STEP-BY-STEP: Start Dropshipping w/ Only $50 in 2018 Using Free Traffic
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STEP-BY-STEP: Start Dropshipping w/ Only $50 in 2018 Using Free Traffic

Hey, guys! It’s me, Sarah, here from Wholesale Ted, and
in today’s video, I’m going to be teaching you my three step formula for creating a dropshipping
store with just $50. Yes, even if you are on a super-tight budget,
you can start dropshipping as well. Speaker 1
This is kind of an updated version to my 2016 video How to Start a Business with No Money. Now, I’m sure some people will still complain,
like they did in that video. They’ll be like, “Gosh, Sarah, I have absolutely
no money. Can you teach me how to start dropshipping
with zero dollars?” Well, I’m going to be honest. You cannot do that. You’re going to need to have at least some
money to get started. If you don’t have $50, the truth is, you probably
shouldn’t be starting a dropshipping store. Speaker 1
Something I also want to note: Even though you can start a store with just $50, using
the free traffic methods that I’m going to teach you, if you do have more money to invest,
I suggest that you don’t actually do this. As I’ll discuss later in the video, if you
have more money to invest in paid traffic, then you can have much faster success, and
make a lot more money, if you utilize paid traffic. Speaker 1
I will talk about, as I said, later in the video. But for now, let’s just get started and talk
about how, again, if you’re on a super-tight budget, and you’ve only got $50, how you can
start dropshipping today. Step One: Create your store for $42. The majority of our $50 is going to be going
into the store creation process. We’re going to be buying the following things. One, a basic Shopify subscription for just
$29. Two, a domain name with Shopify for just $13. Speaker 1
Now, if you do want to save a couple of dollars, you can purchase your domain name privately
through Namecheap, and then connect it to your Shopify store. A domain name from Namecheap that is a .com
address costs just $10.69. That means that you save $2.31. However, I do recommend that most beginners
just spend the extra couple of dollars and buy it through Shopify, because it make the
store creation process a lot easier. Speaker 1
How do you set up a Shopify store? Unfortunately, it’s a little bit too big of
a tutorial for this video, but what you should do is watch my free video tutorial How to
Create a Shopify Dropshipping Store. I will have a link to that video in the description
below. But there is a catch, because full disclaimer,
to keep your Shopify subscription, it’s going to be $29 a month. Speaker 1
You might be thinking, “Well, it’s not actually just $29, Sarah, because you’re going to have
to be paying $29 a month.” If that is too much for you, I do have another
solution for you. Instead, you can build your store with WooCommerce. Now, I’ve looked into all of the different
options, and the cheapest web hosting that is still easy for beginners to use is iPage. It costs just $35.88 for the entire year,
and that includes the domain name. I have a step-by-step tutorial which shows
you how to create a dropshipping store with WooCommerce, and I will have a link to that
in the description below. Speaker 1
Now, in that tutorial, I use a plug-in, and that plug-in has a monthly cost. What it does is it helps to semi-automate
adding products to your store, and managing the orders. If you want to save money, then you can skip
using that plug-in, and you can add products manually, and you can manage your orders manually. Speaker 1
But I’m going to be honest. Using WooCommerce is quite a lot of work,
especially if you’re a beginner. The chances are, if you’re watching this and
already looking to spend $50, then you are probably a beginner. Time is money, and time is the most important
and valuable resource that we have. Shopify is going to save most beginners an
enormous amount of time, headaches, and stress, which is why I recommend that you use it. Speaker 1
Okay, so we’ve spend $42 setting up our store. Let’s move on to Step Two. Step Two: Optimize the store for free SEO
traffic. Google is the biggest search engine in the
world. Every day, people go to Google looking for
products to buy. But here’s the thing: Let’s say someone comes
to Google and types in “Sirius Black magic wand,” because they want to buy one. Well, as you can see, there are over one million
pages that google has found on the Internet that are related to this keyword. Speaker 1
Usually, on the first page of results, Google has shown us just 10 websites. Why did Google select these 10 websites out
of all of the pages it found? Well, it’s because of something called search
engine optimization, otherwise known as SEO. SEO is when you make changes, or optimizations,
to a page that sends signals to Google that your page is relevant to a specific keyword.For
example, let’s use World of Harry. This is an Aliexpress dropshipping store run
