$125K in 30 days branded Shopify A.i. dropshipping (Just Copy This)

Publicado em

Vídeo em Inglês, publicado pelo canal Austin Rabin.

About this content: The summary, key points and topics below are generated automatically from the video transcript. They reflect the content, opinions, claims and predictions presented in the video and do not represent a position, validation or fact-check by All The Gate.

Video summary

The video presents a detailed, transparent financial breakdown of an e-commerce business called Haven for the month of September, detailing revenues, expenses, profit margins, and challenges faced with Meta advertising. Additionally, it offers a step-by-step tutorial on building a Shopify store using AI tools, finding verified suppliers through import data platforms, researching winning ad creatives, and setting up automated fulfillment.

Key points

  • Haven generated $125,463.94 in revenue for September, resulting in a net profit of $12,596.51 after accounting for all expenses.
  • Major business expenses included $68,886.10 spent on Facebook ads, $28,868.40 for the cost of goods sold, and $8,983 for shipping.
  • Meta ads experienced performance issues and algorithm instability during September, which is attributed partly to political/election cycles.
  • Four new products were launched in mid-September to expand the military collection, including aviation and Coast Guard-inspired designs.
  • The video provides a walkthrough for creating a free Shopify store using an AI store builder and installing necessary fulfillment apps.
  • Sourcing strategies involve using importyeti.com to find reliable manufacturers based on competitors' supply chains and utilizing Zendrop for automated fulfillment.

Topics

e-commerce transparencyfinancial breakdownMeta advertisingShopify store setupsupplier sourcingad creative researchorder fulfillmentbrand scaling
Video transcript

Transcript from available captions; it may contain errors.

