 Is the US the best country to dropship to? When it comes to learning about dropshipping, the educational space on YouTube, on Facebook, it's very highly dominated by US creators. So it's almost a given, almost an assumption that when you are dropshipping, you should dropship to the US. But today I'm going to show you some facts, I'm going to show you some figures, I'm going to show you some conversion rates, I'm going to show you some average order values by different countries. So you can make your own mind up whether you think the US is the best country to dropship to. At the end of the video as well, I'm going to show you a case study from a Shopify store that did $2.2 million in sales. And we're going to be having a look at their country by country breakdown of conversion rates and average order values. So you too can make up your own mind about what the best country to target is for you. So first I want to show you CPMs, the average CPMs of Facebook ads. So this is taken from Statista.com, a very reputable source. So you can assume that the numbers you see in here are fairly accurate. And this is the CPM. So basically what a CPM is, it's the cost of displaying your ad creative somewhere on the internet on somebody's device a thousand times. So it can be on somebody's news feed on their mobile phone. It can be on somebody's news feed on their desktop. It could be on a third party website. Basically it's an impression and impression is basically your ad appearing somewhere and a cost to do that a thousand times. And this is broken down country by country. And the values you see here are in US dollars. So what we can see at the top of the list is the United States at 35 followed by a close second for Korea, which is 33.5. So basically what this means is that out of all of the countries on this list, the United States is the most expensive. It's more expensive than Australia. It's more expensive than Canada. It's more expensive than Japan, United Kingdom, Germany, Singapore, France, so on and so forth. Now what we do have to take into account is this is Facebook ads as a whole. This will not just be dropshipping ads on Facebook. It will not just be one certain niche. This is Facebook ads as a whole. So whilst we can see the United States is at 35 dollars, we can see that France is at 11 dollars. So almost every dollar you spend in France, you would have to spend three in a bit to reach the same amount of people in the United States. So that begs the question, is it better to advertise to a European country or to a country that isn't necessarily English speaking? Now you might be thinking, well, if they're not English speaking, I don't want to have to go to the hassle of translating my website, translating my creators. I don't speak a second language. Does that mean that I can take advantage of some of these European markets like Germany, like France, like Italy, like Spain, even though I don't speak their language? So this is where I want to draw your attention to the English Proficiency Index. This is taken from last year, and these are global rankings for different countries that basically have different levels of proficiency in English, so reading and writing the English language. If we focus our time and attention to the countries that have a very high proficiency, this is going to make sure that we're displaying and advertising and sending to people who still understand very clearly and are used to and accommodated to seeing ads in English and feel comfortable shopping on a website. That's in English. So we have the Netherlands, Austria, Denmark, I skipped Singapore because it's not a country you'd want to drop ship to, Norway, Sweden, Belgium, Portugal. The postal system in Portugal can be a bit dodgy as well. South Africa, Germany, Croatia and Greece. They might be thinking, yeah, well not everybody in those countries speaks English. Correct. So what we can also do is that when we're tagged in on Facebook ads, we can select a certain country and then we can select a certain language too. So if we go for, let's just put the Netherlands in, seeing as it was at the top of the list, we can remove United States. And we can see 11.2 million people and to make sure that we're only going to target those people who understand English, we can come down into languages and we can put all and this gives us an audience size of 6.9 million people. So as you can see, it's filtered correctly. It's got a rate of three or four million people to make sure that we're only targeting those people who have a clear understanding of English. So by now we know that it's cheaper to advertise to different countries. We know how to advertise to different countries and make sure we're targeting those who are going to understand an English website. What about conversion rates out of all of these different countries, which is the best one to target? So let's take a look at this drop shipping case study. So to give you some background and contextual information, this is a US drop shipper who was agreed to share his Google analytics for a drop shipping case study in the USA. They don't disclose his store name for obvious reason, but they do say that he's selling a wide range of women's and men's clothing and accessories. All of his products come from China and are drop shipped using DS's Aliexpress drop shipping, which is very, very interesting. The store offers standard delivery options, 14 day delivery to the US and 30 plus days to other countries. His website is in English and has never been translated