by my friend [Jarrah 00:04:28], and it makes thousands of dollars every month from free
SEO traffic. Speaker 1
Now, a very important disclaimer: I do not recommend using trademarks or dropshipping
products that have trademarks like Jarrah is doing in this store. And I discuss why in my video How to Not Get
Sued, and I will have a link to that video, if you want to watch it, in the description
below. So no, I don’t recommend that you use the
Harry Potter niche like Jarrah is doing, but I’m still going to use the store as my example
in this video, because he has offered it up as a great public case study for SEO. Speaker 1
As you can see, Jarrah is selling the Sirius Black magic wand in his store. If you go to Google and type it in, you’ll
find his store is in the second listing on the first page of the Google results. And it is absolutely crucial that he is on
the first page of results, because less than 10% of people click through to the second
page. So you need to make sure that you are on the
first page of the Google results. Jarrah has gone ahead and optimized lots of
product pages in his store for relevant keywords, so now he’s getting lots of free, passive
sales from SEO traffic. Pretty cool, right? So the question is, how do you do the same? Speaker 1
Jarrah has definitely spent some time building something called backlinks, and that is a
more complicated part of the SEO game. If you’re really, super serious about getting
lots of traffic from Google, then I do recommend that you look into what backlinks are, and
you can find lots of free tutorials on YouTube for it. Speaker 1
But right now, outside of backlinks, there are several things that beginners can still
do to optimize your Shopify store pages, so that you can rank higher in the Google results. One: Pick a keyword for each product. You need to pick a keyword to optimize each
of your product pages around. Now, you want this to be what is called a
longtail keyword, which means it is a descriptive keyword that is between three to four words
long. Let’s say I’m selling this camera lens travel
mug. Well, we’ll my keyword for it then “camera
lens travel mug.” Speaker 1
Two: Add the keyword to your product title. This is a very important signal to Google
that your product page is relevant for a keyword. Put it as close to the start of the title
as possible. So if you have any additional text in your
product title, try and put it after the chosen keyword, like I’ve done here. Speaker 1
Three: Include a 400+ word product description. Next, you’ll want to include a big product
description for your page that is at least 400 words long. You can see here that I’ve added a big product
description for this product. I use very descriptive language, such as saying
it looks like a DSLR lens. This will help you get traffic from people
searching for other related keywords like “DSLR lens travel mug.” Speaker 1
Four: Include your keyword several time in the description. The product description that I’ve written
here for this example product is 430 words long. If I highlight the keyword phrase, you’ll
see that I use the main keyword “camera lens travel mug” in the product description seven
times. You want to make sure that you do this, too. Including the keyword in your product description
is called “keyword density,” and you want it to be between one to two percent. Since my description is about 400 words long,
I want to be including my keyword four to eight times in the description. Speaker 1
Five: Add the keyword to your first product image. The technical phrase for what we’re doing
here is we are “updating the image alt data,” but don’t worry. It is super easy to do. In your Shopify product page, scroll down
to the first image, put your mouse over it, and click the “Alt” button, type in your keyword,
and click “Done.” Now, you only need to update your first image. If you want to update the image alt data for
your other images, then be sure to use different, but relevant, keywords. Speaker 1
So there you go. There are five easy things that you can do
to your product pages to optimize them for free SEO traffic. Now, something I should note is that if you
are optimizing your product pages around SEO, then it can hurt your conversions with paid
traffic, because when people are coming in from paid traffic, they can be put off by
the long product descriptions. So be careful in trying to do both. It’s easier when you’re just getting started
to focus on one. Focus on either free traffic or paid traffic. Speaker 1
Here is a bonus tip: I suggest that you add a blog to your store, and that you add a post
to it at least once a week. Google loves to see fresh blog posts. And when you add your post to it, I strongly
recommend you do the following. One: Make the blog post at least 600 words. Two: Add in at least one image to your blog
post. Three: Make the blog post relevant to the
same niche as your store. Four: If possible, embed a relevant YouTube
video. And you can embed a video that somebody else
has made. It is perfectly fine to do so legally. Now, another quick disclaimer: It’s important
