Making $100,000/Year Online In PROFIT Selling Mugs (Case Study) w/ Print On Demand!

hey everyone so if you've been a longtime subscriber on here you'll know that my favorite product to sell to make money online right now is t-shirts however because of this favoritism it means that i have been seriously neglecting another awesome item that you can sell to make money online the classic mug yes as i've discussed before on this channel mugs are a great i miss our make money online because of the fact that they are super popular with customers so i thought why not shake things up a little bit around here and do a case study of a print print-on-demand store that is making over a hundred thousand dollars a year selling just two mugs but you know what that's not all because do you know what i love more than earning a hundred thousand dollars what i love more than earning a hundred thousand dollars is any time that someone takes a moment out their very busy day to give this video a like to subscribe because seriously every time you hit that like button it genuinely helps my video with the youtube algorithm so thank you so much to everybody that takes a moment to do so but yes something else that i love more than earning a hundred thousand dollars is earning a hundred thousand dollars in profit so yes do not worry these mugs i'm going to show you they are not just earning a hundred thousand dollars a year in revenue nope they are earning a hundred thousand dollars a year in profit and to show you how they are doing that something else i'm going to do in this video is i am going to reverse engineer this store yes the reverse engineering i'm going to show you how if it was you that had come up with these two mugs to sell that you could have been making over a hundred thousand dollars in profit even if you don't have an expensive heat pressing machine to print mugs to resell them and even if you aren't a graphic designer nope no design skills necessary or heat mug pressing machine required my hope is that by reverse engineering the store i give you some inspiration for ideas on mugs that you could start selling online right now so let's begin so this is a mug one of two that is earning over a hundred thousand dollars a year in profit online and as you can see it's pretty cute isn't it it's a custom dog mug and yes as i'll show you even if you don't have a heat pressing machine or even if you aren't a graphic artist if you'd been the one to come up with this mug idea you could have listed it for sale and made big profits too so the price starts at 23 for an 11 ounce mug but you can pay more to get a bigger mug you can pay up to 35 dollars to get multiple pictures of dogs on the mug so for example if you had two dogs you could pay extra to get a photo of one dog on the front and you know one dog on the back and as you can see this mug has been listed for sale on etsy and opening up your own store in etsy like tightly priested here it's free and as you can see they've listed several items for sale on here now etsy is pretty popular in the usa and so a lot of americans will already know about it but it is not as popular elsewhere in the world so if you're watching this and you've never heard of etsy and you don't know what it is it's an online marketplace similar to ebay you just register and start listing products for sale on here no website required so it's a beginner friendly way to get started and it's an extremely popular place to sell mugs most mugs on here they are not made by the sellers themselves they use low-cost print-on-demand services to sell their mugs on here and the cool thing about etsy is because they've spent millions of dollars on tv ads in the usa every month 300 million people come here looking for products to buy so as you'll see you don't need to advertise the products that you list on here for sale most people who bought this mug they did not buy this because they saw an advertisement for it on facebook instead most people bought it because they came to etsy on their own since they'd heard about it through word of mouth or etsy's tv ads and then they came to etsy search bar and typed in something like dog mugs or dog gifts and they found this mug so most of the time etsy sellers don't have advertising costs for the items they sell because they make their sales through free search engine traffic it makes it a budget-friendly beginner-friendly way to start selling items online which is why i've had several subscribers successfully start their first stores on etsy after watching my videos congratulations everybody so while i myself don't sell on etsy i do use etsy for product research when designing my t-shirts that i sell well we can apply my research techniques to mugs as well the first thing i do when researching a product on etsy as i estimate how much money i think it's made and i have a five step formula that i use to do this step one i figure out how many reviews has been left for an item now here is a pro tip for you if you are doing product research on etsy if you come to a product listing like this and let's say it's got 200 views that is not accurate etsy will only show the latest 200 product reviews for an item on the product listing so to figure out how many reviews this item actually has you need to click on their storefront and then scroll down to the store's total reviews and then go through all of the reviews left for an item now it was a little boring but i went through all 247 pages of reviews for the store and i discovered two things firstly i discovered 