I Tried Dropshipping With Claude AI.

Brief Summary

This video follows a challenge of using Claude AI for drop shipping to determine if it is a legitimate strategy or a scam. Key points include:

  • The process starts with selecting a viable product by using AI to find high-margin, problem-solving items.
  • The creator explores setting up an online store using AI tools and discusses the outcomes of the marketing and sales efforts.
  • Ultimately, despite making a sale, the overall results were negative, prompting reflections on the effectiveness of relying solely on AI.

Starting the Drop Shipping Challenge

The video begins with the creator announcing the challenge of investigating drop shipping with Claude AI. The goal is to find out if this method is legitimate. They begin by choosing a product, specifying they want something that addresses a real problem, has a profit margin of $30-$50, and sufficient existing content for promotion.

Finding Winning Products

The creator reviews scripts from popular videos on Claude AI drop shipping. They request product ideas from Claude AI, emphasizing the importance of finding products that are not oversaturated. Claude suggests red light therapy and other items, but the creator points out that many are already saturated. They prioritize low competition products and brainstorm further with Claude AI, seeking out innovative ideas.

Product Research and Analysis

After further analysis, the creator settles on the sauna blanket and a back stretching device as potential products. They ask Claude AI for competitor links and TikTok videos to assess market saturation, concluding that while a device was somewhat saturated, it still serves a significant purpose. They research pricing and note the selling price as $59 while the cost is about $20.

Building the Online Store

The process of creating an online store begins with using the Atlas AI store builder, as Claude is considered ineffective for store creation. The creator discusses setting up product pages based on existing AliExpress products. They utilize templates for the best design flow and aim to modify details later with a focus on how to appeal to the customer’s needs.

Creating Compelling Content

Once the store is set up, the creator uses Claude AI to generate copy for the product descriptions, focusing on the pain points customers experience and how the product can provide relief. The copywriting aims to engage customers and outlines a structure that highlights both the issues and the solution the product offers.

Ad Creation and Testing

The creator assembles ad content, including videos and images sourced from competitive products and uses Claude AI for ad copy and descriptions. They decide to use Facebook for advertising and set a daily budget while targeting several English-speaking countries.

Sales and Budgeting Update

After running ads, the creator updates that they have made their first sale and are possibly profitable. However, as time goes on, spending on ads rises without additional returns, leading to a significant loss from the initial investment.

Final Results and Reflections

In concluding the challenge, the creator summarizes their findings and the overall loss incurred during the process, highlighting that AI alone cannot successfully run a drop shipping business. They emphasize the importance of practical approaches alongside AI tools, recounting successful examples from their students and advising viewers on maintaining focus in their business endeavors.

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Transcript

Full transcript of “I Tried Dropshipping With Claude AI.”. Click a timestamp to open the video at that moment. Need another video? Use the YouTube transcript generator.

0:00 Okay, so drop shipping with Claude AI is the most trendy topic now. Today, it's time to investigate it. Over the next couple of days, we're going to be trying drop shipping from scratch using the help of AI and the other YouTubers' videos. I've gotten all the prompts and doing all of this to get the answer to one specific question. Claude AI drop shipping, legit or scam? Let's find out and start by choosing our product. >> [music] >> All right, so I've gone through all the top videos on Claude AI drop shipping. I've also found a lot of scripts or prompts as we call it. Many of these are pretty good, but you know, when you look at this, don't you think that maybe it's a little bit unnecessary? I don't know, we'll find out. We'll keep it simple first. Hi Claude AI, I need a winning product for my drop shipping store. I need something that solves a problem that makes people's life better. So, I

0:46 don't want some gimmicky cheap products that just have the wow factor. I need something that actually helps, okay? It also needs to have $30 to $50 profit margin. I do not want something cheap because Facebook ad costs are kind of expensive. Now, number three is very important. The product has to have content out there. So, ideally you research TikTok Shop, Facebook Ad Library. You find trendy products now, not the most selling ones cuz those are already saturated, but something that's upcoming right now on TikTok Shop, Facebook Ad Library, Instagram. Find me drop shipping products that I can sell that fit this and that has content available, okay? With that done, let's see what he says. Red light therapy, best overall. Smart posture corrector. It's really saturated. Okay, man, you're finding a lot of saturated stuff. Can you just send me the links to them as well? I'm going to need a competitor

1:31 link so I can actually check the product. Okay, when you send that, can you also send the TikTok Shop link so I can see some videos? All right, we just got links for all of the products from TikTok as well, so we can do some competitor research, see if it's saturated or not. Oh, wow, this product is smart, but I don't think it's anything new. Look, when I try to find winning products, especially with TikTok, I want to make sure that there's not more than like five to seven big stores selling it. So, what do I consider a big store like a big viral hit? So, for example, this one with 13k, this one with 43. I do consider that real competition. So, we're already counted two, and ideally we want to find something that's not too saturated, right? But, we're also going to be using Claude to think a little bit outside the box. Not every product is too saturated. It's more so about how you think about it. Okay, can I do face lifting overnight?

