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Success Stories

How One Entrepreneur Makes over $44.000 per Month with BrandsGateway

Armin Hodjikj
12 minutes

Table of Contents

BrandsGateway’s goal is to help people start or expand their entrepreneurial journey by providing great products and services at even better prices. Our reward for the efforts we are taking is the positive feedback we receive from our customers. It is always amazing to hear that BrandsGateway is helping individuals and companies from all over the world build great businesses and change their lives.

We are more than happy to present the beginning of the case studies series where we talk with successful entrepreneurs who use BrandsGateway as their dropshipping supplier. Hopefully, we can inspire people into taking that step and just start. It’s not an easy task to build and run a business but with a great partner, the job becomes much easier. 

This is the story of a dropshipper from Australia who is one of our biggest success stories. His name is Sam and he runs the website Sam has an entrepreneurial background and like thousands of other successful entrepreneurs, his previous business efforts were not a big success but he decided that he is not giving up so he stumbled upon BrandsGateway. That is when everything changed. Sam has been a dropshipper on BrandsGateway for two years and is in the top 5 dropshippers by sales. His story is not an overnight success – his amazing results are a product of hard work and dedication. Together with BrandsGateway as his business partner, his entrepreneurial efforts paid off. 

1. Could you tell us a bit more about your business?

Sam: My name is Sam and I am the founder and CEO of Azura Consulting which is the parent company of Azura Runway, the company which does dropshipping through BrandsGateway. What we do as a company is basically dropship branded and luxury fashion around the world. 

We plug into a platform called ChannelAdviser, which then imports our products to various marketplaces around the world. We currently sell in 10 different marketplaces” In Australia, with the aim to get to a hundred by the end of this year. 

2. Is this your first dropshipping business or you have had previous experience with dropshipping and e-commerce?

Sam: This is our second dropshipping business. We had another business in Australia which was more wholesale, where you have to buy the goods upfront. The category was different, we were working with general appliances and groceries. The business didn’t do as well as we hoped. Luckily that’s when we stumbled upon BrandsGateway and got into the higher fashion business and dropshipping.

“Brandsgateway has been on spot so far and most important for us we are not selling out items which are displayed as in stock.”

3. Was BrandsGateway the first supplier you started dropshipping with?

Sam: Yes, BrandsGateway was our first supplier.

4. Based on our collaboration so far, how would you say is your satisfaction from BrandsGateway, is everything as you have expected?

Sam: Definitely, yes, everything is going as expected. The main thing for us obviously as we are selling on so many platforms is for everything to be real-time. For instance, if we sell something on eBay, that item needs to be updated on other platforms as well. BrandGateway has been on spot so far and most important for us we are not selling out items that are displayed as in stock.

“We sold one item for about $4.000 USD and our profit margin on it was 60%. So we made roughly 2400 USD dollars just from one sale.”

5. When it comes to the inventory in general, how are we compared to other suppliers in terms of pricing, brand, discounts, etc?

Sam: BrandsGateway’s inventory is on the higher end so the price point is high compared to the other suppliers but the discounts which you offer are much higher than what the other suppliers offer. This makes BrandsGateway’s stock the most profitable stock to sell. 

6. What was the highest profit you made on one product from BrandsGateway?

Sam: Yes, definitely, it was a three-piece Dolce & Gabbana suit, we sold it for about $4.000 USD and our profit margin on it was 60%. So we made roughly 2400 USD dollars just from one sale. 

“In November 2019 we did $44,000 USD In Sales.”

6. Would you say that BrandsGateway offers the highest profit margins on a monthly basis compared to other suppliers?

Sam: Based on net profit, as you sell high ticket items from the fashion niche, with a high-profit margin, definitely yes, we make the highest net profit by selling your products. We sell a lot of products from the general fashion category which we obtain from other suppliers but obviously that in a high volume of sales is not as profitable because of the thinner margins.

7. What are your average monthly sales from BrandsGateway products only?

Sam: Our average monthly sale value is $508 US dollars per order from BrandsGateway. That has been consistent over the period of the last 9 months. As per the total order per month, it pretty much depends on the month. For example, in November 2019 we did $44,000 USD but there are some slower months like January when we sell less. The usual month is anywhere from $30.000 USD up to $40.000 USD in sales from BrandsGateway products. 

“If people can do it correctly as we do it for the 1%, people can make a lot of money, especially with BrandsGateway products.”

8. Given the current situation in the world with the Covid-19, have you seen any changes in your business in terms of orders?

Sam: Yes, we’ve seen a slight decrease in orders but nothing too dramatic. The reason is pretty obvious, people are probably just scared to spend money in these circumstances. 

9. Would you recommend the dropshipping business model in the current situation. Do you think that there is potential in the dropshipping business even though the coronavirus has changed the world we live in?

Sam: Definitely, I do suggest it. If people can put in the work now then when this is all over, people will make some good money out of it. We are targeting 1% of the market but there is a much bigger opportunity in various spaces. If people can do it correctly as we do it for the 1%, people can make a lot of money, especially with BrandsGateway products. 

10. Sam, what is your advice for people who are entering starting with dropshipping right now?

Sam: The most important thing, I’d say, is to find a specific niche, whether it is luxury fashion, handbags, shoes, etc. It’s crucial to have a very focused targeting approach, rather than just try and sell everything. It took us a lot of time to get the business going but after 6-9 months, the rewards have been huge so it’s very important to stay focused and have patience. 

