5 Best Ways To Get Drop Servicing Clients | How To Get Drop Servicing Clients and Sales

Getting drop servicing clients can be a real struggle.

That’s why in this article, we are going to take a look at the 5 best ways to get drop servicing clients and sales. 

Of course, there are hundreds of ways to get drop servicing clients and I could list them all, but I don’t think that would be of much help to you.

Instead, I decided to limit this list down to the 5 methods I believe are truly the best. 

Best ways to get drop servicing clients

5 Best Ways To Get Drop Servicing Clients

Here are the best ways to get drop servicing clients and sales:

  • Google Ads
  • Bing Ads
  • Cold Email 
  • Facebook Ads
  • Blogging

1. Google Ads

Google Ads

Firstly, we have Google Ads. 

I have mentioned Google ads being an effective customer-acquisition method for Drop Servicing businesses many times.

Whatever you’re trying to sell, I guarantee there are tons of Google ads for it. 

Most service keywords will have at least 3-4 ad listings show up on top and if advertisers are fighting over the space, it’s because the spaces have value and work. 

Why They Are Good

Google ads are effective because the user is searching for your service.

There is no guesswork involved in hoping they need your service if they are searching for it, they need it.

Due to the visitor needing your service, you can often charge higher prices as they are already convinced they need it.

Plus, on most commercial terms the click-through rate to advertisers is pretty high (66%).

2. Bing Ads

Bing ads 1

 

Next, we have Bing Ads.

While Bing only gets around 2% of the search engine market share compared to Google’s 92%, they still have a significant amount of traffic to advertise to.

Bing ads are also usually cheaper than Google ads, so that could be a reason to give them a go.

Why They Are Good

Other than the differences named above in the volume of traffic and cost, they have the same advantages as Google ads.

3. Cold Email 

In third spot, we have Cold email.

I was never really a fan of cold anything, but cold email flipped my opinion.

Using tools such as Snov.io, you can grab emails from LinkedIn profiles or the Google search results page to build a list of 100’s of prospects in minutes.

You can then verify the contacts and create email automation campaigns to reach out to them.

Why They Are Good

Other than the tool snov.io (which also has a freemium plan), there is no expense to this method.

This method is low-cost and allows you to connect to many high-quality leads very quickly.

What I will say though, is that you will want to use the first email to get your prospects on the phone to build the relationship.

4. Facebook Ads

Our 4th spot is Facebook ads.

Facebook ads seem to work fantastically in the SEO services industry, but can of course, also work for any other type of service. 

What I like about Facebook ads though, is the retargeting ads.

Your main customer-acquisition channel could be something completely different, but just retargeting people who have visited your site on Facebook can be extremely effective.

For example, you could be doing B2B cold emails and say “Hey, I’m Sam from X Company (hyperlinked to your website)…..” now every time somebody clicks on that hyperlink, you have somebody who is potentially interested and you can retarget them on Facebook.

Of course, you could go much more specific with the page triggers, but this is just one way of getting low-cost Facebook ads.

Why They Are Good

Facebook Ads have such great targeting options including for your initial campaign to get new customers, as well as the retargeting campaigns.

With the right settings, you can get them fairly cheap too and they have worked great for many people.

5. B2B Blogging

Lastly, we have B2B blogging.

If you actually put your time and effort into growing a niche B2B blog in whatever services you want to sell, you will have floods of customers coming your way.

Of course, growing a blog takes a lot of time and effort, so this option will be ignored by most people.

But, if you would have a blog in any of the following niches:

  • Social media strategy
  • SEO
  • Copywriting
  • Developing

Or other good Drop servicing niches. 

Then, businesses reading that or joining your mailing list are often going to be interested in hiring you (your team off Fiverr or Legiit)

Why It’s Good

It’s low cost, super-effective, and allows you to charge high-prices.

Plus, building a stream of free traffic that is there pretty much forever is a huge benefit for any business.

If you want to start a blog, I have a free book that can help you. 

Final Thoughts on Getting Drop Servicing Clients

As you can see, all of these methods are great ways to promote your drop servicing business.

They all have their own advantages and disadvantages, it just depends on which one suits you best.

You can always try different methods out, but I would recommend mainly sticking to one or two. 

Drop Servicing vs DropShipping: Which One Is Better?

Drop Servicing vs DropShipping: Introduction

Drop Servicing vs Dropshipping. 

Both are two scalable business models that we are going to compare to each other today. 

We will be taking a look at:

  • What both of these business models are & how do they work
  • The Key Differences
  • Pros & Cons Of Both Business Models
  • How To Get Started With Either
  • Conclusion

As you can see, after reading this post, you should have a good understanding of which of these two business models is for you.

What Is Drop Servicing & What Is DropShipping

Drop servicing is a business model where you sell services.

Drop Servicing Business Explained

However, instead of doing the service yourself, you outsource the work to somebody else who offers the service for a cheaper price than what you charge. 

The difference between the two price points is your profit. 

