High Ticket Dropshipping Guide 2022

High ticket dropshipping is one of the more lucrative ways to get a good margin when doing dropshipping. With a higher profit margin, you can spend more on online marketing campaigns to get more sales. It is way better than low ticket dropshipping whereas the profit margin is so low that you have to sell a lot to earn a decent profit.

What is High Ticket Dropshipping?

high-ticket-dropshipping-guide-high price item

If your product costs more than $1,000, it is a high-ticket item. This does not, however, imply that high-ticket dropshipping is limited to items costing over $1,000.

This principle can also be used for other products, particularly ones with a bigger profit margin. The price of your goods is not the most important factor.

The concept behind high-ticket dropshipping is to offer more expensive products in order to increase profit margins. The higher your commission, the more money you make on each sale.

Consider selling a $10 item and receiving a 30% profit. You only make $3 for each item you sell. If you sell a $400 product and make 30% profit on it, your profit per item sold is $120.

As you can see, you just have to sell one high-ticket product item to make up the same profit compared to selling multiple low-ticket products.

High Ticket Dropshipping Pros and Cons

High ticket dropshipping provides enticing incentives for those who can carry it off successfully. However, it is not without risks and cons, just like any other company plan.

Let us examine the advantages and disadvantages.

Advantages

High ticket dropshipping provides a number of very appealing features:

1. More Long-Term Business Model

Traditional dropshipping typically entails bouncing from trend to trend, selling the newest hot product until it becomes oversaturated before moving on to the next.

High ticket dropshipping, however, often involves selling less fashionable products. This implies that you will encounter less competition from other dropshippers.

But it also means you can focus on long-term brand and customer development rather than a quick-buck flash-in-the-pan Shopify sites.

2. Increased Profit From Each Sale

Selling high-ticket things usually imply you’ll make more money per sale. For example, if you offer a home theater package for $500 and your margin is 30%, you’ll make $150 on each sale.

Compare this to selling low-priced things. If you sell a t-shirt for $20 with the same 30% margin, you’ll only make $6 on each sale. That means you’ll need to sell 25 t-shirts to generate the same amount of money as if you sold one home cinema setup.

Earning a higher profit on each sale implies two things:

  1. To make a livelihood, you’ll need to make fewer sales
  2. You may reinvest more money back into your company to help it grow quicker

3. More Customized Marketing

When you sell a small number of high-ticket items, you may concentrate your marketing efforts more narrowly.

This makes it easy to optimize your sponsored advertising and provide a more engaging shopping experience for your customers.

4. Less Customer Support is Required

high ticket dropshipping guide customer support

You can no longer afford to provide poor customer service. Customer service, however, chews up a lot of time if you’ve ever run an eCommerce firm.

You’ll probably have less volume of orders if you use high-ticket dropshipping. In comparison to a standard high-volume, low-margin dropshipping store, you won’t need to devote as much time or resources.

What is the implication? You’ll have more time to focus on other aspects of your business while maintaining the quality of your customer service.

Disadvantage

Now that we’ve covered the positives, let’s look at some of the drawbacks of high-ticket dropshipping:

1. Big Ticket Orders Carry More Risk

It’s usually not a big problem if a $15 phone case goes missing in transportation. There are no harsh feelings because you simply issued a refund. It’s a different story if a $2,500 restaurant appliance doesn’t come.

What happens, for example, if your high-ticket supplier vanishes into the night with your $1,500 in their possession? As the potential for income grows, so does the potential for losses if something goes wrong.

Before going in with both feet, it’s critical to take it into account.

2. Higher Start-Up Costs

In comparison to many other company models, the capital you’ll need to get your business off the ground will be little.

However, you’ll need a little more cash in the bank than with low-ticket dropshipping:

  • More funds to go towards a fantastic store design
  • Due to the increased acquisition cost, a larger advertising budget is required

3. Difficult for Beginners

Higher-ticket items necessitate a more complex marketing strategy. People don’t just go out and buy a $6,000 fishing boat because they saw it advertised on Facebook. You’ll need to create a customer journey map and promote it to them based on it.

