I Spent 10 Weeks Doing Etsy Print on Demand (EP.8)

it's been 10 weeks since we opened our brand new print on demand Etsy shop and after a super successful Christmas season we've been struggling to get new orders in but this last week we've actually had several huge orders come in and we've completely shifted our Focus from posting custom products to original designs that when they sell are completely passive so today I'm going over everything that's happened up until this point I'm going over how much profit I've made on each one of these huge orders and the exact pricing tricks that I'm using to get these really large orders if you've seen most of the videos in my series you'll know almost all of the important steps to follow to grow your own shop if you're serious about learning to make money online then I highly recommend you watch the entire series because this method can really help you grow and scale your shop I'm only spending a little bit of time each day on the shop for these videos but this same exact method has generated me over seven figures on shops that take up a little bit more of my time so if you're putting in a lot more time than I'm putting in at the moment which is is about an hour to two hours a day you're gonna see incredible results all right we opened our shop on November 2nd and posted up three listings for sale almost immediately getting our shop suspended and I later found out that this was due to a technical glitch where they couldn't verify my tax information after reaching out to support about seven days later I got my account unsuspended and we could continue selling I chose to list a bunch of custom items for sale because in my experience this is the easiest way to get a ton of sales early on my strategy for creating custom items was to make as many variations as possible so that we can post them all and start ranking organically in search traffic instead of having to run ads now this has worked super well after a slower start December started to take off generating as close to two thousand dollars in profit and five thousand dollars in Revenue but these sales were almost entirely due it to the Christmas surge now shortly after this we had a huge disaster with a bunch of Express orders getting lost in the mail and we got our first one star review now from what it looks like this has resulted in a fairly rough dry spell up until today the cool thing is even while I was out of town I kept getting some orders coming in so if we quickly change this to the last seven days we can take a look at our Revenue which is hitting at about 750 with seven orders now you might look at this and think oh man like I'm spending so much time on my shop and I'm hardly seeing any sales but you have to realize I'm only spending about two hours a day on my shop and the growth with e-commerce can be exponential so the time we spend making great listings today will absolutely pay off in the future resulting in a ton of passive income anyways here's one of the big orders that came in over the weekend while I was out of town you can see they ordered 40 mugs and that resulted in us making a revenue of 432 dollars here's another big order that came in over the weekend for about 16 shirts again all with the same design and this one brought in 248.53 now for the the 16 shirts we spent about 190 dollars and for the order of 40 mugs we spent about 268 dollars so as you can see we got about 164 dollar profit from the mug order and a 58 profit from the T-shirt order but keep in mind I only spent about five minutes fulfilling these orders because it was the same design on all of the products and that leaves us with a 222 dollar profit for honestly hardly any work now granted there are some Etsy fees mixed in there so it isn't a complete profit but all things considered this is a great return on our investment now I'll get into the exact profit and loss at the end of the video but for now we have to talk about these pricing tricks that I'm using to get these really large quantity orders this is one of the most requested subjects so you definitely don't want to miss it now when it comes to getting sales a lot of the time it does feel like luck but there are a few strategies that we can use to maximize our chances of getting the sale I've talked about a lot of these strategies in previous videos and as you can see it's clearly paying off but today's tip is all about pricing so let's go over exactly how to price your products so that you're maximizing your conversions and getting the most amount of sales and profit per order now the first thing we have to do is figure out exactly what it costs to fulfill a product so in my example I'm going to use this blank t-shirt through Monster Digital and right here you can see that the price is nine dollars and they charge 4.75 cents for shipping so that means for each t-shirt order we're gonna spend 13.75 now I'm using t-shirts for this example but this same format can apply to any product you're selling now the first thing we have to do is create a hook price now what a hook price is is essentially one variation of your product that is cheaper than all the others so in this example we'll take a look for a custom T-shirt and if we like this one right here you can see that it appears to be only 10.90 but if we actually click through and we check it out and we click the drop down to see all of the variations you can see that most of the t-shirts are actually priced a little bit higher than that 10.90 price tag and that 10.90 price tag is actually just their tote bag that they've listed so they are still selling a product for 10.90 that's the price that shows up on the first page of search results but it actually entice is more people to click through their listing and the more clicks that you have on your listing is just going to result in more sales and if we take a look back at the search results you can see that almost all of the listings are using this strategy where they're offering one variation that's much cheaper and then they'll have their actual prices once you click through the listing and you can see that it does make a big difference as a shopper if you see this ten dollar price tag versus the 20 price tag in my opinion you're more likely to choose the cheaper option now we can actually take this even a step further by adding a sale so here's another example of a listing that's using the price hook you can see it appears to be 9.26 but if we click the drop down almost all of their variations are a bit more expensive than that and they've even taken it a step further where they have this toddler t-shirt and only one of the variations of that toddler t-shirt is 9.26 and it's probably a variation that never sells now they've actually taken this a step further and you can see right down here they have a sale ending in 35 hours which doesn't