One Product Store VS General Store- Best Choice in 2023

Dropshipping has always been a thriving business model, and with time, it has evolved into something more exciting. It changes the idea of working and comes with interesting ideas. While General product stores have been the go-to option for many entrepreneurs, and they have been successful too, Shopify has introduced the concept of a One Product Shopify Store, which comes with its own unique benefits.

With both options available, it has created confusion about which one to choose. However, understanding the benefits of each can help you make the right choice for your business.

In this article, we’ll explore the pros and cons of each option to help you make an informed decision.

What is One Product Store?

A One Product Shopify Store sells only one type of product in a specific niche. If a website sells portable blenders and nothing else is a one product store. This way, the store can target customers who are looking for that product and convince them to buy it. This can lead to more sales and higher profits. For example, Kulala is a successful one product store that sells a baby sleep lamb, a specialized sleep aid for babies. It allows them to showcase the unique features and benefits of their product. By targeting new parents who are looking for a safe and effective way to help their babies sleep, Kulala is able to position itself as a successful brand in this niche market.

Advantages of a One-Product Store:

Higher conversion rates

By focusing on a single product, one product store can optimize every aspect of its website, branding, and marketing materials to create a compelling customer experience that can lead to higher conversion rates. In fact, with a One-Product Store, you have the potential to exceed the industry standard conversion rate of 3.3% , as reported by Shopify. When customers see a website dedicated to the product they’re more likely to make a purchase.

Focused marketing

Since the store only sells one type of product, all marketing efforts can be focused on a particular target who are most likely to buy that product. Which can make your marketing efforts more effective, higher conversion rates, and ultimately, more sales.

Easier to manage inventory and fulfillment

With a One-Product Store, managing inventory becomes simpler as there is no need to track a large number of SKUs or operate a complex inventory system. Fulfillment also becomes more streamlined since there is only one product to ship out.

Easy to Manage and Optimize

The simplicity of setting up and managing a single product store makes it ideal for newbies to e-commerce, as well as making it easier to optimize for conversions.

Branding

Branding becomes easier when it comes to selling a single product. Customers learn what you’re selling and they receive what they are searching for. With just one product to focus on, it’s easier to create a strong brand identity that resonates with your target audience.

High Productivity

If you sell a single product, it will take less time setting up accurate prices. Creating attention grabbing descriptions reach a wider audience and increase sales.

Disadvantages of a One Product Store:

While there are many impactful advantages, you will see a few disadvantages as well.

Limited product offerings

No matter how cleverly you prepare a single-product store, you will always have limited product offerings. As a result, there is no opportunity to upsell or cross-sell other products to customers. This can potentially turn some of your customers away who are looking for a wider range of products.

If you consider opening a One-Product Store, ensure that there is enough demand for your product to sustain your business.

Potential Risks for One-Product Stores

With a One-Product Store, your entire business is reliant on the success of a single product, making it vulnerable to sudden market changes and shifts in consumer preferences. It’s crucial to have a plan in place for how you will adapt and pivot your business if necessary.

Additionally, there is a risk of product saturation in a One-Product Store. If too many entrepreneurs start selling the same product, it can lead to oversaturation in the market, making it challenging for any one business to stand out and attract customers.

Budget

Operating a One-Product Store can be challenging, especially for those with a limited budget. A single product may require a significant investment in terms of production, sourcing, and marketing.

Experience

Running a one-product store can be challenging for newcomers to the industry, regardless of their resources. One-Product Store requires a certain level of experience and expertise in the industry. Without this knowledge, it can be challenging to identify trends, promote the product, and resolve any issue.

Overall, a one product store can be a successful and profitable business model, but it’s important to carefully weigh the advantages and disadvantages before making a decision.

A Comprehensive One Product Shopify Store Guide.

How to Make Your One Product Store Profitable?

If you want to run a successful One Product Store, you need to follow some best practices that will set you apart from your competitors and help you boost your sales. Here are some of the key factors that you need to consider:

Product Selection

To choose a product for your store, you need to look for three things: high demand, low competition, and good profit margin. You also need to make sure that your product meets need, or fulfills desire for your target audience. You can use tools like Google Trends, Amazon Best Sellers, or AliExpress to find potential products.

