The Essential Guide to Set Up WooCommerce Dropshipping

Starting a business typically requires a significant amount of capital—renting a storefront, stocking inventory, hiring staff, and launching ad campaigns come with hefty price tags.  Dropshipping is changing the eCommerce landscape. Now, you can run an online store with minimal upfront cost. It’s an easier, more affordable way for anyone to start a business and succeed. 

WooCommerce dropshipping allows you to sell products online without buying inventory. You only need a target audience and a great marketing strategy, then you partner with a supplier of a high-quality product. As simple as it sounds, this used to be a costly feat.

So where do you start? In this guide, you’ll see why WooCommerce is an excellent tool to run your dropshipping business. Then, you’ll learn the steps to setting up an online store that’s ready to go. Read on to discover:

What is dropshipping?

Dropshipping is an eCommerce model that allows entrepreneurs to sell products without holding any inventory. Once a customer places an order, the retailer passes on the order details to a third-party supplier, who then ships the product directly to the customer. This business model eliminates the need for storage and inventory management, which allows businesses to cut down on upfront costs.  

What is WooCommerce dropshipping?

WooCommerce is a WordPress plugin that lets you create a fully functional eCommerce store without holding inventory. It seamlessly integrates with your WordPress site, providing tools to manage products, suppliers, and orders efficiently. 

Why choose WooCommerce dropshipping?

A report by Datanyze indicates that WooCommerce is the go-to solution for 38.39% of eCommerce businesses, which has the highest global market share among its competitors. Why is it so beloved? 

Here’s just a taste of what the WooCommerce add-on enhances: 

• Inventory management: WooCommerce allows you to sync your inventory with suppliers, so your stock levels are always up to date. This feature prevents overselling and helps maintain customer satisfaction.  
• Order fulfillment: The platform supports automated order fulfillment processes. You can send order details to suppliers with a single click, streamlining operations and reducing manual workload.
• Suppliers integration: Manage multiple suppliers effortlessly. WooCommerce enables you to assign products to specific suppliers and set up automated notifications for order updates.
• Payment gateways: WooCommerce integrates with various payment gateways such as PayPal for WooCommerce or WooCommerce Payments, enabling you to take payments in various forms and currencies. 

You’ll reap many other benefits by using WooCommerce for your dropshipping business.

Getting started with WooCommerce Dropshipping

Below, you’ll learn how to set up an eCommerce website that’s ready for dropshipping. If you’re unsure about how the business model works, check out our guide that describes making a dropshipping business plan, step by step.

You can create a functional WooCommerce dropshipping store, with no hassle, by following the steps.

Purchase a domain

You’ll need a domain before you begin. A domain enables your website to be hosted on the internet at a specific digital address. If you don’t have a domain, pick a provider; they’ll give you instructions on purchasing one. For convenience, here’s how to buy a domain from Bluehost.

Head to the Bluehost control panel and log in or create an account. Once you’re signed in, you’ll see a screen like the one below.

From the sidebar on the left, go to Domains > Purchase Domain. Type in your preferred store name, and Bluehost will check its availability. If the name you entered is available, add it to your cart.

Once it’s added, initiate checkout by clicking on the shopping cart icon on the top right corner of the page. A popup will show the particulars of your cart. Click on Go to Checkout.

After completing the steps to verify your account, complete the transaction by providing your credit card information or other necessary payment details. The domain is now yours. It will show up in the My Domains section of the control panel. 

The domain is now yours. It will show up in the My Domains section of the control panel. 

After acquiring a domain, move on to purchasing a hosting plan and installing WordPress.

Install WordPress

Before proceeding with installing WordPress, ensure you have purchased a hosting plan. Hosting is required to make your website live and accessible on the internet. Without an active hosting plan, you won’t be able to access the control panel (cPanel) or proceed with the installation. 

To purchase a hosting plan with Bluehost: 

1. Log in to your Bluehost account control panel. 

2. Navigate to Marketplace > Hosting. 

3. Select a suitable hosting plan for your needs and complete the checkout process. 

Once your hosting plan is confirmed, you’ll gain access to the control panel, allowing you to proceed with installing WordPress. 

There are two ways to proceed; both require a hosting plan.

For the most simplified route to setting up your dropshipping store, pick from Bluehost’s specialized WooCommerce hosting plans. They come with an express installation of WordPress and WooCommerce, plus over $450 of plugins already added. Bluehost also offers cloud hosting plans, which provide enhanced scalability, reliability, and performance for high traffic dropshipping stores. This can be particularly beneficial if your business grows rapidly and needs additional resources. 

With the online store preconfigured, you can already add unlimited products, accept payments securely, print shipping labels and maintain customer accounts.

If you’re wondering about customization, you can download templates for everything from product pages to cart abandonment notifications.

If you want to install WordPress manually, Bluehost makes the process straightforward: 

Log in to your Bluehost account control panel.

Once your hosting plan is confirmed, navigate to My Sites and click Add site. You should land on the page shown below. Provide a website name and a tagline for your WordPress store. Click Next.