sound like too much but it does create a little bit of urgency around your listing now I would always encourage you to be running some kind of a sale as you can see just for the search custom t-shirt almost all of the listings are running a sale and whenever you see a listing that is not running a sale like this one right here it kind of makes you feel like you're getting a poor deal because all of the other items are on sale so why isn't this one even though it doesn't make a ton of sense psychologically for buyers they are way more likely to buy the products that are on sale now this also creates an idea of value see instead of getting just a t-shirt that costs 16 they feel like they're getting a t-shirt that costs 28 dollars that's marked down to 16. now this psychologically just makes them feel like they're getting a better deal and a higher quality item this is just because we associate a higher price with higher quality so having a higher price and then discounting it a little bit looks a lot better than just leaving a flat price so in printify or wherever you're setting your prices this is what we need to do we need to input the prices so that after we add the sale the product will still be sold for the price that we want it to be sold for so I've just picked my be cool listing which is a printify free graphic it's a pretty cool design and all I'm going to do is scroll down to the pricing section from here all I do is I select all of the variants and you can edit the profit margin on all of the variants all at once and so let's say you wanted something like a 59 profit margin well you can see right here it's telling us that our profit would be about 13 now this is not accurate because it doesn't calculate in our sale so if we set our t-shirts to a 59 profit margin you can see the retail price would be 21.95 now if we actually come over here you can see that with a 25 discount if we're running that on Etsy then the customer would actually end up paying 16.46 for that t-shirt now it's really important to make sure that we're charging a little bit more than it actually costs us to make the shirt and this is great because we still have to add in our shipping costs but real quick back in printify we can actually add our bait price right inside of it so if we want to make a variation that probably isn't going to sell that often a little bit cheaper we can just click the drop down and let's say our small yellow shirt we don't think it's going to sell as often so what we could do is we could take this price and we could make it let's say 18.95 so if someone still did order that small yellow t-shirt they would be charged about 14.21 which would still cover the product and shipping costs but doing this allows our listing to show up on the first page of search results as costing 14.21 instead of 1640 and this still ensures that if that variant sells we're not losing any money but from here once we have all of our pricing options set inside of printify we can just hit save as draft and now each time that we copy and post another one of those listings for sale we won't have to re-edit all of the pricing details inside of etsy Vela or printify now like I already mentioned I do like charging between four and seven dollars for shipping depending on the product we're selling so if we just plug those exact numbers into an Etsy fee calculator you can see we're charging about 16.46 for the shirt five dollars fifty cents for shipping and then these are our costs to ship and our costs for the shirt you can see the total breakdown of what everything would be right down here at the bottom and we're sitting at about a 25 to 26 percent profit margin with these exact prices so as you can see from the example in this video if we're using the exact same prices our gross profit is going to be 5.67 each t-shirt now I've seen successful shops that do not utilize this feature but Etsy does claim that your listings will get more visibility and priority in search if you're offering the free shipping over 35 guarantee so we do want to consider that when we're pricing our products I like to make sure that the customer needs to buy at least three products to qualify for this guarantee so I'll make sure that if they order two products it won't quite hit the 35 Mark and this will just guarantee that you're maximizing your profits and you're not losing money if they're ordering three or more products now following these pricing strategies is exactly how I was able to take a 200 profit from just those two orders okay I messed up severely on last week's profit and loss so here we go with a more detailed and accurate version so our lifetime revenue for this challenge is 6000 and 664 dollars and 55 cents after we removed the Etsy fees which came out to eight hundred and eight dollars and 85 cents and the product costs which cost us three thousand three hundred and eighty three dollars and ten cents we're left with a profit of two thousand four hundred and seventy two dollars and sixty cents which is not too bad if you ask me but a few other exciting things that I wanted to mention for the Channel first of all you can find my Instagram down below so if you want to reach out and message me directly feel free to do that and I can answer any questions that you might have secondly I'm currently working on a Photoshop plugin that will automatically generate your mock-ups without you having to export them manually which is a huge Time Saver I previewed this on my video where I talk about starting a sticker business which you should definitely check out if you haven't already let me know down in the comment section if you're interested in the Photoshop plugin so I can prioritize it if it's something you're actually interested in I'm also working on a printify uploader program which which will automatically title your products based on a list of keywords you give it which I also showcased in this video as well I'm thinking of giving this program away once I hit a hundred thousand subscribers just as an incentive for me to keep growing but let me know your thoughts on this as well down in the comments section I'd love to hear what you think okay that's all for today thank you for watching I hope this helps and I'll see you next time

Channel: Alek

Views: 48,573

Keywords: ALEK, Alek, ChatGPT, OpenAI, MidJoureny, AI Art, AI Stickers, AI Print on Demand Business, Print on Demand, AI Business Ideas, Easiest Business to Start in 2023, Easy side hustles, side hustles 2023, easy side hustle, AI side hustle, super easy money online, make money online, Make money with AI, AI revolution, Print on Demand AI, POD Etsy, Sticker Business, How Much I made, easy 6 figure side hustle, six figure income, online business, Alek Sheffield, Alek Sheffy, ecommerce

Id: 2cZoLYUZvmk

Length: 11min 47sec (707 seconds)

Published: Tue Jan 24 2023