6 Ways to Make More Money Dropshipping
Published on: December 1 2022 by Bryan Guerra
6 Ways to Make More Money Dropshipping
Table of Contents
6 Ways to Make More Money Dropshipping
| startTime | durationTime | text |
| 00:00:00 | 00:00:02 | in this video we're going to cover |
| 00:00:01 | 00:00:04 | several ways that you can increase your |
| 00:00:02 | 00:00:06 | profit margins when drop shipping now |
| 00:00:04 | 00:00:08 | this video was primarily created with |
| 00:00:06 | 00:00:10 | facebook drop shipping in mind however |
| 00:00:08 | 00:00:12 | you'll notike that a lot of the tips in |
| 00:00:10 | 00:00:14 | this video also apply to drop shipping |
| 00:00:12 | 00:00:16 | on other websites as well so the first |
| 00:00:14 | 00:00:18 | tip that you might want to test don't |
| 00:00:16 | 00:00:19 | just fully on jump in and start listing |
| 00:00:18 | 00:00:21 | every single product like this but you |
| 00:00:19 | 00:00:23 | certainly might want to test it is |
| 00:00:21 | 00:00:25 | something that used to work on ebay a |
| 00:00:23 | 00:00:26 | while back and that's dollar price plus |
| 00:00:25 | 00:00:28 | shipping and then raise the shipping |
| 00:00:26 | 00:00:30 | cost the reason that this works to |
| 00:00:28 | 00:00:32 | increase your profit margins is twofold |
| 00:00:30 | 00:00:34 | first you're not paying the fee on on |
| 00:00:32 | 00:00:36 | facebook because your price is so low so |
| 00:00:34 | 00:00:38 | you're only paying the minimal fee on |
| 00:00:36 | 00:00:40 | your product and then you're charging |
| 00:00:38 | 00:00:42 | the shipping at a higher rate so your |
| 00:00:40 | 00:00:43 | profit margin and what you get paid out |
| 00:00:42 | 00:00:45 | is going to be a lot higher so for |
| 00:00:43 | 00:00:46 | example if your product is twenty five |
| 00:00:45 | 00:00:48 | dollars with five dollar shipping or |
| 00:00:46 | 00:00:50 | thirty dollars with free shipping and |
| 00:00:48 | 00:00:52 | you mark it down to a dollar with twenty |
| 00:00:50 | 00:00:54 | nine dollar shipping or a dollar with |
| 00:00:52 | 00:00:56 | twenty six dollar shipping you're gonna |
| 00:00:54 | 00:00:57 | make more money just by simply doing |
| 00:00:56 | 00:00:59 | that because of the fees that's a |
| 00:00:57 | 00:01:01 | no-brainer the second reason that this |
| 00:00:59 | 00:01:02 | works is because on facebook marketplace |
| 00:01:01 | 00:01:04 | you're kind of competing against other |
| 00:01:02 | 00:01:06 | products that are very very similar and |
| 00:01:04 | 00:01:08 | then a lot of in a lot of ways if it's |
| 00:01:06 | 00:01:10 | saturated you start competing on price |
| 00:01:08 | 00:01:12 | with a lot of other sellers and what |
| 00:01:10 | 00:01:14 | suggested to them so you can increase |
| 00:01:12 | 00:01:16 | your clicks and increase what facebook |
| 00:01:14 | 00:01:18 | starts to think algorithm wise is you |
| 00:01:16 | 00:01:19 | know popular with people because they're |
| 00:01:18 | 00:01:21 | getting a lot of clicks and a lot of |
| 00:01:19 | 00:01:23 | views by simply lowering your price to a |
| 00:01:21 | 00:01:24 | dollar and then that's gonna result in a |
| 00:01:23 | 00:01:26 | lot more interest on your listing which |
| 00:01:24 | 00:01:28 | ideally if you're getting more interest |
| 00:01:26 | 00:01:29 | more clicks on your listing a few of |
| 00:01:28 | 00:01:31 | those will translate into more sales |
| 00:01:29 | 00:01:32 | because there's just simply more numbers |
| 00:01:31 | 00:01:34 | of people checking out your listing the |
| 00:01:32 | 00:01:36 | second tip is to use cash back credit |
| 00:01:34 | 00:01:38 | cards now if you're drop shipping using |
| 00:01:36 | 00:01:39 | retail sites that are common like amazon |