In the next step, provide your domain name and a directory for your WordPress installation. If this is your first website on this domain, ignore the directory box and click Next. Bluehost will automatically install WordPress.

When the installation completes, navigate back to My Sites. You should see a list of all your websites.

At this point, your WordPress website is ready for use. The next step is to get your WooCommerce set up.

Install and configure WooCommerce

It’s time to set up and configure WooCommerce so you can start adding products. The steps below will guide you through the configuration process.

From the Bluehost account panel, specifically the My Sites tab, click Manage site. It will lead you to the website’s dashboard. In the top right corner, click on Log into WordPress.

WordPress will load in a new browser tab. In the WordPress menu, navigate to Plugins > Add New.

On the plugins page, use the search field to type “WooCommerce” — press Enter to find the WooCommerce plugin. Click Install Now, as shown below.

After installing the WooCommerce plugin, the Install Now button will turn into Activate. Click on it to activate the plugin.

After activation, WordPress will redirect you to a setup wizard for WooCommerce. Start setting up your online store by clicking Set up my store.

The setup wizard will request that you select the option that best describes you. Pick one and click Continue.

The second stage is where you provide a store name, select the type of product or service you’ll be selling and disclose the location of your business. Click Continue after providing this information.

In the next step, you select the free features you’d like to preinstall. Uncheck the perks you don’t anticipate needing. Then, click Continue.

The wizard will ask you to connect your account to WordPress. Then, it will finalize the installation and redirect you to a page where you add your first product.

Speaking of products, you’ll need to find yourself some suppliers.

Install plugins to find dropshipping suppliers

To thrive, you’ll need high-quality suppliers to source your dropshipping products. This is the core of your WooCommerce dropshipping business. So how do you find a supplier?

There are plugins for that. For your convenience, here are some popular dropshipping supplier plugins:

• WooCommerce Dropshipping: This plugin automates order notifications to suppliers and helps manage inventory. It also supports CSV uploads for bulk product imports. 
• Spocket: Offers access to a vast network of US and EU suppliers, providing faster shipping times and high-quality products. 
• Syncee: A comprehensive dropshipping solution that connects you with suppliers worldwide. It includes automated product updates and order tracking. 
• CJdropshipping: Direct integration with AliExpress and other suppliers. It supports automated order processing and custom pricing rules. 

To find a suitable dropshipping supplier plugin on your own, follow the steps below.

Related Content:
Picking a WooCommerce dropshipping plugin that offers the right features and tools can be a game-changer. Learn more about what WooCommerce drop shipping plugin is right for you

Navigate to the WordPress dashboard and go to Plugins > Add New. To find new suppliers or supplier directories, type “supplier” in the search field and press Enter. Please note that only some of the results will be plugins made to find you suppliers. Simply check the plugin descriptions to distinguish supplier plugins from the rest.

Scan the results and identify plugins with over 700 active installations.

Select the plugin you want to install and activate. Each plugin allows you to explore and import dropshipping products from various suppliers; on some plugin dashboards, you can order directly from suppliers. Most supplier directory plugins require you to purchase a membership.

Keep in mind that unreliable dropshipping suppliers will reflect poorly on your business. If a supplier fails to notify you when specific products run out of stock, or they deliver products late, that’s a sign to immediately change suppliers. Do your due diligence with research to ensure you only work with the best.

Where possible, ensure the suppliers are in the same region as your customers. This drastically reduces shipping times, which helps you get positive customer reviews.

Next, consider WordPress plugins that automate your WooCommerce dropshipping website.

Install plugins to automate your business

As a dropshipper, certain plugins are literally made for you. They’ll help you get the most out of WooCommerce, support your efforts and hasten your growth.

Here are some of the best options to consider:

• AliNext: This add-on imports handpicked AliExpress products to sell online. Furthermore, AliNext enables you to create flexible pricing rules in your online store, which is handy if you have a big catalog. You also can make AliExpress orders in bulk.  It’s a great entry point to AliExpress dropshipping.
• Dropified: With this extension, you can find dropshipping suppliers and list their products directly on your online store. The best part is that when you receive an order, in a single click you can forward it to the supplier. The supplier will pack and ship the order for you.
• Klaviyo: This helps you form personalized customer relationships. You can send personalized emails and SMS at scale, an important function to stay relevant to your customers.
• Google Feed Manager: You can integrate Google Merchant Center with WooCommerce, allowing your dropshipping products to appear in Google searches. But to submit your products to Merchant Center, you’ll need Google Feed Manager, which organizes your products in Google’s preferred, optimized format.
• WooCommerce Dropshipping: This plugin simplifies the dropshipping process by automating order notifications to suppliers. It enables you to send automated emails with order details and shipping information to your suppliers, ensuring that the fulfillment process runs smoothly. Additionally, it offers tools to manage supplier information, bulk-import products and synchronize stock levels  
• Amazon Fulfillment (MCF): If you sell products through Amazon, this plugin integrates WooCommerce with Amazon’s fulfillment services. Once a buyer puts an order, Amazon handles the picking, packing, and shipping. It allows for seamless order fulfillment and provides shipping options such as standard, expedited and priority shipping. 
• Spocket: Spocket is a great dropshipping plugin for those looking to source products from suppliers based in the US and the EU. It gives an option to import products directly into your WooCommerce store and automates the order fulfillment process. Spocket also provides fast shipping options, making it an excellent choice for dropshippers targeting global customers. 

