Is dropshipping really working? I'm jsut losing money due chargebacks.

[Akieasendo]

Is there really someone who is earning good money doing dropshipping through aliexpress? Man, I'm working on selling toys from aliexpress but in the last 3 months I worked really hard just to lose almost 500$ due chargebacks... I'm desperate

 

[Mani Sheikh]

Use proper planning for DropShopping read articles about it and also watch videos on youtube.
Its better to get drop shopping course in udemy it will help you a lot.

 

[pr0j3ctx]

High chargeback rate = something is wrong with your store
e.g. delivery/bad reviews/not trustworthy enough/not satisfied or could be a bad market with higher than usual chargebacks

prob delivery lol

 

[Nut-Nights]

Tons of factors OP, competitors, bad merchant, bad site etc. You need to check everything.

 

[Sombrero]

If you are making enough sales to have $500 in chargebacks you are doing something right with the wrong product.

 

[MisterF]

OP

Out of interest have you ordered one of your own products?

There's several factors that may be part of the issue;

There are a few sellers on Ali Express who leave labels or identifying stickers / stamps on the packaging or delivery note.
This means possibly your customer gets the toy, sees they have paid you $30, find it on AliExpress at $10......

What it the actual quality of the product like? Is it as good as the first sample you requested ?

Sadly there's also a minority of thieves and scammers who make a living by doing chargebacks.

 

[wisedonkey]

Dropshipping is always risky, you have to plan things carefully for it to work.

 

[TheAlmightyDada]

Have you read @Billy Batts excellent beginners guide to make sure you're not making any basic mistakes.

 

[Lay]

Go watch Franklin Hatchett on Youtube, really good source!

 

[Smifff]

Careful, i've read with a lot of chargebacks, shopify (if you're using that) a payment providers have a tendency to hold your money for a long long time

 

[nakamura]

Figure out the reason of the chargebacks. Solve this problem and you are good to go.

 

[Psh]

Happened to me too.. Stripe is an absolute joke.

Customer places order > Tells Stripe/bank "Uhh I didn't order this xDD" > Stripe says "Ok bro, we'll take your money back + charge the seller an extra $25 fee lolmao!". In the end the customer got the products, the money back, and I lost the product price + $25 extra for each scam order. Got hit with -$600 in a week because of this, even when sending in proof like invoices, shipping and everything else.

IF you would win the case (yeah, right) you'll have to wait 5 months to get your money back. Yep, 5 months.

They don't have a customer service number either. Check out this page: https://www.merchantmaverick.com/reviews/stripe-review/ and scroll down aaaaall the way to the comments. 90% 1/5 stars and complaints.

Stay away from Stripe, it's worse than PayPal when it comes to chargebacks.

If you are making enough sales to have $500 in chargebacks you are doing something right with the wrong product.

Or getting hit from a bunch of scammers. They can sniff out people who use Stripe it seems.. and get away with it.

 

[Akieasendo]

Happened to me too.. Stripe is an absolute joke.

Customer places order > Tells Stripe/bank "Uhh I didn't order this xDD" > Stripe says "Ok bro, we'll take your money back + charge the seller an extra $25 fee lolmao!". In the end the customer got the products, the money back, and I lost the product price + $25 extra for each scam order. Got hit with -$600 in a week because of this, even when sending in proof like invoices, shipping and everything else.

IF you would win the case (yeah, right) you'll have to wait 5 months to get your money back. Yep, 5 months.

They don't have a customer service number either. Check out this page: https://www.merchantmaverick.com/reviews/stripe-review/ and scroll down aaaaall the way to the comments. 90% 1/5 stars and complaints.

Stay away from Stripe, it's worse than PayPal when it comes to chargebacks.


Or getting hit from a bunch of scammers. They can sniff out people who use Stripe it seems.. and get away with it.

Indeed I'm using stripe and this is exactly what happened to me.
What alternatives do you suggest to accept credit cards?

