When it comes to dropshipping business, merchants usually get confused about whether they should go for high-ticket dropshipping. Even most of the time, they invest in high-ticket items without knowing the nitty-gritty facts.
And consequently, they end up ruining their businesses.
We know you are in the same boat and are wondering if high-ticket dropshipping is for you or not and, if yes, where to start, how to start, and how to sell these products.
In this guide, we’ll explain every subtle thing you need to know about high-ticket dropshipping, like what it is, its advantages and disadvantages, how to find high-ticket suppliers, and how to make the first sale.
So, without any delay, let’s start.
What Exactly Is High-Ticket Dropshipping?
Before anything else, we first need to check what exactly high-ticket dropshipping is and how it differs from traditional dropshipping.
Simply put, high-ticket drop shipping is a type of standard drop shipping model where you sell high-priced items. Though there’s no fixed range of how much a high-ticket dropship product should be, but typically, the price of these items starts from $200 and goes up to $5000 or more.
Unlike low-ticket or medium-ticket drop shipping, you usually deal with higher investment and higher profit margins in high-ticket drop shipping.
For example, if you want to dropship products like Mobile covers, stationery items, or non-branded cheap products, you’d fall under the low-ticket dropshipping category.
On the other hand, if you dropship high-end products that need higher investment, like Mobile, cameras, furniture, and high-quality home decor items, you are a high-ticket dropshipper.
(Note: The examples above are just for inspiration. There are numerous products that fall under high-ticket dropshipping.)
Advantages Of High-Ticket Dropshipping
High-ticket dropshipping is trending and will continue to be the same in the upcoming few years and if you haven’t created a dropshipping store yet, then check out our guide on how to start a dropshipping business to get started right away.
As per the study by Statista, the global market of personal luxury products has hit over 60 Billion euros in the year 2021. Not only that, the furniture market, one of the most popular niches under high-ticket products, is expected to reach $41 million by 2030.
These stats show high-ticket dropshipping is undoubtedly a good choice as of now. However, here are some major high-ticket dropshipping advantages that ensure its scalability in the future:
1. High-Profit Margin
High-ticket dropshipping leads to higher profits by selling fewer products.
Yes, you heard that right! chat
Let’s take an example and understand why it’s so –
Suppose you’re selling a product for $1000, which actually cost you $800. Now, you’ll directly have a profit of $200 in your pocket.
Contrastingly, if you sell low-ticket products, you’ve to sell more items to reach that profit goal.
Thus, if you’re aiming for high-ticket drop shipping, you’re going to generate huge profits by selling only one item.
2. Less Saturated Market
High-ticket drop shippers or sellers play around in a less saturated market than low-ticket drop shippers.
It mostly has three main reasons:
- Most beginners can’t afford the investment required in high-ticket dropshipping
- Fear of failures
- Less knowledge about products
Once you overcome these three challenges, you’d get a less competitive market to sell your products. And eventually, with a bit of trial and error, you’d succeed in high-ticket dropshipping.
3. No headache Of Endless Orders
Like limited competitors, in high-ticket drop shipping, you’ll have to deal with a handful of specific customers. Consequently, the number of orders would be less, meaning no headache of handling endless orders and other chaos.
4. Less Investment In A Customer Support Team
If you have been in this eCommerce field for quite a long time, you must know the importance of customer support in business growth.
Now, in traditional dropshipping, you need a whole customer support team as you’ll handle a high volume of sales. On the other hand, in high-ticket dropshipping, customers and sales volume would be less. And you can manage them on your own or with your assistant.
Doing this, you’ll save extra money on employment.
5. Extra Time For Marketing
The third and fourth points lead us to this advantage.
No need to say high-ticket products need mass branding and marketing as they’re not impulse buys. In this drop shipping type, customers highly believe in the brand authority than social media advertisements.
But branding requires both your time and money!
Now, the best part is you can afford both as you’ll save extra money on employment and your time on fewer orders. And then, you can further invest them in building strong, bullet-proof marketing strategies.
Disadvantages Of High-Ticket Dropshipping
Nothing comes with absolute perfection. The same is true with high-ticket dropshipping. As we already saw the advantages of high-ticket dropshipping, it’s time to check the other side of the coin:
1. Higher Investment
If you are looking to start a high-ticket dropshipping business, you need a way higher upfront budget than low-ticket drop shipping.
Not only that, if we keep aside the budget for sourcing products, you still need additional investment for a high-quality storefront, top-notch marketing strategies, order fulfillment, and other criteria to build great brand authority.
