A big milestone for any dropshipping business is a healthy amount of traffic to your store. If you have managed to achieve this so far in your dropshipping career then hats off to you! It really is an accomplishment worth celebrating in its entirety, but you may not be in such a jovial mood on the account of that traffic not resulting in the kind of sales reflective of such high traffic, but such is a matter easily rectified especially if you’ve already conquered the all-encompassing edifice that is attracting an audience to your store. If such is the case with your store you’ve come to the right place, and here’s a couple of steps guaranteed to solve it:
Such a conundrum isn’t uncommon to those who work within the dropshipping industry. It is a common question that you hear at least once on a weekly if not daily basis, and the first step in solving a problem, is understanding the problem, and that’s where introspection comes in. If the problem to the profitability of your site doesn’t lie in it attracting an audience, which is no small accomplishment in itself, and you’d do well to give yourself laurels for doing that part of dropshipping right. It can only mean that the problem lies elsewhere, and the quickest route to discovering exactly what that problem is is by putting yourself in your customer’s shoes and performing a little introspection as to come to the cause of your profit problem.
This involves perusing through your own store not as your site’s admin or owner, but from the perspective of a customer. As this will give you an opportunity to see what the customer sees, and with some luck, you can identify the cause of your profit wells drying up, or having never got off the ground in the first place. Which can be hard to do objectively especially when you’re looking at it from the vantage point of a store owner. So here are some hints on some of the most common problems that stop busy dropshipping stores from being profitable:
Nine times out of ten the problem in your store being profitable lies in product pricing. Either your products on offer are priced to high or too low, although in most cases it’s the better that is the problem. Either way, overpriced products may deter customers from purchasing your products, especially if there are cheaper alternatives out there on the internet. Under-priced items challenge your store’s integrity, and build suspicion around your store’s brand image, and perceived ability to deliver on service, although the chances of a dropshipping store under-pricing items are slim to none unless your planning on putting Santa Clause out of business.
It is fortunate that Product Mafia has an optimal profit margin with every product we list on our catalog, which is optimized at the perfect frequency for both customers and store satisfaction to aid in this dilemma, click on the link to view an example https://www.productmafia.com/product/custom-jigsaw-puzzle/.
Once you have an idea of an optimal price range directly from experts in the dropshipping industry, you can further tweak and play with the prices to see if maybe your store can’t benefit from a little price testing. One price tweak that may sound unconventional and counterintuitive is raising your price, all the while keeping it at a not to exponential price range. Although this may sound like a Kamakaze move sure to sink your store down an even deeper hole of no profits. Many within the industry have attested to its success, as in certain cases it can make your store more trustworthy to clientele, as people are known to have the habit of trusting items that come at a premium cost.
Another way of getting sales is by lowering your selling price, although this is not recommended if you do not have a long term vision for your business in mind, and want a fast return on investment. But if your willing to sacrifice on profits in the nascent phase of your business for a big payoff in the not too distant future, then lower prices are perfect for you. By selling your products at a low price (not to low though, just low enough that you appeal to your customer’s sense of saving without compromising the integrity of your store). If done right you can easily convert your sites high traffic into sales, and although it might cut into your profits at first, once you learn to turn those sales into repeat customers, you can gradually increase the price and have a huge audience of dedicated consumers feeding you profits on a daily basis.
To find a solution as far as pricing is concerned that works for you, it’s best to get an idea of the conventional, optimal price of an item from Product Mafia. Then test low and high prices on the same or different products on your store to see which option works best for you as far as sales are concerned, and stick to selling the item at that price there-after on your store.
2. Product Description
Since dropshipping is an industry where niches work out to the advantage of a store it stands to reason that the same kind of attention to product description and consumer specifics would carry with it similar payoffs. You could for example house the best flashlight in your niche, but is that what consumers in England want if the majority of your traffic is from England? This is why consumer details are so important to a dropshipping store. To turn a profit from your products it’s important to understand some very important customer details. Things like the country they are from, the language they speak, trendy items in that specific corner of the globe. Is your product relevant to people in that specific region?
Narrowing this down will help you develop a list of products that are most likely to sell to the country in which the majority of the traffic from your site is coming from. Each country has within it a variation of a certain product found throughout the world. A product servicing the electronics niche requiring a power connection may have a connection apparatus that works in America, but not in Australia, which is why understanding the specifics of where your traffic is coming from is so important. You may have a product designed to work, or that’s relevant in America while the majority of your traffic is from New Zealand, which will result in a lot of traffic, but so few sales.
This ties in with the first section of this article, introspection which is why thinking like a customer rather than the boss can do your store a ton of good every now and then. Product Mafia has with each product a list of details which include Countries in which they are the most relevant. You can leverage this information to choose products for your store relevant to the country to whom your audience belongs. Your digital camera not working out in the sales department for an American audience, no problem! Simply browse product mafia for a similar product or something in the same category, and see the sales roll in.
3. Build look-alike audiences
If getting traffic to your store is proving to be the one aspect of dropshipping that you seem to have mastered so far, minus sales then you should consider employing a pop-up app with an email accidental form. This can help you collect information on customers who browse your site but chose not to make a purchase. Pop-up ads with accidental email forms usually appear to site visitors just before they leave your store with some words of incentive designed to encourage that person to leave you their email. Most pop-up ads offer discounts as a way to coerce an email out of a visitor on your site.
Although it isn’t guaranteed that someone will leave their email even with a pop-up encouraging them to do so. If and when they do, it’s a great way to glean a fair share of info on that person, and market to them through personalized emails to bag yourself a repeat customer. You can also build look-alike audiences on your social media ad campaigns, helping you market to people who statistically have a high chance of making a purchase on your site.
The sales start to pour in!!!
An email is also a great way of bringing back some of the initial visitors who made up the high traffic volumes to your site in the beginning in the hopes that they’ll turn into reoccurring customers once you’ve ironed out the kinks that are stopping you from landing sales.
Becoming a dropshipper, and doing it right is no easy task, and whatever progress you make in your business endeavor is a matter worth at least a little amount of celebrating. Yet hiccups and forks in the road along the journey are an inevitable part of any business, and the solutions to those problems are sometimes found in the details. Details that once discovered and ironed out will lead to your business running smoothly and on track once more.