So, you are not actually doing the service yourself.

Instead, your freelancer (or whoever else you buy the service from) does it. 

In case you are wondering with what services you can do this, here are some of my favorite ones:

  • Social Media Management
  • Advertising
  • SEO 
  • Copywriting

Related article: The Best Drop Servicing Niches [Most Profitable]

Dropshipping is the same concept as drop servicing, but with physical products. 

How to Start a Dropshipping Business in 2020 - Oberlo
Source: Oberlo

You sell products, but when somebody makes a purchase, you go and purchase that product from your supplier and ship it directly to your customer. 

Of course, you charge a higher price than your supplier and the difference is your profit. 

Shipping, production, etc. are all handled by somebody else. 

You also don’t need any inventory, warehouses, or anything like that. 

Drop Servicing vs DropShipping: Key Differences

Apart from the main difference which is that one sells services, whereas the other sells physical products, there are also some other differences which we are going to be talking about in this section.

  • B2B vs B2C
  • Shipping
  • Dropshipping is less recurring
  • Harder to understand in different aspects

For more detailed explanations, see the explanations below. 

Drop Servicing Has Higher Margins / Dropshipping More Quantity Of Sales

On average, drop servicing has higher margins. 

I believe dropshipping profit margins are usually around 30% as a rule of thumb. 

Drop Servicing margins are often 300%-500%. 

However, this doesn’t mean that you can make more money with Drop Servicing, as dropshipping makes up for these margins with more sales. 

Drop Servicing is B2B whereas DropShipping Is B2C

There may be some exceptions to this but usually drop servicing is B2B, while dropshipping is B2C. 

This is also another reason why drop servicing has higher margins because B2C businesses you usually make more sales. 

One isn’t better than the other, but it’s important to note the target audience difference. 

Shipping 

Shipping

Of course, when you are selling physical products there is some shipping involved. 

Yes, a dropshipping store does not handle it, but it can still cause potential issues on orders. 

Additionally, there is also a shipping cost which adds up on larger volume of orders, so it is important to take it into consideration. 

DropShipping Is less recurring

There are some exceptions to this. 

I have seen a couple of dropshipping stores that have added a recurring supply of what they are selling.

However, usually speaking, dropshipping stores have less recurring sales. 

With drop servicing there is a lot more room for recurring deals.

Again, this isn’t necessarily a disadvantage for dropshipping stores, as they make it up with a bigger quantity of sales. 

Harder To Understand In Different Aspects

With drop servicing, it’s harder to understand the service.

For example, if you were to sell a service related to SEO, you kind of have to know a little about SEO in order to do so. 

If you are dropshipping and you sell a posture corrector there isn’t really too much to understand about the product. 

However, I think that dropshipping has a little more technical aspects to learn when it comes to:

  • The store
  • Shipping
  • Order fulfillment
  • Ads/Pictures

So, they both have their own learning curves. 

Pros & Cons Of Drop Servicing

Pros Of Drop Servicing:

  • It’s Scalable
  • Big Margins
  • Little Experience Required
  • No Shipping, Inventory, etc.
  • Low Start-Up Costs
  • Low Competition

Cons Of Drop Servicing:

  • May be hard to understand some services
  • For a complete beginner, it might be hard to sell B2B services
  • You are liable if the freelancer doesn’t deliver as promised

Pros & Cons Of DropShipping

Pros Of Dropshipping:

  • It’s Scalable
  • Bigger Quantity Of Sales
  • Little Experience required
  • No Inventory 
  • Low-Start Up Costs
  • Low Competition (sometimes)

The reason I say low competition is because you can sell whatever you want.

If you really dig deeper into AliExpress or other suppliers, there will always be low-competition markets. 

Cons of Dropshipping:

  • There is shipping involved (usually from China)
  • Some technical learning curve
  • You are liable for your sale

I know you don’t handle the shipping yourself, but it’s still a con for me as it can bring potential issues if you have a bad supplier. 

How To Start Drop Servicing

How To Start Drop Servicing Today

 

If you would like to start drop servicing here are the steps you need to take:

  1. Find a service from freelance marketplaces such as Fiverr
  2. Build a store around that service (charging more)
  3. Advertise to people interested/looking for it
  4. When you make sales, you purchase from your freelancer/supplier
  5. You deliver the order

For more info: How to get started with Drop Servicing

How To Start DropShipping

Start Dropshipping Today

Here are the steps to start DropShipping:

  1. Find a product from suppliers such as Aliexpress
  2. Build a store around that product (again charging more)
  3. Advertise to people interested 
  4. When you make sales, purchase from your supplier and ship to your customer
  5. You deliver the order.

Of course, there is a lot more to it. These are just the steps broken down as simple as possible.

If you would like to get started with dropshipping: How To Start a Dropshipping Business

Drop Servicing vs DropShipping: Which One Is Better?

Drop Servicing vs DropShipping - Which One Is Better?

Both are great business models, they are just a little different from one another. 

