Are Shopify Stores Still Profitable This Year?

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In short, YES. The pandemic has helped accelerate the transition to ecommerce and opened up many opportunities for online merchants to make money online, no matter how big or small.

Statista reports that worldwide retail ecommerce sales reached 4.28 trillion US Dollars in 2020. E-retail revenues are expected to rise to 5.4 trillion US$ by 2022, according to Statista. Shopify dropshipping can help you make as much as $10k even if your market is small.

Shopify offers all the tools that you need to manage your online store. This means that you can save time and not spend hours searching for additional tools for email automation or ad automation.

Are you thinking of selling on Shopify It’s the perfect time! The timing is perfect!

Shopify is known for its simplicity and outstanding customer service. Shopify can help you set up your website, attract customers using marketing tools, and automate your shipping.

Are you excited to open your own store? This guide is for beginners and will teach you everything you need to sell online with Shopify.

Shopify software allows anyone to create an online store and then sell their products globally. It is subscription-based and the most widely used e-commerce platform. We mean that we are trusted by more than 1,700,000.

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Shopify allows you to create and manage your website. It also helps you monitor your sales and other operations that are related to your e-commerce business. There are several monthly plans to choose from (free trial included).

Shopify merchants can also sell in person. Shopify’s point of sale app (POS), and the hardware that it comes with, allows businesses to unify their online sales and in-store sales.

Shopify is much more than a tool for building your store. Shopify is a vast ecosystem of services and apps that will help you manage your online store from A to Z. Shopify App Store allows you to search for apps that can take care of your Facebook, Instagram and Google ads, as well as manage your reviews and SEO.

What are the benefits of Shopify?

Shopify allows you to create an online store and manage your shipping, payments, marketing, and other resources. It’s the last platform that you will need to run your business.

Shopify plans come with the following:

  • Online store. Instantly sell your products and upload content, such as blog posts or landing pages that are relevant to your promotions. Web hosting is completely free, regardless of which plan you choose. Shopify will take care of your website’s security and software updates.
  • Many templates. Shopify Theme Store allows you to choose the best theme for your store.
  • Get access to the Shopify APIs. If you need to further fine-tune your online shop, Shopify APIs can be used and development tools can also be used.
  • POS Lite. You want to sell your products in person Shopify POSLite is a point of sale app that allows you to sell your products in person. Register a store in your admin to order Shopify Hardware.
  • Shopify Shipping. You can arrange shipping in the most convenient way for you, whether you need to fulfil orders in bulk or arrange pick-ups with DHL or UPS.
  • Integrated Payment Processing. You don’t need to set up third-party payment processing providers. You can either use Shopify payments, or select from more 100 payment gateways.
  • Shoppay, the well-known Shopify Checkout. Shopify claims to have the best checkout system. Shopify has 2.5 Billion orders and is continually optimizing its checkout to increase conversion, speed, customer experience, and ensure every sale.
  • Marketing tools and SEO. Are you unsure how to promote your shop? Shopify offers a marketing platform that will help you reach your customers.
  • Email marketing. With Shopify you don’t have to worry about using a third-party platform for your email campaigns. Shopify offers a built-in marketing tool to help you track and create your email campaigns.
  • Marketplace and social media for. To sell your products on social media, you can link your Shopify store with your Facebook, Instagram Messenger, Messenger, TikTok, and Twitter. You can also connect your online shop to Amazon, Walmart and Etsy!
  • 24/7 Customer Service. Shopify provides 24/7 customer support to assist you with any problem you might be facing.
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All this awesomeness is yours for only $29 per month! Are you excited to use Shopify? Continue reading to learn more.

Are Shopify Stores Profitable?

Shopify is a profitable platform that can help you make money online. Shopify’s profitability is affected by many factors, including your product, marketing, returns and refunds.

You might be a freelancer, blogger, or someone who is just starting out in the online money-making world. No matter what your background, I can help you decide if you should open a Shopify store.

Shopify Stores are available in two ways

Before I go on, let me list the factors that impact the profitability of Shopify shops. Shopify owners can make money in two ways. These are:

Sell Your Products

They sell products they have made or designed. If you have an offline business that sells different types of stuff, this is a great way for you to make money.