2:18 Hmm, that could be something. It is also quite saturated. Nah, man. Well, now you're once again finding Wow factor products that don't serve any real purpose. I still need those high margin problem-solving products. You're forgetting everything I've told you, man. Okay, so I'm trying to prompt instead of that. I think now it's going to be maybe a little bit mixed with the prompt and what I said earlier. I think I took this one. I'm not sure whose video it is from, but shout out anyways. It's giving me a lot of info. Now, here's my completely honest opinion. I don't know if Claude AI knows exactly this. There's someone who's made a pretty good amount of money with drop shipping. Um, these stores done 185k last month alone. I will have to say that it really doesn't have to be this advanced, but we're still going to go with it as the challenge is to use Claude AI. So, a sauna blanket seems like quite an interesting product. Okay, give me links for the sauna blanket, air compression

3:05 for legs. Give me links for the electric foot massager, or a heated back stretcher. >> [music] >> So, Claude recommended us this product right here. I'm not sure why my piece is in Arabic and everything is on the right side. I bought this in uh Dubai um a day ago. I don't know anything about Max, but he recommended this product. It does have a great margin. It is some sort of a back stretching device. I have seen it before. Claude is not very good at product research, okay? That is the first conclusion I'm getting from this challenge, and the product is the most important thing of drop shipping, so yeah, we'll see. But, I'm telling him to find content and competitors for this exact product. So, on TikTok, there is some videos of this product. It doesn't seem to be too saturated. I have seen it though a few times, but I do think it's a great product that actually does help

3:51 people a lot. So, we are going to sell it. Uh we can buy it for 74 on AliExpress. USD, that's going to be $20. We could easily sell this for 59. Let me do a bit of research on the exact product to see if there's any content available for ads. Okay, so I'm heading over to Winning Hunter right now, which is a product research software. I'm going to search it up. I don't think Claude AI can do this exact thing, but the reason Winning Hunter is good is because it takes all the ads that's live on Facebook. If you find these winning videos here, we have so much content that we can work with. And I'm really happy actually because there's loads of stores selling this. It is a bit saturated, but do keep in mind that I'm just trying Claude AI drop shipping. I am not trying to become a millionaire. I'm making an investigating documentary to see if Claude AI drop shipping works.

4:36 So, to build out this store, we're not going to use Claude. It's much better to use Atlas, which is an AI template builder. I'm using Claude more so like the other YouTubers show, which is kind of like the brain and thinking for us. But we're going to create the template itself with Atlas. So, the first thing you're doing in that case is you just grab the link from AliExpress. You head over to Shopify. You get the Atlas app, which you can find right here, Atlas AI store builder. I will link it in the description so you can get a discount. I partner with Atlas. It's what I use on all my stores, including this big store that I showed you earlier. We're going to create a product page first. We'll do our home page later. So, create product page right here. Then we're going to put in the URL of AliExpress. Drink some wellness juice, lemon, ginger, and cayenne pepper. Going to help me live past 100. Product is here. We're going to confirm it. So, when you come in here, of course you can let Atlas select

5:23 for you, but I like to use the templates, okay? So, I'm going to give it the best chance. I used the beauty template no matter what I'm selling. This template has the best flow. We just have to change some of the colors, and then we will use Claude AI to fill in the copywriting and everything, but let just let AI do its job. Now we're going to build AI store pages. All right. Atlas store builder is finished. Let's see how it turns out. Of course, we have to change things. It gives us only the template. Here we can fill in like different health magazines. Here we can fill in customer reviews. Here we can fill in all the different viral videos from Winning Hunter. Once I tweak this, it's going to look really nice. But I'm just going to go ahead and publish it and then we're going to tweak it. So, here is the product itself. First thing I'm going to do is just get rid of a few of the ones I personally don't like so much, which is the scrolling