Over the last year and a half or so, we scaled Haven to $4.2 million and more recently in the month of September, we did $125,463 in revenue. And I want to show you everything that's been going on inside our business for the last month. And no, I don't have a course to sell. This is all just full transparent information [music] for you guys. As always, I'm going to be breaking down our entire net profit. So, the revenue minus all of the expenses to give you guys full transparency. [music] And in part two of this video, I'm going to show you guys step-by-step how you can copy our exact back store and exact theme, how to find a high-quality supplier, and also how to create image ads that actually convert. [music] So, make sure to stick around for part two because that's going to be very, very helpful. All right, so let's get right into it. The first thing that we want to cover are the analytics for the month. So, you can see here that we got $125,463 in revenue collected over the month. We had a conversion rate of 1.9%, which is actually down 13% from the previous month, which I'll talk about some of these issues a little bit later on. And our average order value was $86.91, up 18%, which is [music] a nice to see. To be fair, for this month, one of the best things about owning your own business is that you are able to travel. That's exactly what I did during the month of September. So, I was gone from September 18th till October 2nd. So, I didn't get to really work on Haven too much during that time period. That's kind of a blessing and a curse. We had a great time, went to Switzerland, Italy, Greece, and the United Kingdom. But, I was kind of, you know, stepping away from work a little bit and enjoying the travel. So, time to lock back in. But, that's no excuse to what was actually happening during the month of September. And there were some good things that were taking place as well. Like around mid-September, we actually released four new products. So, the products that we released were the Flight Deck, the Drop Zone, the Warthog, Field Kit, and [music] Guardian. So, if you take a look at these products, we actually added them into our military collection. So, it's one of our best-selling collections on our website. So, we're kind of trying [music] to expand that and open it up to a wider military audience. This one's the Drop Zone. It's pretty self-explanatory, a pretty military-based pillow there. We've also got the Field Kit, which is kind of cool. There's some inside jokes within the community on this one, so people really like this field kit polo. We also dropped the warthog, so some of the better selling polos that we have in the military campaign are actually ones with aviation involved, so we added the warthog into the collection. That one's been doing really well as well. And then the other two are the flight deck, another aviation inspired one, followed by the guardian. This is actually a new addition to the military collection inspired [music] by the coast guard because we didn't have any of the polos for them yet. So, what's really interesting if we look on Facebook ads here during that month, so if I break it down to September 1st to the 30th, you can see that we're testing some new military polos here and we actually ran out of them pretty quickly, so we had to turn off this campaign and there were a lot of other issues with Facebook during this month, which I'll talk about in just a little bit. You can see the new campaign did really well. We had an average cost per purchase of $30.88. The lowest was the guardian, probably because like I was just saying that we added the coast guard inspired polos into the collection now, so it's it opens up that audience a bit more. This is really something to think about when you're building your brand. Try to identify what your customers actually want, who your customer base is, and build products around those customers. [music] It's going to make scaling and growing your brand so much easier. Since I was gone for most of the month, there was not too many changes that we made that we need to report on, but one of the biggest issues that we saw during the month of September, like we did also in August, is Facebook ads. If you're running any Facebook ads right now, you probably know exactly what I'm talking about. It's been a very, very interesting start to the Q4 season and also the end of Q2. This does tend to happen, especially around political or election cycles like the midterms. There's been a lot of Facebook outages, algorithm changes, it's [music] just been really difficult to actually get some campaigns back to where they were previously's updates. I'll talk a little bit about that, but we're testing them out right now in the month of October, so I'll be able to report back on those changes that we made and then also [music] basically show you guys if it worked or did not work. To back up this proof, I found it actually pretty interesting website. It's called Breezeway. It wins at breezeway.co and it tracks like 50 DTC brands that are running meta ads and you can scroll by the days. So, it's kind of crazy to look at because in September, if you scroll through all these days, very bad days, bad days, a couple normal days at the beginning of the month, and then things just started getting really bad over and over. And this is actually pretty accurate to the days that we were having during this time. What's also really interesting is that they track these, and usually there's only like two very bad days over like a 180-day or or month period or something like that. I can't remember where I found the exact statistic in this data set here. But what's crazy is you're seeing a lot more very bad days lately. So, there's been a huge spike in the last month or two, which sucks, but you know, that's just the way it is. Facebook sometimes, you know, has to update their algorithms and put new policies in place. It always bounces back. I've been doing this for I've been running Facebook ads specifically for like 9 years now, and I tend to see this cycle through every couple months. Uh the best times, it's like 6 months. So, we're just kind of used to