$100k Dropshipping In 2020 | Selecting Product & Facebook Ad Strategy For Beginners
Today I am going to tell you how how to make $100,000 in revenue on Shopify in 2020. This is going to be for people who have either never run an e-commerce store or someone who is not yet done over $100,000 in sales and wants to make money online. So usually the natural growth curve of a Shopify store starts slow. You know you might be doing $50, $40, $100, and once you start to pick it up, it can go from $100 a day to $10,000 a day, depending on how you scale.
STEP 1. Find a Product
This is in my opinion, the biggest thing that stumps people up because before you build a website before you do any of that stuff, which is a lot easier than it sounds, you need to determine what you’re going to sell. I’m going to give you three ideas.
These are the three industries that I see booming right now, and those are:
- The Gaming Industry
- The household items
1. The gaming industry is one of the hottest right now. You could sell anything from headsets to remote controllers, the whole gaming console, gaming tablets, gaming chair, anything that goes into gaming has been doing it really, really well. Everyone stays at home, they play games. So gaming is a very hot industry.
2. I’ve noticed that household items are doing extremely well. People are at home a lot, they want to clean, they want to decorate. There are way more people right now buying stuff through e-commerce than ever before like it is even easier to make money now because all the stores are closed, and people are forced to buy stuff online.
3. Finally, fitness, selling different fitness products from weights to at-home workout guides. You can go on AliExpress to look up these products to get an idea of what you could sell. They’re really not those expensive things like resistance bands, foam rollers, yoga mats, etc. All the gyms are closed, and people need that stuff.
So if you find a product inside one of those three niches that you think looks good, it’s already selling, there are clearly orders on AliExpress, that’s definitely something that is worth your time to test out.
STEP 2. Run Ads
The second point is how you actually make money, and that is running your Facebook ads. Your ads are the most important thing. That is what you should do on a daily basis, every single day. Why? Because it’s the most important part. Everything else kind of falls to the side, once you’re able to focus on your ads. Yes, you need a good product. Yes, you need to get a store, but it’s the ads that make you money.
STEP 3. Provide Customer Service
Having a support team or anyone, even if it’s yourself in the beginning, making sure that you’re inside of your support email, you’re replying to direct messages on Instagram, comments on your post, you’re just monitoring that as much as possible, it is super important right now.
So one thing that I recommend for you to do is to reach out to customers before they reach out to you. It’s easiest to handle an objection very similar to in sales by bringing up before someone else does. So make sure you’re updating your customer.
A few good ways to update your customer are:
- An auto-sequence email
- An update email
- An email with a tracking number
- An email with feedback or tips
1. An auto-sequence email:
Making 100% sure you have an auto-sequence email that’s an order confirmation. So as soon as someone orders from your website, make sure emails going out. Normally Shopify automates that for you. If you are using another platform, make sure that you have an order confirmation email.
2. An update email:
Within 24 to 48 hours, send them an email, especially right now that says “We are slow in the office due to COVID-19. Everything is holding us up. We have less staff working because of the safety and health reasons, but your order is being processed and is ready to be shipped out shortly.”. Just a little random update. It doesn’t have to be anything specific on their order, tracking, or anything like that. Just a reassurance like a day or two after they bought, remind them that you did not forget about them. It builds a lot of good faith.
3. An email with a tracking number:
Also, I would highly recommend that you send them their tracking number as soon as you can. So have a good system for getting tracking from the supplier, uploading that, and making sure the customer can track the order. That’s gonna basically alleviate all questions that the customer have. It’s really not that hard, but make sure you do especially right now because if not, you’re going to potentially have a lot of refund requests, even chargebacks, which could mean your whole store could get shut down, at least the merchant account.
4. An email with feedback or tips:
Then within 7 to 14 days, send them another update, depending on how fast your shipping is. You could try and send an email asking for feedback like “We hope you’re enjoying it”, or even saying “We just wanted to give you a couple of quick tips on how to use it more effectively.”.
This is going to be situational, depending on what your product is, but I will give you an example with a teeth whitening kit. You can send them an email talking about teeth whitening tips, how to use it effectively, how long to leave it on your teeth, etc. Whatever your product is give some sort of value on it. Even if they haven’t gotten their product, you are showing them how to use it, and they know that their product is coming.
STEP 4. Know the Concerns
Here I also want to address some concerns with dropshipping.
Right now you are right to assume that shipping is taking a longer time. A lot of people don’t understand this side of things because shipping doesn’t necessarily take longer in every situation right now, however, it is more expensive. So that is one thing to keep in mind. Right now, some products can have anywhere from 5 to 85% increase in the shipping price. That’s not fun. When you have a product that costs you $6, and you get a message to pay extra money for shipping.
If you’re running Facebook ads right now, they are going to cost you a lot less and probably deliver more results. Here’s why. When all this stuff happens, when the market crashes, when anything bad happens in the economy, what people do is they panic, and they go into security mode.
There are big advertisers on Facebook specifically, who have pulled out their budgets, or at least a huge portion of it. So Facebook wants more money, and it is very easy right now on Facebook to request a daily spending limit increase which normally takes a little bit of time.
So the CPM (Cost per thousand impressions) is right now probably 1/3 of the cost. So if something normally costs you $10, it’s going to cost you like $3 or $4. So regardless of what it is exactly right now, the ad costs are noticeably down than what they normally were, and I don’t expect that to change too quickly.
So nothing will change in 2020, which is why it’s important for you to start now because normally the margin is a battle in the beginning if you’re testing so many things in your ads, and you might have some ads that are profitable, some that get no sales, and you’re losing a little bit of money every day.
Now you’re building data. You’re getting all these customers and building your company in a time where it’s a little bit less expensive to do than it normally would be. As long as you’re able to take advantage of this and make your customers happy and fulfill your orders quickly, you’re good to go. You focus on this. It is the best time to start something e-commerce related.
So, you found out how to start making money by dropshipping in 2020. All the necessary steps, all the details, and now you are set up. I hope this information helps you. Please share it with your family, friends, and social media.
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