I Tried Selling AI Art Ornaments For 30 Days

The video follows a 30-day experiment to sell AI-generated Christmas ornaments. Using Leonardo AI, the creator generates festive images and turns them into flat wooden ornaments, manufactured through Printful's print-on-demand service. The ornaments are listed on Etsy, an online marketplace for handmade goods. Despite early challenges with no sales and unexpected costs like VAT and off-site ad fees, the venture picks up in December. By the end, three ornaments are sold, but after covering expenses, the net income is just $35.10. The summary underscores the importance of starting holiday sales early, being aware of costs, and the potential for profit and loss in seasonal markets.

Takeaways

• 🎨 Use an AI art generator like Leonardo AI to create high-quality images for free.
• 📐 Design unique ornaments using a print-on-demand service like Printful, which handles printing, packaging, and shipping.
• 🛍️ Sell on an online marketplace like Etsy, which is popular for arts, crafts, and holiday gifts.
• 🔍 Use Etsy's search suggestions and keyword research tools to find good keywords for your listings.
• 💰 Price your ornaments competitively, aiming for a 30% profit margin, and be aware of additional costs like VAT and ad fees.
• 📸 Use mockups and Photoshop to create appealing product photos for your listings.
• 📝 Allow for personalization options to increase the value of your ornaments and appeal to customers.
• 🚀 Start selling holiday products early, as closer to the holiday, sales tend to pick up due to increased demand.
• ⏱ Be aware of the time-sensitive nature of holiday products; their value drops significantly after the holiday season.
• 📉 Account for all costs, including taxes and fees, to avoid underpricing your products and reducing your profit margin.
• 🛡️ Prepare for potential issues like damaged goods and be ready to provide replacements or refunds to maintain a good reputation.
• 📈 Consider using ads to boost visibility and sales, but be aware of the associated costs and fees.

Q & A

What is the main subject of the video?

The main subject of the video is the creator's attempt to sell AI-generated Christmas ornaments for 30 days, documenting the journey from art generation to manufacturing and advertising.

Which AI art generator is used in the video?

Leonardo AI is used to generate high-quality images for free in the video.

What type of ornaments does the creator plan to sell?

The creator plans to sell flat wooden ornaments with AI art and text printed on them in various fun shapes.

How does the print-on-demand service used in the video work?

Printful is a print-on-demand service that manufactures custom products, handles all printing, packaging, and shipping, and only charges when a sale is made.

On which online marketplace does the creator plan to sell the ornaments?

The creator plans to sell the ornaments on Etsy, an online marketplace that focuses on arts and crafts.

What are the six important elements that need to be edited before publishing a listing on Etsy?

The six important elements are photos, title, tags, pricing, shipping, and personalization options.

What is the average price range for ornaments on Etsy?

Ornaments on Etsy sell for around $10 to $20 on average.

Why did the creator decide to pass the shipping bill to customers?

The creator decided to pass the shipping bill to customers because raising the product's price to cover free shipping would make the ornaments seem too expensive.

What challenges did the creator face with holiday sales?

The creator faced challenges such as slow initial sales, the need to be aware of costs like off-site ads fee and VAT, and the potential for returns and refunds affecting profits.

How did the creator handle a situation where a customer requested a refund due to a damaged ornament?

The creator contacted Printful's support team, who issued a replacement at no cost, thus avoiding a negative review and resolving the issue.

What was the final outcome of the 30-day challenge in terms of net income?

The final net income for the challenge was $35.10 after accounting for all expenses and fees.

What advice does the creator give for selling holiday products online?

The creator advises starting sales months early, being aware of all costs involved, and pricing products appropriately to maintain profitability.

Outlines

00:00

🎨 Starting an AI Christmas Ornament Business Journey

The video script details the ambitious 30-day challenge of creating and selling AI-generated Christmas ornaments. The journey begins with the selection of Leonardo AI for generating high-quality images of a festive Santa. The plan is to sell flat wooden ornaments with AI art and custom text. The print-on-demand service, Printful, is chosen for its ability to handle all aspects of manufacturing and shipping, with no upfront costs. The creator intends to list the ornaments on Etsy, an online marketplace known for arts and crafts. The process includes designing the ornaments using Printful's design maker, selecting fonts, and allowing for text personalization. The importance of good keywords for Etsy's algorithm is emphasized, and the decision to pass shipping costs to customers is made due to potential pricing issues. The narrative also covers the challenges faced, including no initial sales, the impact of off-site ads fees and VAT on profit margins, and dealing with a customer refund. Despite the setbacks, the creator remains hopeful for increased sales as December approaches.