Thus, if you are a beginner, high-ticket dropshipping might not be a smart choice for you.
2. Giant Industry-Leading Competitors
Though the high-ticket dropshipping market is less saturated, you still have to compete against a few of your competitors ruling that particular industry for quite a long time and already have a great brand authority. And beating them as a newbie dropshipper would be tough.
3. Need Extra Care On Product Management
What would need extra care, a mobile cover worth $10 or a mobile set worth $2000?
Definitely a mobile!
Likewise, when you sell high-quality items, they need extra care in each step, from placing orders to sending them to your customers. If, by chance, it got damaged, your business would suffer in the long run.
4. You’ve To Find Trustworthy Suppliers
Another major issue that you’ve to deal with in your early stage of selling is finding trustworthy, authoritative suppliers in a world full of scammers. After all, you’re dealing with a huge investment. If anything goes wrong, your business will be at stake.
Let’s say you’ve placed a set of stationery items for $100. If it goes missing, that’s not a big deal for most merchants. Conversely, if any blunder takes place with an order of $2000, it’d be nerve-racking.
So, first, do some background research and check whether the supplier is trustworthy. But how? We’d solve this issue in the next section.
Where You Can Find High-Ticket Product Suppliers
The first and foremost aspect you must consider before investing such a huge amount is finding the best dropshipping product suppliers for your business.
We have given you five tips to spot the best ones for your high-ticket drop shipping business:
- Check Suppliers’ Ratings
Thanks to the dropshipping platforms, they show ratings beside each supplier’s name. Thus, ensure to check the ratings first before hitting the ‘place orders’ buttons.
- Have A Look At The Company Profile
If you are sourcing products from a company, don’t forget to have a look at the company background, including yearly revenue, no of staff, and other details to ensure you are connecting with a trustworthy supplier.
- Check Whether They Have A Clear Return Policy
Most of the time, suppliers don’t accept a return or refund policy. And you must consider it a red flag. On the other hand, reliable suppliers have a clear return policy so their customers can purchase without any dilemma.
- They’ll Have Multiple Contact Information
If a dropship supplier is trustworthy, they’ll provide multiple ways to connect them in terms of calls, live chat, emails, and more. So, check on them to ensure they are open to connecting with their customers in every way possible.
- They Have Strict Policies
Trustworthy suppliers/companies have strict policies. They usually don’t sell to the general public. In fact, they need your business details to confirm they are dealing with legitimate companies.
Now that you know how to find the best high-ticket dropshipping suppliers, it’s time to check some best drop-shipping companies you can source your high-ticket products from:
|Free, pricing starts from $24/month
|Free, pricing starts from $19.9/month
(Note: You can also google companies with the product name to get some legitimate results.)
Profitable High-Ticket Dropshipping Niches
Now, you know where you’ll find the best high-ticket dropshipping products. But one question still arises – what type of high-ticket products are worth buying?
We’ll explore here!
Well, there are multiple ways that you can consider to find the most profitable high-ticket items:
- Keep an eye on different marketplaces (Amazon, Flipkart, Etsy) for hot-selling products.
- Try out tools like Semrush and Ahrefs and check on the high-priced items people are searching for.
- Do intensive competitor research and find out what products they are selling.
- Interact with your prospects and check what they’re looking for.
- Check on some well-known brands and their upcoming launches.
Let’s make it easier for you!
We’ve researched our own and come up with some best high-ticket product niches that are generating higher revenue as of now and will continue to do the same in the upcoming years:
- Furniture and home decor items: Sofas, high-quality wall decor items, rugs, carpets, lighting, etc.
- Electronics: Digital watches, headphones, computers, keyboards, gaming items, cameras, etc.
- Luxury products: Bags, jewelry, snake-up products, glasses, etc.
- Outdoor products and Equipment: Camping products, tents, GPS systems, high-quality backpacks, garden sheds, lawnmowers, greenhouses, etc.
- Gym Equipment: Treadmills, weight-lifting products, etc.
Best eCommerce Platforms For Selling High-Ticket Products
With tens of thousands of online store builders and marketplaces, it’s difficult for newbie sellers to find a perfect platform. And especially when it comes to selling high-quality products, most merchants get confused.
But you don’t have to be!
If you are aiming to sell high-ticket items, our first and foremost recommendation would be a standalone online store. Though there are numerous store-builders out there in the market, you should go for Shopify or Woocommerce to build one.
You can also go for different marketplaces like Amazon, and eBay, as people mostly hang out there to purchase high-priced items.
