How House Of Rave Makes Money
Neville’s drop shipping muse is focused on selling rave/dance products – think glow sticks, disco balls, strobe lights, and well pretty much all things that light up.
How freaking niche! And yet it’s home to 1000s of products. Isn’t it amazing how you can niche down so far but still have a ton of products for sale?
Also, doesn’t this remind you a little of the Parrots example above? ie you have a general market (party accessories) niched down to a specific audience (ravers). In fact, guess who Neville drop ships with…a party accessories supplier (a generalist).
It is a 3-hour video course if my memory serves me correctly, and when I watched it a while ago I took away lesson after lesson on all things passive income and drop shipping related. I highly advise you check it out if you want to step behind the scenes of a profitable drop shipping business.
Anyways, what can we learn from this case study?
Boring little niches rock. Like Nev says, don’t sell party supplies, sell dance party supplies!
When you’re looking for your drop shipping idea you should consider a few of Neville’s big ideas; find a small niche but one with enough products to make a business, go after niches where customers will often buy multiple products at once and more products down the track, aim for niches where products sell for $5-$50 since low cost means consumers don’t need so much convincing to buy.
If you look at House of Rave you’ll notice how bad it looks, insofar that the design looks straight out of the 1990s.
But you’ll also notice the insanely huge amount of original information on it, especially all the info on each individual product page. I’m fairly sure Nev wrote – or got someone else to write – most of this info!!
This investment in content means great natural (and long term) SEO for him. And since most ecommerce stores simply copy-paste unoriginal info straight from suppliers’ websites, you can kick ass with this hard working content-production strategy.
Also, you’ll see original video reviews of products when you pop over to House of Rave. In many of these videos Neville is literally talking about the product himself and showing how it works. This is what converts eyeballsinto buyers!
I’m not going to go any further into Nev’s business here, because he’s done the ultimate case study with his Drop Shipping Course over at App Sumo. Check it out.