So, I think figured why I was losing SO MUCH of my sweet green moneys with Shopify dropshipping since the very beginning, and I am pretty sure some of you guys can relate.
The problem is only in product research. I am working on a relatively high salary, so I have some cash laying around that I use to run ads on my stores.
And what I hadn’t realized is that product testing absolutely should not be an expensive process.
I saw too many YouTubers saying something like “I spend around $1K-2K on a product before I decide if it’s a winner or not”
And I fell for this trap. It’s kinda hard to admit that I believed that spending $1K is about the right amount to determine if the product is good or bad. But every time I put $1K in a product – it eventually starts making SOME sales.
And then I spend another $1-2K trying to make those sales profitable and consistent.
With all that, GSG strategy didn’t make it easier for me. The reason why is that Gabriel St-Germain strategy WORKS with pretty much any product, but if it’s a shitty one – you won’t be able to make a profit after all.
And since his strategy is pretty expensive (you are starting on some $200-300 day budgets), if the product is bad – you will be losing money like crazy.
On my last store, I made $5500 in sales over 2 weeks but lost $10K on ads+cogs. Mostly because I believed in a product so much, it had a TON of potential and with proper marketing you could have pulled this through and make a killer profit.
And because we all want to do single-product store – you are getting SO MUCH work done around it, so changing the course to a different product is nearly impossible, so you need to build a new store every time.
So, after failing SO MUCH over the last half-year without making any profit whatsoever, I realized that product testing is the king.
I recently stumbled upon some video where some dude quickly shows the first 2 weeks of the store that he scaled to enormous amounts.
What I expected to see is something similar to GSG strategy where he runs some 30 $50 ad sets for a week or something.
To my surprise, he started with 5 $5 ad-sets and ran them for a day, adding 2-3 ad-sets a day.
And it hit me REALLY hard straight in a face because what I didn’t learn so far is that SOME (not all, obviously) of those stores actually start from an EXTREMELY cheap ad-sets and they don’t lose money on a week one as I did.
The shitty part is that it took me so much time and money to realize that product testing should be CHEAP and FAST.
The best strategy I found so far is:
1. Start with 5 or 6 ad sets – WC PUR
2. $3 ad sets
2. Single interest USA only
3. One video, different thumbnails
4. Start on midnight and wait for 12pm.
After that, look for:
Unique CPC: should be at least below $0.75
CTR: anything above 2% is good
CPE: below $0.04
Don’t need to wait for purchases. If you can’t hit those numbers – either let it run for the rest of the day and see if it gets better or just kill it right away.
I just recently ran this around a new single-product store I opened yesterday and I already see that I am SO FAR AWAY from those results.
I still didn’t make a decision whether I decide to keep the product or not, but at least I did not START with GSG method on day 1, therefore I’m already preventing another disaster.
My personal takeaways from everything I explained above:
1. Have a good niche store where you test products in your niche with the cheapest and the most effective product testing strategy you can find.
2. The cheaper the strategy – the more products you can simultaneously test. And if you test 20 products in the same time, spend $200 on it and find 1 unicorn products or at least 2 potentially GREAT products – it’s so much better than spending $200-400 on one product before realizing it is not good.
3. The strategy I listed above is using $3 ad sets. My first thought was “pfff, I can make it $10 ad sets to get data quicker”. WRONG. You should stick to THE LOWEST COST possible, because you want to SAVE money, and not WASTE money.
4. You can test not just hot trending products, but the “just okay looking” too, you never know which one performs better until you test.
I hope this finds someone who can relate and maybe see themselves in this post.
And share your best strategies per dollar, if you have any!