There isn’t a better or worse option here, they are just different. 

Personally, I prefer drop servicing as it suits my skillset better, but that might not be the case for you. 

Drop Servicing has become increasingly popular in the last couple of months, despite the business model itself being around for a long time. 

Dropshipping has been around for a long time too but is definitely far from dead. In fact, it’s growing significantly.

As you can see, there really isn’t a right or wrong decision here, so I’m not going to tell you that there is. 

Drop Servicing vs DropShipping: Conclusion

Both of these business models are great opportunities in the current world of online business. 

They are both scalable and pretty fun, so there really isn’t a right or wrong choice as I mentioned earlier. 

Which business model do you prefer and why? Let me know down in the comments.

If you did enjoy this article, make sure to share it! 

 

List Of Best Drop Servicing Niches [Most Profitable]

Welcome to this article in which you will learn what the best drop servicing niches are.

Or, the best services for drop servicing if you prefer to say that. I

will also be teaching you how to tell if a drop servicing niche is good because l0ts of other people that teach drop servicing don’t tell you about this.

I’m not sure if they are clueless, or they just don’t want to tell you. 

Luckily, you will find out in this article and then you will be ready to start drop servicing.

Best Niches For Drop Servicing 

Before we jump into our list, I just wanted to teach you how to tell if a drop servicing niche is good. 

A good drop servicing niche is a niche that helps the business owner grow or profit directly. 

So, graphic design is NOT a good drop servicing niche.

If you create one logo for a business owner, they’re not going to keep coming back more. 

I used to have a graphic design drop servicing business (before it was even called drop servicing), but it wasn’t very sustainable. 

When I made one sale, the customer was pretty much gone forever. I had to constantly pay to keep the same amount of customers. 

Once drop servicing became popular, the competition was too high anyway. 

Just pick services where the business owner will come back, or even make it a recurring deal. 

1. Social Media Management

First of all, we have social media management. A service that is tied to the business’ growth.  

It also usually becomes a recurring service if the business owner likes the service. 

Why Is It so good?

First of all, the average social media manager’s salary is around £25,000 ($31,000) per year. On freelance marketplaces such as Fiverr, people charge $100-$200 per month (with content creation).

You could charge $500-$1000 per month and still be a lot cheaper (less than half the price) than an employee.

This service also has great recurring potential. Let’s say, your profit is $400 on each client.

5 Clients are $2,000 in profit per month. 

As I have also shown in my main drop servicing guide, this is also my #1 niche which I am using myself.

2. SEO Backlinks & More

SEO niche For drop servicing

SEO is another service that is tied to growth and helps the business owner profit.

If they rank higher for their specific terms, they’re going to make more money.

This means this niche is great. There are also so many different services you could offer.

  • Technical SEO (Optimization, Audits, etc.)
  • Backlinks (Guest posts, Niche Edits, Tier 2/3)
  • Social Signals

I would only recommend this niche if you know enough about it to sell it. 

Although you aren’t doing the service yourself, you still want to make sure you know about it.

Otherwise, it will be a lot harder to sell. 

3. Facebook Advertising

Facebook Ads can work great for local businesses such as real estate agents. 

This makes them insanely profitable for drop servicing too. Why?

Because you can buy Facebook ad management for around $500 per month, but sell for $1000+ (Up to $5K once you get testimonials, good reviews, etc.)

Take a look at this guy over on Legiit.

Best drop servicing niche - facebook advertising

He offers a full 30-day ad creation and management for 30 days. I assume (haven’t used) that he is good due to the very positive reviews. 

There is also some sort of lead guarantee or refund. 

So, if you’re in a pretty high-ticket niche (like real estate) this guy could be your guy. 

4. Blog Post Writing

Writing anything like legal pages will not get you too far.

After writing them once and the customer is gone forever. 

However, content marketing is super important. 

And a business owner does not always have time to write the content themselves. 

Hiring somebody? That get’s expensive too. It’s also a lot more hassle than just buying each article.

Take a look at this guy. (Link to service

Normally, you want to avoid really low-cost services, but due to their low costs, you can give them a go, to see whether they are the right quality. 

There is a sample over on his service. Again, this isn’t the niche I am working in, so I haven’t tried him.

But, if you could get a $50 margin on each client, you could definitely be profitable.

On average, each client will order once every week (I imagine). Some more, some less.

10 Clients = $500 per week.

NOTE: You may want to try a few different services for your own website first to see how good they are. 

5. Copywriting

Copywriting is something that you can really charge a lot for. 

It also is directly tied to the profit of the business owner. However, there are tons of different types of copywriting.

Most are more of a one-time transaction.

 However, if you are selling email copywriting, this would be more frequent. 

With this service, you have to calculate things well. 

Charge high prices, so that your margins are high. Also, try to find a type of copywriting where the business owner will come back frequently. 

6. PPC Ads

Again, PPC Ads are directly tied to growth, leads, and profit.

