(6 minute read)
There are a TON of people absolutely crushing it right now making 6 figures even 7 figures a month by marketing their eCommerce businesses on Facebook, Instagram, Snapchat and Pinterest. I myself am actually involved in a few different product company ventures and then own a few product companies myself on the side as well. If you are reading this article right now it’s probably because you are either: 1) Possibly interested in starting your own eCommerce product company or 2) You already have an eCommerce company but it’s not really working that well for you.
E Commerce companies have been around for awhile now so what’s the big hype with them right now? Well the truth is that ever since the company Alibaba stepped foot on the map, it is now ridiculously easy for ANYONE in the world to get access to a Chinese supplier. I’m not kidding, within literally minutes of signing up to Alibaba, you can get on a chat with a Chinese supplier that sells literally anything. This my friends, has literally changed the game for online marketers. Why? It’s simple… online marketers know exactly how to get ANYTHING in front of ANYONE. Now… before Alibaba, marketers always struggled with the “Anything” part. We always had the traffic / people but we never had the “Items” to get in front of those people.
So let’s talk about one of the companies I’m apart of that we started literally 5 months ago…
Unfortunately I can’t reveal the identity of the company (YET) because we are still pumping traffic and driving sales and I don’t want anyone to steal the product…(Because it would literally be as easy as going over to Alibaba and typing in what my product is). But I can go into the industry…phone cases!
A few of my business partners and I were sitting around the conference room thinking of new product companies we could roll out and one of my partners said “What about phone cases?” So we started to dive into the phone case market, look at who the big players are right now, look at who the small players are and then of course… you guessed it… look at Alibaba to see what suppliers are currently selling phone cases.
Now listen…the KEY with getting a product off Alibaba and selling it well on Facebook, Instagram or Snapchat is that:
- There already needs to be a want / need for the product
- It needs to be somewhat affordable (I recommend under $40)
- It needs to be cool (This seems stupid obvious but the “cooler” the product the more virality you will get online).
After searching around for a few weeks for a good phone case supplier we really hit a dead end. We had a ton of suppliers who offered a bunch of different things but nothing we really wanted all together. So what we actually ended up doing (This is where our product was “Cool” FYI) is we took 3 different pieces from 3 separate suppliers, meshed the pieces together and BOOM just like that we had our product.
What happened next?
Once we had the product we began to build our Shopify website. Now, if I go on about shopify in this article you will literally be here all night. So instead, I will go into great detail on shopify in another article shortly.
After our Shopify website was built we then began to market our product using HEAVY Facebook video advertising. We had a kick ass video that showed how well the product worked.
The result? We are now into our 6th month of business and we have grossed $109,938.44
Our total sales = $109,938.44
Our total expenses (Facebook ads, Product Cost, Shipping etc.) = $32,518.34
Total NET Profit in 6 months = $77,420.10
Here is a screenshot from our shopify dashboard:
There are 4 partners in this company and I have 30% of the business so that gave me a net return of $23,226.03 in 6 months or $3,871.05 per month… not bad for just an additional side income stream!
So is this for you?
Is eCommerce marketing something you would want to get into? Here’s what I say the hardest things are about eCommerce marketing are:
- Having a good eye for products (Trust me this will be the hardest part…finding a good product that sells well in the market)
- You have to have money to invest upfront for buying product AND advertising it.
- Saturation (When a product starts to fly off the shelf everyone gets word of it within 3-6 months)
- Dealing with Suppliers (Suppliers can be a pain the ass. Most of them speak very broken english, their shipments are late and sometimes they really make your life a living hell).
- Customer Service (This is one of the most important parts of an eCommerce business and you will receive some really weird emails from some weird people out there in the world).
Some of the best aspects of owning an eCommerce company:
- You can start making money REALLY quickly (Find a good product, build a Facebook ad to the right people and you’re off and running in a few days)
- Work from anywhere (If you have someone handling your fulfillment for you (Which I would recommend) then you can work from anywhere in the world)
- The margins on your products from China are INSANELY high. (I have product companies where I’m buying the product from China for $1.00 and selling it for $20.00
So what do you think? Is eCom for you or are you still not sure?
If you do want to get into ecom business you are going to need 3 things:
- An Alibaba account – get that HERE.
- A Shopify account – I’m actually partnered with Shopify for all of my ecom companies so I was able to get all of you a 14 day free trial HERE.
- A Facebook Business Manager account – Get that HERE.
Let me know in the comments below if you have any questions at all and i’ll do my best to answer them for you!