First of all, let's cover the basics: High Ticket = High Price
Traditionally drop shipping is selling low value (Low-ticket) products at high volume with a low-profit margin. Whereas a new approach would be selling high value (High-ticket) products where you would be selling at lower volume but for a higher profit margin.
Unlike low-ticket drop shipping that is typically selling directly from China, in high-ticket drop shipping, you would source products from top-tier local UK suppliers. Leaving you with no concerns on whether the product will be of good quality or if it’s even going to arrive on time for your customers.
High Ticket vs Low Ticket
So, from the two products shown above which of them would you consider being easier to sell?
Of course, the mouse mat, right? It’s easier to package, has a much cheaper delivery cost and is in high demand. Whereas the chandelier, although it looks amazing, comes with a few downsides. It's more expensive, it larger and heavier so has higher delivery costs and has a smaller market to sell to.
As you can see it’s a lot more common for people to gravitate towards low ticket products as it seems to be so much easier and stress-free, plus there’s a larger market.
But with this comes a lot of extra work. Remember what we said previously, Low Value + High Volume = Low-profit Margin. So, as you can imagine you would need to be selling hundreds if not thousands of phone cases to be seeing a good profit.
Why Sell High-ticket Products?
With high-ticket products, there is beauty in being able to sell in much lower volumes for a higher profit margin. Yes, a chandelier is more expensive, larger, heavier, cost more to deliver and has a smaller market. But with a chandelier, you are making much more profit per sale than you would in sales from selling low-ticket products.
To break it down a little further:
Working Smarter with High-Ticket
I’m sure you’ve heard the phrase - Less is more. Well, the same applies with high ticket drop shipping.
As you can see Ben has made not only his first sale but has made £1,230 from just one sale alone. Now can you imagine how much work would need to go into selling enough Mouse Mats to see the same return? Hint: A LOT.
With more orders come more customers to deal with and as a business owner you really want to keep all customer service to a minimum, so you have more time to spend on your business not in your business. Can you imagine having to speak to 1000 customers a month? Every month?
With high-ticket you are more than likely only going to deal with 30 or so customers a month while making more than you would with selling low-ticket.
Now there we’re not saying you can’t make good money from drop shipping low ticket products but selling high-ticket products allow you to build your business and get a good return from less work. It’s a no brainer, right?
With high-ticket drop shipping, we look at selling products that aren’t trending type products, we would be selling everyday products that have consistent long-term demand. But with low-ticket, it would be selling trending products such as fidget spinner or dog toys for example. As a result of this, your business remains less affected by any kind of market trends, giving you the ability to build a sustainable long-term business.
With low-ticket drop shipping, you would be constantly researching the latest trending products before they get snapped up and become saturated. It’s a very time-consuming cycle to try and always be ahead of the curve and you’re constantly chasing the next new product trend. With high-ticket products, it’s more about finding what products have consistent long term demand.
Why Choose High Ticket Drop Shipping
- You will spend less time dealing with customers, therefore, giving you more time to put back into your business.
- You are able to sell in much lower volumes and still make more money than you would be selling to the masses with low-ticket.
- Products that you are selling will be more sustainable, always in demand and of high- quality.
- Your product will be sourced from local UK supplier with fast delivery times.
Hopefully, you can now understand why high-ticket drop shipping is the way to go and why so many other people just like you have chosen this way of drop shipping.
Drop Ship Formula is the only training program of its kind that not only shows you exactly how to create and market your high-ticket dropshipping business here in the UK, but how to get it and your niche products in front of buyer ready customers from day one.