75 or more of the store's reviews were left in the past 12 months meaning the sales for the store were mostly made in the past year and secondly i counted 589 reviews for this custom dog mug and then it's on to step two where we need to figure out how many reviews that the store has had in total which is admittedly very easy to find this information is available literally on the product page so this store has had 2 463 reviews well step 3 is calculating what percentage of those reviews were for the product that i am researching so if i take the total number of reviews for this mug which is 589 and then divide that by the total number of reviews that the store has had which is 2 463 we discover that reviews for this month make up roughly 24 of the total store reviews which means it's probably also making up around 24 of the total sales for the store as well so then we move on to step four which is when you now take the store's total sales number which as of now is twenty thousand one hundred and seventy nine and work out what twenty four percent of that is and as you can see it is four thousand eight hundred and forty three sales so then step five you now take your sales number and times it by the average product price and we're going to go with a 25 price point for this mug since it comes in a variety of different price points and the reviews show but a lot of people do upgrade their mug and as you can see we can estimate that this one mug has made over 120 000 most of that within the past year so now that we've estimated how much money this mug has made it's time to figure out how much of that money is profit now while it is admittedly impossible for me to figure out the exact profit margins unless i look at the profit loss sheet for the store what i can instead do is reverse engineer the store and show you what your profit margins would have been if you had been the one to come up with this mug idea and listed it for sale on etsy and use low-cost print-on-demand services to do so because i do want to stress that i never recommend that you come and copy other people's products and i mean as you can see others have already done so so you know you'd just be joining this competitive bloodbath of other etsy sellers who have already copied this idea so instead what i recommend that you do is you take a look at other people's successful products and you use these as an inspiration to come up with your own products to sell and actually speaking of that while filming this video i came up with a really cool product idea that somebody could make and list for sale on etsy so i'll talk about that later in the video but for now back to that whole reverse engineering the store thing i'm sure a lot of you were saying okay sarah you say that if i had come up with this mug idea that i could have listed it for sale on etsy but have you seen how much it cost to buy a heat printing machine to make custom mugs and also sarah i don't have 4 843 white mugs sitting around my house waiting for me to print pictures onto it to sell i am confused well you see my friend that is exactly why print on demand apps exist like this one here printer fight printf is one that i personally use to create and sell products online printfire will make your customers mark they'll ship it out to your customer for you and actually print a fine has lots of other items that you can sell in an online store not just mugs using printify you can sell my favorite product t-shirts but you can also sell other things as well like face masks hoodies shower curtains pillowcases phone cases all sorts of items but yes to make a mug with printify you just come and click start designing and on here you'll be prompted to upload a picture that you want printed onto your mug and so of course what do you do you upload a picture that features the photo of the dog that your customer submitted and the dog's name printfire will then store this design for you and your database and once you've done that at any point you can come and buy one of these mugs individually and printed fast factory will literally print your design onto the mug and that is why the service is called print on demand so what you do is you get them to make one of these mugs and then you give them your customers shipping address print if i charge you five dollars and forty six cents per mug with a printed five premium subscription and six dollars to ship the mug and then printfire's professional mug factory spoke will print your picture onto that one single individual mug that you ordered and then they'll package it up and they'll ship it out to the customer when you add the cost of the mug five dollars and forty six cents with the cost to ship it six dollars that means printe5 charges you just eleven dollars and forty six cents per mug that you buy and by the way if you're enjoying this video and you would like to learn even more about starting your own print-on-demand store then you should be sure to download my free ebook the six tips that six figure online stores follow to make over ten thousand dollars a month and you'll find a link to download my free ebook in the video description below but anyway back to the video and as you can see by using printfire's print on demand service you can sell products like mugs online without having to make them yourself and remember this store that charging 23 dollars per mug plus if you use a shipping calculator and put in an american zip code like 90210 you'll see that they are charging extra for shipping too an 11 ounce mug has an