That means, if you find a good freelancer who can get results for your client, then you will do well. Why?

Because your client will keep coming back or make a recurring deal with you. 

If you can help a real estate agent generate 3-30 more leads per month with PPC ads that would be absolutely huge.  

Don’t believe me?

The average lead value or a prospect in real estate is $2,000 (sharp launch)

Of course, it’s not the same for all.

But, if you can get 5+ (good leads) per month with $2,000 ad spend, you could charge ATLEAST $1,500. 

And, again, you could probably buy for $500. 

7. Pinterest Ads

Pinterest ads

Pinterest ads are pretty cheap.

That means you can do a lot with a smaller budget. 

Maybe not as much for local businesses, but if you’re in a high-ticket online niche, then they could work great.

I haven’t actually tried Pinterest ads for local businesses, so I wouldn’t know, but I don’t imagine them to work that great for local businesses.

Then again, I might be wrong. 

It probably depends on the area and niche too. 

If you’re in an area in the US where Pinterest is heavily used and your client is a hair salon or spa, then Pinterest ads could work extremely well. 

8. YouTube Ads

Lastly, we have YouTube ads.

YouTube ads are also pretty cheap compared to most other types of ads, but the quality is extremely high. 

If you could learn what makes a good YouTube ad and could help your client create one, you could then drop service a YouTube advertising management service. 

The target audience for this would probably rather be online businesses.

Maybe, people who sell info products, freelance marketplaces, or even (online) coaches. 

Basically, businesses that are entirely based online and could handle customers from a variety of locations. 

These kinds of businesses are likely to have the most success with YouTube ads. 

9. Influencer Marketing

Influencer marketing can work well too. 

Although, you always have to make new connections with influencers in your client’s industry, but you could also pay somebody to do that.

When your client is looking for influencers, they are usually looking for multiple on a consistent basis. 

One shoutout or sponsored post will not get them very far and they know that. 

If you can get these influencer’s for a much cheaper price than what they pay on a consistent basis, then this could also be a great niche.

The business owner wants to keep growing so they will keep coming back. 

10. Video Content Editing/Creation 

Video Editing niche for drop servicing

When it comes to video creation or editing, you want to niche down to content creation.

For example, on a YouTube channel or something similar. 

The reason for this is that if you don’t do this, you won’t really have repeat business. 

Repeat business is extremely important as I mentioned earlier. 

This is kind of the video form version of the blog post writing niche.

The best target audience for this kind of service is again online businesses, maybe freelance marketplaces themselves, SaaS companies, or E-commerce stores. 

11. Press Releases

Lastly, we have press releases.

If you don’t know what press releases are, they are the news covering your client. 

On Legiit, there are many of these services including features in:

  • Yahoo News & Finance
  • Associated Press
  • USA Today
  • Bloomberg
  • And more

These are usually priced between $70 and $500. 

As you could imagine, you could sell these for prices between $500 and $3,000. 

If you get a couple of clients that come back on a consistent basis, this niche has some great potential. 

Which Drop Servicing Niches Are Best For Beginners?

So, what are the best drop servicing niches for beginners?

If you’re a beginner then the best niche for you is a niche you understand.  

It could be social media management, SEO-optimized article writing, etc. it really depends on you. 

If you understand a service, selling it becomes 10x easier.

You don’t have to know it in and out, but you should have a basic understanding of it so that you can sell it. 

Niching Down – Be Really Specific

Many would disagree with this, but I don’t think you should have a really general marketing agency (for example). 

That’s what everyone is trying to do. 

If you have a really specific marketing agency tailored to a specific type of business, then you can establish yourself as the #1 choice for that business. 

You also don’t want to have hundreds of different services, otherwise, you don’t look like an authority for any of them.

This will also make it a lot easier to get in front of the target audience.

Examples Of Good Niche Drop Servicing Agencies

  • Influencer Marketing Agency For E-commerce stores
  • Blog Post Writing Agency For B2B SaaS Companies
  • SEO Agency For Fine Dining Restaurants

By being super-specific you increase your chances of getting those specific clients.

I currently have three different drop servicing websites, all of which are doing pretty well. Why?

Because they are so specific.

If you just offer all sorts of marketing, graphic design, etc. it just looks like you’re outsourcing everything.

And, if you’re a company would you go to an agency-specific tailored to your type of company, or to a general agency that handles all types of companies?

Of course, you would want to work with the specific one. 

Chances are, they have more contacts, more experience, and more knowledge in that specific niche. 

Best Niches For Drop Servicing: Conclusion

There are many different niches you could go for when you start drop servicing.

However, the main criteria for a good niche are:

  • Good margins
  • Repeat business factors
  • You know enough about it to sell it

If you learned something in this article on the best drop servicing niches, I would really appreciate if you left a comment and/or shared it!

 

Drop Servicing vs Affiliate Marketing – Which One Is The Easiest?

