Great to see how many of you are making some real headway with your ecom biz.
Now, here's what I've been doing.
I spoke with several U.S. wholesalers who also do white labels and drop ship fulfillment.
Be careful here.
If they don't do "blind drop shipping" then you don't want to work with them . IMHO
Blind means that your end-use customer won’t know who the shipper is.
They'll assume it is you.
That's the relationship you want with your customer. You don't want them starting to build a direct relationship with the manufacturer or distributor.
That's only fair, really.
You did the work to get your customer, why should the distributor get to benefit from that.
That's why you want to make sure that when you ship to your customer, they only see your info, nobody else's.
Moving on...
I'll give you an example of one of the arrangements I'm considering.
The manufacturer will create my product for 8.20 per white-labeled product.
So MY label will go on their product.
They will design and provide the label for a one-time 200 fee.
The fulfillment company I'm working with will charge 4.60 per.
I have not yet worked out a CPA agreement, so I'm not sure about their fee, but I'm thinking it will be about 15 bucks per.
So...
My cost to get the product (which I will never touch) from the manufacturer to the customer's door will be something in the range of $30 (8.20+4.60+15 = 27.80).
If I price it at 39 per month, I'll be in profit at 9 per.
10 customers gives me 90/month 100 = 900 1,000 = 9,000
Again, the beauty of the subscription model is that these profits are MONTHLY, not one time only.
Of course, there will be attrition. People will drop out and need to be replaced.
If you're working with a CPA, that only means you need to pick up the phone and call them.
Tell the you need 100 new customers, or 200 or 800 or whatever. They'll deliver them at the same price over and over again.
So, that's ONE of the models I'm developing.
Notice, I'm using U.S. mfr, shipper, warehouse, fulfillment because I'm limiting my offers to U.S.
Get all this set up inside of the country you'll be shipping to.
I know some of you are in Canada, others in India and Australia and elsewhere.
Example: If you're in India, get all this set up with an Indian company, not U.S. not China not anywhere else.
When you keep your mfr and fulfillment company in the same country as your customers, you'll avoid all the import-export tarrifs, duties etc.
It doesn't matter where YOU live, but what country your customers will be from, b/c that's who you ship to.
Any questions, keep asking.
I'm here.
Thanks to all who have shared with me what they're working on.
If you've been silent so far, just hit the Reply button and let me hear from you :)
Talk Soon,
Donna
-Donna & David- Whirlwind Success
PS: If you've been seeing my promo for Instagram, it's b/c I'll be using that platform to test sell, and make my own direct sales vs. CPA networks.
If you're interested in doing that, you really should check out this launch before it goes way up in price.
I've bought it, am working on it right now and it is VERY cool.
It's going to really help with any ecom biz big time.
http://whirlwindsuccess.net/recommends/Instamate/
Also, for my free Instagram training, check out my latest blog post at donnamerrilltribe dot com.
It's called "Drive Traffic To Your Blog For Free" ========== ========== |
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