05:02

🛍️ Reflecting on the AI Christmas Ornament Sales Experience

After a slow start with no sales, the creator turns to Etsy ads to boost visibility. The strategy pays off as the first sales come in December, with customers from the UK purchasing a new baby ornament and two cancer survivor ornaments. However,的喜悦 is tempered by unexpected costs, including a 15% off-site ads fee and a 20% VAT charged on UK sales, which significantly cut into the profit margin. The creator also faces a customer complaint about a damaged ornament but manages to resolve the issue by requesting a replacement from Printful. The video concludes with a financial breakdown of the challenge, revealing a net income of $35.10 after covering expenses, taxes, and fees. The creator shares final takeaways, emphasizing the importance of starting holiday sales early and being aware of all costs involved. The video ends with a modest outcome but a valuable learning experience for future holiday sales endeavors.

Keywords

AI Art Generator

An AI art generator is a software tool that uses artificial intelligence to create visual art. In the video, Leonardo AI is used to generate high-quality images, which are then used to create ornaments. This technology is central to the video's theme as it enables the creation of unique designs for the ornaments.

Printful

Printful is a print-on-demand service that manufactures custom products, handling the printing, packaging, and shipping. In the context of the video, it is used to create the AI-generated ornaments, which are then sold on Etsy. This service is significant as it allows the creator to focus on design and marketing without worrying about the production process.

Etsy

Etsy is an online marketplace focused on arts, crafts, and unique items. It is the platform where the video's creator plans to sell the AI-generated ornaments. Etsy is crucial to the video's narrative as it provides a marketplace for the creator to reach potential customers interested in holiday gifts and unique art.

Mockups

Mockups are digital representations of how a product will look in a particular setting. In the video, mockups provided by Printful are used to create the listing photos for the ornaments on Etsy. These mockups are important as they help potential buyers visualize the product and increase the appeal of the listing.

Keywords and Tags

Keywords and tags are words and phrases used to describe a product and improve its visibility in search results. The video mentions using Etsy's search suggestions and keyword research tools to find good keywords for the ornament listings. This is a critical aspect of online selling as it helps the products appear in relevant search queries.

Profit Margin

Profit margin is the percentage of revenue that represents a company's profit. In the video, the creator aims for a 30% profit margin on the ornaments. This financial metric is important as it helps the creator determine pricing and assess the viability of the business model.

Personalization

Personalization refers to the ability to customize a product to meet individual customer preferences. The video's ornaments allow for text personalization, which adds value to the product. For example, customers can change 'Merry Christmas Timmy' to another name, making each ornament unique.

Off-Site Ads Fee

An off-site ads fee is a charge for advertising a product on platforms outside of the primary sales channel. In the video, the creator is charged a 15% fee for sales made through off-site ads on Etsy. This fee significantly impacts the profit margin and is a key consideration for the creator when evaluating the effectiveness of advertising strategies.

VAT (Value Added Tax)

VAT is a tax charged by the UK government on the sale of goods and services, set at 20%. The video's creator did not account for VAT in the pricing, which led to reduced profits on sales to the UK. Understanding and accounting for taxes like VAT is essential for international sellers to maintain profitability.

Refund Policy

A refund policy outlines the terms under which a customer can return a product and receive a refund. The video's creator initially stated 'no refunds' on the product page, but had to issue a refund due to a damaged item. This situation highlights the importance of having a clear and fair refund policy to maintain customer satisfaction and positive reviews.

Net Income

Net income is the amount of money remaining after all expenses have been deducted from the revenue. At the end of the video, the creator calculates the net income for the challenge, which is $35.10 after accounting for all costs and fees. This figure is a key indicator of the financial success of the venture.

Highlights

The experiment involves selling AI-generated Christmas ornaments for 30 days.

Leonardo AI is used to generate high-quality images for free.

Ornaments are flat wooden shapes with AI art and text printed on them.

Printful is a print-on-demand service used for manufacturing custom products.

Designs are created using Printful's design maker and custom text can be added.

Etsy is chosen as the online marketplace for selling the ornaments, focusing on arts and crafts.

Ornaments are listed on Etsy with the help of Printful integration.

Six important elements for listing on Etsy include photos, title, tags, pricing, shipping, and personalization.

Ornaments are priced between $10 to $20 on average, aiming for a 30% profit margin.

Free shipping was considered but ultimately not offered due to potential high costs.

Personalization is allowed for the text on the ornaments to increase their value.

97 AI Christmas ornament listings were created targeting specific occasions.

Sales only started to pick up as December approached.

Etsy ads were turned on to boost sales, which led to the first sale of a new baby ornament.

Sales to the UK incurred additional fees such as VAT and off-site ads fees, impacting profits.

A refund request was handled, and Printful offered a replacement for a damaged ornament.

The challenge concluded with a net income of $35.10 after all expenses.

Key takeaways include starting sales months early and being aware of all costs involved in selling holiday products.

The experiment sold a total of three AI Christmas ornaments.