to note that SEO is a huge topic, but these are just some beginner tips to help you get
started. Speaker 1
Okay, so I’ve optimized our store for free SEO traffic. It’s time to take advantage of one other free
traffic source. Step Three: Create a Facebook fanpage. While I would normally recommend that you
use paid Facebook traffic, you can still get results from free Facebook traffic if you
are willing to put in the time and the work. What this involves is creating a relevant
Facebook fanpage in your niche, and building it up with lots and lots of fans. You can then post advertisements for your
store on your fanpage, and plus, it will help you a lot with SEO traffic. Why? Well because having a big Facebook fan page
that advertises your store regularly will signal to Google that your store is an authority. Speaker 1
Of course, you can do things like adding in your URL to the fanpage’s profile, which will
create an even stronger link to Google between your fanpage and your store. Plus, of course, you can do things on your
store to create a link between the two pages, like adding a link to the fanpage in your
store footer. Google likes websites that are a social media
authority. If it thinks that your website is a social
media authority, then it will raise it up in the search results. Speaker 1
Now, usually, when you’re advertising your store on Facebook with paid traffic, you’re
going to be creating a fanpage that has the same name as your store name. But if you’re trying to create a fanpage with
lots of fans, then don’t do this. Instead, try to think about how you can create
a super cool page that people in your niche will really, really like. Speaker 1
For example, let’s say I make my Shopify dropshipping store about coffee, and I called it Brewed
Treats. My regular viewers will recognize it as an
example niche I use in my videos here at Wholesale Ted. Well, instead of creating a fanpage and just
calling it Brewed Treats, I might create a fanpage, and call it Awesome Latte Art. The fanpage would be dedicated to reposting
super cool pictures of latte art I find around the Internet, that have Creative Commons licenses
on it, or that I get permission from the original creator to share. Speaker 1
Then what I do is I keep posting super cool pictures to the fanpage every day, and because
the pictures are really neat, they will get natural engagement, and the page will grow
organically. Now, I’m not going to lie, this is a slow
method, and it takes time to go out there and find content to reshare, but if you’re
willing to put in the time and the work involved, it does work. But there is a problem. To get started, you’re going to need to have
a small base of fans to like, share, tag, and repost your content. Speaker 1
The solution to this is to run a small $6 ad campaign to your Facebook fanpage, with
the sole purpose of getting likes. But you need to do it right. Here is a simple, effective way to set up
a like campaign on Facebook. One: Add content to your fanpage. People are not going to like a fanpage if
it doesn’t have any content, so before you go, and you run away, and create your Facebook
like campaign, be sure to add 10 high quality images to your fanpage. Two: Go to your ad panel, and create an ad
using “Engagement” as the setting. Three: Next, select “Likes” as your form of
engagement. Four: Select the audience to target. Speaker 1
Here are some tips for selecting the right audience. Firstly, target people that are based in the
USA. Now, admittedly, it’s going to cost you more
money to target USA people rather than just people based worldwide, but your USA fans
are going to engage with your page at a higher rate, which is the goal here. Aim for an audience size of between 700,000
to one million people. That is a really nice number to aim for. Speaker 1
When selecting keywords to target, don’t worry about doing flex targeting, or getting keywords
that are overlapping. This is just a simple like campaign. So pick a bunch of keywords that are relevant
to your niche. For me, I might pick “latte.” I could pick “Starbucks.” I suspect that Starbucks is going to be a
much bigger reach than that, though. And again, I wouldn’t worry about having the
interests overlap. Just select keywords that will get you to
that magical number of between 700,000 to a million. And also, of course, be sure to exclude people
that have already liked your page. Speaker 1
Five: Choose mobile only placement. Mobile traffic usually converts at a higher
rate than desktop traffic, which is amazing, because times have changed from when it used
to be the complete opposite. Six: Add a cool, relevant image to your ad. Nothing fancy, yeah. For me, I might just pick a cool picture of
some latte art. Do not overthink this. Seven: Set your ad budget to $2 a day for
three days. Of course, if you want more likes, you can
increase the budget or the number of days that you’re advertising. I’ve set it small here because of the fact
that our budget is just $50. Speaker 1
