Are you interested in getting into the dropshipping coffee business? Are you looking into direct to consumer trends? Coffee is one of the most traded commodities in the world which makes it the ideal item to start a business around. Many people can’t imagine their lives without coffee. It’s consumed at home, at work, with friends, and during lunchtime.
While opening a business, such as opening a coffee shop, might be a dream of yours, it might not be practical. This is often due to the high startup costs that are associated with such businesses. However, getting into the coffee business doesn’t always require opening a bakery or cafe.
In fact, all you need is wholesale coffee or wholesale coffee beans and an understanding of the dropshipping meaning. Be sure to also look into how to start a dropshipping business in general. This article will cover the specifics of how to dropship coffee and start a coffee distribution business.
Dropshipping Coffee - 4 Steps On How to Dropship Coffee
Since the start of the COVID-19 pandemic, there has been a rise in people working from home. This made selling coffee online a huge business. Today, it’s one of the best dropshipping products to sell and one of the dropshipping business ideas to consider.
Many coffee shop customers stopped frequenting their beloved establishments during the pandemic. This was due to the fact that they were working from home. As working from home became the new norm, many people resulted in having their favorite coffee delivered right to their door.
This habit stuck around and caused the global coffee market to grow rapidly. According to BusinessWire, the global coffee market is expected to reach a value of $155 billion by 2026. This makes it the perfect time to learn about dropshipping coffee and how to get into the business.
The following are four steps to take to start a dropship coffee business:
- Choose your dropship coffee suppliers
- Find coffee products to sell
- Set up your online marketplace
- Launch your online business
1. Choose Your Dropship Coffee Suppliers
The most important part of any dropshipping business is the product. That’s why it’s essential to be picky about the supplier. Part of the drop shipping process will be to find the ideal supplier and to do so, you have to keep a few factors in mind.
Consider the range of wholesale or retail coffee products your dropship coffee suppliers are offering. Be sure to also consider their delivery times, order fulfillment fees, MOQ, and EOQ numbers. These factors should be evaluated in order to determine whether or not the supplier is the right fit for your business. Look into how to find dropshipping suppliers to get a headstart.
2. Find Coffee Products To Sell
The key to business success, like restaurant success, is uniqueness. Determine what your unique selling proposition (USP) is going to be for your dropshipping coffee business. This is what will make you stand out from the rest.
Competition within the coffee industry is intense which means that standing out is essential. The USP for your business may be the coffee blend you offer, the name of your brand, or the packaging. You may also consider the type of coffee beans you use, the origin of the coffee, and the roasting methods.
To take things a step further in terms of differentiating your business, you may think about selling complementary products. These include an online coffee subscription box, cups, or different milk and dairy options. By doing this, you may create the best coffee subscription box for your customers.
3. Set Up Your Online Marketplace
Setting up an online marketplace to sell your coffee products is essential. Explore the different types of marketplaces and the best marketplace apps out there. Look for the option to customize your storefront with your brand images, colors, and content.
A digital storefront will allow you to have a digital catalog of all of your product offerings. This is where you will be able to populate all of your dropshipping products and begin selling to your niche market. Explore the best dropshipping niches for your business. Consider the best eCommerce platform for SEO to ensure you're using the right one for your business.
4. Launch Your Online Business
After you stock up on coffee products from your supplier and polish your branding, it will come time to launch your business. Get your eCommerce site up and running, then start marketing your products.
This is done through eCommerce marketing efforts. When you write a business plan for your company, be sure to include details regarding your eCommerce marketing strategy. These include B2B marketing, DTC marketing, wholesale marketing, eCommerce email marketing, and eCommerce content marketing.
Finding a White Label Coffee Supplier
When choosing between the different dropshipping coffee suppliers, you’ll have to consider the white label coffee suppliers. White label coffee is coffee that has been tried and tested by pre-existing brands. These brands have repackaged the coffee with their own branding.
This is a cost-effective way to start your business and still offer a unique product to your customers. The product has already been proven in the marketplace through pre-testing practices which means it’s trustworthy.
There are countless dropshipping suppliers out there so asking the right questions is crucial. Understand the future costs of your product beforehand. The great thing about dropshipping is there is no need to purchase the product and store it on your own. The supplier will take care of everything, including the shipping and handling of your product.
3 Things To Consider When Dropshipping Coffee
In order for a business to be successful, it requires thorough planning and knowledge of the industry and product. There are a few things to consider when dropshipping coffee.
The three things to consider when finding a coffee dropshipper include:
- The type of coffee roast you plan to offer
- White label or private label coffee
- Coffee origin
1. The Type of Coffee Roast You Plan To Offer
Coffee consumers pay attention to the type of roast they purchase. This is also important when dropshipping coffee. Most coffee brands offer between three and four coffee roasts.
Common coffee roasts include:
- Light roast
- Medium roast
- Dark roast
There are also unique options to consider. These include Espresso, French press, and Turkish.
2. White Label or Private Label Coffee
Before you start to dropship coffee, you have to decide if you want to resell coffee from existing companies, also known as white labeling, or do it under your own brand, otherwise known as private labeling.
With private labeling, you’ll have the option to do the coffee bean sourcing, blending, roasting, packaging, and fulfilling. It’s possible to fully personalize your products and include your own branding.
White labeling allows you to resell coffee products made by other brands and companies. This will make you an anonymous third-party member. You’ll simply be the middleman between the wholesale supplier and the customer. Understand white label vs. private label.
3. Coffee Origin
When selling coffee, knowing the origin of the coffee beans is crucial. It’s possible to use this information as part of your marketing strategy and USP. The coffee origin may be useful for attracting specific customers and target markets.
Common countries that produce coffee include:
Frequently Asked Questions About Dropshipping Coffee
Is Dropshipping Coffee Profitable?
Yes, dropshipping coffee is profitable. The customer demand for coffee is on a steady incline and the market is both promising and profitable. Be sure to learn about inventory turnover to ensure that you're moving your product as often as desired.
How Do I Start a Dropship Coffee Business?
To start a dropship coffee business, you need to follow the following four steps:
- Choose a dropship coffee supplier
- Determine the coffee products you’re going to sell
- Set up an online store or marketplace
- Launch your business and start marketing your products
Are you eager to learn more about starting your own dropshipping business? Download our Comprehensive Dropshipping Guide eBook to learn all there is to know!
What Is White Label Coffee?
White label coffee is pre-tested coffee that other brands sell under their own packaging and brand. Such coffee is used for dropshipping businesses, wholesale purposes, and coffee beans. White labeling coffee allows you to start your own business without having to worry about sourcing your own coffee.