The online market offers more and more possibilities to start successful entrepreneurial activities on the web.
Often, to start your own business, you need important economic, production and management resources.
In other cases, however, you can turn to companies that have the aim of connecting the corporate world with people who want to enter the online business market.
This is the case of Droppalo.it , an agency created by Giorgio Galano in 2016, which connects manufacturers and wholesale distributors and offers support to all companies that want to increase sales using the Dropshipping model.
Today Giorgio Galano tells us how a business like Droppalo develops and how it is a Viva Digital success story, where digital infrastructure and digital marketing must necessarily go hand in hand to ensure a consistently efficient system and a constantly growing business.
Good morning Giorgio, tell us a little about Droppalo.it, what do you do?
Good morning, my name is Giorgio Galano and I am the founder of a small agency called Droppalo.it.
We essentially deal with proposing the dropshipping system both to companies that have their own warehouse (suppliers) and to wholesalers or producers and we then connect strategies to this so that they can find affiliated agents and companies.
We offer these companies a completely innovative system synchronized with the warehouse that at the same time does not destabilize what they already do.
We handle the acquisition of potential affiliates by marketing them on franchise portals with Google. This is what happens on the company side.
On the user or potential affiliate side, we take care of supporting him in the right choice of supplier. Obviously there are many suppliers for many products and there we go to do a sort of interview with the potential affiliate where we go to propose those systems that we all know today, that is to say, trade with products connected to the supplier warehouse and marketing campaigns so that they can generate sales.
What previous steps did you have to take to get to this company?
Let's say the first step was to test dropshipping for yourself. We started many years ago. We can certainly say more than six years ago with a specific product which is that of electronic cigarettes. We had no budget to build a large warehouse and we connected with suppliers who gave us the opportunity to work with this method.
And from there came the idea of offering it to many companies with warehouses idle for trade and sales, and also to many people who want to start an online sales journey with an e-commerce site but don't have a large budget.
So we try to unite both the entrepreneur and both the company with the end user.
In this activity you saw the potential and wanted to provide others with your experience. I noticed that he explained it to us and smiles as if this were a very pleasant memory. It is evident that he is passionate about this topic.
It is pleasant both as a memory and as a number. We started doing the classic two or three expeditions, even a little less, a week in the first two years, to get to make one hundred shipments a day.
It was a sector in which there was a boom but in any case we worked hard and dropshipping helped us.
Then we built a warehouse and acquired our own. From there, we grew, partly because that's what dropshipping groups usually do: to enter a sector and seek help from those already working there, then grow and become a true entrepreneur.
What is the competitive advantage you have in your business in the eyes of the potential customer? What are the benefits that the customer gets from working with you?
On the company side, obviously, the warehouse . Simply put, we can bring them sales. Because the customer is usually accustomed to selling only wholesale . Today, we know what the situation is, so we're going to connect a system that essentially allows them to have many agents who bring them sales without discounts.
From a client's perspective, you can simply open an e-commerce site with thousands of products without investing huge sums of money, without having to stock up on inventory, without having to ship it, and without having to pay for it conveniently after selling. So, I'd say it's a great advantage. Of course, we then help them manage the e-commerce site, both in terms of marketing and management. The advantage is that you can start a business with very low investments compared to those required to open a full-fledged business.
Let's say that the customer, therefore not the company, has an interest in entering this world which is the world of e-commerce of online sales but does not want to invest too much at the beginning so he does not want to have a warehouse, employees and other structures, it comes to you and you have a turnkey solution to get it started with a low investment. Right?
That's right, that's right.
So on the customer side, who usually turns to you is a person looking for a new job opportunity?
A new opportunity is either dissatisfied with their job or even no longer likes what they do and wants to do something innovative.
These are the most common stories. Then obviously there is a good part instead of small entrepreneurs and traders who already have a VAT number and deal with something else and want to enter the world of online sales.
So these are the two types of affiliates who contact us.
So do people who are not experts also receive training and support from you as a service? That is, do you help them grow?
Exact.
So can we say that it is a service quite open to many types of serious investors, individuals and maybe even small freelancers, therefore very heterogeneous?
Yes, it's open to everyone . It's a pretty significant change from the old way of doing business, where you need an initial investment and a clear idea of how everything works.
We're significantly lowering the barriers to entry with this idea. Because on the other hand, we find ourselves talking to people who have completely different goals , or sometimes no clearly defined goals at all, but who need to challenge themselves and start something, to learn something new , a new job , and then reap the benefits. We find ourselves talking to people who say, "I have free time, and rather than spend it in front of the TV, Facebook, or Netflix, I'd rather learn something. If it can then become such an income that it can completely replace my job, so be it."
There are those who start just like that and there are obviously those who have clear ideas. So let's talk a little bit with everyone, obviously with different goals and different budgets too.
