The Winning Product Strategy
Once you have your winning product, then you can boost the sales and ad spent easily. The winning product will be your Cash Cow, it means that the product gives you steady profits and a large market share in the current industries.
You need to define your Cash Cow, as well as your Star, Dog, Question Mark – this is a well-established marketing concept – BCG Matrix
With the knowledge of the BCG matrix will help you to optimize your ad spent and focus on the product.
Of course, you will need a lot of product and trend research as well, the last time we have talked about search on Google Trend, but this time we will use a specific tool that can reflect on the Sales volume.
To find the winning is right after defining your store is a niche or general store . Read our blog, if you haven’t decided yet, and after you have made a decision and come back here.
Common Mistake: Aliexpress and search Best-selling products
A lot of Gurus or drop shipper are currently using Aliexpress, by the default filter to find the Best selling product.
With free shipping, high customer reviews …
The question is, does it really help? Just a little heads up if you are using Aliexpress to source Kbeuaty product
Using Aliexpress filter or searching on Aliexpress, doesn’t reflect the real sales.
Think about this, who is the target buyer or audience of Aliexpress – Dropshippers (or we should say, international buyers, as the main target of Aliexpress is actually for an emerging market like Spain, Russia, Brazil …)
So you are actully looking at the data of the B2B market, but not a B2C (business-to-consumer) market, unless you are doing B2B market, if not Aliexpress should not be your data source.
Alright, so you may think, B2B and B2C data source are well-linked. Yes! It’s True, but it also comes with a lot of factors that you need to consider, but why not a simpler option.
The Product research Tool – Amazon
Boooo …. yeah we know. But ! Give me a chance to explain it to you. Yes, we know using Amazon is mentioned a lot of time.
We are not asking you to use the normal way, but a specific way to foresee the new booming – Star
You may want to know, why are searching for the star but not cash cow (The winning product). Dropshippers always has the wrong thinking process by selling and boosting the Current winning product.
Its not wrong, but you will not have the profit margin, as the current winning product has a lot of sellers selling it already.
You should go to Movers and Shakers Section ( https://www.amazon.com/gp/movers-and-shakers/ref=zg_bs_tab )
You will see the booming product, which is currently a “potential Star”, that you should invest in the product.
You are not selling the exact product, but using the keywords to search similar product with the same or similar product attributes
For example, Rank #3 “TruSkin Naturals Vitamin C Serum for Face [BIG 2-OZ Bottle] Topical Facial Serum with Hyaluronic Acid & Vitamin E, 2 fl oz. ”
Keywords & Attribute: Vitamin C, Serum
So here we go to our platform : www.b2b.harbour-world.com
Input keyword into the search bar and found Innisfree Tangerine Vita C Serum 50ml
So this is the product that we will spend and boost to be a Star and we expect to see this product will be a “Cash Cow”.
Product cycle & Ad spent
The concept of Product cycle will help you to decide and invest the advert.
I’m not gonna discuss it deeply, but what you need to understand is to invest on Stage 1 and you can receive the return (profit) from Stage 2.
Stop spending on Stage 3, as you will have a lot of competitor selling the same stuff and they will promote for you (most of the dropshipper think that is the Winning Product)
Since you have earned profit from Stage 2, then you might lower your price and stop ad spent on Stage 3.
(You competitor join in Stage 3, and they put a lot of ads spent on it, then have lower margin then you. As they have to beat your price)
At the same time, you should find another new product to invest in it and take the first-mover advantages
Never 100% follow what the “dropshipping guru” said, you have to digest and filter their opinion. They might be the affiliate marketer with the products.
Stop using Aliexpress to be your research tool, the data is not for B2C buyer, they are made for B2B buyer and dropshippers. You are only getting the Matured product (the current best seller), you will have to spend alot and get thin profit margin as a lot of sellers are selling it on their platform.
Do your own research by Amazon, which is the most favourable shopping marketplace in international market, by checking the most rising products every hour.
Understand the in-&-Out time for the product, to lower your ad spent and increase your profit margin, after the product is your Cash cow, then you should find any other new star.
Doing in this way would save you from price-war and a lot of unnecessary competition!
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