6 Tips on how to make 1 million dollars in a year with ecommerce (w/ guest – Aidan Booth!)
►► How to Make $10,000/Month with Dropshipping: http://wholesaleted.com/4-step
In this video, Sarah (along with our special guest – a millionaire dropshipper, Aidan Booth) give you 6 tips on how to make 1 million dollars in a year with ecommerce and how to scale your business.
***LINKS TO OTHER CONTENT REFERENCED IN THE VIDEO***
Why I Quit Retail Arbitrage: https://www.youtube.com/watch?v=W-8cRWYe9Ec
How to Start a Business with No Money (Dropshipping): https://www.youtube.com/watch?v=17X6gnJT2II
Tip #1 for how to make 1 million dollars in a year: Don’t fulfil orders yourself
Fulfilling orders is when you pick, pack and ship the items you sell to your customers.
Fulfilling orders is one of the most time-consuming parts of the business, yet it requires the least skill and is essentially manual labour: Which makes it easy to outsource to someone else.
If you fulfill orders yourself, you will eventually hit a scaling cap, because there are so many orders that you can fulfill in a day because you have limited time and energy. Leverage your time by getting others to fulfill orders for you. Here are two ways to do that:
1) Use dropshipping, where the manufacture/supplier ships the item to the customer directly.
2) Use the Amazon FBA program to fulfil orders for items you are personally manufacturing (you don’t need to be selling on Amazon to use the Amazon FBA program, you can use it when selling in your own private store).
Tip #2 for how to make 1 million dollars in a year: Work backwards towards your goals
If you want to make 1 million dollars in a year, then you need to do the maths to figure out how you are going to get there:
* If you divide 1 million by 365 days, then that reveals you’ll need to aim for $2,740 a day.
* Great products on average can earn you $200-500/day, which means you’ll need to aim for roughly 10 products to reach your $2,740 goal.
* You’ll usually find 1 in 20 products you test will be winners, so you’ll need to test roughly 200 products to find these 10.
Bonus tip: Don’t get afraid about the idea of testing 200 products – you’ll be able to reinvest the money you earn (as even losers earn money).
Tip #3 for how to make 1 million dollars in a year: Use paid traffic (and not SEO)
While people are drawn to free SEO traffic because it is cost-effective, it is not the most efficient way to scale to 1 million dollars. To do that fast within a year, you need to use paid traffic:
1) Paid traffic is instant, whereas with SEO traffic you’ll have to wait for results.
2) Paid traffic lets you test products extremely fast – which lets you quickly identify the 10 winning items that you need to find. If you use SEO traffic, it’ll take you a long time to find out which ones are worthwhile, and which ones aren’t.
Tip #4 for how to make 1 million dollars in a year: Pick a good niche and pick a plan
When picking your niche, you have two choices:
1) You can go with a super-focused niche
2) You can go with a general-niche
If you pick a super-focused niche, your store will make more-money-per-visitor because the traffic will be extremely targeted, and all of the items will be relevant to the customers, and so you’ll get a lot of upsells/cross-sells. However, to reach your 1 million dollar goal you’ll have to create multiple stores, whereas you can scale to a million dollars with a general-niche store, but it will be more challenging.
For beginners, picking a super-focused store is the easiest way to start making money.
Tip #5 for how to make 1 million dollars in a year: Take advantage of repeat buyers
Roughly 48% of online sales in the USA come from repeat buyers. If you aren’t getting repeat sales then you are missing out on a lot of easy money, as it is much easier to get a previous customer to buy from you again since they have already formed a trust bond with you.
But, to get a previous customer to purchase from you again, you need to treat them right. Have regular emails updating customers on the state of their order, answer their questions and sell high-quality products that they will like so that they’ll buy from you again.
Tip #6 for how to make 1 million dollars in a year: Systematize your business
By breaking down your business model into small steps, you can easily figure out which tasks that you need to complete, and which tasks you can outsource to someone else such as a virtual assistant. This will let you use your time wisely and let you “pump out” profitable stores/products fast.