into other languages. So this is a purely English website that is targeting worldwide. The website's support is also offered in English only and the majority of traffic comes from Facebook advertising. So this is Google analytics information that's doing the tracking. However, all of the traffic is coming from Facebook. The chart below represents the statistics of more than two and a half million visitors to a site and includes only countries with 100 plus orders. So the top 20 countries were Denmark, Australia, Norway, Ireland, Finland, all the way down to Italy. And his revenue for this period was 2.2 US million dollars. We can see very clearly at the top, Denmark is the highest conversion rate at 4.67%. If we come down the list and look for United States, we can see the United States here at 3%. So not only is the United States more expensive to advertise in the first place, it also converts less than some of these cheaper countries as well. Now, you might be thinking, yeah, well, it doesn't convert as well, but people in the US, they have more money. So they spend more money. However, that is not the case if I draw your attention to this statistic. So in this specific drop shipping USA case study, the US is not even in the top 20 countries for average order value. In fact, the average order value in the US is only 39.29. So that in itself is some insight into the kind of price range of products you can be thinking of selling. If we have a look down through the statistics, then we can see the United Kingdom in 20th place at 4197 and Austria, Switzerland, Norway, Sweden, Belgium, Poland, Denmark, Finland, Italy, Ireland, Germany, all of these European countries that are cheaper than the US. They convert more than the US and people spend more than the US as well. And just to put that into numbers, into value, what that means to you as an aspiring drop shipper, out of 100 visitors from Norway, you would receive 3.54 orders of $51.25 in value each. In other words, 100 visitors is about $181.43. If you compare this to the US, out of 100 visitors in the US, you'd only receive three orders because obviously conversion rate is lower. The average order volume, the average order value, sorry, is also lower at 39.29. So that 100 visitors would be worth $117.87, basically $64 less. That's a significant difference for just 100 visitors. And as it says here, if you have 1000 visitors per day, you're leaving almost $650 on the table each and every single day. So where this applies to you, if you've had a go at dropshipping up to this point and it's maybe not worked out for you, it might be a case that you have a brilliant Shopify store, you have a brilliant product, you have a brilliant ad creative, but perhaps you're just tagged in a country that is too competitive for the level of business that you've created. What you have to remember is that CPM, cost for 1000 impressions, is a direct reflection of how competitive an audience is. Facebook is an auction platform. So it's kind of like the eBay, but for impressions. The more people trying to buy a certain listing on eBay, the higher the price goes because the more people interested in it. It's the same on Facebook. The more people competing for an impression in the same audience that you are, in the same country you are, et cetera, the higher it's going to drive that price, the higher it's going to drive that CPM. So the difference between success and failure for you could just possibly be changing the country that you're tagged in and nothing else. And with that being said, guys, that brings an end to today's video. I hope I've given you some ideas. Hope I've got your creative juices flowing, sparking some new interest and new ideas for your business. Before you go, I just want to leave you with a very quick message. If you are sick of courses, sick of watching dozens and dozens and hours and hours of YouTube videos not knowing how to string it all together and you would much prefer to work with somebody on a one-to-one basis to help you through the entire process of finding a product, building a store, introducing you to a local supplier and launching your business, some profitable and scaling your ad campaigns, then you've got to check out my mentorship program. In the video description down below, you'll see this mentorship link. It'll take you to a series of questions of six or seven questions or so. I put a barrier there before my calendar appears to filter out all of the people who aren't serious about this. I'll be upfront and honest with you. I only want to work with you if you are serious about building a life changing dropship in business and you are ready to commit to doing so. If that is you and you're serious about doing this, make sure you go and click that link now. Answer those questions. It's a chance for me to get to know where you're at now, where you want to be in a couple of months' time so I can see if I can help you achieve that. For example, if you put in there in two months' time, I want to quit my job and retire my parents and drive around on a Lamborghini. You won't be able to get to my calendar. You won't be able to book a call because I don't want to speak to you. Whereas if you want to get your business launched and scale it up to 5-10k months and have the information and confidence to go beyond that, you are my ideal person because you have a realistic goal and you are committed. If that sounds good to you, head over there now, book in a call for a time and date that suits you and I'll talk to you then. Cheers.