Dropshipping And Coronavirus: Guideline For Business Owners
Are you running an ecommerce business? Do you wonder how Coronavirus can influence your dropshipping venture? So, in this article we will share essential business tips to follow during this challenging time.
Disclaimer: the situation concerning the spread of COVID-19, so-called Wuhan coronavirus, is evolving rapidly. We are going to closely monitor the events, permanently update the article, and keep you informed.
You are highly likely to have already heard about the rapid spread of COVID-19. This is a new infection identified in Wuhan, the capital of Hubei province in China.
Due to this epidemic, lots of countries are under quarantine, which affects manufacturing facilities, customs, postal services, and lots of other organizations.
So what to do if you run a dropshipping business and dropship products from AliExpress or even directly from China? Let’s find it out!
Dropshipping and coronavirus: can the Wuhan coronavirus be transmitted via parcels?
No, it can’t. None of coronaviruses can survive on objects and surfaces for a long time. Wuhan coronavirus is mainly transmitted from person to person, since the virus has to find a carrier.
Recently, the representative of WHO, in her interview, has commented on the situation concerning the Wuhan coronavirus. She said with complete confidence that people from other countries are not at risk when receiving a parcel from China.
What’s more, the WHO placed the Coronavirus Q&A unit on its website. In this unit, WHO highlighted that the packages from China do not constitute a danger for other people. This is because all the coronaviruses cannot survive on a surface like letters or parcels for a long period of time that is equal to the delivery time.
As medical experts explain, free access of oxygen and relatively high temperatures lead to the fast virus inactivation.
For example, when the outside temperature is higher than 68°F (20°C), a complete inactivation of COVID-2019 takes about an hour. Meanwhile, the parcel delivery takes a week and more.
When will Chinese suppliers go back to work?
There is good news! At the moment, it’s officially stated that more than 60% of Chinese companies have successfully gone back to work. It’s also reported that almost 95% of AliExpress suppliers are ready to fill your orders again.
Actually, this is due to the fact that nowadays COVID-19 is retreating pretty fast in China. To date, the number of people infected with COVID-19 in China is tending to zero.
Some time ago, in Wuhan the last makeshift coronavirus hospital was closed since Chinese infection rate fell significantly. And now it’s reported that Wuhan have successfully discharged all of its COVID-19 patients.
It means that China has almost recovered from the consequences of COVID-19, and your dropshipping BUSINESS is certainly SAFE!
More updates on coronavirus: China and its recovery
In order to prove a point that China has successfully started to recover from coronavirus, here are some more recent updates on COVID-19 in China:
- The Guardian notes that residents in China are finally allowed to leave their homes.
- According to BBC, Apple reopened its stores in China.
- South China Morning Post says that almost all the Chinese suppliers resumed their normal operations. Others will do this in the near future.
What’s more, there is good news from the other parts of the world:
- In accordance with Inside Over, Indian doctors have successfully cured Italian patients with COVID-19.
- In the US, the vaccine called ‘mRNA 1273’ is being tested on humans.
Is this a good time to invest in your own business?
“Any time is a good time to start a company” – Ron Conway, Noted Startup Investor, SV Angel.
First of all, you should understand that economic crises happen from time to time. For example, in the 20th century alone people witnessed some twenty crises. And it’s apart from geopolitical events such as wars or terrorist attacks, that affected lots of spheres of life. And while some people panic or sell assets at low prices, others use their chance to make a fortune and build their financial empire.
Have you ever heard about Carl Icahn? He is considered as one of the most successful investors in world history who benefited from the financial crisis.
Actually, he is an expert in buying companies. During financial hardships, he bought different companies that were on the verge of bankruptcy. Now he is the 24 in the Forbes’ list of the world’s billionaires.
One of his most successful actions on the stock market was negotiations during the credit crisis. So he purchased the bankrupt Fontainebleau property in Vegas for approximately $155 million, or about 4% of the estimated cost to build the property. Icahn ended up selling the unfinished property for nearly $600 million in 2017, making nearly four times his original investment.
Fortunately, nowadays you also have an opportunity to benefit from your own business. However, instead of investing into stock assets or real estate, choose something that:
- Is highly unlikely to lose its value in a long term
- Cannot lead to losses
- Doesn’t require physical assets or facilities renting
- Works for the public good
- Doesn’t imply recruiting staff
Fortunately, you can rely on all these benefits if starting your own ecommerce business!
In fact, there is nothing that can stop you from investing in the ecommerce business and starting to dropship right now.
Pay attention to the fact that Chinese suppliers have already gone back to work as usual, and acting dropshipping business owners can feel free to go on enjoying their profitable business journeys.