Because we 're perhaps among the few who don't charge mandatory renewal fees . We give everyone the freedom to start with us as they wish and choose their services. This is a double-edged sword for us: there's the affiliate who rightly takes it easy because there's no expiration date, no rent to pay, no bills, no royalties, and so we also give everyone the opportunity to recover.
We can say that this is one of the ways it makes you stand out from the competition. Is there anything else that sets you apart?
Well yes, we are also distinguished by the fact that the competition is prepared on the warehouse side but is less prepared on the affiliate support side in going to propose something suitable.
I understand the present of this business of this business is very active, there is a lot of interest. How do you see the next five years of this activity? What do you expect from this world?
Five years is too long, even considering what happens annually, unfortunately. Not only from a global perspective, but also from a technological perspective, with innovation, blockchain, etc. So, returning to the question, I see dropshipping as a good option because we can't just ignore it anymore . Even those who have a shop and are already up and running must realize that neglecting online sales can be quite dangerous . So I see it as a good option because we offer many people the opportunity to at least enter this world and be supported. I imagine there will be growth in the coming years because the demand is there and increasing.
Can we say that if the next 5 are as positive as the last 5 you will feel satisfied?
Yes, many entrepreneurs can't say this these days. In recent years, many companies have faced many difficulties, so it's important to see that there are new systems that work regardless of the problems we all know about.
We're always looking for new systems to integrate or set up from scratch. We never stop in terms of innovation ; we keep moving forward.
I like innovation. By the way, do you have any future projects? Something you can anticipate, some news?
Great news! Over the past year, we've received many inquiries from affiliates who already work with us and potential partners interested in better organized tax planning . I mean, many of these people who work with us and other companies are true digital nomads —people or digital entrepreneurs who now only manage online businesses, frequently moving countries or not living in Italy for certain periods of the year. They therefore ask us for solutions that offer tax benefits . It's especially when it comes to generating profits that we understand the situation here and what other European countries offer. So we've started a process with the Bulgarian-Italian Chamber of Commerce and Industry in Sofia, where, obviously, not us, but our accountants and lawyers provide consulting after analyzing the affiliate's needs.
And is this a service that you also offer to those who are not your dropshipping affiliate?
Yes, yes, because it was inevitable that the affiliate would then talk to friends, with partners and in any case we would receive requests for consultancy which obviously meant that this business grew rapidly.
So to summarize a potential customer assuming that he wants to have all your services, he gets from you a warehouse with the products, an IT structure then an e-commerce etc, ready for sale, your support for the management of these online activities, your training and also wanting tax and corporate advice to possibly open a VAT number in Europe, manage it and maximize earnings?
Exact.
It must have been easy to put all these pieces together I guess?
Well, it took and still takes time. Mistakes are made along the way , so you definitely need to be able to offer something valid and clearly functional from a technical standpoint. Clearly, all entrepreneurs who do something sooner or later make mistakes or run into difficulties.
In these years of crisis and growth, what were your main difficulties that you have overcome?
The main difficulties, of course, have always been those we encountered at the beginning of each project, including major partnerships or simply technical updates. All of these things obviously created a bit of a ruckus at the beginning, because when you update a system, you also have to update everything connected to that system. So we had to run around until, after years, we finally found the solution . The difficulty was running when we had fewer resources than we do now. Now, even if we need to make additions or fix certain things, we do it more, but more calmly and certainly with more planning.
While the issue of digitization for you was more of a difficulty or an opportunity that you rode?
It was definitely an opportunity. That's the direction. Things always come later here. It's normal for it to be that way. So we're still at the beginning, there's still something new.
There's still room for those who want to do it , are willing to commit, and persevere in what they do. There's still a lot to do, and there are so many opportunities.
I take a step back on the core business of dropshipping. Do you provide a warehouse with products, in particular sectors and expertise?
Yes, obviously we avoid well-known sectors but focus on niche sectors that we see on the web and Google and where there are searches . We do an analysis and go to insert the products. We started with adult items , the brand is xexo.it and then added legal hemp ( marijane.it ). Based on internal research, some fairly new projects have been born alongside these: home and garden products . We focused on sought-after products that the affiliate can sell.
What is your role in society? You are a reference figure, what do you do?
I'm the sales manager, and I supervise my colleagues who provide consulting services to those who contact us online . I also support the customer care manager in assisting affiliates who are new to this industry and need help.
If someone is interested, can they contact you and receive advice from you?
Right!
Do you want to leave us a reference?
You can contact me at info@droppalo.it or at +39 339 2601296.
To close, would you like to give a message to those interested in having more info?
What we offer is something targeted to enter the online business . Anyone interested in starting an online business path on a limited budget can contact us and we will explain how to do it.
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