Selling high-ticket e-commerce items online is a smart idea. Not only will you turn a higher profit per sale, but you’ll have more time to provide high-quality customer service and find new ways to grow your business. In 2020, dropshipping accounted for a market value of around 116 billion EUR. If you’ve already tried your hand at low ticket dropshipping and feel ready to up your game, these high-ticket e-commerce items are a great place to start.
What Is a High-Ticket Dropshipping Business Model?
A high-ticket dropshipping business model is a fulfilment method in which you sell high-ticket products online—typically in the price range of €200 – €1,500 or more—and the goods are shipped directly from the supplier to the customer. Let’s say you sell a luxury watch for €2,500 and the wholesale price is €2,000. Once you receive the funds from the customer, you purchase the watch from the supplier for €2,000 and they ship the watch directly to the customer.
In its essence, high-ticket drop shipping works exactly the same way as low-ticket dropshipping except that your marketing strategy will be different. Instead of relying on impulse buys and social media ads, you will work on building a loyal customer base through a high-quality content marketing strategy, professional photography, a premium website and top-notch customer service. While it does cost more to set up a high-ticket dropshipping store, you will typically enjoy fewer returned products and larger profits per customer.
Benefits and Risks
The benefits of selling high-ticket e-commerce items are clear. The advantages include:
- Higher profit margins
- Less competition
- More serious buyers with less likelihood of returns
- Less money spent on marketing efforts (per dollar earned)
- More time to invest in customer service and brand growth
There are also risks to selling high-ticket items online:
- You will need a larger amount of capital to begin, typically €5000 or more.
- If a supplier scams or fails you, there is more money at stake.
High-Ticket Dropshipping Niches
Finding high-ticket dropshipping products isn’t as difficult as it sounds. Many customers in the new global market are happy to buy products worth €150 or more online as long as they trust the product and the brand. As a starting point, consider the following e-commerce business niches:
- Bed linen
- Wall canvas prints
- Air fryers
- Coffee makers
- Induction cooktops
- Indoor grills
- Solar LED garden lights
- Tree chippers
- Garden sheds
- Robotic pool cleaners
- Koi ponds
- Car roof racks
- Customised car seats
- Mini portable projectors
- Home cinema kits
- Photography equipment
- Motorcycle gear and accessories
Sports and Outdoor Living
- Camping tents
- Stand-up paddleboards
- Golf clubs and accessories
- Industrial ovens
- Industrial stovetops
- Industrial coffee machines
- Luxury watches
- Luxury pens
- Jewellery items
Health and Beauty
- Hair-removal appliances
- Hair extensions and wigs
- Protein powder
- Health supplements
- Massage chairs
- Massage pillows
- Foot massagers
- Hand-held massage devices
- 3D printers
As you search for a niche, remember that there are plenty of retailers who would be happy to have someone else import goods for them. Selling high-ticket items to businesses is much easier than selling them to individual consumers.
How to Find the Right High-Ticket E-Commerce Items to Sell
Once you’ve found a niche that interests you, you’ll need to create a list of ideas for when you start selling high-ticket products.
- Search popular online stores and dropshipping companies for products within your niche, including Amazon, AliExpress, Spocket and CJDropshipping.
- Filter the results by “bestsellers,” “€100+,” and “4 stars and above” to produce a list of high-quality, high-ticket items.
- Check the products on Google Trends to see whether interest in the product is stable or rising.
- Find the products wholesale on the sites mentioned above or perform a search for “wholesale [product]”.
- Read reviews for the brands that sell wholesale to make sure the brand is trustworthy.
- Seek permission from the wholesaler for dropshipping their products if they aren’t already featured on a dropshipping business website.
- Order the products yourself to test the customer service, fulfilment and product quality.
- Have professional photographs taken of your high-ticket items for publication on your e-commerce or Shopify store.
- Set prices for your products with decent profit margins that will cover the costs of marketing.
- Create policies for shipping, refunds and returns.
- Promote your store through content marketing, PPC ads and well-thought-out ads on social media.
- Provide top-notch customer service, fast shipping and easy returns so your customers always come back with a smile!
Increase your Profits with Cross-Sells
It might take a while to make your first high-ticket sale. But once you do, you should see your dropshipping business start to build. Once you’re regularly selling high-ticket items, consider offering your customers post-purchase add-ons to increase your per-customer profit.
This is how it works: After a customer makes a purchase, offer them an accessory, warranty or subscription to go with the product they just bought. For example:
- A customer bought an electric bike. Offer them a helmet, reflectors, safety vest, and extended warranty.
- A customer bought a coffee machine. Offer them a gourmet coffee starter kit and an extended warranty.
- A customer bought a professional camera. Offer them professional photo paper, a photo printer, an extended warranty and a photography course.
See how it works? Many customers will pay a little extra for added peace of mind and convenience. With extended warranties and cross-sells, you’re putting those things right at their fingertips. Furthermore, because you’re offering up-sells and cross-sells after they’ve passed through the checkout, you’re not interrupting the conversion funnel and risking the loss of the sale.
Value Your Products and Offer a Free Gift
A final word of advice is to value the quality of the products you sell. Once you have found a reliable supplier and high-ticket dropshipping products, set prices that communicate that your products are worthwhile. When you see your competitors offering the same high-ticket items, it can be tempting to undercut their prices just to make a sale. But the psychology of luxury goods is actually the reverse. The more you charge, the more the customer will value the product and believe you when you say it’s high-end.
Instead of undercutting and offering endless sales, offer your customers a free gift to reward them and express your thanks. It could be a related accessory, an elegant tote bag, a nice bracelet or something similar. With quality, high-end service, a free gift, express shipping and fast complaint resolution, you should be well on the way to selling high-ticket e-commerce items with success.