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Why I No Longer Promote Drop Ship Lifestyle

Hello everyone. As per recent events going on in both Chiang Mai and my life, I have decided to end my affiliation with Drop Ship Lifestyle. I’ve seen so much sketchy business tactics as of late, that

Hello everyone. As per recent events going on in both Chiang Mai and my life, I have decided to end my affiliation with Drop Ship Lifestyle.

I’ve seen so much sketchy business tactics as of late, that I’ve really been thinking about what kind of person I want to be.

And after some heavy reflection, I’ve realized that I don’t 100% believe in Drop Ship Lifestyle anymore. Therefore, I no longer feel comfortable in promoting the course.

In no way do I have any ill will towards Anton and crew, I just feel that the course is no longer worth the money compared to other free ways of learning.

I should also note that this post is entirely my opinion, and should be taken as such.

Let me first go over with my history with Drop Ship Lifestyle, and then further explain my thoughts and concerns.

My History With Drop Ship Lifestyle

To start, I joined Drop Ship Lifestyle in November 2015, for $500.

I was in college in Florida at the time, and I was just coming to the realization that everything is bullshit. I knew that I could never work a traditional job ever again.

I had also learned the basics about drop shipping a few years prior, that when I found out about Drop Ship Lifestyle, I was immediately ready to get to work.

I then spent 2 months building my store, and officially launched at the end of December. If you’ve been around L2W for awhile, you know that I ended up selling the store a month later for $2,250. 

It obviously wasn’t an ideal scenario, but the niche I picked did not have a high enough average order value to be profitable. Therefore, I had to get out while I still had the chance.

After that, I spent some time helping my friend build a store, while I thought of my next idea. I now knew how important niche selection was in determining the success of the store.

Eventually in June 2016, Dean a fellow L2W reader came to me with a great niche idea. He wanted my opinion on if he should pursue it, but I liked it so much, that I told him we should partner up.

So we started the store at the end of June, and it’s been slowly growing for about 6 months now. The store does alright, but the products we sell don’t have a high enough conversion rate compared to the purchase price they sell at.

While we sell a good amount of product, our net profit margin is very low. It simply isn’t worth my time to pursue when I have so many other new projects that I want to work on.

UPDATE: I sold the store on Flippa for $8,150.

Problems with Drop Ship Lifestyle

Now with my Drop Ship Lifestyle history out of the way, let me explain the big problems with the method.

The biggest problem, is that almost every niche in existence has been taken.

Drop Ship Lifestyle has gotten so popular, that you seriously have to get lucky to stumble upon a niche worth pursuing. There is simply a much bigger supply of stores compared to the demand of buyers.

The second biggest problem, is that drop shipping margins are very low. Even if you are doing a high amount of sales, your NET profit is likely only going to be between 5-15%. That’s not exciting.

Which brings me to the biggest problem which encompasses both of the previous 2, is that your chance of success for even creating a store worth keeping is extremely low.

For example, here’s a screenshot of sales from the store I just sold:

 

You might think that looks impressive, but it’s really not. With 10% net profit margins I’m only making $1,000 a month from the store.

And with the amount of work I put in to get it up and running properly, it’s not even close to worth it.

Even with the sale payout, I still don’t find it worth it, especially considering the new alternative way of drop shipping which I’ll be mentioning soon.

To sum things up, revenue means jack shit, and if you see someone bragging about their Shopify screenshots, they’re probably trying to sell you something.

Additionally, I should also note that I’m probably in the top 1% of people who have had this type of success with Drop Ship Lifestyle. This is not be boasting, this is me telling you how hard it is.

To be fair, a lot of people who buy the course don’t even finish it or take it seriously, but still; there’s a lot to be said about the low success rate.

 

Affiliate Marketing Ethics

Like I mentioned at the beginning of the post, the recent Chiang Mai events inspired me to do some self-reflection.

I realized that I don’t 100% believe in Drop Ship Lifestyle anymore, so there is no way I can continue promoting it.

Yeah I could make more affiliate income by keeping the link active, but I don’t give a damn about money if I’m not helping you guys.

I created Loser 2 Winner to share my journey and to help others who are in the same boat that I used to be in, not to make money.

Unlike 99% of people in the online-sphere, I actually care about you guys, and I hope you can see that.

Add in the fact that I’ve seen how slimy affiliate marketers are in real life, I want absolutely nothing to do with products I wouldn’t recommend to my entire audience.

Final Thoughts

Well guys, that is current my opinion on Drop Ship Lifestyle.

The only scenario where I think Drop Ship Lifestyle still makes sense, is if you already have e-commerce experience, and you find a high purchase price niche that is in a brand new industry.

That way the low margins don’t matter because you’re doing so much revenue from such a small amount of orders, and you’ll be first to market which is absolutely crucial.

And like I said in the beginning of the article, I have nothing bad to say about Anton or Drop Ship Lifestyle as a company, this is just my personal opinion on the future of their business model.

However, I have recently come across a new, much more profitable way of drop shipping, that I’m currently undergoing as we speak.

Let me know if you have any experience with Drop Ship Lifestyle and what your opinion is in the comments section below. Respectful comments only please.

My best to all of you – Brian

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