| 00:01:38 | 00:01:40 | ebay |
| 00:01:39 | 00:01:41 | walmart or home depot and there's a |
| 00:01:40 | 00:01:43 | number of other ones out there with |
| 00:01:41 | 00:01:44 | store cards and you are not using that |
| 00:01:43 | 00:01:46 | store card that gives you back five |
| 00:01:44 | 00:01:48 | percent you're missing out on a |
| 00:01:46 | 00:01:51 | ridiculous amount of profit margin for |
| 00:01:48 | 00:01:52 | example if you only spent ten like ten |
| 00:01:51 | 00:01:55 | let's make it easy let's say ten |
| 00:01:52 | 00:01:57 | thousand dollars a month uh on amazon |
| 00:01:55 | 00:01:58 | for example well that's five hundred |
| 00:01:57 | 00:02:00 | dollars you're missing out on simply by |
| 00:01:58 | 00:02:02 | not using the amazon store card that |
| 00:02:00 | 00:02:03 | gives you five percent cash back the |
| 00:02:02 | 00:02:05 | same would apply to walmart the same |
| 00:02:03 | 00:02:06 | would apply to ebay the same would apply |
| 00:02:05 | 00:02:08 | to home depot or any of the other ones |
| 00:02:06 | 00:02:10 | and obviously as you scale and you start |
| 00:02:08 | 00:02:12 | spending more and more money that's only |
| 00:02:10 | 00:02:13 | going to come back more and more into |
| 00:02:12 | 00:02:15 | your profit margins by using cashback |
| 00:02:13 | 00:02:17 | credit cards now if you're not on those |
| 00:02:15 | 00:02:18 | websites at the very least you should |
| 00:02:17 | 00:02:20 | look into other cashback credit cards |
| 00:02:18 | 00:02:22 | i've seen good ones that give up to two |
| 00:02:20 | 00:02:24 | percent but even a one percent one will |
| 00:02:22 | 00:02:26 | make a slight difference the next tip is |
| 00:02:24 | 00:02:27 | very related to that and that's to use |
| 00:02:26 | 00:02:29 | cash back portals so just like cash back |
| 00:02:27 | 00:02:30 | credit cards cash back portals are |
| 00:02:29 | 00:02:32 | little chrome extensions that you link |
| 00:02:30 | 00:02:34 | up in the right hand corner and you |
| 00:02:32 | 00:02:35 | click on them and you activate the cash |
| 00:02:34 | 00:02:37 | back on those specific websites that it |
| 00:02:35 | 00:02:39 | integrates with to give you extra cash |
| 00:02:37 | 00:02:41 | back now that cash back differs from |
| 00:02:39 | 00:02:42 | website to website but typically it's |
| 00:02:41 | 00:02:45 | anywhere from like one percent all the |
| 00:02:42 | 00:02:47 | way up to like 10 or i've even seen 15 |
| 00:02:45 | 00:02:48 | sometimes on certain websites so you do |
| 00:02:47 | 00:02:50 | the math on that that's going to make a |
| 00:02:48 | 00:02:52 | massive difference now i personally love |
| 00:02:50 | 00:02:54 | uh rakuten that's my favorite i've also |
| 00:02:52 | 00:02:56 | recommended honey and the capital one |
| 00:02:54 | 00:02:58 | one in the past i like raccoon i think |
| 00:02:56 | 00:03:00 | it's the best in my opinion however any |
| 00:02:58 | 00:03:02 | one of them will increase your profit |
| 00:03:00 | 00:03:03 | margins just by simply checking to see |
| 00:03:02 | 00:03:05 | if you can get extra cash back using |
| 00:03:03 | 00:03:07 | that uh on the specific sites that |
| 00:03:05 | 00:03:09 | you're buying on so always use a cash |
| 00:03:07 | 00:03:11 | back credit card always use a cashback |
| 00:03:09 | 00:03:12 | portal they're no brainers the next one |
| 00:03:11 | 00:03:14 | is one that you should certainly be |
| 00:03:12 | 00:03:16 | careful with and that's to use |
| 00:03:14 | 00:03:17 | discounted gift cards now this is not |
| 00:03:16 | 00:03:19 | something full disclosure that i really |
| 00:03:17 | 00:03:21 | play around with too much but it is |
| 00:03:19 | 00:03:23 | something that you can explore if you do |