Drop Servicing vs Affiliate Marketing: Introduction

Drop Servicing vs Affiliate Marketing

Today we are going to talk about Drop Servicing vs Affiliate Marketing. Why? 

These 2 business models are by far the easiest online businesses to start. With that being said, they are very different.

In affiliate marketing, we sell other businesses products through our tracking link when a sale is made we earn a commission. When we are drop servicing, we are selling services that we buy from freelancers at a cheaper price. The difference is our profit. 

In case you haven’t really had a look at drop servicing, I recommend checking out my complete drop servicing guide. 

Drop Servicing vs Affiliate Marketing 

There are a few key differences between drop servicing and affiliate marketing which include: 

  • Drop Servicing requires a payment processor 
  • Drop Servicing usually requires a shorter time to succeed
  • Drop Servicing requires fewer skills
  • Affiliate Marketing is more scalable
  • Affiliate marketing requires a smaller budget

Throughout this guide, we will be talking about these points in more depth to help you find the right business for you. 

We will be comparing these two business models in categories including: 

  • Entry Barrier
  • Skills required
  • Budget Required
  • Time To Success
  • Scalability
  • Other

Let’s get into the comparison!

Entry Barrier 

Firstly, we are going to be looking at the entry barrier for both of these business models. 

This one will be pretty easy, as they are both identical. Why? 

For both of these businesses, there is no entry barrier. In terms of affiliate marketing, there are many affiliate programs that don’t even require approval. 

If you are starting a drop servicing business,  you can buy services and sell them as your own. There is no copyright or anything like that on services. However, I would always recommend letting the seller know that you are selling the service on, just so that you are on the safe side of things. 

An entry barrier for both of these businesses does not exist, so let’s move onto the next category. 

Skills Required

In terms of skills required, these businesses differ a little from each other.

Let’s start with drop servicing. Drop servicing requires you to be able to build a sales funnel or an online store where you sell your service. Thanks to technology today, this is really easy as most pieces of software have drag and drop builders.

The cheapest and recommended option is GetResponse, their prices start at just $15 per month. They also offer a 30-day free trial. Apart from building your store, you will only have to be able to pick out services to sell (for example, from Fiverr) and do keyword research. 

If you don’t know how to pick out services and do keyword research, I recommend checking out the complete drop servicing guide.

Now, let’s talk about the skills required for affiliate marketing. 

There are many different methods for affiliate marketing, you could start a blog, you could start a YouTube channel or you could run paid ads. 

All of these different methods require different skills. However, I would say that one of the main skills for affiliate marketing is content creation. 

Or if you purely want to focus on paid ads, you would have to learn paid ads, keyword research, and email marketing. Again, in terms of collecting emails, you can do this with GetResponse. The same goes for email marketing. 

So, in terms of skills, although they are pretty close, I would say that drop servicing requires a little fewer skills. However, it really depends on the affiliate marketing method you choose. 

Budget Required

Next, we are going to have a look at the budget required to start these two businesses. In the examples below, we will be having a look at the bare minimum for starting these businesses. I would always advise starting with more. 

Drop Servicing Budget

When you are starting a drop servicing business, you will only need a basic GetResponse plan that costs $15 per month. The rest of the budget all goes to ad spend. 

In order to be successful, I would recommend using a budget as high as possible. However, with very good keyword research, you could use ad spend as little as $100. However, if you are using a budget this small, then you will have to do very good keyword research as well as competitor analysis. 

Here are some factors to research for your drop servicing business: 

  • CPC of keywords you want to target
  • How much does your competitor charge? 
  • Search volume of keywords
  • Other data about competitor

If you plan a campaign well, taking into account all of these factors, then you can start with as little as $100. However, I wouldn’t recommend starting with an amount that small as it could always go wrong. 

In total, you are looking at $15 per month and your ad budget. Additionally, you will probably need some more depending on your payment processor as you will have to buy the service after you make a sale. 

Affiliate Marketing Budget

In affiliate marketing, there are many different methods that you can use, as I mentioned earlier. 

So, I decided that instead of giving you a number that would only be accurate for one method, I would give you a table. The table below contains the minimum for each method. 

YouTube Free (Just uploading videos)
Blogging$60 per year with Bluehost. Use a free theme
Any Sort of paid adsI would not recommend any less than $1000.

If you are very skilled in paid ads, $400. I would rather recommend a monthly budget

The reason, I say you shouldn’t start with less than $1000 if you are focusing on paid ads, is that you will always have to test a little. Especially, with affiliate marketing as other affiliates are promoting the same products so there will be competition. Additionally, you will usually only receive 50% commissions which mean 50% less profit of a normal advertising campaign. 

Summary

In terms of budget, affiliate marketing through content creation will require a smaller budget. If you want to use paid ads, then drop servicing will usually require a smaller budget. 

Time To Succeed

Next, I wanted to talk about the time to succeed.

Now, this factor has a lot of variables including:

  • Budget
  • Method
  • Time & Effort put in

However, I will still guide you through the differences between both of these business models.

