerce marketplace launched in 2022 by Pinduoduo (PPD) Holdings. By April 2023, the Temu app had gained over 100 million active users in the United States, making it one of the most downloaded shopping apps in the country.
The Temu online marketplace is known for its wide range of products. The platform has more than 29 product categories, ranging from fashion, kitchen accessories, electronics, and toys, among others. This product diversity has made it an attractive source of products for dropshipping businesses.
Besides the large variety of products, other benefits of using Temu for dropshipping include:
- Products are offered at extremely low prices
- Temu website and app are very user-friendly
- Significant promotional offers and discounts
- Reasonable buyer and seller policies on refunds and shipping
However, the platform is associated with numerous problems, such as product quality issues, shipping delays, and poor customer service.
How to dropship from Temu to eBay, Amazon, or Shopify
Temu aims to connect customers directly to the manufacturers or brands by eliminating third parties. As a result, the platform doesn’t officially support drop shipping. Dropshipping companies looking to source products from Temu can only do so using its product packaging. This means that customers will know products are sourced from Temu, which may lead to refund requests and hinder the seller’s ability to maintain their branding.
However, there is a way around Temu dropshipping by integrating other platforms such as eBay, Amazon, or Shopify. Here is how to get started with this step-by-step guide:
Explore the products you want to sell on Temu
The first step is to search for the products you intend to sell on the Temu marketplace. These can include best-selling items or those with the highest ratings and promotional offers. This exploration helps determine the currently trending products and those with the highest market potential.
Download product images from Temu product listings
After product exploration, the next step is to acquire images from Temu. You can do this using the “Image Downloader” Chrome extension, which helps save product images directly from Temu’s listings. These images will then be used in your storefront.
Search for direct suppliers
Utilizing tools such as the “AliExpress Search by Image” Chrome extension can help search similar products on other e-commerce marketplaces such as AliExpress. This step involves using the product images saved in the previous step to identify potential suppliers of the needed products.
Import to DSers
Head over to the platform you intend to use, for example, the Shopify app store, and install the DSers app. In the case of the AliExpress marketplace, focus specifically on the “DSers-AliExpress Dropshipping.” Once installed, go back to the product page on AliExpress and click “Add to DSers” to import the product into DSers smoothly.
Customize product details
In the DSers interface, find the imported product in the “Import list” section. You can customize its details and attributes by clicking on the pencil icon. This ensures it fits your store perfectly.
Transfer to your online store
Once you’re satisfied with the product customization, it’s time to move it to your online store. For example, in the case of Shopify, simply click “Push to Shopify” in the DSers interface, and your customized product will seamlessly transition to your Shopify storefront.
Preview and edit to match your brand
The final stage involves checking out the newly integrated product in the DSers environment under “My Products.” For example, use the “View in Shopify” feature to see how the products look in your store. You can also make any final adjustments using the “More Actions” menu to ensure they align with your brand.
Conclusion
Dropshipping allows entrepreneurs to venture into e-commerce without investing huge amounts of money. It provides strategies for businesses to leverage marketplace suppliers, who ensure that products reach the customers. As a result, sellers can focus on other business aspects, including marketing and engaging customers. This system makes it easy to start and run a dropshipping business.
While Temu doesn’t officially support dropshipping, following the steps described in this blog can help leverage factors that have driven its popularity. For example, using specific product images on Temu to search for suppliers can help source similar products. Besides, sellers can identify trending products and target customer demographics, thereby increasing chances of success.