| 00:03:21 | 00:03:25 | it correctly with reputable sites so |
| 00:03:23 | 00:03:27 | what happens is if people get for |
| 00:03:25 | 00:03:29 | example credit cards that they they |
| 00:03:27 | 00:03:31 | maybe for a birthday or for christmas or |
| 00:03:29 | 00:03:32 | something like that and then they want |
| 00:03:31 | 00:03:34 | to you know redeem that money but they |
| 00:03:32 | 00:03:35 | don't necessarily want something in that |
| 00:03:34 | 00:03:37 | store what they can do is sell it back |
| 00:03:35 | 00:03:39 | to a website that buys those gift cards |
| 00:03:37 | 00:03:40 | and you can be the beneficiary of that |
| 00:03:39 | 00:03:43 | because then you can buy that gift card |
| 00:03:40 | 00:03:44 | heavily discounted on the website and |
| 00:03:43 | 00:03:46 | make more money because your money's |
| 00:03:44 | 00:03:47 | gonna go farther because you are going |
| 00:03:46 | 00:03:49 | to actually use that gift card on that |
| 00:03:47 | 00:03:50 | website the next one is simple but for |
| 00:03:49 | 00:03:52 | whatever reason a lot of people don't do |
| 00:03:50 | 00:03:55 | it and that's to just list higher priced |
| 00:03:52 | 00:03:57 | products now yes the profit margin on a |
| 00:03:55 | 00:04:00 | 200 sale if you're marking it up 40 |
| 00:03:57 | 00:04:02 | or 30 or 25 or whatever it is is going |
| 00:04:00 | 00:04:05 | to be the same profit margin as if you |
| 00:04:02 | 00:04:07 | market like a 10 product up the same |
| 00:04:05 | 00:04:09 | amount but the profit number is going to |
| 00:04:07 | 00:04:11 | be different even if the margin is the |
| 00:04:09 | 00:04:14 | same right so if you make a 200 sale 40 |
| 00:04:11 | 00:04:16 | of that is a lot more than 40 of a 10 |
| 00:04:14 | 00:04:18 | sale it's basic math and finally the |
| 00:04:16 | 00:04:19 | last tip is to get tax exempt so if |
| 00:04:18 | 00:04:21 | you're using a wholesale supplier you |
| 00:04:19 | 00:04:23 | should automatikally be tax exempt |
| 00:04:21 | 00:04:24 | because chances are if it's a reputable |
| 00:04:23 | 00:04:26 | wholesale supplier you would have had to |
| 00:04:24 | 00:04:29 | give them your retail certificate or |
| 00:04:26 | 00:04:30 | your your resale permit to get on the |
| 00:04:29 | 00:04:32 | website in the first place so you should |
| 00:04:30 | 00:04:34 | be tax exempt and not be charged for |
| 00:04:32 | 00:04:38 | taxes if you're using a retail site like |
| 00:04:34 | 00:04:39 | home depot or amazon or ebay or walmart |
| 00:04:38 | 00:04:41 | again there's another way that you can |
| 00:04:39 | 00:04:43 | obviously file for tax exemption because |
| 00:04:41 | 00:04:45 | you are not the end buyer and end |
| 00:04:43 | 00:04:47 | consumer of that product so you don't |
| 00:04:45 | 00:04:48 | have to pay the sales tax on the product |
| 00:04:47 | 00:04:50 | when you actually buy it on the website |
| 00:04:48 | 00:04:51 | none of these tips to increase your |
| 00:04:50 | 00:04:53 | profit margins are going to matter at |
| 00:04:51 | 00:04:55 | all if you're listing the wrong products |
| 00:04:53 | 00:04:56 | though so i highly recommend that if |
| 00:04:55 | 00:04:58 | that's you you check out the video up in |
| 00:04:56 | 00:05:00 | the right hand corner right now that |
| 00:04:58 | 00:05:01 | will cover how to find hot selling |
| 00:05:00 | 00:05:03 | products to drop ship on facebook |
| 00:05:01 | 00:05:04 | marketplace i really hope you enjoyed |
| 00:05:03 | 00:05:06 | the video and got a lot of value out of |
| 00:05:04 | 00:05:08 | it if you got any value from the video |
| 00:05:06 | 00:05:12 | whatsoever please give it a like i |
| 00:05:08 | 00:05:12 | genuinely appreciate it until next time |
