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Benefits of Dropshipping Hair Extensions!

July 9, 2015Michael MoranDropshipping

Dropshipping Hair!

We all know the hair extension business can be very lucrative. Yes there is competition for business but that goes the same for all popular products. We have helped over 1,000 hair entrepreneurs start their own hair extension businesses over the past 2 years with some of our other products. We have taken everything we have learned about starting a hair biz over the past few years and created the Dropship Extensions APP to solve many of the challenges of getting started. This is the sister company to our Drophship Hair Extensions hair extension dropship program.

Why Use Dropshipping For Hair Extensions?

Yes, we mentioned that having a hair extension business can be awesome. But some of the costs to get a full blown hair business with inventory and inventory management is not. If you start calculating the inventory costs to get your store up and running you will see that it can easily start at way over $10,000.

Let’s look into how we came up with that number. If you are going to start a hair extension business you will need to launch with at least 1 nationality of hair. That could be Brazilian, Indian, Cambodian, Peruvian and so on.

So let’s just start with Brazilian for this example because that is what we sell the most of with the Dropship Extensions APP.

Next, you will want a minimum of 5 hair styles to choose from. Let’s go with the most popular which include Silky Straight, Body Wave, Loose Wave, Deep Wave and Kinky Curly.

And then the last decision will be the lengths that you are going to carry. You will want to start with 12″ and probably go at least to 26″ for those wanting the now very popular longer hair. That calculates to be 8 lengths for each style. As a side note we offer up to 32″ in the Dropship Extensions APP.

Hair Extension Model

Let’s start putting some calculations together. If you have 8 lengths and 5 styles then that would be 40 bundles to have the bare minimum covered. I won’t even get into Closures or anything else like that at this point. Because customers often order 2 of the same length you will obviously need more than 1 of each product to run a legit business that ships out the products to their customers quickly. We know ladies do not have time to wait for their hair! Shipping times are really important to us and our business partners. We ship out your orders THE SAME DAY if ordered before 4 pm ET.

We would suggest having 5 bundles of each product as a minimum for a slow store so you can have the products on hand and ship them as promised. That would be a total of 200 bundles on hand to have a safe amount of hair. Start doing the cost analysis and you will see that you will be spending close to $10,000 to get started. Most people don’t want to make that initial investment to get their hair business started. This is a great reason why Dropshipping Hair Extensions with a reliable supplier is the most cost effective alternative.

Remember To Calculate Delivered Pricing

If you are thinking of going for the “I want to spend $10,000 on hair right now” remember to calculate all the costs to get the products to you. If you decide to use our Dropshipping method you will not have to calculate delivered pricing because it is already factored into your PRICING.

If you are looking for a hair extension supplier you always need to calculate delivered pricing. You might get some price quotes but remember that is the pricing at the factory. You still need to get it to you! Depending on the quantity ordered you will probably pay an extra $1.50 – $2.00 in shipping costs from an overseas manufacturer. Make sure you are factoring that into your product cost when comparing prices.

Transaction Costs with Suppliers

Another cost you need to factor in for delivered pricing is the transaction cost with a supplier. Since you would be sending money overseas in large amounts you will need a safe way to send the money. Don’t be a fool and send money overseas via a service like Western Union. You will never see it again. Most companies will use PayPal as a safe method for sending money to suppliers. The issue with that is you will often be charged a 4.5% or more transaction fee on top of our quoted price. Make sure you factor that in for delivered pricing.

With the simple pricing method of the Dropship Extensions APP you do not have to add these extra delivered costs into the pricing.

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Tags: Dropship hair extensions, dropshipping, hair business, hair extensions, supplier, USA

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We are experts in launching hair brands! Our team works with stylists, celebrities, entrepreneurs and salon owners to create their own hair line. Dropshipping makes the initial cost of investment very affordable for a business that can be very lucrative. Be your own CEO and start your hair business today!

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