In the dropshipping world, finding the right product is everything. If you want to lower your cost and boost your total profit margin, you might want to pay attention to the following 5 product specifications and 4 product criteria.
First, there needs to be a high demand for your product. It will be way harder for you to sell something to someone if you can’t make them feel like they need it. The best characteristic of a high-demand product is a product that is problem-solving. For example, a posture corrector, a huge winning product, corrects posture. Bad posture isn’t a problem by itself, but it causes many other problems, like back pain and loss of mobility. You get the point, and your product needs to fix a problem.
If you try to sell something that can be found in any Walmart, nobody will buy it. It’s because people don’t know your store, and shipping from China usually takes time. Although it’s better if your product can’t be found on a marketplace like Amazon, it’s not as bad as if it could be found in a Walmart. If it can’t be found in a retail store, it is likely unavailable.
Suppose This one is also crucial. A product can check all the previous boxes, but if it doesn’t have good profit margins, it’s not going to be profitable. Making $100k of revenue isn’t worth it if you only make $1k of profit on it. Most of the time, it should be good if you can make 3x on your product. But the rule doesn’t apply to all products. If your product costs $1, you should be able to sell it for at least $6. Anything below $5 of profit isn’t worth it unless you can increase your AOV (Average order value) with upsells. Another justification for selling products with less than $5 of profit would be to build a highly qualified mailing list and monetize it. That’s the only reason the “Free + Shipping” method is useful.
If Next, your product needs to have some “wow factor.” These days, it’s hard to grab people’s attention on social media. You need to find a really impressive product that most people have never seen before. Anything that is not common will do it. The first product with a “wow” factor that I can think of is the makeup bag. It’s a new product that not many people have seen before, and it’s pretty impressive.
EcomHunt updates several products daily for users, which, of course, are specially handpicked by experts. The updated products include the following data: Profit, Analytics, Engagement, Links, Facebook Ads, Product Video, Facebook targeting, etc. Another interesting thing about Ecomhunt is once you have links to stores selling these winning products already, you can also access other trending products or their best-selling products that you can add to your online store. With this, you are simply getting more than the intended value. This tool is one of the first websites I visit when I research. I sort my categories, browse, and scroll until I find a product that can solve a problem.
Or you can use Dropshipman "Find product" feature to find your winning product. The product is selected by the dropshipman product search algorithm and filtered by our e-commerce experts. All the products are updated regularly to adapt to the rapid change of the dropshipping game.
Google Trends is a trend search feature that shows the popularity of a search term in Google. You can view whether a trend is on the rise or decline. You can also find demographic insights, related topics, and related queries to help you better understand the Google trend.
Constantly increasing search volume over last year.
According to the search volume on Google, we can see a strong ongoing increasing graph over the last year, which indicates a growing search volume. This graph can reflect very well the general interests for the product-related search terms. The increasing graph indicates the product you searched for might be a high-potential product.
AliExpress released their “Dropshipping Center,” which has three useful tools for dropshippers. The “Hot DS Products” tab is a list of dropshipping products that are selling well. The suggestions are based on your AliExpress browsing history. There are over 250 pages of hot dropshipping products to browse from. I like sorting this by category to find hot products within niches I’m already involved in. If you are already selling a niche and looking for trending products, you can sort by product categories and get a list of the best products.
Lastly, the dropshipping center has a "ProductAnalysis" tab which helps you gauge the sales trend for a certain product. This is very useful to see if you still need to catch up with the trend with a product. Add your Aliexpress product URL into the box to analyze the last sales this product made. You will see a graph of the previous 14 days of sales. Another thing you see under the product analytics tab is Logistics Reliability. It shows the seller's standard for shipping the item.
There are two most important indicators to look for when searching for a supplier; "Free shipping" and "Good Reviews." Not only dropshippers are buying from this page but also direct end-users. It would help if you read through the reviews once you pick your favorite supplier and product. Try to get familiar with the latest product issue and overall quality.
Not only the rating important, but also the number of reviews and orders. In this case, we can see 233 reviews and 1547 orders. Those are good numbers and, for now, trustwort
One more thing you will need to pay attention to is Shipping. Usually, it is always a good idea to find a supplier with e-packet, but due to the severe global health effects of COVID-19. e-packet is one logistic method you will want to avoid getting your hand with. Alternatively, use Aliexpress standard or use Dropshipman sourcing and fulfillment service, which gives you a 7-15 days shipping time worldwide. What's more, Dropshipman will find you the source of the product with lower cost and better quality. Sounds unrealistic? Dropshispman has been helping dropshipper to scale their business this way for years. Try it now for free.
High Demand: Check If the product you searched for actually solves some kind of real-life problem
Low Availability: Check if the product you searched for can't be brought to Walmart or convenience stores.
Good Profit Margin: Check if you can make a good portion of money selling this product.
Wow Factor: Check whether the product grabs people's attention at the first sight, send it to your friend or family, and ask for their opinion.