Search
  • Mehreen Omer

10 Major Reasons Why 95% of Shopify Stores Fail

It seems that the dropshipping industry is rapidly gaining popularity and responses, which is why more and more people want to try it out for themselves. This may be a good idea for some, however many people have previously failed in this venture and the cycle still continues, as people overlook some of the risks and key strategies of dropshipping.

Shopify is an online platform that eases the process of opening a store tremendously. You can follow a basic step-by-step guide for how to open up your own store on shopify. With this process taken care of, one might feel that their business will begin to grow rapidly and they would receive guaranteed success.


But despite what many of the ‘get rich quick’ gurus and influencers might have you believe, it is quite a tedious process to run a shopify store effectively. Several aspects of e-commerce have to be taken into account for any newbie to ensure a successful store. As many fail to follow guidelines and previous examples, about 95% of Shopify stores end up failing, and here’s why.

1. Wrong niche

The most common reason behind a drop shipping start-up gone wrong is a poor niche selection. Anyone who wants to begin a business on shopify must ensure that they fulfill criteria regarding their user demands and expectations, or appeal to the right users.

Research should be done beforehand on the following:


- What type of products to sell

- Who the target audience should be

2. Not calculating expenses

Starting a shopify store without a basic idea of how to go about the business is a bad idea. The basic financial and marketing aspects of the store should be carefully thought out to avoid future problems. In order to get a better understanding of these issues, a store owner should look into:


- What type of dropshipping is most suitable

- Advertisement costs

- Shopify subscription

- Shipping cost

Each added expense should be carefully considered and one should not simply open their shopify store without some plan on how to get return on all these costs.

3. Starting without a plan

All Shopify stores should have a corporate plan for how to maintain their business in the long run. When starting out in dropshipping, most store owners do not consider this an important step in setting up their store, and as a result fail to make their store last long or attract buyers.


Owners should consider the following points to ensure a successful store:

- How to differentiate your store

- How to make customers return

- What products to display first

- How orders will be fulfilled

4. No returning customers

What happens most often with failing stores is that customers do not show up to their homepage, or the ones that do never return. It is vital for store owners to find the source of this issue and reverse it.


Customers may be driven away from the store due to a poor user experience, bad customer service, unaffordable prices or unbranded products.

Shopify stores must have a good help and support option, where the owner is available for help and responds to queries as soon as possible. A question and answer page is an easy solution for that if the seller cannot be online at all times.

5. Lack of patience

Oftentimes, newcomers in dropshipping expect their store to gain popularity overnight and start making money instantly. In reality, online businesses need much more work and time before they can start generating bigger audiences or even sell their first product.


When this does not happen, the owners neglect their stores and do not put in any effort to raise awareness about it. It is necessary to understand how competitive this market is around the world, and in order for a new shopify store to be noticed, the seller must show persistence and be very keen on making it work, and maintaining it too.

6. Choosing the wrong theme

What attracts a customer to a store is how it appears, i.e. what sort of theme it has. This is a very important step in making a store successful, that many owners fail to acknowledge. A shopify store should have a unique style, and be easy to navigate. Different pages should be provided for customer support, FAQs, product details and so on.


Examples can be found on how other successful stores display their pages, and what type of styles one might want to avoid.

7. Issues in shipment

Problems in shipment are a common source of unsuccessful shopify stores. Many factors contribute to this:

- Time delays in shipping

- Counterfeit or damaged products

- Misplaced orders


All of these issues must be dealt with immediately for smooth workflow of the store.

8. Low return on ads

Dropshipping businesses require a lot of advertisements to get the name of the store out to public and garner more popularity. Such sponsorship ads are very expensive, and require a very high response rate in order to get the money back for them. Many people fail to receive enough return on their ads, which results in a cash deficit.


To avoid this issue, owners should choose large media platforms such as facebook, to portray their ads. This allows more viewership than ordinary websites and more people will click on them.

9. Bad product quality

Bad product quality is another thing which leads to fewer returning customers and more losses. Dropshippers must make sure that their items are not counterfeit or damaged, or must offer to provide a replacement effectively, so as to not lose valuable customers.

10. Taking on too much

When trying to create a unique look and making a store stand out, many sellers go overboard and try too many things right from the start. This technique must be avoided, and the owner should only focus on selling a few products and get decent feedback in return, after which they should begin to expand their business and can then explore new features in their store.

13 views0 comments