Beyond this, it’s a perfect moment to start your dropshipping business since you can easily begin to prepare your online store to launch. We mean, it’s high time to choose a niche for your business, find the most suitable theme for your website, learn which IT solutions can facilitate your dropshipping journey, gain the list of the most reliable suppliers, pick out trending products to sell, etc.
And since Chinese suppliers have continued to work, you can launch your online store with no delays as soon as you’re ready!
Dropshipping and coronavirus: action plan
So if you’re a dropshipping business owner, you should adapt your online store to the situation concerning the COVID-19.
We have already found out that COVID-19 is not dangerous to your customers. How, then, can it affect your online store and how to save your business?
Although the US, Europe, and some other countries are fighting against COVID-19, China has almost recovered from its consequences. So this is a high time to dropship products from AliExpress suppliers! According to some reports, almost all the Chinese suppliers from AliExpress have started to work again.
However, as a rule, online store owners receive orders from all over the world. So, what should you do as a dropshipping store owner in order to minimize the possible negative effects of the Wuhan coronavirus on your business?
1. Contact your dropshipping suppliers
First of all, contact the dropshipping suppliers you are dealing with. It’s necessary to make sure they have started to work after quarantine. If they work as usual, that’s OK. If not, you can ask them when they go back to work or if they know suppliers who can provide you with similar products from warehouses in China.
2. Reduce the budget for your ad campaigns
In these circumstances, it may take a while for people from countries affected by COVID-19 to make sure they can safely make online purchases. That’s why we recommend that you decrease the amount of paid advertising.
What’s more, when running your online store, try to focus on basic necessities. While there are some people who doubt that it’s safe to make online purchases, others prefer online shopping to regular trips to the stores. That’s why it’s time to advertise face masks, personal protective equipment, etc.
By the way, note that the US and the majority of European countries are on quarantine. So it’s a great business idea for you to consider what people can do when they are to stay at home for a long period of time. For example, you can start selling board games, gaming accessories, etc.
3. Contact your clients who have pending orders
If it’s clear for you that some of your customers won’t receive their parcels shipped to the US or EU on time, contact them and inform them about possible delays. Be patient and professional, and don’t take the clients’ disappointment personally. Remember that you can always offer them a refund and remain friends 🙂
4. Deal with suppliers who have warehouses in China, but not in Europe and US
As a rule, when having clients from all over the world, it’s a great idea to deal with suppliers who have warehouses worldwide. However at the moment the US and many countries in the EU are under quarantine. And since Chinese suppliers are now working as usual, it’s reasonable to deal with AliExpress suppliers who send packages mainly from China.
Well, would you like to find the suppliers with warehouses in China and some other countries? Feel free to use the AliDropship Plugin’s built-in products database. It is able to give you the list of vendors who send products from any country that is more convenient for your online store. Moreover, this IT solution can help you put your dropshipping journey on autopilot.
Dropshipping and coronavirus: how to deal with shipping to the US?
To date, lots of business owners worry about shipping to the US. So let us clarify this point.
The information given below is received when monitoring the performance of AliDropship online stores in March-April 2020.
Can you dropship to the US?
Yes, you can. At the moment, there are no obstacles to shipping products to the US.
Does the US Customs detain parcels shipped from other countries? Do they send the parcels back?
According to our experience, we can say it for sure that parcels shipped to the US are successfully delivered. There are no cases of sending the parcels back.
Does the US total lockdown slow down the process of delivery?
Yes, it does. The delivery to the US now takes longer than usual. However there is no reason to worry. All you need to do is to warn your customers of a longer delivery due to the conditions in the country.
Chinese suppliers answer the questions about the situation in China
Since we permanently contact to the trusted suppliers which you can find on AliDropship Insights, we have asked them what’s going on in China right now and whether they are working with the customers’ orders at the moment. So you have an exceptional opportunity to get first-hand information! Now look at what they answered.
So it gets clear that most cities in China successfully went back to work on the 18th of February. It means that nowadays suppliers from Chinese cities send the parcels for their customers again without limitation.
Final takeaway: dropshipping and coronavirus
We have already found out that, according to WHO, the parcels from China pose no hazards to recipients. What’s more, the spread of COVID-19, so-called Wuhan coronavirus, remains under control, and it’s not supposed to affect your dropshipping business heavily.
So if you’re an online store owner and you want to make the situation concerning COVID-19 pass your business by, simply follow the action plan prepared for you by the AliDropship team.
And if you only think of having your own business, this is a high time to start your dropshipping journey since when financial hardships are gone, you will be highly likely to get an additional benefit!
On a final note, if you have a strong interest in how the Wuhan coronavirus can affect your dropshipping business, keep checking this article every once in a while! AliDropship is going to monitor the situation concerning COVID-19, and you have an opportunity to stay updated!
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