it and just pushing through and trying to update our strategy to align with the new algorithm. So, that's really it for all the updates. Now, let's actually break down the profit that we had for the month, and might as well go over expenses to see what we actually took home. And make sure you stay around because the second half of this video, I'm going to show you guys exactly how to start your store step-by-step, how to find winning ad creatives, how to find a high-quality supplier, basically everything to get started today if you want to start up a brand. All right, so let's start with the revenue. So, $125,463.94 was the revenue that we accumulated over the month of September. Now, the biggest expense is always going to be advertising, especially in an e-com based business. So, our biggest expense was actually Facebook ads. In total for the month, we spent $68, $886.10. So, that's obviously a big chunk of the business. We ran about around a two ROAS, which is pretty low for us, honestly. But you know, with all these things that are happening on Facebook, it's whatever. Just that time of the year, and we'll make it all back during a Q4 or Black Friday/Cyber Monday. Now, the next biggest expense is going to be our cost of goods sold. So, this is the cost to get the polos and our other products like hats shipped from our manufacturer to our warehouse in North Carolina where we can ship it out to the final destination. So, that shipping doesn't count, but this is just the cost to get our goods [music] stored in our warehouse. So, if I go into the reports and type in finance summary, we can click into this and see September 1st to the 30th. And if you scroll down here to the cost of goods sold, the cost of the polos and all the materials was $28,868.40. [music] Now, I have to subtract our Shopify fees. So, there's you know, your Shopify plan and all the apps that come along on your store. That's like a flat fee or ish that we pay about $3,000 a month for. So, we'll subtract that. Then, the next biggest expense from Shopify is probably how they make most of their money, which is the fees for a payment processing. That came out to a total of $3,871.97 that we paid Shopify for processing these credit cards and orders. Next up, we have our shipping costs. So, it's the shipping that is from our warehouse to the customer in the United States. We get really fast shipping. It's about 2 to 3 days. So, it's worth paying a little bit more than you would traditionally drop shipping where they have to wait weeks for your product. I highly recommend getting a high-quality supplier or having a warehouse in the United States to be able to ship these fast times cuz everyone is so used to Amazon and, you know, Apple delivering iPhones the same day. So, fast shipping is pretty important if you want to build longevity in your brand and a good customer base that will come back and purchase from you again. Right now, we pay about $6.50 per order that is shipped out from our warehouse. So, if we multiply 1,382 orders for the month times 6.5, that is $8,983 in shipping costs. Now, those are all of our expenses, but we actually have to add some money back into our net profit because of returns. So, we don't get the cost of advertising back or the shipping costs or anything like that, but what we do get back is the cost of our goods sold because if they return the polo and it's unused, we put it back into inventory. So, therefore, we're kind of balancing it out. With the returns that we had for the month, it was $4,299 in returns. So, if we divide that number by the average order value and multiply it by our polo cost, we add back in $742 and 4 cents. That brings our total net profit for the month $12,596 and 51 cents or just over a little bit of a 10% net profit margin. Now, not the best month we've ever had if you've watched any of the other videos, it's actually quite low, but a lot of these issues are coming from a little bit of buyer fatigue during the time and then also Facebook ads, also running out of product stock. So, there's a big mix of a bunch of stuff going on right now, but hey, profit's profit. And regardless, we're just pumping it back into the business to help grow with marketing, new products, designs, scaling the whole thing. Anyway, now let's move on to the second part of this video where I'm going to show you guys step-by-step on exactly how you can copy a brand like Haven and how we did it from scratch. Make sure you got a notepad or your laptop up right now because you can follow along and have your store up and running literally today. The first thing that we're going to be doing is building out our Shopify store. And this website will actually do it for free using AI and it takes about 5 minutes. This is the exact same theme that we use on our current store as well as I another store that I scaled up to 100,000 orders on. So, it's a very premium theme. Again, it's completely free. Don't even think about buying a theme, this will do the trick. Make sure to follow along during this section. I'll actually drop this down below in the description, so the link for the store builder, that way you can follow along. All right, so we start by picking our niche. You can pick clothing, pets, tech, home, sports, or even need inspiration. [music] This doesn't really matter. You don't have to stick with this niche the whole time. This is just your store getting it set up and ready to roll. It is 100% yours, so you can make any changes that you want to it. You can change the theme, products, anything at all. So, for this example, I'm going to choose pets and then we just got to put in our first name and our email. Then we'll just click on claim my store. All right, so we're going to pick our niche again here. So, we're going to go with pet. We'll just hit next. Now we need to pick a color for our store and again, you can change anything that you want, so it doesn't really matter. I'm just going to click on green, hit next. Then we get to pick our banner, so this is going to be the homepage banner, the image. And so, we're going to go with this one right here, hit next. All right, so now our store is ready. We'll