That’s it. Let’s calculate how much money that we have
spent. $29 for Shopify. $13 for the domain name. $6 for the Facebook ad campaign. And that totals $48, I’m fairly certain, so
we are under budget. Well, you might be thinking, “Well, that’s
all well and good, Sarah, but one of the massive costs in dropshipping is paying for the products
after the customer has purchased it, so how can I afford to do that?” Speaker 1
Well, that’s a great question, and let me show you my magical solution to this problem. Look, ladies and gentlemen, this hat. It’s just a normal, everyday hat. And ladies and gentlemen, please look inside. As you can see, there’s absolutely nothing. Absolutely nothing inside at all. Ladies and gentlemen, I’m going to take this
absolutely empty hat, and put it on my head. And look at that, ladies and gentlemen! Look at that! A credit card! A credit card! Thank you, thank you, thank you. You are all too kind. Speaker 1
Yes, there you go. My magical solution to this problem is credit
cards. You see, for those of you out there that don’t
know it, when you open your Shopify dropshipping store, and somebody purchases an item from
you, you don’t get the money from the customer right away. If you have selected Shopify payments, then
your payments will be held for about seven days. And if you have enabled PayPal, then it can
take several days for the funds to clear in your bank account. Quite possibly, you’re going to end up having
your payment held for about three weeks, so if you don’t have any money to purchase the
items in the meantime, while you’re waiting for the payments to clear, you are sunk. So of course, the solution is to get a credit
card, and you can use the credit card to pay for the items that the customers have purchased
from you. Speaker 1
Usually, credit cards will let you hold an interest-free balance with them for about
five weeks. So what you do, is once the money has cleared
from the customers, you have that transferred to your bank account. Then you will easily be able to pay off the
credit card while keeping the profit, and not paying any interest. Plus, you’ll also earn sweet rewards for using
your credit card. If you live in the USA, the best credit card
to get is probably the Chase Sapphire Reserve. It lets you earn tons of miles and travel
in style for free, while getting one percent cashback, too. Speaker 1
But it doesn’t need to be a super fancy credit card. Just one with a spending limit of between
$200-300 is more than enough. Now, if you have a terrible credit rating,
and you are not eligible for one, you’re going to need to make sure that you have some cash
on hand, and a debit card, to pay for the items that the customer has purchased. It doesn’t need to be a lot. Having just $200-300 on hand should be more
than enough, because of the fact that this is a slower method than using paid traffic. Speaker 1
That leads me on to something very important that I want to discuss. Free methods are slow. Something you have to recognize is that, if
you either can’t or are not willing to invest money to grow your business, it is going to
grow slowly. One of the biggest regrets that I personally
have in my career is that I was obsessed with free traffic, and it’s something that I’ve
discussed here on this channel before. It made it difficult for me to scale, and
it cost me a lot of lost money. Speaker 1
If you want to use free traffic methods, be prepared to be very consistent and very patient. But if you can, I strongly recommend that
you set aside $300-500 to invest in ads, because you are going to get much faster results. With a budget like that, it is possible to
find a product that, after scaling, can earn you over $10,000 a month within 30 days. This is not going to be possible with free
traffic. So keep that in mind. With free traffic, you’re going to need to
be exchanging your time for money. In business, the ultimate goal is to be exchanging
your money for time. Let me know in the comment section, what do
you plan to use? Free traffic, or paid traffic. Speaker 1
Thanks for watching this video. If you liked it, I’d appreciate if you gave
it a thumbs up, and subscribe to us here at Wholesale Ted for more great videos about
selling online. If you have any questions, please be sure
to ask them in the comment section below. Here at Wholesale Ted, we do get a lot of
questions, but we try to answer as many as we can. Speaker 1
Did you know that we here at Wholesale Ted have a step-by-step premium video training
course that shows you how to create, market, and run a six-figure dropshipping store. It is called the Dropship Club, and inside
of it, I take you through the exact methods of picking your niche, picking your products,
creating your store, running ads for it, and more. Before you go, I’d like to offer you a free
gift. Here at Wholesale Ted, we have a free e-book. How to Make $10,000 a Month Online with Dropshipping. You can find a link on how to download this
awesome freebie in the video description below.


