This post is a complete case study on a company that is selling iphone cases using the "Free + Shipping Model"
If you're not familiar with "Free + Shipping" then it's basically offering your main item for free and you (as the company) make money on either the SHIPPING & HANDLING or on an UPSELL.
The company in this case study is making money on the SHIPPING & HANDLING and they're murdering it...excuse my language :)
I, myself have used the "Free + Shipping Model" and many of my peers who make well over a million dollars per year use it very successfully.
Long story short - this company is charging 9.95 for Shipping & Handling and their product cost less than 1 <-- I've included 4 suppliers below that sell the exact phone case ranging anywhere from .20 - .89
Here's The Facebook Ad They Used
Here's The Page I Was Taken To After I Clicked The Ad
This Is The Page I Was Taken To After I Added The Item To My Cart
Here are 4 suppliers that sell the EXACT iphone case for less than $1
This is a list of questions that I send to all suppliers on Alibaba that I'm interested in placing an order with. These list of questions does two things - it allows me to get an idea of how well they can write/speak in English and their attention to detail based on the questions I'm asking. If they ignore any of the questions or their English is poor then I automatically disqualify them.
Hi (Name of supplier),
I am looking to add more product to (your company) and think this (item you're interested in) would be a good fit. Can I get the following information?
What is the cost per unit for (x amount of units?)
Do you accept Paypal?
What are the different colors you offer for this product?
What does the packaging for this product look like?
What is the lead time for a order of (x amount of units?)
What is the cost for shipping for (x amount of units) via air freight to (your destination?)
Can you send me photos of this product and the different colors you offer?
What is the cost of having a sample sent to the USA via DHL?
Do you have current clients that are selling this item? If so, can you provide me with their website so I can view the product?
Can I get your WhatsApp or Skype username for faster communication?
Do you have experience shipping to the United States?
Do you offer engraving/logo on the product? If so, is that extra cost?
Do you accept Paypal for payment?
I am looking forward to your quick response.
Thank you,
Sean Nelson
Here's Everything You'll Need To Get Started
- Alibaba.com** <--- Find suppliers in China
- Shopify.com <--- You can VERY EASILY build your online store without any technical knowledge
- Fiverr.com <--- Extremely cheap graphic design for your facebook ad
- Anderinger.com <--- They'll take care of all the paperwork, customs info...etc that's involved with bringing goods into the United States. They'll do this for a very nominal fee.**
That's pretty much it! If you enjoyed this post then I'd appreciate an upvote!
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