just click on claim my store now. It's going to load some of this product stuff and selections that you chose onto your store in the back end. Now, in the meantime, we need to link the theme, the products, the images, all of the copy, and everything that you need to get your store set up, and it's going to be on your Shopify account. So, you do have to create a new Shopify account. If you already have one, just create a new email. That's the only way the partnership with Shopify works that allows us to actually put the theme on your store as if it's a new Shopify account. Not really sure why, that's just the way it is. So, we'll click on create Shopify account, and the email that you put in should populate here. Hit next, then create your password for your Shopify account and starting your free trial. So, now you have to put in your credit card to sign up for Shopify. You can start it for free, then we have a special discount with them, so it's only a dollar per month for 3 months. So, to build your store for essentially 3 months and 3 days, it's only $3. It's a really, really great deal, especially if you're trying to start a Shopify brand. [music] And also to make any sales on your store, you do have to have your Shopify plan activated, so you got to do this now. All right, so I plugged in my information here. We're just going to hit subscribe for a dollar. Again, it's free for 3 days during the trial, and then you can decide whether or not you want to continue your store, cancel your trial, and then after that, it's only a dollar per month for 3 months. Now, you get to choose your Shopify plan. Don't even worry about grow or advance, all we want is the basic plan here. We don't need anything fancy [music] past that. We do not need to upgrade into in-person sales, so we'll hit no. And then at the top right, they're going to ask you like a bunch of questions, you can just hit skip up here. All right, so now we've got our store, our Shopify back-end set up. We've got our account created. This is where you're going to, you know, manage all of your Shopify stuff, which you saw earlier on in this video. Once we've created our account, we want to go back onto the store builder website and just hit next. Now, we need to link our Shopify store. So, we'll click on access Shopify URL. It's going to take you back into your admin. Then we're going to click at the top where the URL is, and we're just going to copy it. Go back onto the software, paste it in here, and then hit save. Now, hit next. So, this is linking the premium theme and the products and all that stuff that you chose uh back onto the software. Now, we need to add our winning products. So, we're adding ZenDrop to add our winning products. They do fulfillment. I'll talk about that later on in the video. When you click add the products, it's going to take you to the Shopify app store where now we're just going to install these ZenDrop app onto our new Shopify store. It'll take you back to your Shopify store and then you just hit install again. Now that we've installed the ZenDrop app, we have to finish it. There's starter and plus plans, so you want to use these as you scale and keep in mind the ZenDrop app for fulfillment is free from zero to 10 products. After you add more products and you start fulfilling your orders, then you get charged on ZenDrop for the fulfillment services. But again, zero to 10 products is free, so we'll hit flex. It's going to take us back to Shopify where we're going to approve it. And again, people ask me about this, maximum $79 for 30 days, that is if you're on the plus plan. If again, if it's zero to 10 products and 10 products are [music] in your store right now after adding our winning products onto it for you, it's completely free. Once you pass products and start scaling and start fulfilling your orders, that's when you get charged the the smaller plans [music] or if you go really scale your store up, that's the maximum that they'll charge. Now that we've completed that, we want to go back onto our software tab and finish the site build. So, we've added our winning products. Now we want [music] to click on receive store. We're on the final step here. We just want to click on go live and now AI the AI software is publishing all of your selections and getting your store completely ready and it's going to upload the theme, the products, all that stuff for you. [music] This takes about 30 seconds or so and then we'll all be set to go pretty much. Sweet, now we got the check mark, we are good to go. We're just going to click on next. Congrats, your store is ready. We now need to remove our password onto our store. So, this is removing the password for your store to be public so people can type in your URL and actually purchase from you. It's not the back end of your Shopify or anything like that, so we just click on remove password. It'll tell you that also what I'm saying right now right here. So, it's in private mode, so it requires a password to type in your store like I couldn't just type in our URL right there and show up if the blocked by like a password page. So, what we have [music] to do is remove that password. So, it's right here. To be able to do this, you have to add your store address and then remove the password. So, it's asking for your business address. You can use your personal address. I use a virtual mailing address, but it does not matter. This is not customer facing. They're not going to see your address, you're not going to be docked, stuff like that. Uh this is just so Shopify can validate that you're [music] a real person where your address where your address is. So, plug that all in. Just hit save your business address here. It's going to take you back to that page with the private mode. And then we just toggle that off, hit save, and we're good to go. Cool. So, now our store should have all of our products that we chose on it. So, here's all the pet products in the niche that we chose that you can remove, change them, all that stuff. And it also comes with images, all the description that you need, a recommended pricing. And then more importantly, if you go into our online store and