Design

Your store’s design is crucial for creating a good impression and attracting customers. Most visitors make a quick exit if they don’t find a suitable, eye-catching theme and design. You also need to optimize your store for speed, mobile-friendliness, and user experience. If you are not skilled in design, consider hiring a Shopify store design agency or professional designer for an eye-catching and optimized store design.

Review

Your customers want to see social proof before they buy from you. They want to know how other people have benefited from your product and what their experience was like. You need to display reviews from your previous buyers in your store. This helps build trust and drive customers to make a purchase.

Marketing Strategy

You need to promote your product and drive traffic to your store. You can use various marketing channels such as SEO, email marketing, social media marketing, influencer marketing, or paid advertising. Test and measure your strategy to increase customer value and traffic .

What is a General Store?

A General Store is like a magic box, filled with a variety of products rather than focusing on a specific niche. It’s a one-stop shop for all your needs, making shopping a convenient and enjoyable experience. Certainly! Inspire Uplift is an example of a general store that has gained popularity in recent years. They offer a wide range of products, including home goods, electronics, beauty and skincare, and even pet products.

The following are the advantages of a general store:

Wide audience and products

A general store offers a unique advantage as it caters to a diverse audience with different interests and needs. By providing a wide range of products across multiple categories, it can attract customers who may not find what they need in specialized stores.

The vast selection of products offered by a general store provides customers with a plethora of choices, ranging from fashion and accessories to tools and more. This can make it an appealing option for customers who prefer to do their shopping in one place and value convenience.

Testing

A general store allows for testing multiple niches and products. This can help in identifying the most profitable products or niches and refining the store’s offerings accordingly. By analyzing sales and customer behavior, store owners can adjust their product selection and focus on long-term success.

Ability to capitalize on trends

A general store can easily follow and profit from new trends by offering related products. It can also change its product lines when the market or customer preferences change. This way, the store can stay up-to-date and competitive in the long run.

Easy to set up

Setting up a general store is relatively easy and affordable. You don’t need to be an expert in a specific niche, unlike one-product stores.

Flexibility

A general store can adjust prices to stay competitive, as they are not tied to a specific product or brand.

However, general stores also have several disadvantages, which include:

Manage and Optimize

Managing and optimizing a general store can be challenging. It requires careful planning and execution to research and select high-value products from a vast array of options. Otherwise, it can result in lower profits and missed business goals.

Intense competition:

Intense competition is a major challenge for general stores, as they must compete with large marketplaces like Amazon and Etsy, as well as other online and physical stores. Additionally, the lack of focus on a particular niche or target audience can make it difficult for general stores to rank for keywords and generate organic traffic, adding to the competition.

Marketing:

Marketing a general store can be challenging due to the wide variety of products, making it difficult to target a specific audience and establish a unique brand identity. As a result, general stores may need to invest more in advertising and marketing efforts to stand out in the crowded e-commerce market.

Lower conversion rates:

General stores tend to have lower conversion rates than niche stores because visitors may not have a clear intention to buy. They may browse or price-shop without purchasing, or they may get overwhelmed by the variety of products and leave the site. As a result, general stores need to work harder to convince visitors to become customers and increase their sales.

Which one to Choose?

After exploring the pros and cons of a one-product store vs a general store, the decision ultimately comes down to your goals, budget, skills, and preferences. If you feel comfortable taking on the potential risks and challenges of a one-product store, it may be a good option for you. Alternatively, if you’re a beginner and lack specialized knowledge in a single niche, a general store may be the better choice.

When making your decision, don’t forget to consider some key factors that will affect your success. Things like your niche, target market, product sourcing, branding, marketing, and customer service are all important to think about. And don’t be afraid to do some research and testing to find out what works and what doesn’t. Take your time, weigh your options carefully, and make an informed decision that suits your business needs.

Therefore, it might be wise to consider hiring experts or seeking help from a successful agency that has proven experience in running both one-product and general store for others.