Drop Servicing – Time To Succeed

Drop Servicing will usually require a smaller time to succeed. To become profitable, will usually only take around 30 days or even less. However, this number of days does assume that you put a lot of time and effort into the business. Additionally, you should also have a decent-sized budget depending on your keywords and niche.

To earn a substantial extra income off drop serving can take anywhere from 30 days to 90 days. Again, this assumes that you are putting in a great effort. 

Affiliate Marketing – Time To Succeed

With affiliate marketing, things get a little bit more complicated. 

If you are going down the recommended content creation path, then things will usually take around 6 months to start gaining some traction. Often, this number can be more if you are blogging. If you are creating YouTube videos, this number can be less. 

With that being said, you must know it depends on so many different variables that it’s impossible to say. 

In terms of paid ads, it can take anywhere from 30 days to 6 months. There are so many variables and it depends on your campaign.

Summary

Affiliate marketing through content creation will always take a lot longer than paid ads. However, it is less risky, evergreen and free. The time to succeed in drop servicing is definitely quicker than when you are promoting affiliate products with paid ads. 

Scalability

Affiliate marketing is more scalable. 

You will be able to have more customers and these customers will buy multiple products. Not only that, but you will also have other ways of monetizing by selling your own info product and other methods. 

Not only this, but you can also branch out into different niches too, so the sky is the limit. 

With drop servicing, things are a little more complicated, but it’s scalable too. However, I would argue that it’s not quite as scalable as affiliate marketing as there are only so many businesses looking for a specific service. 

That doesn’t mean that you can’t scale. You can scale a drop servicing business into many little agencies for different purposes. 

For example, you could have 5 different agencies: 

  • E-Book creation agency
  • Advertising agency
  • Copywriting agency
  • SEO Agency
  • Video Editing & Creation Agency

Of course, this would be a bit later down the line, but you can build yourself up a real agency through drop servicing. In fact, you could build yourself multiple agencies that all do a decent amount of revenue. 

Other but important 

Lastly, I wanted to talk about things that don’t fit into the categories above, but yet. 

1. Policies, Terms & Conditions and Disclaimers

This is something that you will have to research yourself. For both of these business models you will need privacy policies and terms and conditions. Additionally, you will need affiliate disclaimers as an affiliate. If you are starting a drop servicing business, you will also need a refund policy for certain scenarios.  

2. Payment Processor

As I mentioned earlier, you will need a payment processor if you start a drop servicing business. So, make sure to go and research which ones would work for you. 

3. Business Licenses & Taxes

Again, something that you need to research yourself. This depends on your country, your state, and your situation. So, you will have to research these things yourself. Make sure to do this, before entering any business model. 

4. Risk Of Paid Advertising

Paid advertising carries risks. You should always only invest amounts that you can lose, or even are willing to lose. Each paid advertising campaign always needs planning, usually, it needs testing too. So, make sure to be sure about those risks involved. 

If you strongly want to go into paid advertising, I would recommend drop servicing. As somebody who does both of these business models, I have almost completely stopped running paid ads for affiliate marketing. Paid ads for drop servicing are a lot more effective. Especially, if you target businesses who are looking for these services that you are selling. 

Final Verdict

Both of these businesses are incredibly easy, compared to other business models. 

I hope that this article has helped you find the right business model for you. They are both great business models, so either choice is great. Personally, I like to do both, as I enjoy both of them. 

If you are in doubt, you should just read another few articles, go look at what some different content creators say until you can make a definite choice. Below are some recommended resources on both of these businesses that will help you get started. 

Recommended Resources: 

Start a Drop Servicing Business – Step-By-Step

Start a profitable affiliate marketing blog

Start a profitable affiliate email marketing business

How To Start a Drop Servicing Business | Full Step-By-Step Guide

Drop Servicing Guide Introduction

Have you heard of that new business model, the drop servicing business?

You know, where you sell services from Fiverr for 2x – 5x the price it costs you. That’s right 2x-5x the price.

In this guide, you will learn exactly how to start your drop servicing business and so much more… Including my secret to earning $2,000 every single month.

Oh, and did I forget? You will also see one of my personal drop servicing funnels. 

What Is Drop Servicing? 

So, what is Drop Servicing? Drop servicing is a business in which you sell services. 

Instead of doing the service yourself, you head over to freelance marketplaces such as Fiverr and buy it for a cheaper price. The difference between the two price points is your profit. 

 

Drop Servicing Business Explained

This process is also known as service arbitrage.

What Services Can You Drop Service

You can drop service virtually any service. I mean, all you are doing is selling the service for more than you purchase it.

  • Graphic Design
  • Web Design & Development
  • Writing
  • SEO Services 

I would recommend only sticking to one niche because then it is easier to advertise yourself in front of your target audience.

The Secret To $2,000 Per Month Through Drop Servicing

That’s all good, but do you want to know the secret to $2,000 profit every single month?

