Upsells – The Best Way To Increase The Revenue of Your Dropshipping Business

May 20, 2020 by

In addition to selling niche products look for complementary products. What are those? Big Mac is one of the world’s most popular foods, it costs McDonalds about $2 to make a Big Mac and the CPA or the cost per acquisition of a Big Mac is about $1.80. The CPA is all the stuff McDonald’s has to do like advertising to get you to come in to their restaurants, so on a 2 dollar Big Mac McDonald only makes about 20 cents .

But McDonald is one of the world’s most profitable companies so how do they do it? They sell complimentary products. The Big Mac meal which comes with fries and drinks is what allows McDonald’s to make millions. The cost of production of a Big Mac meal is about 3.75 dollars but the CPA is about the same one point $80 because you are already in the restaurant and they don’t need to do much to get you to buy the complementary products namely the fries and the drink, so why McDonald’s only make 20 cents of a Big Mac when you order the fries and drinks McDonald makes a whopping one point $3.75 per customer.

Multiply that by million of people who eat at McDonald’s every day and that’s a lot of money, so how do we bring this back to AliExpress and apply it in our case?

Its simple: Don’t look to buy and sell products that sound like they make a lot of money. Everyone knows iPhones are really popular and they provide a lot of brand new revenue for Apple. You can sell iPhones for many reasons but that doesn’t mean you can ride the iPhone wave and sell the complimentary products that go with the phone like earbuds USB cables and phone cases. You can’t sell an entire car but you can sell car parts. The car company and the car dealer have done all the hard work they have treated the market you just need to piggyback off their success.

Here are some tips on product selection, remember: Don’t sell the Big Mack, sell the fries and drink, this is the strategy that we strongly advocate here at SaleSource. Another way to find good product is to go on Amazon.com and look at their bestsellers. That will give you some idea but don’t stop there read the product reviews and look for opportunities. If customers are complaining about a specific feature of a product find the supplier on Alibaba and ice temp to address this issue. Also keep a notepad on you at all times and write down ideas and continuously review and devise your list I guarantee you if you do this long enough you’ll find at least a dozen really good ideas.

Next and this is important when you are starting out with Alibaba pick a product that fits in a shoebox. Why? Because smaller products are easier to import and sell as you will learn shipping costs can be quite high so when you are starting out keep it simple and look for products that have low shipping costs that are easy to store and easy to manage. Generally speaking if a product fits in a shoebox it will satisfy these conditions.

Finally, avoid these products at Alabama: anything for the baby’s food and beverages safety equipment electronics licensed products and name-brand products are not sauce baby products because if something goes wrong I don’t want to be responsible for putting a child’s life in danger nor do I want to give anyone food poisoning or be responsible for equipment failing to someone’s head these products come with strict guidelines and quantity quality requirements that need to be met and I’m not trusting my supplier with that information. For more info, visit our site: https://salesource.io.

I don’t really have the knowledge of expertise to verify what my supplies is claiming to be safe. I don’t sell electronics because electronics have been notoriously low profit margins. I don’t sell licensed products because I don’t have a license and I don’t trust that my supplier has one either and finally I don’t sell name-brand products because Alibaba suppliers don’t sell name-brand products and finally I don’t sell name-brand products because if a supplier at AliExpress tells me that they are selling authentic Nike shoes or real Apple iPhones that are knock-offs, so don’t be fooled by that. Aside from that everything and anything is fair game .

Print Friendly, PDF & Email

Leave a Reply

Your email address will not be published. Required fields are marked *

This site uses Akismet to reduce spam. Learn how your comment data is processed.