As a result, selling high-ticket items is unlikely to be the ideal choice for newbies in the eCommerce market.

If you don’t have any experience with branding or sales funnels, you’ll probably do better with low-ticket dropshipping first.

Best Niches For High Ticket Dropshipping

So, do you have a product in mind already? Are you certain it has a significant amount of searches? Is it something that people require? Is it merely fashionable?

When choosing a niche, it’s not enough to think of it as a great product; it also needs to be able to sell itself, and one method to tell if it’s worth selling is to look at Google Trends or just search for its keyword on KWFinder.

These tools will offer you the numbers of searches for your products.

But, to make things easier for you, we’ve compiled a list of some of the best high-ticket niches that you can check out right now:

1. Home, Garden, and Pets

Home furniture, and appliances seem to be an ideal method to kickstart your high-ticket dropshipping business since many people have become more appreciative of their homes as a result of the epidemic.

Steam showers, kitchen islands, greenhouses, massage chairs, and other high-ticket things are available in this niche.

2. Gadgets and Tech Supplies

Electronics is another excellent niche. With each new technology and gadget, demand soars to new heights. If you’re searching for a sustainable niche, this is absolutely a solid option since technology is not stopping anytime soon.

For instance, drones have a vast market today, and it’s still being sought after by many consumers. The figures even double during seasonal promotions, making it one of the best trending products today.

3. Lifestyle Niche

Lifestyle niche products are producing seven-figure revenue for several high-ticket drop shippers. Simply choose tempting things that people would appreciate and couple them with irresistible advertisements, and you should be well on your way to making a lot of money.

The list of products in this category is endless; examples include jewelry, high-end bikes, and more…

4. Business, Office, and Industrial Products

Procurement officers in a variety of industries now use the internet to source their needs. That is why selling office and business supplies are such a lucrative industry. This market is never saturated, so you’ll always have room to offer your goods. Some office products you can sell are fireproof file cabinets, standing desks, office chairs, and other devices fall into this category.

5. Sports, Recreation, and Hobbies

Customers that are passionate about sports and recreation are willing to pay more and are more likely to buy if you sell high-quality products. This area has a plethora of lucrative sub-categories. A wine cooler, foosball tables, humidors, pool tables, kegerators, and other high-ticket products are just a few examples.

How to Find High Ticket Dropshipping Products

high ticket dropshipping guide brainstorming

  • Brainstorm: Everyone has at least one idea for a high-ticket item that will sell, so brainstorm. Open a Google Doc and write down what high-ticket items you believe would sell well. This is a fantastic place to start.
  • Examine What’s Trending: Popular items are in high demand. Go to Amazon’s best-selling items. Take a look at the things that people are purchasing. Is it feasible to dropship products that are similar? Make a note of them on your to-do list.
  • Studying Interests: People who are excessively passionate about their hobby, such as golfers, hikers, and musicians, are willing to spend money on equipments. What do they require that you can provide? Make a list of them as well.
  • Take a Look at Social Shopping Sites: Open Pinterest and look through different themes like interior design, baking, gardening, and so on. Is there anything you can dropship from here?
  • Consider business-to-business (B2B): Businesses, on average, have more money to spend than private individuals. Consider the different sorts of equipment that restaurants, schools, and workplaces would require. Make a note of them as well.
  • Test Your Ideas: Once you’ve written down 30+ product ideas, head to Google Trends and enter each one to check if there’s enough interest in your concept. It’s excellent news if the trend is rising.

How to Get Started in High-Ticket Dropshipping

So, now that you know how to choose the right niche and how to choose the right supplier, you can begin your dropshipping journey with more confidence. Always keep in mind that finding suppliers isn’t going to be simple for new dropshippers. Probably big suppliers will reject you if you have no proven sales record. Most suppliers only work with companies that they believe are trustworthy and will provide value to their company. Therefore, it’s critical that you approach a supplier with a ready plan to convince them.

Get suppliers for high-ticket dropshipping here.

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