Making money online is now attainable, thanks to the rising business models that empower everyone to follow their own entrepreneurial goals right within the comforts of their own home.
These business models are perfect for those who want to do business part-time but still earn a competitive income that could even surpass that of a traditional job. So if you’re a student, a stay-at-home mom, or a full-time worker looking for a side hustle, then a dropshipping business might be the best opportunity for you.
It’s not just standard dropshipping as well—we’re talking about high ticket drop shipping that will allow you to earn hundreds or thousands of dollars by just selling a few high-value items. This was in fact my first successful Shopify store which I sold for 20x multiple after just two years of building from scratch.
So how to make money online via high ticket drop shipping in Shopify? Read on to find out.
What is High Ticket Dropshipping?
High ticket drop shipping refers to selling more expensive products in order to have a higher profit margin.
There’s really no standard definition of what “more expensive” is in terms of dropshipping, but the main rationale is focusing on the types of products that cost more so when you take your cut, you already have a sizeable profit. For me, high ticket starts around $800 and above price range.
For example, if you sold a product that costs $1000 and your margin for profit is around 30%, you already earned $300 alone on a single item. Compared to low ticket dropshipping, if you sold a product for $30 with the same profit margin, you’re only getting $9 per item.
As you can see, high ticket drop shipping can already give you a significant amount of profit even if you don’t have a high volume of orders. This is perfect for those who want to make money online, but can’t afford to give a lot of time to their business.
Building Your High Ticket Dropshipping on Shopify
If you decided that dropshipping high ticket items work for you, then let’s talk about building your business with Shopify.
Shopify is an e-commerce platform where you can build your own online shop. Shopify offers drop shipping that lets you sell your products without the need to have the inventory with you. A supplier will store and hold your items and when an order comes in, they’ll be the one to pack and ship it to your customers.
Ready to get started? Here’s how you can start your high ticket drop shipping business using Shopify:
1. Find a High Ticket Product Niche
The key to high ticket dropshipping is the product itself. There are millions of products being sold online and your goal is to sell a more expensive product that your customers are willing to buy.
Unlike low-ticket products, the items that you’ll sell don’t rely on impulse buying. Since you’re selling a product that costs hundreds or thousands of dollars, your customers would take longer to decide on whether they should buy it. The key here is that you need good customer service because high ticket items will most likely require answering phone calls from inquiries. The sales process takes longer as well so your marketing efforts should be more focused on follow-up sequences like email marketing and retargeting. Your product should be high-quality — as customers expect high quality when they are paying a premium on these products.
There are a lot of high-ticket product niches that you can choose from. Here are some of them:
- Gadgets and technology products
- Furniture and appliances
- Sports, recreation, and hobby-related products
- Fashion and lifestyle products
- B2B products
Take note that not all products in these niches are considered high-ticket. It’s up to you to choose which items would be highly profitable for your high ticket drop shipping business.
2. Find a Reliable Supplier
A lot of low-ticket and high-ticket drop shippers hit a snag on their business due to supplier issues. This is why this step is extremely crucial in your success as a high-ticket drop shipper.
To put it into perspective, your supplier will essentially handle most of your business. They’ll be the ones to produce your product, hold your product as inventory, and pack and ship them to your customers once an order comes through.
So the room for error isn’t big. The easiest way to find a drop shipper supplier is to go to online stores that sell the same product as you. We find that Shopify or Google Shopping will work well for your market research. Another way is to go to trade shows and find suppliers that will drop ship for you.
Look for stores that don’t have physical locations or warehouses because those stores are likely drop shippers as well. You’ll usually find the information of their supplier within the product’s description or the store’s profile. Search for their contact details and start negotiating for your items.
3. Set Up Your Shopify Account
Once you have your eye on your product and a reliable supplier, it’s now time to finally set up your Shopify store.
Head on to Shopify and create an account. You’ll be asked to enter a couple of details regarding your business and then you’re all set. Pick a theme or build your website from scratch and then go from there.
Once you’re satisfied with your website layout, add your products to your listing and make it live.
4. Drive Traffic To Your Shopify Store
Set up paid marketing campaigns on Google, Bing, and Facebook because this is where your customers are more likely to come from. Traffic generation requires skills so you would have to either follow a program which is what I did, or search on the internet and figure things out on your own. I always recommend taking a course rather than DIY because this lessens the learning curve by keeping you organized and focused on the things that needs to be done to move your business to the next step. Please note that you also need a budget to start with because you will have to pay per click on paid advertising.
Publish content on blogs, Youtube and Pinterest to get organic traffic as well. If you have some connections or budget for paid Influencers, this is also a great traffic source especially if your chosen influencer have a big loyal following.
Conclusion
Everyone loves to ask ‘how to make money at home’ but only a select few take the leap to start doing it. High ticket drop shipping through Shopify is only one of the many ways that you can effectively earn money online by just working for a couple of hours, once your Shopify store has been set up and marketing campaigns have been established.
With the right knowledge and business technique, you’ll be able to run a profitable high ticket drop shipping in just a matter of weeks.
If you think a Shopify business is too complex for you, I suggest checking out the business model that I recommend for newbie entrepreneurs.