All right.
So let's get into the golden rules for product selection.
These rules are going to follow you throughout this course throughout your journey to building your
fantastic business.
Because not only do they ensure that you're getting at least $10 profit for every sale, but it also
ensures that you're selecting the right products products that will sell.
So the first golden rule, as you might expect, concerns the price.
And this really is a key point.
So what we need to do is to buy our product at $10 or less.
And of course, at the moment we are sourcing those products from dropshipping.
And then we're going to sell them on our site on your site that we're building, of course, between
25 and 30.
So you can see there that there's a profit margin of between 15 and $20 more than the $10 I said before.
But there's a reason for that.
And that's because we will have some expenses, for example, traffic.
Although of course I will be teaching you free traffic techniques later on.
But nevertheless, I hope it's very simple for you to see how we can achieve a profit margin of at least
$10 every time.
So there's a couple of key points that I want to point out within this point.
The first one being that sometimes people say to me, well, how can you buy something for $10 in this
case and then pass it on to the end user for 25 to 30?
How is that possible?
Well, my answer to that is that's how commerce works throughout the entire world.
Everything you buy, you are buying from somebody who has marked up the price.
Otherwise there would be literally no point that person being in business.
That's how it operates.
Essentially, everybody in the supply chain is buying for one price and then selling for a price that's
significantly higher.
The second point, and this is really important, is that that price point of 25 to 30 isn't just chosen
randomly.
It's there because this is a fantastic price where people will buy products on impulse.
And the key word there is impulse.
Really keep that in mind.
And just to perhaps try and make that a bit clearer, let's imagine that we were selling TVs on our
site for $500.
In other words, a price that's way higher now, the decision making process that goes on when we buy
something for $500 is completely different.
What we will do is we will find something on an e-commerce site somewhere, or perhaps in the real world,
and then we will make comparisons.
Maybe I can get that TV for 470 or 490, or maybe somebody doing a bundle of products.
Whatever it is, we go off and we look for a better deal.
That's typically what people will try to do.
But when we have a much lower price point, that doesn't happen.
People are far more likely to buy on impulse.
And for us, that's a big advantage.
Okay, so the second golden rule is that you don't want to be selling products that are too heavy.
Now, this is for a very simple reason.
And that's because heavy products cost a lot to ship.
We do not want to have very high shipping costs because it would eat away at our margin, and we risk
making little or no profit.
Thirdly, we don't want to sell products that are too fragile.
Why?
Because we will get lots of returns.
It's not too difficult to imagine that if the product arrives at the other end in bits, we're going
to have problems.
So we really don't want to sell fragile products after that.
We have high quality images.
Now this is something that's often overlooked.
Images sell products.
Yes, words are important, but it's the images that sell.
That's the thing that draws our attention.
And that's ultimately where we make our decision.
So we can't afford to have poor images.
We have to have high quality images on our product page.
Next up, you really need to avoid all branded products.
And really what I'm talking about here are the big brands.
You know you can't be selling like Nike or Harry Potter or any of these household branded names on your
store, because to do that, you need a special reseller license.
So we want to avoid all branded products.
Now there are many products that kind of look like they might have a brand.
It's often a little bit of a grey area, but a quick tip to help you decide whether the product is branded
or not is simply to search for it on Google.
If it is a brand, it should show up with all the normal social media, website, etc. but if you are
in any doubt and this is really important, if you're in any doubt, move on and find another product.
And then for number six this is very important as well.
All of these key points are really important, but perhaps this one is a little bit more difficult to
interpret.
So let me help out.
So first of all psychologically that's why we buy anything.
We either buy something because it solves a problem or it caters to a passion.
So I'm selling dog products.
As you know, if I was going to sell a product on my store that solved a problem, I could, for example,
sell dog leads that light up.
Now why would that be solving a problem?
Well, when people take their dogs out at night, their dog in many cases is not visible, which could
put the dog at risk to traffic, and it makes the dog owner nervous.
It's a problem.
It's a problem that needs a solution, and a dog lead that lights up would solve that.
An example in the same niche that were catered to a passion could be clothing for dogs.
Now this is not my thing necessarily, but it is a huge market.
People buy clothes for their dogs.
Now let's be honest, that's not really solving a problem.
A dog does not necessarily need a jacket, but it does cater to a passion.
Many dog owners love to dress up their pets simply because it makes them look cute.
It makes the dog owner feel great.
It caters to their passions.
So there you go.
Those are the golden rules for product selection.
And in my opinion, that's worth the cost of this course on its own.
Because what you're looking at, there is years and years of experience experience that works.
So please keep these in mind all the time and in fact, what I've done in the resources section of this
lecture is given you a PDF.
So you might want to print it out.
You might want to keep this by your side as we continue on this journey.
And with that in mind, and all of this great knowledge that you're starting to pull together, I really,
really hope you can see how much value I am trying to give you here.
It really is my mission to help you succeed.
So let's start selecting products and putting them onto your site.
Let's take your business to the next level.