It’s no secret that, as time goes on, things change. Public interests change, trends change, and of course, business models change.
As you know, we here at Build Assets Online have been involved with high-ticket dropshipping for years. We’d like to think we’re pretty good at it, and we’ve enjoyed success with it in the past.
But is that going to change? Is dropshipping dead in 2020?
In this post, we’ll discuss what the future of dropshipping looks like, and whether opportunities are going to increase or whether the well is going to run dry.
Not in the mood to read? You can click the play button below to listen to us discuss the future of dropshipping instead.
What Do We Mean By Dropshipping?
We want to make it clear from the start that when we say “dropshipping,” we’re referring to a specific business model. Our definition excludes some models that we don’t believe in using.
For instance, this doesn’t apply to dropshipping with cheap products through sites like Aliexpress. Now that is a business model that has been dead for a long time.
Lately, though, we’ve heard word that there are signs of life in that field. We’ve been hearing some reports of unethical activities surging in this kind of dropshipping, like people selling masks and not sending them.
However, here at BAO we do not endorse Aliexpress dropshipping and never have. To get a better understanding of why, you only need to look at the dropshipping failure story of one of our students, who lost $8,000 doing it.
We’re talking about the way we do dropshipping, which is high-ticket dropshipping. This is also the way big companies do it and have been doing it for a long time.
So, in essence, our real question in this post is whether or not you can still start a high-ticket dropshipping store in 2020.
What Has Been Happening in Our Own Stores?
We have quite a few dropshipping stores, including both B2B (business to business) and B2C (business to consumer).
Contrary to what you may expect given the title of this article, we’re not seeing any year-to-year drops in our profits from these stores. We’re actually seeing some of the highest levels of activity on our stores that we’ve ever seen.
One of our stores in particular is blowing up. Whereas you might see some people making $20k-40k in a month, we’re now earning that much in sales daily in this one store.
We should explain, though, that these aren’t numbers you reach in one day. You don’t go from 0 to numbers like that – it takes time.
High-ticket dropshipping is something we’ve stuck with for a long time and built up some expertise in. In other words, don’t throw together a store now and assume that, in a month, you’ll have made half a million in sales.
This takes time, patience, and effort, which can’t happen if you give up right away when you don’t see instant insane profits.
Times Are Changing (And That’s a Good Thing)
Regardless of our current success, it’s safe to say that the lockdown has already been changing the game. We think it’s going to have a lasting impact on online businesses…but this impact isn’t necessarily a bad thing.
Even now, we’re seeing an increased hesitation in some business owners and consumers to make purchases, because many people are busy looking for things to do at home.
The interesting thing about this, though, is that we’re seeing an increase in people looking for products for hobbies they can do from the safety of their house. Gardening, for instance, is a house-friendly hobby that many people are digging into these days.
This increase in house-bound interests is a trend worth keeping an eye on, because we think it will continue even as economies start to reopen worldwide.
In addition to that, we think more businesses will be looking to move to a work-from-home model permanently. The majority of them will realize that they don’t need to pay for the massive overhead that having an office entails.
With more people both staying at and working from home, there will be demand for home essentials in addition to hobby-related products. People will want to truly make their house into their castle, whether it’s putting that new appliance in their kitchen or spicing up their home decor.
As people stay home more and more, selling online is going to become an increasingly valuable skill. Because of that, we think the possibilities for dropshipping could double, triple, or even quadruple.
Even businesses will need to possibly look at working with dropshippers more. We’ve been rejected by a few suppliers before because they had physical buildings to sell and ship their wares from.
Now that the business world as a whole may shift to a more online focus, we might go back to these suppliers and see if they’d be willing to work with us now. We might be able to get an exclusive supplier that way.
Read Also: Job vs Online Business: Which is Better?
So, in short, dropshipping is far from dying – it’s alive and kicking. The opportunities in dropshipping are not going to just expand for us, but for everyone.
If ever there was a great time to get into dropshipping, now is it. (Although we think, in general, it’s a great business model to start, anyway.)
This is especially true if you’re cooped up at home for the time being. Take the time to learn more about how online businesses work, so you can build a profitable online portfolio. You won’t even need to leave the comfort of your home to do it.
You can start by checking out some resources. We have quite a few that you can dive into. A great place to begin is with our dropshipping basics post, where dip our toes into what kind of preparations you need to make to run a successful high-ticket business.
But if you’d like to dig even further into this possibility, you can always take a look at our free Online Assets Playbook. In addition, we have an incredibly detailed course called Instant eCommerce Assets, which was designed to help people of any skill level start building profitable online businesses.
And if you’re the kind of person who needs the support of a community, we’ve got you covered there, too. We’ve build a community of amazing business people in our Elite Fleet. You can take a look at what benefits you’ll get from a membership here.