6:10 images. Oh, this is nice. This flows perfectly. So, we'll make Claude put in text for this. We are going to replace the pictures, don't worry. The product card, I'd say we can take that out as well. I'm going to also take out all of this and then rather add something later. I think this is going to be the end. I do feel like that comes off maybe a little bit desperate. So, I'm going to get rid of that as well. All the things done. And here you can see how the story is actually going to look and then we're just going to spam a bunch of reviews on it. So, let's save it really quick. Colors will change later. Name will shorten. I'll now go ahead and grab the website link. I'm going to send over everything to Claude AI. So, let's just put it in here. Here is my website. Write copy for the first couple of first

6:57 image paragraphs. Keep them 5 to 10 sentences long. The first part of the website, I'm going to structure this in two parts. Part number one is about the pain, right? How it feels to have this problem. Research the product, man. You know what the product is about. The pain of having it, how it affects your life, that you have maybe tried chiropractor treatments, you spend maybe X amount of money on the chiropractor, you keep coming back, you feel good for maybe a day, but then the pain comes back. We're going to try to get in the customer's head, you know, with the first chapter. The second chapter will be something like instantly feel supported in 10 minutes, how to use the product, whatever, how it can change your life, things like that. Right? So, we start with getting in the customer's head and all their issues. And then in paragraph two, we will get into how the product actually works and helped with

7:43 their life. So, this is exactly how I structure my copywriting for the stores. Okay, and just like that we've already been given some relatively decent copy. I mean, I'm not going to change too much cuz I want to see if you can get results actually just drop shipping with Claude. Yeah, that's a pretty good headline actually. I'll put that in right here at the heading. Your back has ruined your life. There we go. I'm going to grab all of this. We're going to fill it in here. Oh, it's long. It's long. It's long. Okay. Shorten this down. I will take it now and this is where I start to see some of you guys who messaged me with reviewing your drop shipping store. It's obvious that you are using Claude or ChatGPT. Okay, this looks exactly like many of them, but we need some effort. I'm going to highlight all the important words. All right. So, we went ahead and

8:28 highlighted some of those. Okay, now we're making part two of the website. So, let me just fill that in as well. There we go. Just told Claude that we actually need this one a lot shorter. Put it on work in 10 minutes. Perfect. We will just highlight some of the words. >> [music] >> And just like that Claude has filled it in. All we need to do now is just get some nice looking product images from our competitors. So, what I'm really looking for now is a good video of someone using it. This is just not a good video with the text under. I need someone who is actually holding the product. Like this one is perfect, but the text ruins it. So, if we could get something like that without the text, I'll see if they have anything on their website that we could just copy a little bit. Actually, this is quite good. I would not think that anyone owns it.

9:14 >> [music] >> So, this is how it's going to look now. A GIF explaining how the product works. I wouldn't say the website is the absolute best. I'm going to actually just tweak this a little bit on my own, filling the reviews and everything, and then I will get back on the camera. All right. It's the next day. The store is done. I'm also developing a virus right now. So, I'm really not feeling the best. Uh but here is how the store looks. It's not too bad. Uh Claude said that he couldn't make pictures. So, I had to make the product picture with Chat GPT. I sent him some different images from AliExpress. I figured we'd price the product at $59 to begin with, see how that performs. I put some different videos as well from Winning Hunter. I put up some health magazines. I took the text as you saw earlier. I also found a woman with the product. So, what I did is I just

9:59 downloaded the video of her. Let's say it's this video. I then went over to GIF Maker turn that thing into a GIF, put it over my website, then I have some social proof here, some testimonials. I still have to add two more. I haven't done that, but I'll do that right after this. And that's actually how the store is going to look. Am I confident in this? To be honest, not so much. I feel like Claude hasn't done the best job, but we're just testing it to see if it works. Next thing I got to do is head to the bank for a deposit. Oh, I got $100,000 in cash that is going into the market today or over the next couple of weeks because as you can see here Bitcoin has fallen a lot. Well, maybe it will fall 10% more, but I really don't care. That can easily be turned into 200k. I also have money invested in multiple different things. So, I figured now is a

10:46 great time to buy. Ready to go to the bank with a virus working on the drop shipping challenge. And I also wanted to say that I teach this. The store I'm about to show you is my student's store. He found a winning product made the 27th, instantly scaled to 1k a day, peaking at 2k a day right now or 1.9k. We're just figuring out better shipping for him. 8k in upcoming payouts as well as this [music] store right here, which is also one of my students who did over 185k in sales. Here you can see what some of the different students are saying. Joining Henry's course has been one of the best decisions I've made. Here you can see he did 625k within just a week or something. Yeah, it took me less than 2 weeks before hitting profitable days and now moving into the scaling phase. Many happy people. Nicklas as well has absolutely crushed it. He did 80k on one of his stores. This is in profit. Here you can also see tons of different

