We understand how profitable a dropshipping business can be if it’s done right! You must have seen the people who brag about their six-figure incomes on social media and talk about how sweet it feels being able to make a big profit from dropshipping.
But, do you believe that making that big profit from dropshipping is going to be easy? If Yes! Let me break it to you – It’s going to be tiring, exhausting, would require 100% Of you, and still, the success is not guaranteed.
Are you ready to take that risk, and assiduously work for your dropshipping business?
If yes! I’d reveal one of the biggest Dropshipping secrets to you that’s going to help you to build a profitable dropshipping empire.
The most crucial and significant part of any dropshipping business is picking the right product to sell. But, how do you find those right product?
There are many parameters that you’ve to consider before you choose any product to sell or dropship. Filtering a product through all those parameters is going to be a tedious and tiring task. Accidently, if you end up making a mistake, then your whole dropshipping empire would crash right in front of you. Why? Because no one is going to buy your product if it’s not suited for their needs.
The formula for success in the dropshipping business is quite simple. You’ve to find the right product and put it in front of the right audience, and the rest would follow. It sounds easy right now, but it’s not. It requires a tremendous amount of research, analytical thinking, and then verifying your opinions with the facts and trends that are out there in the market.
You would want to avoid all these headaches and make sure that the product you choose has a market for it and people are going to buy it. That’s the exact reason why I’m writing this. I want to help you by simplifying the product research phase and find the product that would make you thousands or maybe millions of dollars profit.
Before I share the step by step guide on how you can find the right product to dropship, I want you to understand that people don’t buy your product because it’s great, they buy it because it’s going to solve a problem or reduce their effort in some way or the other.
Here’s a step by step guide on how you can find the right product to dropship.
Product Research – It’s Not A One Day Thing
Before you decide which product to dropship, you need to be firm about the niche or segment you’re going to choose your product from? You don’t need to make this harder by overthinking it too much. It’s a very significant phase, and this is where many people get stuck.
But I always believe that if we choose the niche in which we are experts or have a bit of information about can be the key to our dropshipping business success. By being familiar with the niche, you can easily digest the information available in the market to make accurate and decisive decisions to boost the profit of your dropshipping business.
So I’d always recommend choosing a niche you’ve experience in or passionate about!
Step 1 -The Curated Product List
Now you know the niche you want your product to be from! Before you can find that hot selling product from your niche, you’ve to curate a list of products that you want to dropship.
List down maybe 20 or 30 products that you think would sell like hotcake if you start dropshipping it. How do you filter these 20 or 30 products from the ocean of dropshipping products? I always use 4 step funnel to find a great product to put in my list before I can pick the winner from the list.
Competition – Before I put the product on my list, I scout through different Shopify stores, and spend some time researching about the product to see if many people are promoting the same product because if they do, I don’t want to promote that product.
You would not like to have a small portion of the pie when you’re aiming for the pie.
Pricing – You don’t need to be a math genius to figure out this simple equation – the higher the price of the products, the greater your profit margins are going to be.
You’ve to find the products that can be inflated and sold at higher price margins. The best way to do that is, look at Amazon, eBay, Walmart listing for the same product and see at what price they are selling the same product.
Weight + Shipping – Promoting a heavy product is not going to be very profitable, because the shipping charges would be higher. The best and most profitable products are always the ones who weigh less.
Returns – Avoiding picking products that have high return rates like cloths, rings, makeups, etc.
Step 2 – Filtering Products With The Current Dropshipping Trends
Search online to find information about all the products present in your list. You’ve to make sure you can find these 3 things for each product.
Price: What price point the product is being sold by different sellers?
Sale Volume: What’s the average monthly sale volume for the product?
Product Reviews + Content: What people think about the product?
After you have the answer to these questions for each product, you’d be in a perfect position to strike away products that are not going to be very profitable for you?
Step 3- Think Like A Customer Or Buyer
We live in the era of Facebook & WhatsApp, why not use it to for our benefits. Use these platforms to reach out to your friends and share your product list, and ask them which product they would buy from the list.
Their opinion will help you strike away even more products that would not sell for a long haul. Thinking like a buyer would help you understand the product and psyche that involves in the buying decision. When you understand the psyche of your target audience, all that’s left is putting the right product in front of them. And we are getting quite close to figuring that right product.
Step 4 – Think Like A Marketer
Having a perfect product to dropship in your hand, but not being able to market it properly to the target audience is a very painful situation to deal with, and its the biggest reason why people quit dropshipping.
You don’t want to increase that count!
It’s like owning a Ferrari without knowing how to drive a car. (Quite a painful situation right!)
Hold the product list in your hand and spend some time (by some time I mean quite a good amount of time) thinking about which shortlisted product you can market effectively to generate profit.
When you’ve confidence in your market strategies and believe that you can come up with some creative ways to market & advertise the product across the target audience then that’s the WINNER.
Pick that product up, because if you believe your product is quirky and you can market it efficiently then there’s no other perfect product for you to dropship.
3 Tools For Dropshipping Product Research
DropshipSpy – A list of winning products from different niche to choose from and spy on a specific product that you wish to dropship.
Ecomhunt – Another very reliable product research tool to help you find that winning product for you.
AliShark – It’s one of the very powerful dropshipping product research tools created by people who developed well known Shopify app hurrify.
The Shorter Version Of The Post
The success of your dropshipping business highly depends on the product you choose to Dropship; if you choose the right product to promote and understand the buyer’s psyche then you can generate a good amount of profit by dropshipping that product.
To choose a great product to dropship you need to keep in mind these 4 factors:
1- The Profit Margin – You’ve to make sure that your product doesn’t cost much in terms of the actual cost as well as shipping. When the product cost is lower, you can increase the price based on the market trend to make good profits.
2- Competition – You should avoid very competitive products, and there are already tons of people promoting it. Go for a product that’s quirky and unique.
3- Understand The Product – Before you start dropshipping a product, you need to be aware of what is it that you’re selling and how it’s going to help people. Think like a customer it’ll help you formulate lots of marketing strategies to bait them in buying your product.
4- Marketing And Advertising – You’ve to be quite confident that you would be able to market this product effectively because, if you don’t then the only thing that’s waiting for you is your downfall.
Invest a good amount of your time in doing the product research than any other thing; Because when you have a good product in your hand, and you’re confident about it, then there’s nothing that can stop you from building a dropshipping empire.
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