I Tried Dropshipping on TikTok Shop

I've been dropshipping on Shopify for the past 7 years and although I've made millions of dollars, I realized the market has become oversaturated. So, I was curious about the hype around TikTok Shop and decided to give it a shot. My entry into TikTok Shop started from a casual chat my mom and sister were having about buying something from TikTok Shop. This grabbed my attention because my mom rarely buys anything online, let alone from TikTok. I wondered if starting a TikTok Shop could yield tangible results and how fast I could scale it to $ 11,000 per day, my initial goal.

Finding the Winning Product

To find my winning product, I relied on my secret weapon - an app called My Neo. Surprisingly, not many people use this app, and it provides incredible stats for finding unsaturated products. I’ll leave a link in the description with a discount in case you want to check it out.

I found multiple products with great potential, ranging from portable microphones to USB car chargers and beauty products. Through my research on TikTok itself, I discovered that beauty products were quite popular.

Setting Up and Selling

Setting up on TikTok Shop is very simple and free. You don't need a website, Shopify subscription, or additional apps. I registered on TikTok Seller Central, which was straightforward. I added products like perfumes, beauty items, and even a hair dye shampoo.

The main strategies to get sales on TikTok Shop are:

Organic TikTok Posts: Posting videos hoping they go viral.
Influencer Marketing: Using influencers to promote products.
Organic Promotions: Creating discounts and promotions using TikTok’s promotion features.

I used the latter, as I found it challenging to get influencers without prior sales or reviews. Using TikTok Shop’s promotion features helped boost my posts organically.

The Analytics and Profits

In the past 7 days, I sold 14 items, generating $ 377 in revenue. Keep in mind this was with no ad spend. The conversion rates on TikTok Shop are exceptionally high, around 4.9% to 5%. This is because buyers don’t have to leave the TikTok app, which they trust.

Here’s a deeper look at my profit margins: I managed an average profit margin of around 21%. My strategy was to sacrifice profit margins initially, then later increase prices once I had accumulated reviews. This way, I could justify a higher price.

Managing the Store

Maintaining a good reputation is crucial. TikTok will penalize you for issues like selling copyrighted products. Keep a high shipping rate and a good response rate. Get a Virtual Assistant (VA) to manage and fulfill orders, which I did using Amazon.

TikTok Shop has been a game-changer for me. I'll be giving weekly updates and offer a free mentorship giveaway. Comment below the video to participate.

Keywords

Dropshipping
TikTok Shop
Organic Sales
My Neo App
Beauty Products
TikTok Seller Central
Influencer Marketing
Promotions
Conversion Rates
Profit Margins

FAQ

Q: How did you find winning products for TikTok Shop?

A: I used an app called My Neo, which offers detailed stats for unsaturated products.

Q: What are the main strategies for generating sales on TikTok Shop?

A: The main strategies include organic TikTok posts, influencer marketing, and using TikTok Shop’s promotion features.

Q: Do you need a website to sell on TikTok Shop?

A: No, you don’t need a website, Shopify subscription, or additional apps. TikTok Shop is free and easy to set up.

Q: What is the average conversion rate on TikTok Shop?

A: The average conversion rate is about 4.9% to 5%, mainly because buyers don’t have to leave the TikTok app.

Q: How did you manage order fulfillment?

A: I used Amazon to fulfill orders. This keeps the shipping quick and the customers happy.

Q: Can you increase prices on TikTok Shop once sales are consistent?

A: Yes, my strategy was to offer lower prices initially to gather reviews and increase them later for higher profit margins.

Q: How important is maintaining a good reputation on TikTok Shop?

A: It's very important. Ensure a high shipping rate and quick customer response to avoid penalties and to boost store ratings.

Feel free to participate in the mentorship giveaway by commenting below the original video. Stay tuned for more updates! Peace.

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