It’s selling services that help the business grow and/or profit. If you are helping the business owner make more money, what are they going to do?

Exactly, come back every single month.

You could be buying at $100 per month, and selling at $500 per month.

$400 profit per month. 5 Clients = $2,000 per month. 

Remember, you aren’t doing the work.

 5 clients are easy to handle. 

Examples Of Growth/ROI Services

Examples of services that help the business owner make more money:

  • Social media management
  • Advertising
  • Copywriting
  • SEO 

Business owners pay for more business. That’s how business works. 

If you need more in-depth guidance on niches, you can also read this list of best drop services niches. 

Where Do You Find Services To “Drop Service”

Main freelance marketplaces I use: 

Why do I not use the rest? They charge per hour.

That makes things extremely confusing. 

What Do You Need To Start A Drop Servicing Business?

A drop servicing business is a business. That means you’re going to need a couple of components. 

  • Sales Funnel
  • Payment Processor 
  • Traffic
  • Email Marketing

If you don’t have these components, you’re not any different from the sellers on Fiverr

If you’re not different, you can’t charge higher prices. 

How To Start Drop Servicing Guide – Step-By-Step

Ready to start your drop servicing business?

Good, let’s move forward.

Step 1: Finding A Service To Drop Service

First of all, you need to find your service. Head over to Fiverr or Legiit and find a service.

Here is a little checklist of things to look for:

  • 3 Different Packages
  • Average 4.8 – 5 Stars reviews, with at least 50 gigs completed
  • Fast delivery available

I will go more into detail about why you should look for these later. Basically, they will make you more money. 

Step 2: Building Your Drop Servicing Business 

Now, that you have the service you want to sell, we need to create the business.

Here we have 3 options. 

Option 1: Kartra (Recommended)

Software to build a drop servicing business

This is my favorite option. Why?

  • One-click upsells to make you more money.
  • Order bumps to make you more money.
  • Powerful email marketing tools to help you sell to 1 client, multiple times. 
  • Extremely Low Cost

And, you don’t need any technical skills to create the sales funnels. 

Kartra does a lot more than ClickFunnels, at the same price ($99 p/m) (better email marketing, better sales funnels, analytics, etc.). That’s why I didn’t include ClickFunnels.

Try Kartra For 14 Days

NOTE: For a limited time, you can get a 30-day trial, by using the instructions below:

  1. Use This Link
  2. Click “Start your trial”
  3. Once the page is loaded, pretend to navigate off the page (or switch tabs)
  4. Accept the exit pop-up that offers you a 30-day trial!

Option 2: Instapage 

The second option is Instapage.

It’s like Kartra but costs double the price. There are some added features, like advanced heatmaps. 

Although, I have never used or needed any of the added features. 

I just prefer Kartra, as it’s cheaper and easier to use.

Also, Instapage doesn’t have email marketing tools, meaning you will have to get an autoresponder too. 

Go To Instapage Pricing 

(14 Day Free Trial Available Too)

Option 3: DIY – Hosting + Thrive + SamCart

The last option is to glue together your own sales funnel. 

I’m talking about self-hosting a website and creating a sales funnel with a variety of different tools.

It works but it comes out at roughly the same price as Kartra and is a lot harder to do. 

Here’s what you need:

  • Hosting $60-$300 per year (Usually paid for 24 months+ upfront)
  • Elementor $49 Per Year
  • Carftflows $299  Per Month
  • Autoresponder $49+ Per Month.

This approach works too, but there is a lot of learning involved. It’s also quite annoying trying to get all these different plugins and tools to integrate with each other. 

With Kartra, it’s all in one platform. 

Example Of One Of My Current Drop Servicing Funnels

Here is an example of one of my current drop servicing funnels. You can’t see the domain, because else you can see where I am advertising with certain tools. I don’t want to drive the competition up as it’s working pretty well right now. 

The example below is with an extremely basic Kartra template and it converts so well. 

Drop Servicing Examples

I can buy this service for $30-$150 per month. Then I just use paid ads to advertise this exact funnel. Even if I spend a $200 on getting a couple of trials, I am super-profitable. 

Do you see how powerful this is? 

I also have an email pop-up that offers a 7 day trial for the same price that I buy the service for. This pop up doubles my conversions. And, I get their email address. 

I then use my Kartra follow-up to send them a custom email that contains a link to the 7-day offer. 

How I Make Even More Money Drop Servicing

Once, I have the business as a customer, I don’t stop there. I go and research their businesses and see what other social platforms they are on. It may be Pinterest, Facebook, or Instagram. Then I find another freelancer who offers a management service.

Then, I send them another page in a follow-up, but with a discount code. I still make $150+ p/m additionally. And, you can do this with every customer! 

Creating Your Drop Servicing Sales Funnel

Taking action is the first step to success. So, go and start creating your sales funnel right now!