You can find more useful add-ons on the WooCommerce extensions page.

Benefits of WooCommerce dropshipping 

WooCommerce dropshipping offers numerous advantages for entrepreneurs seeking to create a successful eCommerce business with minimal upfront investment. Let’s explore some of the key benefits from the list in greater detail: 

Low maintenance costs 

Setting up a WooCommerce dropshipping store is cost-effective. Since WooCommerce is free, you only pay for essential services like hosting and domain names. You also don’t need to invest in inventory upfront. 

Seamless integration with WordPress 

This is because Automattic (the company that heads WordPress) is also the developer of WooCommerce. WooCommerce integrates effortlessly with WordPress, providing you with SEO tools, content management features, and a vast library of plugins. You can use WordPress’s built-in tools to boost your search engine ranking and drive organic traffic to your store. 

Unlimited product range 

With WooCommerce dropshipping, you’re not limited by the need for physical storage. You can offer a wide variety of products sourced from multiple suppliers, allowing you to respond to market trends quickly. 

Customizability and flexibility 

WooCommerce offers unparalleled flexibility. Whether you want to integrate multiple suppliers, automate processes, or personalize your store’s design, WooCommerce’s vast ecosystem of plugins and extensions makes it possible. 

Automation 

Using plugins like WooCommerce Dropshipping, you can automate inventory updates, product imports, and order fulfillment, freeing you up to focus on marketing and customer service. 

Scalability 

As your business grows, WooCommerce easily scales with it. You can handle increased traffic, add more suppliers, and expand your product range without any disruption. 

Global reach 

WooCommerce allows you to sell globally by offering multiple payment gateways and supporting various currencies. Dropshipping plugins like Spocket connect you to suppliers in the US, EU, and other regions, ensuring faster shipping times. 

Your hosting provider will be one of the most impactful factors in your website’s security, so pick one that understands your circumstances. Bluehost, for instance, has specialized WooCommerce hosting plans that offer responsive, 24/7 customer support to help build your online store and deal with error messages that arise. 

Advanced tips for scaling your WooCommerce dropshipping store 

As your business grows, consider implementing advanced strategies to manage operations more efficiently: 

Use marketing automation tools 

Use tools like Mailchimp or Klaviyo to automate your marketing campaigns. Segment your audience based on their purchase behavior and send targeted emails for product promotions, abandoned cart reminders, and personalized recommendations. 

Build customer retention strategies 

Implement a loyalty program using WooCommerce plugins like Points and Rewards or WooCommerce Memberships. Offer exclusive discounts or early access to new products to encourage repeat purchases. 

Use product bundling and upselling techniques 

Increase your average order value by creating product bundles and upselling related products. Use plugins like WooCommerce Product Bundles or WooCommerce Checkout Add-Ons to offer customized product combinations and add-ons during checkout. 

Optimize your store’s performance 

Ensure your store loads quickly and efficiently by using a content delivery network (CDN) and optimizing images. Choose a robust hosting provider that can handle high traffic and provide excellent uptime. Regularly update your plugins and theme to keep your store secure and running smoothly. 

Next, after careful consideration of plugins and strategies, the next step is to give your audience the best customer service.  

Managing customer support and service excellence 

Providing exceptional customer service is essential for the long-term success of any dropshipping business. Here are some quick tips to ensure you’re offering top-tier support: 
 
1. Multi-Channel Support: Offer customer assistance through multiple platforms like live chat, email, phone, and social media. This accessibility allows customers to reach you through their preferred channels, enhancing user experience. Tools such as LiveChat, Zendesk and even Facebook Messenger integrate easily with WooCommerce, streamlining support management and ensuring prompt responses. 
2. Clear Return & Refund Policies: Make sure to clearly display your return and refund policies across multiple touchpoints—product pages, FAQs, and during checkout. Clearly defined policies reduce the chances of disputes and build customer trust, leading to higher retention and satisfaction. 
3. Comprehensive FAQ Section: A well-structured FAQ section can significantly reduce repetitive inquiries by answering common questions about shipping times, order tracking, product availability, and returns. Keeping this section updated will improve customer satisfaction and reduce the volume of support requests. 

Final thoughts: The essential guide to set up WooCommerce dropshipping

With the right setup and plugins, you can launch a fully functional WooCommerce dropshipping store in just a few hours. Focus on optimizing your product listings, automating key processes, and providing excellent customer service to build a successful online business. 

With specialized WooCommerce hosting plans from Bluehost, nearly everything you need for your WooCommerce dropshipping website comes preinstalled, which means you get started with just a few clicks. Plus, your business will be launched with a reliable host that guarantees high uptime and has excellent customer service. 

WooCommerce dropshipping: FAQs