11:31 students crushing it. Pause and read this message right here. Nicholas as well, 12K. Norma hitting her first $900 a day. Ricardo his first 1K product of the year. Someone sitting their first sale. As well as Nick closing one of his stores at 80K profit. In the program you also get access to a full course which has all the content you're going to need. Exactly how to run your ads, how to set up the store. You also got access to me everyday. You can drop me a message, anything you need help with. I can check your store, your products, anything. That's going to be the first link in the description. We also have weekly calls there. Or if you want to work with me one-on-one, drop me a message on Instagram right here. So now, let me go to the bank, sort that out, and then we will be running the ads, and hopefully tomorrow make some money. So, what I've done now is I've downloaded all of the trendy videos that I could find on Winning Hunter. Here's a video of a guy that is using the thing.

12:18 It's like a testimonial ad. Builds a lot of trust when you see a real person just genuinely recommend the product. There is also a woman holding it. So these are type of ads that actually do perform very well. I also asked Claude AI to make some prompts that we're going to send to Chat GPT. He did send me these exact prompts. I just copy-pasted them into Chat GPT. He started making some photo ads here. This one I feel like is very obvious AI. this one that's actually decent. This one is decent. This one black I don't really think fits so well. This one is super good in my opinion. Overall, I don't think AI is good for making ads, but we're going to give it a chance, you know, we're just trying Claude AI to see what this is about. But what we're going to do now is we are actually going to head over to Facebook and start setting up our ads. So, over to Facebook we go. I'm going to use Facebook for advertising here. It's the best ad platform. I'm going to go for sales. This is how I always test any

13:03 products. We're going to start a new campaign from scratch. We're going to start at $50 a day. We're just going to skip to the next page. Anything I don't touch, you don't have to worry about either. Uh we're going to optimize for website. Conversion event is going to be purchase. I'm not going to mess with anything more here. I'm not even going to schedule it cuz I want this to just start running as soon as possible. You don't actually have to schedule your ads. For the country, I'm going to choose Australia. I'm going I'm going New Zealand. I'm going to do US, United Kingdom, and Canada. So, that's going to be the top five English-speaking countries. This is a good setup. You can do this or US only. Both are completely fine. We're going to head next. Once I come in here, I'm going to set up my website URL really quick. I'm going to go ahead and switch the call to action to shop now cuz we're aiming for sales. For the media, I'm just going to I'll say I'll add all my pictures first. These are already in the ad account and

13:50 uploaded, so we're going to go for this one first. You can see here how it actually looks. I then asked Claude AI to give me a short headline for the ad copy. Which one should we go for? This one is good. Stop managing the pain, fix it. That's good because truthfully most people manage. Turn this one off all the time. You never want to be going with that one. The headline I'm going to put stop managing your pain and fix it. For the description, we're just going to go with whatever Claude recommends. We'll just go with this one, option number three. It's the most urgency. That's going to be the description. And now I'm just going to upload all my photos, so I'm going to duplicate this one I think three times. And just like that, all of our ads are set up. So, we got four different photos, and then we got all these types of videos. Most are tailored towards women because I feel like that's going to perform a lot better as the website is run women. But, we got a

14:36 couple of videos. We got a couple of photo ads. We're going to see which one works the best. Here you can see the campaign setup itself though. I'll be testing 10 ads, four pictures and six videos. So, hopefully tomorrow will be profitable. I'm going to go relax. We'll let the ads run, and we will see how it turns out. All right, it is the next morning, and just look at that. We have made one sale for $59, and I think we're even profitable. Now, I'll be very honest. I did not think that was actually going to happen. Now, looking at our ads, we might be profitable. So, this ad specifically I spent just $6 to make a sale. Sorry, I'm a bit shaky. I got to get some food. We have spent $35 to make $59. Now, I can't remember how much we bought this product for. I will check at the end of the challenge, but I believe it was no more than $20. So, I think

