Many entrepreneurs have chosen to launch their eCommerce business using the dropshipping method since it is one of the easiest ways. According to Statista’s prediction, dropshipping is expected to attain a value of $476.1 billion globally by 2026. This is an increase of 32% in CAGR compared to 2020.

As the popularity of dropshipping business rises rapidly during the presence of the COVID pandemic in 2022, many questions if dropshipping and eCommerce are still profitable in 2023.

Benefits of dropshipping and eCommerce in 2023

Low overhead budget, minimal risk, zero product storage, and easy to start with. These are all the reasons that contribute to the growth of the dropshipping business. In fact, dropshipping generates more than 200% profit compared to the traditional business model. Here are the top 4 advantages to starting your dropshipping business in 2023.

#1. Minimal operation

Dropshipping is friendly to start-ups since dropshippers can avoid unnecessary expenditures on stocking physical products and building a physical store with high rents. Business owners can simply start with a laptop working from their own homes.

#2. Diversity of products

Traditional business owners have more difficulties in varying and expanding the product link before testing their customer interests and demand. They often need to handle inventory management and unsold products which are all extra costs and risks to burden. Unlike dropshippers, they can easily import any products to their stores using dropshipping solutions like HyperSKU without a cost.

#3. Scalable Business

When traditional retailers are planning to scale their business after reaching higher order amounts, they will need to pay for more storage space and recruit more staff. In dropshipping, it is almost effortless to complete. Besides saving storage costs and staff recruitment fees, you can scale your business more efficiently with the help of online resources and technology tools. With the help of dropshipping solution apps or dropshipping suppliers, most of the excessive work to process additional orders will be done by others.

#4. Flexible location

You can manage your dropshipping business with a laptop from anywhere in the world. Some sellers are doing dropshipping in Moscow and selling to customers in the United States. Many business owners are adapting to eCommerce due to the increased popularity of working and shopping from home during the Covid epidemic.

However, in order to keep your business growing consistently, it is essential to stay on top of current dropshipping and eCommerce trends to stand out from the rising competition.

10 biggest dropshipping and eCommerce trends to watch for in 2023

Trend#1: Shorter page loading time

Everything is about speed today. Buyers choose to shop online to save time which means they have lesser patience. Page loading time is a key factor that will impact everything from sales to search engine performance including user experience and revenue losses.

Sources: Neil Patel, Radware, Think with Google, Website Builder Expert

Data shows that retail conversion increased by 8.4% and average order value increased by 9.2% when you improve your website speed by just 0.1 seconds. According to Google research, from 1 second to 10 seconds, the bounce-out rate will increase to 123%.

• 3 seconds – the bounce-out rate increases by 32%
• 5 seconds – the bounce-out rate increases by 90%
• 6 seconds – the bounce-out rate increases by 106%
• 10 seconds – the bounce-out rate increases by 123% 

Source: Pingdom

Users are more likely to spend more time on your website with a higher loading speed. On average, users will visit 3.3 pages when the loading time is 8 seconds, versus about 8 to 9 pages when the loading time is 2 seconds.

Trend#2: Increase video content

There are about 86% of businesses are using video as their marketing tool and this trend is expected to grow up to 91% in 2023. From the customer’s feedback about their interaction with the video, about 89% of people say watching a video has convinced them to buy a product or service.

Source: wyzowl

Trend#3: New changes in YouTube

Many eCommerce experts predict that youtube will be the hottest video creator platform in 2023. There are some big changes in YouTube including a new way to earn money with YouTube Shorts once you reach over 10,000 views in the last 90 days. This means many creators from other platforms like TikTok have a high chance of migrating their focus and audience to YouTube. As you may see from the graph below, 90% of companies are using YouTube channels as their video marketing channel.

Source: wyzowl

 

Trend#4: Rise of AI and Chatbots

Since the emergence of ChatGPT in November 2022, AI and chatbots have become one of the hottest topics and expected trends in 2023. Check out some of the benefits of ChatGPT for business owners below:

• Generate and optimize product listing
• Promote and market your eCommerce store
• Create pages for your website
• Brainstorm Niche ideas for your eCommerce store
• Analyze key performance metrics
• Offer guidance on handling customer inquiries

Chatbots are such a helpful tool for eCommerce sellers since it reduces your customer’s waiting time outside of your office hours. Here are some of the Chatbot Apps you can use for your Shopify store:

• Reamaze – Live Chat Helpdesk CRM
• Tidio – Live Chat & Chatbots
• Chatra – Live Chat, Facebook, Email, Visitor list + Cart Saver
• HelpCenter – FAQ Chat Helpdesk
• Gobot – AI Chatbot + Quiz 

Trend#5: Mobile Shopping Accelerates

In today’s society, with consumers’ increased use of mobile devices, the word “mcommerce” has occurred. That means, shopping through a mobile device besides shopping online via a computer which is called eCommerce. Insider intelligence predicts mcommerce sales will hit 40% of eCommerce sales or $534 billion in 2024. Here are some facts about how addicted people are to their phones:

• 1 in 5 people would rather walk without shoes for a week than take a break from their phone
• People report withdrawal symptoms which include increased blood pressure and heart rate when separated from their mobile devices.

Source: Shopify, Techjury, Wiley Online Library, Insider Intelligence

Trend#6: VR and social discovery

The usage of VR might be the next explosion as many companies have already developed innovative technology to allow buyers to try on products “virtually” before buying. VR will be a highly effective tool for jewelry and furniture stores to increase conversion rates.

