Dropshipping is an art, but not everyone knows how to make their canvases colorful. Fortunately, Jacky Chou knew the secret and made it big in his first attempt at running a dropshipping business. Jacky Chou is now the owner of four big companies: farandaway. co, towingless.com, laurelandwolf.com, and Indexsy.com. While one company deals with direct-to-consumer homeware, the others focus on angel funding and buying and selling digital assets. But Jacky's first dropshipping company offered home decor items.
Starting his first dropshipping business
According to Jacky, the exciting part about first-time experiences is making mistakes. These mistakes teach you what you need to do and what you don't in the future. For example, Jacky partnered with Albert Liu in his first venture in dropshipping. The duo started with a negative balance of $3,000, but it didn't take them long to turn things around.
Both Jacky and Albert learned from their mistakes and rectified them as soon as possible. By the end of their first eight months, they made approximately $250,000 with a 30 to 40% profit margin. Since both were working as digital marketing consultants, they took up dropshipping as a part of their case study. However, they didn't expect their business to grow to such magnanimous heights.
Lessons from his first business
Jacky believes that whether you succeed or fail in your business venture. Here are a few takeaways from Jacky's first business venture that he thinks may help other entrepreneurs:
- Dropshipping has become highly saturated, but it has enough opportunities for new entrepreneurs to use digital marketing strategically. For example, paid ads may provide more traffic quickly than going through the organic digital marketing process.
- Creating an attractive website that keeps your audience hooked to search for more products is essential. Jacky feels that you may not compete with the top-notch web designs from the big names in the industry, but your website should be attractive enough to make the visitors feel enthusiastic about your brand. His first dropshipping website created a buzz among his customers as he kept it simple, thus allowing everyone to navigate the site easily.
- Jacky's first dropshipping business involved selling home decor items. What made his store stand out was the availability of multiple products under the same niche. For example, if you wanted to look for wall hangings, his store would provide many different designs. He believes that multiple products increase the average order value of each customer.
- Customer satisfaction was on Jacky's priority list because he felt that his customers helped his business grow. From responding to messages on social media profiles to answering calls, he did everything possible to keep his customers happy.
- Finally, the packaging of his products also made a difference to his business. His customers loved how his store packed every item carefully before shipping them.
Every business owner goes through a learning curve during the first few years, and Jacky wasn't an exception. However, he can adapt to situations quickly made him a successful entrepreneur at a young age.