Dropshipping

Best Dropshipping Suppliers in New Zealand

Dimitar Alimaskoski

Dimitar Alimaskoski

Jul 23, 2021 · 6 minutes

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Entering the eCommerce market in the current time can be done quite easily with the help of the dropshipping business model. All you have to do is decide what kind of products you’re going to sell and then search for the most suited supplier who’ll take care of your product inventory. Yes, it’s that easy.

Of course, there are some small arrangements that have to be conducted in between these processes that are more of a technical nature. However, once you complete these tasks, you’re good to go on an adventure called “running and managing a dropshipping business.”

We have already talked about the dropshipping suppliers in the following countries:

• UK dropshipping suppliers
• South Africa dropshipping suppliers
• USA dropshipping suppliers
• dropshipping in Switzerland
• dropshipping in Germany
• dropshipping in Italy
• dropshipping in France
• dropshipping suppliers Australia

Now, we’ll cover New Zealand, a country that consists of two islands located in the southwestern Pacific ocean. Although a small country, New Zealand is one of the best countries to dropship to and its dropshipping market is enough saturated so if you want to have an advantage in starting your venture here, you might want to think hard about the niche you’re going to choose for your business.

But first things first, let’s look at some statistics in order to better understand the market movements and then move to list some of the best dropshipping suppliers in New Zealand.

New Zealand’s Population

According to the newest Worldometers data:

• The number of inhabitants of New Zealand is circa 4,9 million as of 2022.
• The country is ranked in 126th place according to the population index.
• Up to 86.9% of the country’s population lives in urban areas.

The eCommerce market in New Zealand

According to the latest data:

• The New Zealand global eCommerce market has a revenue amounting to US$5.68bn in 2022.
• The market expansion is set to proceed in the next years with a projection that the CAGR (compound annual growth rate) for the period of five years will amount to 17.39%.
• Furthermore, an additional indicator of the saturated market in New Zealand is the 64.9% user penetration rate, expected to rise to 3.3m users by 2027.

New Zealand eCommerce pandemic restrictions

Due to the Covid-19 pandemic, New Zealand introduced stricter rules regarding the eCommerce sector, prohibiting online shopping for non-essential products amid the surge in cases and major lockdowns in the period of March-April 2020. The rules, however, created an increasing trend of ordering items from overseas countries, as international sellers were still permitted to ship their products to this Southern Pacific country.

Although the newly arisen situation faced a backlash from the domestic eCommerce vendors, the international companies started to take advantage and explore the market even more, by offering products that weren’t provided domestically. As a result, international eCommerce sales have skyrocketed and US merchants have seen a 168% increase in sales volume in this sector only in April 2020. The most demanded products were from the fashion segment or clothing, sportswear, and footwear.

With this in mind, the nation might now come through with a more diversified range of eCommerce companies, as many of the brick-and-mortar shops are starting to transfer their products to online stores. Another great thing is that the government vowed to raise domestic sales in eCommerce by announcing a $6.4 million investment capital aimed at improving the eCommerce market.

New Zealand’s internet usage

The latest statistics display that:

• As of January 2022, there were 4.63 million internet users in New Zealand.
• In other words, about 94% of the population in New Zealand was actively using the internet this year.
• Between 2021 and 2022 the number of internet users increased by 79,000 or 1.7%.

Popular categories in New Zealand’s eCommerce segment

According to Statista, here are the most popular product categories in the New Zealand online market in 2022:

• Fashion with US$1.50bn
• Toys, Hobby & DIY with US$0.98bn
• Electronics with US$0.93bn
• Furniture with US$856.60m
• Beauty, Health, Personal & Household Care US$536.90m
• Beverages US$496.60m
• Food with US$253.40m

Popular payment methods in the eCommerce segment in New Zealand

A study conducted by JP Morgan reports that:

• The primary method of payment for New Zealanders in online shopping is card payment, accounting for 55% of payments.
• Bank transfers are also on the rise in particular with the “buy now, pay later” services, used by 25% of online buyers in 2020.

As a result, as stated by Global Data:

• ATM cash withdrawals have been reduced by 20.9% in 2020 and 5.9% in 2021.

Steps to begin with your dropshipping store

Find the right products to dropship

In order to begin the process of planning your business journey with the dropshipping model, you need to make thorough research that’ll help you along the way.  From assessing which products have the best value to encountering the most profitable items, it’s very important to follow certain guidelines that’ll ensure a smooth sail in the dropshipping sea.

Conduct a product research

You can use tools such as Google Trends in order to determine which are the most profitable items to sell and pick up an idea for tailoring your web store. In fact, this free tool is all you need to get an initial glimpse of all market trends and behaviors.

Selecting a niche

The next thing you need to do is select your niche. This step is important in order to decide whether you want to cover a wider market audience or narrow down your consumers and attract a specific group with carefully selected products. Of course, be careful to select a niche that you’re passionate about or at least have sufficient knowledge to assess each aspect of it.

Perform a competitor’s audit

Finally, in order to find out more about the current niche, you need to look deeper into the already established businesses. A detailed competitor evaluation is particularly important because it can give you a nice overview of certain market trends. Regardless, it’s always good to have a hold of information on whether you can match or even surpass the competitor’s prices while still earning a reasonable amount of profit.

Best dropshipping suppliers in New Zealand

Now that you are all set in terms of technical aspects, the last thing you need to do is decide who’ll supply the inventory of your store. The search for the best dropshipping supplier in New Zealand might end with this thorough list of suppliers that’ll alleviate your quest.

FAQ

To sum up

Building a dropshipping store from scratch can be quite the journey for every entrepreneur out there in search of the right business model. In fact, a successful dropshipping company would mean a crafty preparation process and resourceful planning in order to guarantee a seamless customer experience.

Therefore, we compiled this entire guide to dropshipping along with the list of dropshipping suppliers in New Zealand in order to bring you one step closer to your desired web store. So, if you decided that dropshipping is the most suitable model for your online venture, the only thing left is to start the process of selecting your dropshipping supplier and then emerge on the eCommerce market.

About the Author

Dimitar Alimaskoski

Content writer and music fanatic. Always using song lyrics as inspiration for my words.