The POD business model is a new, profitable way to start an online store. This model eliminates needing physical inventory and avoids storage fees and shipping costs. You connect with a POD supplier, who prints and ships orders on your behalf. Then, you can re-sell those products at a profit to your customers. To learn more about this business, visit I Heart You Ecommerce Business.
This model is a great fit for small businesses, especially those with limited capital. It is also easy to implement. However, it does have some drawbacks. For example, orders can take up to a week to ship. This can be a problem for some customers, so clearly communicating the expected delivery times with your customers is important.
There are many POD providers that offer a variety of products. LemonMerch, for instance, has a seemingly endless library of merchandise, from hoodies to bento boxes. It has even partnered with TikTok influencers to design merchandise. Other POD companies include AOP+, Print Aura and T-Pop.
Some POD business models require you to purchase products in bulk and sell them for a premium. Others allow you to personalize your products with text, graphics, and other details. Some also provide free shipping. This is an excellent way to build a brand and attract a larger customer base.
The most profitable POD businesses focus on a product niche or subject niche. A product niche focuses on a specific type of product, while a subject niche focuses on a particular theme or topic. A popular example of a product niche is selling personalized handkerchiefs for special occasions. This type of niche can be profitable because there is a steady demand for these items.
Other profitable POD businesses rely on cut and sew apparel. These companies produce custom apparel to your specifications and integrates with ecommerce platforms like Shopify, WooCommerce, BigCommerce and Etsy. They can also customize return labels, packaging slips and neck labels to enhance the look of your online store. These services are especially beneficial for fashion brands that want to build a brand with an authentic and unique voice.
It’s a new business model
The business model of selling commoditized goods to customers is growing in popularity. It is an efficient way to create a profitable ecommerce business without investing in inventory or dealing with shipping fees. Examples include eBay, Craigslist, and common blog monetization strategies such as affiliate marketing. However, these models require a lot of work and can fail quickly if they are not sustainable.
Devin has run several seven figure ecommerce businesses and partnered with Matt to create Skup, a tool that helps entrepreneurs grow their stores to five figures. They made a combined eighteen million dollars in their ecommerce business last year.
It’s a niche business
A niche business is a specific market segment that attracts a targeted audience. The best way to find a niche is by conducting research on keywords, search volume, and competitors. A good tool for this is Google Trends, which shows you how many people are searching for a particular topic and allows you to filter by location. If you can find a popular, untapped topic that has high demand, it’s a great idea to launch your ecommerce site in that niche.
A good ecommerce niche should be aligned with your passion and strength. It should also be part of a successful trend, and ideally, it will have a positive growth trajectory. For example, if you’re selling a sweater made from sheep’s wool from the Himalayan peaks, your unique product will set you apart from other retailers. This will help you stand out and impact old-fashioned word-of-mouth marketing and customer referrals.
According to Devin, this model is easy to start and doesn’t require any upfront inventory costs or long shipping times. It is also a low-risk business because you only pay for the products when they are sold. In addition, you can use Print on Demand (POD) to avoid the risk of paying for stock that doesn’t sell. This allows you to scale your business quickly and profitably. As a result, you can make more money than if you were competing with major department stores. This is especially important if you are a small business that doesn’t have the resources to compete with big players in every market segment.