7 Proven Strategies To Ace High-Ticket Dropshipping
Now that you are done with all the legwork (finding high-ticket dropshipping products or suppliers and the best platforms to sell them), it’s time to apply some key strategies to build a successful high-ticket dropshipping business:
1. Don’t Compromise On Product Quality
High quality and high pricing go hand-in-hand. If you compromise on product quality, you can’t sustain this business. People will leave bad product reviews, and your career will be at stake.
Though it’s quite tough to directly nurture the product quality in dropshipping, you still connect with your suppliers and convince them with some extra bucks so they focus on quality.
2. Offer A Frictionless Order-Fulfillment Process
Remember, your customers are paying huge bucks for your products. So, they won’t tolerate any delay, poor packaging, or any other friction.
Again, in dropshipping, you can’t directly control them. It’ll depend on your suppliers.
Thus, connect with the suppliers time-to-time so you can personally stay in touch with the order-fulfillment process for your customers.
3. Build A Genuine Connection With Your Visitors
When it comes to buying high-priced items, customers take a longer period to decide whether they should buy the product or not. They hang out on different platforms to check where they’ll get a better offer.
In such a situation, if you win their hearts with mass branding and storytelling, you are on edge. They’ll connect with you better and consequently make the purchase.
Take the example of FYRN, one of the best Shopify furniture stores. They have tried to connect with the customers in every way possible by sharing their branding stories.
4. Use High-Quality Product Images And Videos
People buy what they see!
And especially in high-ticket dropshipping, product images matter a lot. Thus, we recommend using high-quality product images from different angles to attract customers. Most importantly, you should focus on real-life photography to give a glimpse of how it’ll look when your customer purchases it.
Also, product videos are highly trending nowadays, and you must give them a try to better engage with your customers.
5. Offer Discounts And Free Products
One of the most important tactics to generate higher revenue from high-ticket dropshipping is offering product discounts. You can also incentivize your customers with low-ticket products or offer them free shipping.
6. Provide Top-Notch Customer Service
People love interacting with brands that support them 24/7. And as you’re selling high-priced items, providing out-of-the-box customer service is a must.
From the moment your customers interact with your store to order fulfillment, you need to keep them in the loop via messages or emails, so they find it easier to shop with your store. You can also take help from AI tools to make your process easier.
Doing this will make your customers happy and nudge them to visit your store again for their next high-end purchase.
7. Streamline Payment Gateways
Last but certainly not least, offer multiple payment gateways so your prospects can make purchases in a streamlined manner. You can also offer them the “Buy Now Pay Later” method to influence their purchasing decisions.
How To Promote Your High Ticket Dropshipping Store?
You need a strategic approach to attract your audience to your high-ticket dropshipping store, and you can easily convert visitors into high-paying customers. Here’s what you must do to promote your high-ticket dropshipping store effectively.
- Define Your Target Audience: You need to understand who your ideal customers are and what their needs and preferences are.
- Optimize Your Website For Conversions: Ensure that your website is designed professionally and easy to navigate. You need to add high-quality images and write in-depth product descriptions to showcase the value of your high-ticket products.
- SEO: Do in-depth keyword research to find the terms your potential buyers are searching for and add those keywords to your product title and descriptions. Create a content strategy for your store and post blogs & buying guides on your website to attract organic visitors.
- PPC Advertising: Use advertising platforms like Bing or Google Ads to create targeted PPC campaigns for your products. This will bring in traffic to your website quickly but at a price.
- Social Media Marketing: Identify which social media platform your audience uses the most so you can share engaging content related to your products on those social media platforms.
- Email Marketing: Add email opt-ins to your store so you can collect emails and build your email list. You can send exclusive discounts to those emails to bring back those visitors and turn them into paying customers.
More On Dropshipping:
- Best Dropshipping Suppliers In The UK
- How To Find A Dropshipping Supplier
- What Are The Benefits Of Dropshipping
- How Does Dropshipping Work?
Final Note: Start Your High Ticket Dropshipping Business Today!
Now, if we answer whether you should go for high-ticket drop shipping, we would answer – it depends!
If you can afford a higher budget or have a risk-taking capacity, you should go for it. But, if you are completely new to the eCommerce world, we recommend going for low-ticket dropshipping first. Once you polish your marketing and branding skills, then you can manage high-ticket dropshipping.
But remember, the key to successful high-ticket dropshipping is trustworthy suppliers. If you make mistakes in finding them, you’ve to pay for it.
Hope this guide will handhold you throughout your high-ticket dropshipping journey. If you have any questions, contact us via the comment section below.