 

[Kuem]

Indeed I'm using stripe and this is exactly what happened to me.
What alternatives do you suggest to accept credit cards?

Use paypal. I'd rather loose sales than loose more money than i actually make

 

[Psh]

Indeed I'm using stripe and this is exactly what happened to me.
What alternatives do you suggest to accept credit cards?

I actually don't know, I sold my Shopify ecommerce yesterday because of this reason. So sick of aliexpress dropshipping with shit shipping times, customers, scams etc. Luckily I found an even better niche with digital products, 100% profits and zero shipping time. Unfortunately I only have PayPal for the moment.

If you find one, PM me please.

Use paypal. I'd rather loose sales than loose more money than i actually make

Yeah, but also no.. When I disabled Stripe a few weeks ago and only left PayPal, my sales dropped at least 50%. Having a card provider is important, not only for accepting cards but also for trust factor.

However this is exactly what I'm doing now. Only PayPal. If someone does a chargeback on me now I technically won't lose anything since it's a digital product I just created once and sell over and over again, and PayPal doesn't charge EXTRA for chargebacks.

EDIT: Just realized you said "I'd rather lose a sale than..", I read your comment to quickly. Yeah, I agree with you.

I'd like to be able to accept cards, but not if I get charged $25 if someone scams me. 2Checkout maybe? I don't know. If someone knows a card checkout that doesn't charge extra: Let me know!

 

[GangsterWilly]

I actually don't know, I sold my Shopify ecommerce yesterday because of this reason. So sick of aliexpress dropshipping with shit shipping times, customers, scams etc. Luckily I found an even better niche with digital products, 100% profits and zero shipping time. Unfortunately I only have PayPal for the moment.

If you find one, PM me please.


Yeah, but also no.. When I disabled Stripe a few weeks ago and only left PayPal, my sales dropped at least 50%. Having a card provider is important, not only for accepting cards but also for trust factor.

However this is exactly what I'm doing now. Only PayPal. If someone does a chargeback on me now I technically won't lose anything since it's a digital product I just created once and sell over and over again, and PayPal doesn't charge EXTRA for chargebacks.

EDIT: Just realized you said "I'd rather lose a sale than..", I read your comment to quickly. Yeah, I agree with you.

I'd like to be able to accept cards, but not if I get charged $25 if someone scams me. 2Checkout maybe? I don't know. If someone knows a card checkout that doesn't charge extra: Let me know!

2checkout crages 25$ ALLSO...

Am building my first eCommerce shop on WooComerce and would like to know payment processors. Crypto payment options? Any suggestions?

 

[lifehero]

Is there really someone who is earning good money doing dropshipping through aliexpress? Man, I'm working on selling toys from aliexpress but in the last 3 months I worked really hard just to lose almost 500$ due chargebacks... I'm desperate

From my personal experience I highly recommend not dropshipping toys. As toys are low margin and at high risk for charge backs. Pretty sure Shopify now requires you have less than 1% chargeback rate or they will suspend their payment processor. For new stores I think they hold on to a certain percentage of your earnings for 90 days until you meet the less than 1% chargeback rate. Although, i never received a large amount of chargebacks i did spend (lost) about 5k in ads and other variable cost before i found a big winner and was able to scale to the moon. Just some advice sell items that have higher margins for profit. My winning products are in the 24-39 range. Also to keep chargebacks as low as possible, you can code in a message that gets sent to your customers after they place the order. It is in your notifications, code in the delivery times and your return policy. This will help with chargebacks. Also, quick tip the goal is not to get profitable on cold audience targeting (although you can if you have a medium to big winner), cold audience targeting is for building the pixel data on the custom conversion pixel and to acquire as much pixel data for matured LLA's lookalike audiences. Spend and lose big in cold audience targeting, scale and profit huge huge (literally get rich over night) into mature look alikes. I have never scaled big into cold audiences, always matured lla's. Hope this helps.

 

[unosdostres]

Figure out the reason of the chargebacks, cause I have only 1 chargeback during the all time.