[Case Study] How This Store Generates $1M Per Month Dropshipping

In this video, I do a case study on a very successful dropshipping store that I’ve been following for a while. I’ve learned a lot by looking at the way they run their Facebook ads and wanted to share my perspective with you on why they are doing so well.

Store: https://littlestyleshop.com/

Overview

  • Created April 30th, 2018
  • Averaging 630,000 visits per month (last 6 months average)
  • Estimated $1.5 earnings per visitor (assuming average order value of $30 USD and 5% conversion rate)
  • Estimated $945k per month revenue
  • $190k-$250k per month profit (assuming 20-25% profit margins)

Strategy

  • General store but focused on marketing one product (posture corrector)
  • Only Facebook ads for traffic, focused on making good ads with original content
  • Relentlessly testing ad variations: scroll stoppers, thumbnails, ad copies, headlines
  • Stayed consistent by using different scroll stoppers that appeal to different audiences

Key Success Factors 

  • Testing more ads instead of testing more products
  • Proven product that meets all the criteria outlined in my Ultimate Product Research Guide
  • Product descriptions that handles objections
  • Creating original content for ads consistently & properly watermarking
  • Excellent marketers that came up with very effective scroll stoppers
  • Customer service — at a scale like this, offering excellent customer service is a must

What I Would Have Done Differently…

  • One product store with better branding to increase trust & customer retention
  • Potentially better conversion rates & easier to get an exit by selling the brand

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