15:23 we're in profit with at least $5. >> Also just deposited another 5K to my investment account, which is now sitting at $43,000. So, that means the last week alone I have invested 23,000. I'm going to do another 10K before the day ends. So, that's going to put me at uh 53K, 30K in a week. You know, for the longest time I just kept all my money in my bank account and spent it on so much stupid stuff. $7,000 a month in food delivery. Things that I didn't really need. I wish I would have started sooner, but my goal is to do minimum 10K a month. This month we have already done 30. So, or after the one that's coming today. Minimum 10, ideally 30, 40K a month. I think I can do it and if I ever have a, you know, a bigger month I can do like 60 invested [music] and yeah, just as much as possible because that's

16:10 what I think is going to separate the people who are doing good now versus the people who are doing good in 10 [music] years, you know? All the people you see in Miami who make like 30K a month and really it's like 15 or 12 cuz they're just lying about their income. They are probably going to be out of business in a year from now. So, I don't care about Lambos and all this flashy stuff for the moment. I just care about, you know, building billion-dollar business even though that sounds crazy at the moment, but if we keep this up we will get there. So, I'm just going to be as smart as possible. In 2 years from now you will see on the channel. I think we're going to have come far. So, I will update you on the challenge in the morning and we will wrap up the results. But for now we're profitable. Let's see how it turns out. So, it's not looking good for the challenge anymore. We have now spent $70

16:56 on ads and we're still sitting at one sale. So, we have lost, quick maths, maybe $50 on this product. So, I asked Claude to save the business. I tried to run the creatives. He told me nothing worked with ChatGPT. So, he gave me some pretty good advice. Multiply that one working video. That's actually exactly what I would personally do as well whenever you have something working. 30% of your ads can be new, the other 70% can be just remakes of the other one. So, I'm going to start editing the video, switching up the hook, putting text over on the one that was actually performing. And yeah, let's get to work. All right, so I need to go now very soon. I'm going to the movies, but here's what I'm working on. It's not done. I have to lock in for a little bit, but I'm just testing the same video. I have very little content. I I will improve all of this. I'm just showing you the thought process. It's going to look better. So, first I'm trying the same thing just with

17:41 captions, which does suck a little bit that she has put text there. But, I'm just remaking the video in all different types of ways I can. I'll put some offers in it. I will try with some music. I will try with some different hooks. And I'll launch the ads. I probably won't be here showing you that cuz I'm going to hurry up now. But, I'll launch that thing and give you an update tomorrow. All right, guys. So, that actually marks the end of the Claude AI drop shipping challenge. So, here as you can see, we got the first day of the store. We made a sale, $59, super nice. And then I run it for 1 and 1/2 day longer. So, here we got the lifetime results of the challenge. The new videos did not work out too well. In fact, AI didn't even sell. It was a video I took. So, with Claude we would have actually made zero money. Now, looking at the ads, we spent

18:27 $70. The product cost is 15. So, we made $59. We spent $15. No, sorry, $11 according to Claude fulfilling the actual product. How's the hair looking? The hair cut today, but it looks like we're a bit cooked. Anyways, 11 on fulfilling and 70 on ads. So, the results are negative 22. See that for a challenge. That's not good, man. Money lost. But, is it ever money lost if it's a lesson learned? That is definitely something worth pondering on. The YouTubers, they use any trend, right, to get all the views. They have to show you the easy way to make money, right? So, people buy their programs, and then all the students end up losing money, and they get rich. Every viewer wants an easy way to make money, but every YouTuber wants an easy way to get views. And don't click off now. I'm going to show you some results.

19:12 If you outsource your entire business to AI, it doesn't work. The prompt, sure there's something to it, but really like they make things look so advanced, so you think they're genius and buy their course. But really, you don't need the most advanced prompts. AI is a good tool by your side, but it's not something that should outsource your entire business. What you should do is normal drop shipping with AI on the side. Here is a store from one of my students. He started in May and just after 7 days, he hit his first 1K day, and now his first 3 weeks drop shipping he's made over 22K. It's also super profitable. For example, the 9th of June, which is a couple of days ago, he made $850 revenue, and his profit was 259. That is really life-changing. That is almost 10K a month just from drop shipping. So, drop shipping works. Don't lose hope. Don't look at the next shiny object.

19:58 Just focus on something for a couple of weeks and you can be able to change your life, too. If you want to learn from me, I'll leave my program as the first link in the description. It's rated 4.9 out of five stars on Woop, meaning that every single person pretty much who's gone through this absolutely loved it. People have gotten amazing results. It's a very, very good program. Just watch the video at the top of the homepage and enroll because it can definitely change your life. So, with that being said, thanks for watching the video, and don't fall for this Claude AI thing.

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