  • Catherine Castro

    She sounds like a very smart girl kinda lost me on the whole thing tho i Think I got bored not her fault its mine I think I have had ADD my whole life its suck's …… So I would assume its best for me to not give up my day job just yet. Maybe I just need a better teacher in the future like one on one maybe.

  • kprice399

    Great info! Really helpful. Could believe it’s free, but then I saw the chase ccrd add…. all the more reason people should pay attention to you. Brilliant!!!

  • Jarmo Väinaste

    Great video as always. My store has been live 4 days now, no sales but i have traffic and now i just need to figure out how to get the customers buy from my store. The answer is probably somewhere in your videos, gonn digg it up 😀

  • kwbiker69

    Are there any members of the Dropship Club who would be willing to help me on this?? I am currently a truck driver and not very good at this kind of thing. I have a problem with one of the steps and can't seem to get past it.

  • R.i 73

    For the description product, do you have any solution for people like me who are not good in English to write word in the description?

  • Ben Johnston

    Paid for sure!!
    Thank you for spending the time to post this, I am so grateful to have been blessed to see your tutorial!! I went to click on another tutorial next to yours and accidentally clicked here!!
    I was in ore of how effective, direct, useful and brief your content was,
    I found this tutorial amazing, inspiring, thorough and clever with a dash of surreptitious sarcasm in character all whilst possessing the ability spell it out to us dumb arse men!

  • Sloff

    I disagree with the comment that people will be put off by long descriptions. Building a product landing page with lots of information, videos and reviews is definitely a good idea. Just a thought. Great video as always though, thanks Sarah!

  • Square Peg

    If I have around $500 what do you think would be the best way to get started? I have already created an Amazon store and have been intending to do some retail arbitrage, but would there be a better way to start with the $500 that I have?

  • Jaap van Tijn

    If i start dropshipping from ali to ebay usa, do i need to register my self somewhere in the usa and how do i pay for tax?

  • B B

    How about if I have 3 platforms. Like eBay, Amazon and a shopify account; I drop ship some products and store stock and fulfill from my end too. How do I automate the selling of drop shipped products and make sure it differentiates/allows me to fulfill other orders manually?

  • Nihlist eScape

    Let's say I started with about $200 would the margins on low priced items be enough to sustain my store? It doesn't necessarily have to profit yet. I'm just wondering if I set aside 200 bucks just for this could it sustain itself indefinitely until I could progressively invest more into ads and all that?

  • Cindy Nguyen

    Hi Ted, can you give me some advice for non US citizen to fill the "address/contact us" on shopify ? I have seen some people living outside of USA are struggling with providing US address. Can this cause some problems later if customers want to refund/return product or we want to withdraw the money ?

  • Bruno J

    Thank you for making these videos I'd like to create my own store soon and your making it easier to understand its a lot for me to take in but I feel the more videos I watch the easier it will become thanks again 🙂

  • SixStringPirate

    I'm confused though. In one video you tell people not to start selling products from franchises like star wars but then you use the Harry Potter store as an example. Could you please clarify

  • Adam Fischer

    Such an amazing video! Totally awesome. I'm looking forward to watching more of your videos too! It's good that there are people sharing their thoughts and experiences online about dropshipping.
    I started dropshipping recently and I am following a free online course which helped me on my journey.

  • Lianne Harrison

    Are there different rules for Canadiens? I was reading that if I want to dropship, then I should consider hiring a licensed customs broker to make the process easier. Any thoughts on that? It all seems a bit overwhelming with importing and taxes and knowing the regulations.

  • EuLe -

    The idea behind this is good but wake up. If economy is that simple, why isnt everybody a millionaire made by watching youtube tutorials.
    The market is saturated from these drop shipping start ups. When a market is saturated you wont make any kind of profit.
    So in conclusion go to school, study, get the best in your area of knowledge and then start a business in this sector. No need of watching youtube tutorials!
    Its all on yourself!