You can choose from T-shirts or Greeting cards.

This is where you can literally create your brand from scratch. You can create truly unique products that aren’t available on the market.

You could also build a brand if you’re a well-known person.

You can follow MKBHD (a Tech Youtuber) to see his store with his own T-shirts.

Or, you’d have heard about the Egg that broke Instagram’s record for most likes. The person behind the page created Shopify after they were famous!

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However, this means that you will need to store the products and then ship them to your customers.

Dropshipping

Shopify’s dropshipping service is the most popular way to make money. Dropshipping has helped many online businesses to achieve millions in sales.

You don’t need to worry about shipping or other issues because you don’t own any of the items you are selling.

Which one should you choose?

Dropshipping is a better option if you don’t own a product.

Dropshipping can easily replace your 9-5 job if done correctly. Dropshipping has allowed thousands to make a full-time living and earn a steady income.

Factors that affect the profitability of Shopify Stores

A store’s profitability can be affected by many factors. These are:

How to Choose the Right Product

Profitable Shopify stores are dependent on the product they sell. Your product will not be purchased if it isn’t of high quality.

Take for example: A T-shirt that is easily available all over the place won’t sell.

A product that solves a problem in a unique way will have a greater chance of success.

When selecting a product, I usually consider the following:

  • Solves an existing problem
  • It is unique and can’t be found at Target or Amazon.
  • These eye-catching products will make you “WOW!”

Promotion to the Right Audience

Most people use Facebook Ads for traffic to their Shopify store. Facebook Ads are highly targeted and allow store owners to reach the right customers with the products they offer.

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However, if you don’t target the right audience, your chances of reaching anyone are slim. Facebook ads don’t have to be used for targeting. Other free options include Instagram and other Social Media.

Facebook Ads is saturated with dropshipping products right now, so I prefer to look for other ad networks. Snapchat and Google are two examples.

The Perfect Price

Your Shopify Store’s profitability is directly affected by the price of products. After you’ve found the right product, price it accordingly so it’s not too expensive or too low.

A low-ticket product should make you around $20 per product (Average without marketing expenses). But, this may not always be true.

However, high-ticket products can make you a lot more.

The Shipping Time

Shopify customers are often frustrated by the shipping time. Customers appreciate faster delivery.

You should ensure that you have a reliable delivery partner.

If you are dropshipping, use a good supplier. Aliexpress is the most popular wholesaler.

Dropshipping is a great place to begin your career. It is difficult to scale up once your product is successful. Some of their products arrive in a few months.

Customer Service

eCommerce stores must provide excellent customer service. Before placing an order in your store, customers look for after-sales support, refunds, and replacement guarantees.

Also, be sure to include all services you are allowed to perform and any that you cannot in your legal pages.

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Customers will continue to buy from you because of your customer service. It will be very difficult to sell if this part of your business is not working.

You can outsource customer service to freelancers, but make sure you trust them before you do. This is because bad customer service has led to some business failures.

Trustworthy

What are the top reasons people shop on Amazon, eBay, and other sites?

They are trusted by customers. They not only provide high-quality products but also take care of after-sales services.

This is exactly what you should do. Your customers must trust you so they return to Shopify to purchase more.

There are several ways to build trust:

  • All legal pages, such as Shipping policy, terms and condition, Return policy, etc., should be included.
  • Include an About Me/us page. This page should include all details (Address, number, etc. Make sure they know you are not an internet fraudster.
  • Provide good product descriptions
  • Add an FAQ page.
  • Your Shopify store should be different from all other Shopify stores. Dropshipping and Shopify are well-known terms. However, some people don’t like the idea of placing orders from these sites. If your store looks similar to other online shops, they might not trust you. You might consider using a different theme, or asking a freelancer for help designing a store.
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Conclusion – Are Shopify Stores Profitable?

It takes time to build a profitable online business. It doesn’t matter if you want to start a blog or an affiliate website. You can also open an online store.

This blog is not without its challenges. I had failed many times before I started this blog. This blog is actually my fourth. Every time I fail, it is a reminder to look back at my mistakes and learn from them. Then, I’d do it again.

Literally, it took me two years to understand all the concepts and techniques. That’s how you build your business.