[METHOD] How to make a Profit Drop Shipping (Step-by-Step-Guide with Examples)

[GringoMonkey]

The biggest mistake people make when they set up a drop shipping store is they fail to create an upsell funnel. It is those backend products that ensure your store is both profitable and has long term success.

Below I am going to give you a strategy blueprint of how you do that complete with examples.

STEP 1- Choosing a Domain Name
Buy a generic domain name for your store.
EG: GringosGear.com

Why? Because you have no idea what is going to work yet and if you buy a niche name you have to throw away your store and start again if it fails, instead of building out a single brand name store.

STEP 2 – Choosing Your Niche
Pick a broad niche:
EG: Animals
then pick your first sub-niche based on what people have a passion for.
EG: Wolves

Now your store site should look like this:
genericdomainname.com -> subniche
EG:GringosGear.com ->Wolves

STEP 3 – Choosing You Micro Niche
Pick 6 Micro niches:
EG: Wolf Jewellery
EG: Wolf Pillow
EG: Wolf Tee Shirt
EG: Wolf Towel
EG: Wolf Bag
EG: Wolf Bedding

STEP 4 - Pricing
Pick a product for each of those niches that ranges from low ticket to high ticket in price.
Your low ticket price should be circa $25 and scale up from that.

Now you should have 6 products spread across low - high price ranges.

STEP 5 – The HOOK!
LET’S ANALYSE THIS FB AD!
https://www.facebook.com/sugarcottonshop/photos/p.1887747998221221/1887747998221221/?type=3

It got 270K likes, 2.8k comments and 2.7k shares – safe to say it is popular and sold a few!

The FB ad leads to this page:
https://sugarandcotton.com/products/black-wolf-obsidian-necklace-free-worldwide-shipping

They sell the product for $99.00 discounted down to $26.95

But...
You can buy it on Aliexpress for $0.01 + $3.34 epacket shipping!
https://www.aliexpress.com/item/33004681095.html

That means they could have done much much more…

STEP 5a – The Competition HOOK.
The Wolf pendant makes a nice profit – but you can use it as a hook to build an entire store!

That cost means you can do it on FREE+Shipping of say $9.99 and make a profit!

You build out your store by building an email competition around the product.

On such a low priced item as the wolf pendant you can let everybody win and they enter the competition by providing their email address.

They enter – win - and claim their prize, which you provide on the FREE + $Shipping method.

Now you can build yourself a huge email list of people you know are interested in wolves.

You choose you traffic source and it is ideally funded by those who pay the shipping.

The key, however, is finding that hook product for your niche!

Once you have that, you have a perpetual, self-funding hook that drops people into your email sales funnel.

STEP 6 – The Money is in the List
Segment those that paid for shipping from those who did not.
Upsell all your related sub niche products by email.
It is these back end sales where all your store profit is.

SCALING
You can scale in 2 ways:
Add in more products to your micro-niches
Pick a different sub niche and repeat

If you would like me to take a look at your store and give you my thoughts as to how you can best implement this strategy feel free to give me your store URL and I will get back to you with my ideas.

 

[Meerkatt]

Thanks for the guide. Provides some very useful information.

What do you think of single product Shopify stores?

 

[mmc]

Nice writeup. Do you segregate them into female/male, product type and try to sell a lady's item vs a men's item?

Also what do you use to construct your email campaigns?

 

[yuuzokun]

Thanks for the guide. Provides some very useful information.

What do you think of single product Shopify stores?

One page stores are the ticket if done right. With a funnel and a bot messenger, you'll set on a gold mine.

Great share OP, although I'm not into the free product pay shipping thing.

 

[aristocratic]

Nicely explained !!

Very Helpful for Dropshipers.

 

[addictedtolearning]

Great info op, thanks a bunch!

 

[GringoMonkey]

Thanks for the guide. Provides some very useful information.

What do you think of single product Shopify stores?

I have done them, but you cannot upsell/cross sell extra products with them - so this hook and upsell method is a bit pointless with a single product store!

Nice writeup. Do you segregate them into female/male, product type and try to sell a lady's item vs a men's item?

Also what do you use to construct your email campaigns?

Yes I segment men and women.

The email campaign technology is really dependent on your list size. There is a financial balance you need to make.
I have used everything from mailchimp through to my own servers.

 

[phoenix9]

This is GOLD...

Thanks mate!

 

[archieThani]

Great method OP

 

[larshall]

good method

 

[nicholaseard]

awesome method. thanks for share

 

[summi]

Thanks OP For nice Share. I have one question whats the right way to promote product for such kind of audience need to have run PPE or WC (VC) or WC(PUR) which give best result so I able to collect more email.
Thanks once again

 

[GringoMonkey]

Thanks OP For nice Share. I have one question whats the right way to promote product for such kind of audience need to have run PPE or WC (VC) or WC(PUR) which give best result so I able to collect more email.
Thanks once again

It really depends on what your offering and how far along your store is. If you would like me to take a look at your store and give you my thoughts I am happy to do so.

 

[NdYAG5320]

I will try this and keep you posted

 

[tidelow]

Thanks for sharing.

 

[anatho]

At first, this facebook post is 2 years (!!!!) old so that product is saturated as hell.

On such a low priced item as the wolf pendant you can let everybody win and they enter the competition by providing their email address.

They enter – win - and claim their prize, which you provide on the FREE + $Shipping method.

I do not get this. So they WIN the product and have to pay $9.99 shipping to get it? Or you really give it for free and you are losing $5 per customer? It is also not 0.01 on aliexpress, it's about $5 incl epacket shipping

 

[Naijalife]

This is a awesome method, could I pm you with how i could best implement this method, thanks in advance

 

[GringoMonkey]

At first, this facebook post is 2 years (!!!!) old so that product is saturated as hell.

I do not get this. So they WIN the product and have to pay $9.99 shipping to get it? Or you really give it for free and you are losing $5 per customer? It is also not 0.01 on aliexpress, it's about $5 incl epacket shipping

It is an example for you to apply to your own niche - not something for you to copy paste and run now. Though you could if you wanted to, but you will have to accept others have ran similar campaigns before you.

If you are a single product store this process of building an email list is a waste of time, because you cannot remarket to them. The point of a hook product is to entice them onto your list, so you can remarket to them later. That is where the money is made with this method, because you are just sending emails to people who opted in.

The point is to get them onto your list.The bigger the list the more you can remarket your product range to and the more money you will make. It does not really matter if they actually claim the hook product or not, not everyone will, so long as they opt in your list gets bigger. Just don't take the piss else they will unsubscribe.

Ideally, they will claim it. Then what you charge for your hook product depends on what a customer is worth to you and you make back product cost and traffic cost. Do that, pop them into an autoresponder sequence and now you have a self funding traffic machine and an automated drop shipping business.

 

[GringoMonkey]

This is a awesome method, could I pm you with how i could best implement this method, thanks in advance

Of course.

 

[mastertanvir]

I have a gear related dropshipping store started 2 days ago. Can you please suggest me how should I start marketing with 0 fb and 0 insta followers?should I buy fake followers then find influencers and create affiliate opportunity and offers as you described to get quick results?