check that [music] theme was uploaded properly. It's a really good theme. That's nice that it's free, but if you click on edit theme, you can see our selections. So, that was the banner that we chose, all of our products, catalog, the green coloring. And again, this is 100% yours, so you can change all of this. You just change everything like how you normally would on Shopify by updating all of your columns and where things are located, what it looks like. And I've got full guides on my channel on how I personally [music] set up my stores, but if you want, you can just go on Haven Golf Company and just copy the exact layout. It converts really, really well, so you can also just do that. Now that we got our store set up, I want to show you guys a way to find a high-quality supplier that makes it super easy, and you can look up any company that you [music] want to see where they're getting their products from. Finding a really good, high-quality supplier that provides products to massive businesses is surprisingly easy and also free. There's this website called importyeti.com. Looks like this. You can look up any company's suppliers. So, if I type in Recess Pickleball, if I want to start a pickleball company, where do they get their pickleball paddles from? You type it in here, you find their profile, they're from Austin, Texas. Then you can see where they're getting their shipments from. So, this company right here is providing Recess Pickleball with the paddle cores that have So, basically the pickleball paddles. Now, you can also see where they're getting like the rally backpack. That's actually one of their products on their website, I believe. Now, they're formerly Club Recess. I guess they changed their name. But if you look, I'll show you how crazy this is. If you go to accessories, bags, probably Yep the So, this backpack that they're selling for $98 [music] is actually coming from this company in Vietnam. What's really cool is that you can find the supplier usually on AliExpress or Alibaba. So, this is the company providing the pickleball paddles. If you click on Alibaba, they'll take us to their profile and there it is. These are the pickleball paddles that they're giving to Recess. Now we know we can trust this supplier because they are providing paddles to Recess, which is a multi multi million-dollar company, maybe even a billion. We know the quality is good and they use them for a reason. What we can do now is chat or contact them and say, "Hey, I see that you're providing pickleball paddles for Recess. Can I get the exact same quality with my own prints and designs?" [music] They'll usually give you like a vector file or some sort of PDF to put your designs on. They'll ask you a few questions like, you know, how big is the brand? Are you just starting? Blah blah blah. And they say, "Yeah, like I'm just starting off. We're expecting to do this much." And just, you know, give like an estimate number of what you want to scale it to. They'll get you some samples sent out and then they'll create custom AliExpress links for you where if you're wanting to drop ship directly from the manufacturer instead of sending it to a warehouse first and pay by paddle instead of in bulk. And then we can use Zen Drop, which I'll show you later on, on how to link those AliExpress or Alibaba links to the Zen Drop app where they're going to do all the fulfillment [music] for you. So, you can do it completely automated and hands-off. So, that's how you find your supplier. It's super easy. It's kind of like a cheat code, honestly, where you can just look up any company that you want and see where they're getting their products from. It makes the process of finding a product that's quality a lot easier and that's super important, especially for returning customers. [music] You don't want to give them a really bad or broken or shitty product. Now we have our store and our premium theme ready to roll. We've got our supplier locked down. Now let's talk about ad creatives. Ad creatives are arguably one of the most important things in running an e-comm brand. It's super important to have great ad creatives that are up to date and they're not ugly and they convert people when they click on your ad and go on to your store. This is where I do all of my ad and product research and spy on my competitors. It's called adlibrary.io. Again, everything I talk about in these videos, I'll just have down below in the description that you guys can click on. So, it's really cool. It basically pulls every single Facebook ad, past and present, that has been running on Facebook and Meta and Instagram. You can search by company, by keywords, whatever you want. You can also track all of the brands. So, since Haven's a golf company, these are the brands that I track to see what they're up to. Like if I go into my competitor spy, they'll tell me how many live ads are running for the business, how many they've launched in the last week, 30 days, the median run time, the winner percentages, which is super cool. So, you can also see some of our ads here, but you can filter by winner. These winning ads are ones that are deemed to be [music] actually successful and convert. It's based on how much they've spent, run time, conversion, all that stuff, which is really cool. So, you can see, wow, this one's doing really well. I want to create my own version. And if we go on the feed, we can just kind of look around and browse. So, if I type in Bad Birdie, I can see all of their ads that they're running, and then I can filter by winner if I want to, or testing, or new. I can click into the ad. It'll show me the ad. It'll show the ad copy, so what they said in the ad itself. It shows where they're running it, the destination. So, this one's going, looks like just to their Oh, no, it's going to their actual product page. And you can take some notes on this as well. It'll show you more ads running that are like this, similar ones from the company. What's really cool is you can save, add to boards, share with people or your marketing team if you're wanting to have someone help you out. What's also cool is you can download these ads directly. You can