  • TehGalvanizer

    Great video!
    But what about legal stuff? Don't you also need to register a business to sell online? or is a domain name enough?

  • Asociacion Mexicana de Yo-Yo

    Hello I already have a online store, domain name, hosting and wordpress and woocommerce website I can do this too?

  • Melissa Pierce

    Hi Sarah, I am a single mom of 3 ,2 in college.I do have the money to invest in opening a store but need a bit of help, I have watched, taken notes, studied for about 1.5 years on how to start. I have a idea but just need some professional guidance. Could you please help me? email if you can . Thanks so much Sarah. Sincerely, Melissa from Seattle

  • The Not It Factor

    I have searched annnddd searched for videos from people sucessfully dropshipping in Australia and nope not once decent channel. The dropshipping in Australia channel says don't sell stuff from China and calls all products from china cheap crap and said his mate made 50k on fidget spinners and said it wasn't a real buisness because it didn't last in order to prove his point. Except what hos friend did was create a biz around a trend so when the trend died he should have updated his website and listed other products that are in trend instead. Anyway i wouldn't be snubbing my nose at 50k. Your channel is the only decent channel on yt on this topic keep it up.

  • Firman Akhsanu

    when i started dropshipping, i started literally zero, no shopify, no alidropship, ads, ebay, etc, and now i got $1000-3000 per day of pure profit

    and i still dont pay anything for those resources, just nothing 😂

    but, why should i tell you how :v would u pay me?

  • Chris-Che Botha

    Hi Sarah, this is Chris-Che' from South Africa….your videos are awesome!!! I'm actually watching your videos right now & going through each and every one of them while doing my work in between.
    AND PLEASE DO NOT MAKE YOUR VIDEOS ANY SHORTER AS THIS WOULD JUST RESULT IN WATCHING OTHER VISEOS YOU MAKE TO GET ALL OF OUR QUESTIONS ANSWERED. You are extremely informative and always touch all the relevant aspects, that's the very reason I am a dedicated fan of this channel!!

  • Shannon de Beer

    I still cannot get my head around being able to earn more that USD 2K per month with this. This seem impossible! I have watched all your videos and have about USD600 to invest…I'm ready to bit the bullet and go for it. I'm so scared though…there is LOTS to consider and get right all at once.

  • Marco Sosa

    what if i begin selling too much, how am i going to pay the supplier if the credit card maxes out? #hyperventilates i saw on shopify payments that you can choose to get paid daily, weekly or monthly. does this work?

  • jimmie dean

    You have a boatload of videos. I am new to the game and a 67 year old dinosaur. I would like to start a business with my son and daughter. We can do this through the most expedient paid method. We also want to combine it with free travel. Since you have years of videos, do you have a preferred order of your videos and publications that we should review as of today. Thanks a lot.

  • JackalXD

    ok so i know how to make a account, learning what to sell and what to avoid selling and ads, but what else should learn or should i just start now

  • ishylynn

    If you are very computer and WordPress saavy, DigitalOcean lets you set up your own server for $5 a month. They have a one-click install for WordPress, but you do have to set up a few things using the console. Then you can search and find WooCommerce in the WordPress plugin gallery. It's definitely not for beginners, but it might be helpful to those who already have some WordPress experience.

  • the watchman

    Sarah.. Been watching you video's. Quick question

    Do you know. Do wedding/ministry dropship products do well on shopify? And what suppliers should I stick with

  • Maxim K

    I didn't know that I have to pay for my customer purchases… and why you're saying I have to have 2-3 hundred on Shopify for this.. is this enough? What if I will got 1000 orders in a first day, who's gonna pay for it?

  • Treasure Hunt

    I"m not going to use either paid or free traffic. I'm just going to keep watching your videos and let you make all of the money.

  • Working-mom101 Miss.L

    Hello! New to your channel😊
    Im so glad i come across your video. Im in the process starting my online business. Im thinking not doing dropshipping. You think its a best idea? If yes. How much inventory do i need to start as a beginner?? Thank you much😊

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