additional 10.94 shipping charge so in total that is 33.94 that they are charging for each mug with shipping included which anyone again could have made and shipped out to the customer using printify for just 11.46 but there is a part that i skipped out here isn't there remember how i uploaded this picture to printify featuring my customers dog picture that they uploaded and gave to me how did i do that well first of all i came to printify and saw that okay they have asked me to upload a rectangle that is 2 700 pixels by 1119 pixels and to place my customer's photo and text on both the left side and the right side so that it will get printed on both the front and back of the mic okay that is easy enough to do so then i came to this beginner friendly graphic design app canva you can get a free 30-day trial to canva i have a link to that in the video description below as my subscribers know it's my favorite graphic design app i use this to make lots of products that i sell online with print-on-demand services like printfy so basically all i'm going to do here is upload a picture of my customer's dog face and then add the text featuring their name jamie above it and i'm also going to be just doing this by dragging and dropping text and pictures around because i'm not a graphic artist and so to make pictures like this i really do need a beginner-friendly tool that just lets me drag and drop elements around so canva is perfect for that and as you can imagine once you've created this mug template once it's very easy to just create a new one when another customer orders a mug from you all you do is copy this template that you've already made and swap out the photo with your new customer's photo and then swap out the text with the name of their dog so once you've made this template once creating new versions of it for customers it literally takes just one minute so you just swap out the text and the pictures with new ones and boom you're done so now you might be looking at this and thinking well okay sarah i see that you've uploaded a picture of your customer's dog with the head nicely cut out from the photo how did you do that well the answer is that i didn't actually do this removing a dog's head from an image requires graphic editing skills and i myself am not a graphic artist and so if you're like me and you are not a graphic artist that is okay because for a very small cost you can hire someone else to do this for you on fiverr so this fiverr gig will eat up five photos for you for five dollars plus a and twenty five cent fiverr processing fee so that's seven dollars and twenty five cents in total and they edited five photos for me so once you divide seven dollars and twenty five cents between five photos it means that each photo costs just a dollar forty five cents and if you want even more training about how to use canva to create print-on-demand designs it's something i teach inside my premium print on-demand training program the ecom clubhouse to see if my course is right for you i'll have a link to it in the video description below so then these are all the costs involved when we reversely engineer this business for ourselves so let's now go plug them into an etsy profit calculator to figure out our profit margins so our item price is 23 and our shipping charge for the customer is 10.94 and our item cost is five dollars and forty six cents for the mug plus a dollar and forty five cent for the graphic editor to edit the customer's dog photo so that's six dollars and ninety one cents in total plus printed five charges are six dollars to ship the mug well whether our customer pays with etsy's credit card processing system with slightly cheaper fees or paypal either way our profit margins are over 50 percent but as i said at start the video this is not the only mug design that is earning the store big profits nope they have another one yep the seriously second mug i counted over double the number of reviews compared to the custom dog mug which means it's probably head over double the amount of sales as well it's more popular than the custom dog mug and honestly i'm not surprised this is an awesome gift to give to grandparents or aunts and uncles so combined i estimate that these mugs have sold around 270 000 in the past 12 months and when you account for them having a 50 profit margin it means that if you had been the one to sell this you'd have made over a hundred thousand dollars in profit in the past year selling these two mugs so hopefully this video has inspired you with some ideas of mugs that you could create and sell as i said at the start of the video i myself got inspired while i was making it because you know what there are all these mugs i don't see that say things like best mother or things like that you know that's fine no but you know what none of them feature custom photos so you know what would be cool a mug that lets you feature a photo of you and your mother so yes there are still tons of great opportunities to use personalization to design your own unique mugs to sell so did you learn something new if you did please hit subscribe and click that little notification bell so you don't miss out on any of my videos and as i said it started this video my favorite item to sell online is actually t-shirts and if you'd like to learn more about how i do product research to come up with awesome t-shirt designs then you should be sure to watch my video 10 tips for creating t-shirts that sell so go ahead and watch my next video and i'll see you over there

You May Also Like