copy the brief. You can open it in Claude, ChatGPT. You can send it to AI assistants, which is another really cool feature when looking for these ad creatives. So, I'll show you this real quick. You can connect to the ad library MCP. So, if you don't know what that is, it's basically a connection link between whatever AI that you like to use, like chat or Claude. And when you ask it a question about library, say like I want to look up Bad Bunny's top five performing ads, instead of going on adlibrary.io, you can just do it from [music] whatever AI service you're using. And on top of that, it can be really powerful with AI agents, which I'm going to make a video on actually next. It's going to be super, super cool. So, you can automate all this and have these little AI agent workers doing all this research and actually creating ads for you. But super easy to connect like any other MCP, just copy the connection link, [music] go to your settings, go to connectors, paste the link. Now, you can do so many cool things with it. Like, you could say, you know, "What are the Bad Birdies' top five winners?" It'll link to Ad Library and pull that data and then give you the cloud version of it and what it looks like. You can schedule this to run once a week, pull my five competitors that I'm tracking and show me which new ads they've posted this week and download all of them, put them in a Google Drive, and then use that drive to create image ads of your own. This is a little bit of a cheat code if you want to continuously be testing creatives and generating new ones. If you schedule it to run and pull those and download them from Ad Library for you every week on a Monday, let's say, you can look at those ads, copy those ads, paste them into your image generation software or Pixfield or something like that, give the reference ad, and then say, "Hey, replace this style of ad, you know, change a couple different things here and there, but replace it with my product." So, that's actually how you get a lot of art image ads that convert well. So, if you look here at some of these campaigns, a lot of them are AI-generated. So, this is the FieldKit Polo that I was talking about earlier, a new release. This is completely generated by AI. It looks fantastic. So, this process makes it super, super easy to generate ads and be testing constantly week over week until you find the winners that are good for you. Ad Library is a super cool software. I love using it now, just trying to automate all these processes to make our lives easier while testing ad creatives. Again, I'm going to make a follow-up video on this and show you guys how you can have AI agents running all this for you in the background while you're sleeping. But, for now, that's the easy way to do it to get started today. And then you're going to want to post these ads on Meta. So, Meta is like a massive advertising platform. I know I talked about how bad it's been the last month earlier in this video, but it's still the king and it's already starting to come back in October, a little spoiler. It's starting to kick back into shape, essentially. So, you want to be testing these ads and I'm not going to cover the Meta ad strategy right now. I've got a dedicated video for that. I'll pop it up either here or drop it down below in the description or you can find it on my channel if you want to, you know, walk through step-by-step on how to set up Meta ads. Now, the last thing I want to talk about is fulfillment. So, once we get all this stuff set up and it looks great, we start running ads, if someone comes onto your store and purchases, do you need to ship that product directly to your customer? So, that's where Zendrop comes into play. It's already going to be on your store if you got that free store built. You'll see your orders and your products and everything that's linked onto your store here and you can manage everything from your Zendrop account or, you know, you can actually connect this to Claw as well, so you can have little agents do everything for you. But, I just want to show you how this works a little bit when you start getting some orders coming in. You'll just open up your Zendrop app through your Shopify store. You click on orders and you see the ones that are coming in and then you [music] fulfill all of them, but you can also do auto fulfillment. So, every time an order comes through, Zendrop will automatically fulfill it instantly. That way it takes that task off your hands and you can focus more on marketing and product development. They've also got some cool things and options for branding, private agents, print on demand, stuff like that that you might need as you expand your brand. And they also have a lot of products that they warehouse in the US of their own if you can't find a high-quality supplier that you want to link [music] onto your Zendrop fulfillment. They've got all the sections to look through thousands, hundreds of thousands of products for you. And what's really cool about Zendrop versus competitors, in my opinion, is that they actually own their own warehouses. There's one in Miami, so if you want really fast shipping times, they'll be shipped out of Miami. And again, they also have an MCP connection, so you can have Claw or chat just do all this for you and access your Zendrop account, your Shopify account, your ad library account and have this all running autonomously, essentially. That's the last step. We've got our fulfillment ready to roll, so you can get started today, start making your ads, start testing them out, find that high-quality supplier and then really start building your brand. All right, guys, that's it for this video. I hope it was helpful for you guys. I hope you guys enjoyed it and stay tuned for the next video because it's going to be a really, really cool one to be able to automate all of these processes using AI. Let me know if you guys have any questions. You can leave them down below. Remember to like, subscribe if you like these tutorials and full transparency. All right, again, thank you guys so much for watching. I'll see you guys in the next

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