11. Which category works best for you, in terms of sales?

Sam: Sales-wise, that would definitely be apparel at the moment. The second most profitable category is handbags.

12. Would you recommend these categories for beginners or you’d recommend starting with another category?

Sam: Apparel is a great category to get into but it’s the hardest one as well as there are so many variations. For beginners, with no previous experience in this field, maybe start with handbags or accessories, it’s much easier compared to apparel as there are not so many variations.

13. If you were starting out today, what would be your approach, would you do your own website, start selling on marketplaces, or both? 

Sam: I would start with marketplaces primarily, one thing I would change if I was starting out now, is not focusing too much on eBay as there are other marketplaces that are more focused on fashion so the results are much higher. One thing that we didn’t do well so marketing our own website, so that’s something I would probably change. We came out of wholesale so our own website was always a secondary thing but having your own website where you sell your products has many advantages. 

14. From the perspective of an experienced dropshipper, what are the pros and cons of dropshipping?

Sam: The cons would be the margins if you compare them to wholesale. The issue is that you are at the mercy of the suppliers for issues like customer service, etc. The key here is to find a good supplier. The pros would be, not having to invest in stock upfront, stock images are obtained from the supplier, so it is also a cost saver. Many other marketing materials that are key to the business are also obtained from the suppliers. Another important positive characteristic is that the logistics are set by the supplier. Obviously, the pros outweigh the cons by far but in the end, it all depends on how you manage to do the rest and sell the products. You need to find a unique angle and stick to it.

One thing which helped us a lot in marketplaces is the description of the products which we list. We try to be as specific as possible, for example, if we are listing a Dolce&Gabbana shirt that is black, we always mention the color in the title of the product so that would be “Black Dolce & Gabbana Shirt”. Make sure to use as much detail as possible. This is one of the best pieces of advice I can give to dropshipping beginners.   

“Once the whole dropshipping business is figured out, you’ll be making money while you sleep.”

15. For dropshippers who are about to create their own webshop, what is the platform which you would suggest to be used?

Sam: Shopify is definitely the easiest one, that’s how we entered the market. I know of other platforms for when a business grows and goes to another level but for a beginner, Shopify is the platform to choose. 

16. Do you think that anyone can get into dropshipping and become successful or is it something for which you should have a specific mindset or skill set?

Sam: I honestly believe that anyone can do it if they put in the work. The best skill to have is a good work ethic, dropshipping is not a 9-5 job, it’s a 24/7 task. It’s something that people need to be sure can handle for a few months but in the end, it will definitely pay off. Once the whole dropshipping business is figured out, you’ll be making money while you sleep. 

17. What are some learning resources which helped you in this business regardless if it’s a book, blog, podcast, or something else?

Sam: What really helped me stay motivated, driven, and focused was a podcast on Spotify called “Fearless Motivation”. It is not dropshipping focused but in general, there are ups and downs in life and business and downs can be very hard sometimes so listening to some uplifting/motivational content can definitely help. Make sure to check their website 

18. Where do you see the dropshipping industry 12 or 24 months from now?

Sam: What we found in the last two weeks is that everyone is jumping into dropshipping now as many people are at home and trying to make money from home. My opinion is that in a year dropshipping will be 10 times bigger than it is now. Many people will realize that they don’t want to work from an office but they’d rather run their own business from their own home. I think people will try to capitalize on this trend as online purchases in for example Australia grows 30% year over year and I think it’s similar worldwide.

19. When you found out about BrandsGateway, was our monthly subscription fee something that you viewed as a positive or a negative, was it a turn-off for you in a way?

Sam: For us, no, it did not turn us off, the case was the opposite. This subscription fee meant that people who purchase it are actually going to put in the work and create or at least try to create a legitimate business. Without the subscription fee and zero barriers to entry, we would have a race to the bottom in terms of pricing as there would be hundreds of people selling BrandsGateway products on eBay with ridiculously low margins and that would do no one any good. 

20. Do you have any final conclusion, if you were starting dropshipping now, what would you say to yourself?

I would probably say to myself that it’s not going to be a quick race. I thought this was going to be done quickly but I was not right. It’s very rewarding towards the end when all the hard work starts to pay off. You are your own boss and you have full control of the business but you have to put in hard work and be patient. We started trading in April 2019 and our first profitable month was November 2019 so it took us 8 months to get there. I have to mention that if we found the website Channel Adviser in the beginning, maybe we would have become profitable earlier. 

Dropshipping is the future of eCommerce and there’s no doubt about it. No matter how experienced or inexperienced one is, the eCommerce industry is a great one to get into when trying to start an online business. Yes, there is a learning curve, and investing in education, not only money-wise but time-wise, is definitely going to pay off. The internet is flooded with educational materials regardless of ebooks, YouTube videos, or else, it only takes dedication and determination to succeed. BrandsGateway is a strong, competitive, and supportive business partner for your dropshipping eCommerce journey. Industry-leading software and support, high-end, high ticket products with the best margins on the market are the low-hanging fruit of opportunity to succeed in dropshipping. Sam is just one of the many entrepreneurs who recognized the potential of running a business with BrandsGateway products.

Don’t hesitate, start your dropshipping journey today. Feel free to reach out to us, we will be more than happy to reply to any of your questions or concerns, your business success is just a few clicks away. 

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About the Author

Armin Hodjikj

Armin oversees our marketing efforts at BrandsGateway and contributes to the blog occasionally. When he is away from the computer screen he enjoys spending time cycling or anything which involves outdoors.

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