What's up everybody? Anton Kraly here from dropshiplifestyle.com and welcome to the first episode of a brand new series I'm creating that is designed to teach you how to lose money, drop shipping on Shopify. And don't worry, I'm not holding anything back in this series. I'm going to teach you everything you need to know if you really want to lose money as fast as possible. So let me just get started by saying you're welcome.
In this first episode, I'm going to share how to lose money by selling for bronze suppliers. So whenever I am doing my supplier research and I'm finding my potential suppliers in a new niche, I put them into one of three tiers. We have gold, we have silver and we have bronze. Now, silver and gold are great, but if you're looking to lose money, you definitely want to work with bronze.
Some characteristics of bronze suppliers. First is that they accept everybody who applies. If you just contact them, say, hey, I want to sell your stuff. They're not even going to ask you a question. They're just going to say, let's do it. Also, these suppliers do not enforce map policies. That stands for minimum advertised price, which means there are no pricing controls whatsoever.
Also, bronze suppliers, they offer really bad customer service. They're typically very late in responding to emails or phone calls. Often they ship products out way after you submit orders to them.
Also, this is an important one, they charge for access to products. So, you know you have a bronze supplier on your hands if they ask you for money, once you say, can I sell your stuff? They will say, absolutely. Just give us some money. That is a telltale sign of a bronze supplier.
So the next tier. Silver, again these are ones you can make money with. So you don't want to do this, but just keep it in mind. Now, silver suppliers will review all potential retailers. So if you reach out to them and say you want to sell you their stuff, they're going to want to take a look at your store. They're going to have a conversation with you. You're going to have to fill out an application to actually do business with them.
Also, these silver suppliers enforce those minimum advertised price policies. So if I'm selling this standup desk and the minimum advertised price is $1,000, that means I can sell it for $1,000, and so can you. That's a minimum advertised price.
Also, they offer good to great customer service. So they're going to answer your phone calls. They're going to ship products on time. Customers are going to be happy with the product quality. That is a silver supplier.
So now we'll move on to gold suppliers, and these are the ones where it's easiest to make money with. So if you're doing your research and you find a gold supplier, be sure to turn the other way, run, don't even contact them. Because remember we are looking to lose as much money as possible, and that will never happen if we work with a gold supplier.
Now you can know if you found one, because they only work with a small number of select retailers. You're not going to find their products on all the websites that sell products online. They really hand pick who they do business with.
Also, they enforce those minimum advertised price policies. They offer excellent customer service. You'll typically get a dedicated account rep that proactively works with you in increasing how much you sell for their brands.
And they also refer business to retailers. So if somebody wants to buy from them, they don't sell direct to the public. They'll actually give those orders to their retailers. They'll send you sales. So if for some reason you accidentally got approved to sell for a gold supplier, you definitely would end up making money, but that is not why we're here today.
So if you really want to put the odds in your corner and give yourself the best chance to succeed by losing money, drop shipping on Shopify with bronze suppliers, you need to be sure that you only sell their products. So here are some tips and why they're so important.
First, make sure every single supplier that you get approved to sell for always asks you for money upfront. They should always charge you for access, and it doesn't matter what they charge. It could be a one-time fee of $1,000. It could be $67 a year. If they're asking you for money to sell their products upfront, you can be almost positive that over time you will lose money selling their stuff.
Next step, make sure they do not enforce minimum advertised price policies. This way you can be 100% confident that even if you find a profitable product to sell, somebody out there can just undercut you and start selling that same product at a loss. And if you want to keep getting sales for some reason, then you too can lower your prices and you can sell at a loss as well. This is another great way to lose money by drop shipping for bronze suppliers.
And maybe the most important tip I can give you here is to be sure to search for the brand's names on Google before you get approved to sell their stuff, to make sure that they have terrible reviews. Ideally these reviews would be from actual customers of theirs saying things like shipping took forever. The items arrived damaged. They didn't look like the photos. The product quality was trash. The worst reviews, the better.
This way, once people start buying from you and receiving the products, you can also get a ton of refund requests and chargebacks, just another great way to lose money by drop shipping on Shopify when working with bronze suppliers.
So that's it for this episode, guys. Now you can seriously go out there and start losing money as soon as today. Of course, if you want to make money, you technically could just do the opposite of every single thing I shared in this episode, and also register for a free training I'm hosting over at dropshipwebinar.com. But that's totally up to you.
So if you got value from this episode, guys, be sure to give a like and let me know. And I will be back on Monday to share one simple trick that allows you to lose even more money, drop shipping on Shopify by picking the worst possible niche. I will see you then.