Trend#7: Livestream shopping

Livestream or live video shopping is already an existing wave of the e-commerce revolution. China has led the world in live video shopping. According to Forbes, a popular influencer Viya has hosted a live stream that attracted more than 43 million customers during Taobao’s Singles Day 2019 sales event. This growth has been intensified by the Covid pandemic and live-stream shopping is expected to reach $423 billion by 2022.

If you want to improve your user experiences and engagement rates, you should try live video shopping to develop a closer relationship with your customers. Live streaming enables businesses to receive instant feedback from their audience in real-time.

Trend#8: Sustainable growth

Plastic packaging might be affordable and easy to reach, but business brands can’t risk polluting the environment any longer. Environmentally sustainable will be a key factor to consider for 2023 since the market is getting younger and more are aware of the environmental impact.

It is essential to prioritize environmental sustainability in everything from packaging to your supply chain. As global warming has become a rising topic in everyone’s mind, being environmentally friendly could cost more, but it might be a selling point as well.

Trend#9: Deeper personalization

Personalization is expected to go deeper in 2023. Nowadays, all the brands and eCommerce platforms are spending money on different tools to learn about their customers in every way. The purpose is to make products personal to increase the chances of converting potential customers. Personalization is a great tool to help customers return and create long-term value. Some of the most significant reasons to increase personalized products are listed below:

• Increase interaction with customers
• Long shipping times are understandable
• Less competition compare to other products

Trend#10: The changing of google analytics

Google Analytics is a vital tool to gather data about your eCommerce store to allow you to analyze and obtain in-depth statistics. You will have access to data on who are your customers, what are their interests, and how is their engagement rate with your business. Google has announced that Universal Analytics(UA) will be removed entirely and replaced with Google Analytics 4 (GA4) on July 1, 2023. This might be quite a change for the marketing team since the measurement data model is now based on parameters and events. You can start migrating your data from UA to GA4 now and check out this article from MarTech for more instructions.

5 profitable dropshipping products in 2023

#1. Home Office Supplies

Source: Google Trend

Working at home has become the new norm since Covid 19. As google searches show, ‘how to improve hybrid working’ has increased by 600% over the last 12 months. This trend is suspected to grow and sellers can reach out to more diverse consumers including office workers, part-time college students, entrepreneurs, and freelancers, etc.

Up-to-date trending pet product list:

• Water Bottle and Tumbler: 150-158% in 5-year search growth
• Desktop Organizer: aesthetic wallpaper breakout in 5-year search growth; desktop bookshelf 180% in 5-year search growth
• Blue Light Blocking Glasses: most searches about blue light-blocking glasses have reached a breakout in the past 5 years
• Pen Holder: 143% in 5-year search growth
• Desktop Ornaments: 150 in 5-year search growth; especially popular in the United States

Source: Google Trend 

Source from: HyperSKU suppliers

#2. Pet’s accessory

Source: Google Trend 

As you can see from the search data, pet accessory is an evergreen business niche and the demand for pet products is expected to increase in 2023.

Up-to-date trending pet product list:

• Donut Dog Bed: 750% in 5-year search growth; 6,600 monthly searches
• CBD Oil For Dogs: 112% in 5-year search growth
• Pet Fountain: 28% in 5-year search growth; 3,600 monthly searches
• Slow Feeder Bowl: 187% in 5-year search growth; 1,900 monthly searches
• Dog Calming Bed: 167% in 5-year search growth; 4,400 monthly searches

Source: Exploding Topics

Source from: HyperSKU suppliers

#3. Home Fitness Equipment

Source: Google Trend 

Keeping body fitness has been a hot and rising topic since covid and especially working out from home. The trend is allowing entrepreneurs to gain more profit from selling home sports products online.

Up-to-date trending home fitness product list:

• Exercise bands: 450% & up in 5-year search growth
• Yoga mats: 1800% & up in 5-year search growth

Source from: HyperSKU suppliers

#4. Health and personal care

Source: Google Trend 

Undoubtedly, the global health and personal care market will continue to climb in 2023. Data shows, the global health and wellness market is projected to reach $5.59 trillion in 2022. It is expected to increase to $7 trillion by 2025. Increasing demand and interest mean greater competition. Let’s look at some winning products to stand out from the market.

Up-to-date trending health and personal care product list:

• Seat cushion & waist cushion: purple seat cushion reached 300-350% in 5-year search growth
• Body massager: all related topics have broken out; neck and back massager reached 2250% in 5-year search growth

Source from: HyperSKU suppliers

#5. Kitchen utensils

Source: Google Trend 

Up-to-date trending kitchen utensils product list:

Many people are hesitated to dine out at restaurants considering the risk to contact others in the past few years. The surging habit of cooking and making healthier food at home has contributed to the rising demand for kitchen utensils.

• Functional Slicers: 550% & up in 5-year search growth
• Tray: 400% in 5-year search growth
• Rotating kitchen organizer: 250% in 5-year search growth

Source from: HyperSKU suppliers

How can I find a professional Dropshipping solution to take advantage of this trend?

It’s time to find out how to use this dropshipping and eCommerce trend wisely. According to research data, eCommerce in the United States grew by 14.2% in 2021 and 10.8% in Q3 of 2022. Considering that this is the highest annual growth in the U.S. in the past two decades!

HyperSKU is a professional dropshipping supplier offering quality products, express shipping, branding solution, and quality service. We incorporate experience, resources, and technology into a top-notch platform that supports global online sellers.

You can enjoy a seamless and robust fulfillment-to-consumer solution to improve your sales performance and decrease costs across the full ecosystem. With one-click automated integration with Shopify, WooCommerce, BigCommerce, Tiktok shop, and other stores, you can manage your eCommerce stores all in one platform.

Reach out to our professional team with multi-lingual staff from around the world to help your eCommerce succeed in 2023!

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