Your sales funnel should:

  • Look ULTRA-Professional
  • Collect Emails (so you can sell repeatedly) 
  • Include Order-Bumps & One-Click Upsells

As I mentioned earlier, I recommend you use Kartra because that’s what I use. However, feel free to go with the other options. 

In the Kartra templates, go to the “long sales pages”. These convert like crazy. You need to edit them a lot & make them unique to what you are offering. I use the dark blue and yellow template in the image below a lot and just leave the colors as they look professional and convert well.

Step 3: Promoting Your Drop Servicing Business 

Did you create your drop servicing business?

Yes? Congratulations, you have a business.

No? Go back and do it. If you don’t take action, nothing will happen. 

How To Promote Your Drop Servicing Business

You are charging high prices, right? 

The people you meet in your local supermarket are not going to pay those prices. You need to advertise to people who need your service. How do we know if somebody needs your service? They are looking for it.

Luckily, with Google ads, you can advertise your business right there. Additionally, if you think you know a place where you could advertise instead, feel free to do so. For example, if your service is Pinterest managing, you could maybe advertise on Pinterest. 

Setting Up Google Ads

To make things easier, I linked a brilliant Google ads tutorial below. 

There are also some keywords to target below the video. You’re welcome 😉

Here are some keywords that you could consider:

  • (Service)
  • Professional (Service)
  • High Quality (service)
  • (Service) Agency
  • (Service) Freelancer

Keyword + free is looking for a free version so avoid this. 

Again, do this now.

The sooner you get started, the bigger your advantage. 

Drop Servicing Guide Step-By-Step Recap

Let’s recap everything you have learned. 

Step 1 – Picking One Service

First of all, you need to pick a service from Fiverr or Legiit.

Pick one that will help the business owner make money, then they will pay you more. And, they will keep coming back.

Step 2 – Creating Your Drop Service Business

This is the most important step. Otherwise, you can’t sell. 

I like to use Kartra. Again, this is up to you. You can also use Instapage or the DIY method. 

Step 3 – Advertise 

Once your drop servicing business is ready, you just need to feed it with interested visitors. 

The keyword is interested. That’s why I recommend Google ads. 

Tips For Your Drop Servicing Business

Before you start, read these tips. They will help you sell more!

Tip #1 Upsells

Create upsells in your funnel/store which could include

  • 24 Hour delivery
  • A relevant service
  • Revisions

Your Fiverr “contractor” offers 24 Hour delivery for $5?

Add it to your funnel for $20! You are your own boss here and if your site looks professional then it’s all possible!

Tip #2 Profit Margin

Focus on having a professional website and then sell the service for at least 2x – 5x higher than what you are paying.

This will pay for your advertising and give you a juicy profit. 

Tip #3 Know Your Service!

Make sure you are a little knowledgable about the service that you are selling.

This will allow you to create a more professional store. If you don’t know what you are selling your clients will see once they visit your website!

Tip #4 Back Up!

Have one or two backup sellers!

Sometimes, in the case that someone doesn’t respond you need to have a back-up seller who can fulfill the service! You will always want to be one the safe side of things, so don’t ignore this advice.

The Drop Servicing Business Model: FAQ

Does Drop Servicing Work?

Does drop servicing work? Yes, drop servicing works. However, it is a business which means it does require some initial research before jumping in. It all relies on picking a profitable service and advertising it to somebody who values it higher in the right place, at the right time. 

Is Drop Servicing legal?

Is drop servicing legal? Yes, you are just outsourcing the work to a freelancer. There is nothing illegal about it. However, it’s worth telling the freelancer what you are doing to see whether they are okay with it.

Is Drop Servicing Profitable?

Yes, drop servicing is profitable. Selling a service on its own is profitable. Drop servicing is even more profitable because it’s scalable. As you are not completing the service yourself, you could easily handle 10 clients. That makes it extremely profitable. 

How Much Will Drop Servicing Cost?

Drop Servicing is one of the cheapest businesses out there. You can run the entire business on Kartra for $99 per month. 

So, your entire cost is $99 per month + ad spend. 

What are the limitations of Drop Servicing?

The limitation of drop servicing is that you are liable if there are problems. 

For example, if your freelancer delivers late or doesn’t deliver, you’re liable. However, you can cover yourself with high-profit margins & backup sellers.

What Are The Best Services For Drop Servicing?

The best services are those that give the business owner an ROI or help them grow/sell.

These will make them keep coming back so that you can sign them on a recurring contract. 

You May Also Like

Drop Servicing vs. Affiliate Marketing – Which One Is Easier?

Drop Servicing: Summary

Drop Servicing is one of the easiest businesses there are.

You don’t need any technical skills or even experience. It’s a great opportunity for beginners. It’s basically like dropshipping, but with services. 

In this article, you have discovered:

  • My secret to banking $2,000 every single month
  • How to start a drop servicing business that’s profitable
  • What a sales funnel needs to convert
  • Where to buy services for your drop servicing business

Damn, you learned a lot. I think that this article deserves a little share, right? 

If you need any help, make sure to leave a comment!