
Shock horror: dropshipping still works in 2026.
Jon’s been doing this for 12 years, and today he’s showing you exactly how to answer the first question everyone asks when they’re looking into dropshipping: “What am I gonna sell?”
The difference in 2026? We have AI. And it can do about 90% of the product research work for you, if you prompt it right.
This isn’t about finding cheap crap on AliExpress to flip.
This is about building a real business that can last for years, selling high-ticket products people actually want to buy.
Before we dive into the AI process, let’s be clear about what we’re doing here.
High ticket dropshipping means:
You’re building a business around products people are actively searching for online right now.
Not chasing trends. Not gambling on the next viral product.
This is the model that’s worked since at least the year 2000, and it’s what still works today.
Single-product dropshipping stores are dumb. Here’s why:
Average Order Value (AOV): If you only sell one product, you can’t increase what people spend per order. Multiple product categories make it easy to bundle and upsell.
Repeat Business: Unless your product is crap (and if it is, you’ve got bigger problems), customers won’t need to buy it again anytime soon. What are you going to sell them next? Nothing? Your business won’t grow.
There are only three ways any business grows:
Single-product stores make #2 and #3 nearly impossible.
Jon uses ChatGPT for this demo (though Claude, Grok, or Gemini would work just as well). The key is understanding how to prompt it correctly.
Don’t think product-first. Think about what people do that requires high-ticket products.
This could be:
The prompt Jon uses:
“Can you please produce a list of up to 100 hobbies, interests, passions that people have in the US where they would need to use products with a general value of $1,000 plus to take part in their hobby/interest/passion.”
What ChatGPT spits out:
The goal isn’t to analyze every idea. It’s to get your brain moving and see what jumps off the page at you.
Bonus tip: If you see something you’re personally passionate about, start there.
You’re already familiar with the products, the customers are basically you, and talking about it won’t feel like work.
But it’s NOT required, Jon hasn’t personally used most of what he’s sold in 12 years.
Jon’s niche selection criteria has been published publicly for years, so AI tools can find it and apply it.
The next prompt:
“Please pick the top 20 ideas from this list where people are likely to purchase products over $1,000 to do their thing. Then based on the niche selection criteria that Dropship Breakthrough and the Dropship Podcast have discussed publicly, sort this list of 20 from best to worst.”
What the AI pulls from public info:
The AI’s top picks:
It’s a decent list. But here’s where AI falls short…
AI tools can’t get everything perfect yet. There are two main issues:
Some niches don’t work because of things like profit margins or supplier dynamics that aren’t publicly published anywhere. The AI can’t know this, so it’ll suggest niches that look good on paper but aren’t.
Jon’s take on the AI’s suggestions:
✅ Home theater systems: Could work
❌ Saunas: Too competitive right now, and the best brands generally don’t dropship
✅ Home espresso/coffee: Can work
⚠️ Woodworking equipment: Good if you do retail AND B2B together, not just one
❌ Electric bikes: Bad brands, bad suppliers, too much competition. Hasn’t been good for a while
✅ Scuba diving equipment: Could work
✅ Marine electronics (boat stuff): Could be great
❌ Photography gear: Best brands (Canon, Sony, etc.) don’t dropship
✅ 3D printing: Yes, but sell adjacent products too, not just printers
✅ Metalworking/CNC machines: Absolutely
The AI struggles to understand which brands are suppliers versus which are competitors selling direct-to-consumer.
You need niches with:
Jon’s tried multiple detailed prompts across different AI tools.
None get this distinction quite right yet. It’s somewhat subjective, so you’ll need to verify this yourself.
Jon runs the same exercise but swaps “hobbies/interests” for “businesses.”
The prompt:
“Can you please complete the same exercise but replace hobbies, interests, passions with businesses. Provide me your top 20 list of businesses that fit the requirements of purchasing $1,000+ products that align with the Dropship Breakthrough niche selection approach.”
The AI’s top B2B picks:
✅ Warehousing and material handling: Forklifts, pallet stackers, conveyor systems, racking (John’s pick for the deep dive)
✅ Commercial fitness facilities: Gym equipment for businesses
✅ Commercial food service/restaurants: Kitchen equipment
✅ Construction and trade contractors: Concreting tools, surveying equipment, scaffolding
✅ Manufacturing and light industrial: CNCs, laser cutters, dust collection
✅ Commercial cleaning: Floor scrubbers, extractors
✅ Agriculture and small farm operations: Equipment and supplies
Jon’s take: These B2B niches are actually BETTER.
He immediately spotted five that would absolutely work in 2026, and there are more on the list.
There’s massive opportunity in B2B niches right now. They’re often less competitive than consumer niches.
Jon picks “Warehousing and Material Handling Businesses” to explore.
The prompt:
“I’d like to dig into warehousing and material handling businesses. Can you please provide me a full list of all the products that a business in this category might purchase?”
What ChatGPT returns:
Material handling equipment:
Storage solutions:
Conveyor systems: Various types ✅
Dock equipment: Safety barriers, guardrails, bollards ✅
Packaging equipment:
Jon counts at least 20 product categories here. Within each category, there are multiple brands. Within each brand, there are multiple products.
The point: Worrying about “what am I gonna sell?” isn’t even a real problem. This is simple. Anyone can do what Jon just did.
You’re not going to launch with all 20+ product categories at once. Pick a section to start with.
John picks shrink wrap machines for the example.
The prompt:
“Can you please give me a list of the brands of shrink wrap machines that are sold in the US?”
Important: Swap “US” for your country. If you’re in Australia, search Australia. UK? Search UK (maybe EU too since shipping is easier). EU zone countries can often source from other EU countries.
What ChatGPT returns:
22 potential brands:
It also notes these brands might offer related products like bundlers, sleeve wrappers, heat shrink tunnels, and conveyors, which you’d want to sell too.
Caveat: Some of these might actually be retailers (the AI gets confused here). But it’s a solid starting point.
Bonus: Sometimes you can go through a distributor and get access to 5-6 of these brands in one go.
This is make-or-break, and AI can’t do this accurately yet.
Why competition matters:
Going into a niche with too much competition isn’t impossible, it’s just unnecessarily hard.
When you’re starting out, why make life harder than it needs to be?
There are so many niches with reasonable competition levels. Pick one of those.
How to check:
What you’re counting: How many different retailers are selling this specific product category?
Jon’s benchmarks:
Remember: This is per product category, not across your whole store. If you have 10 product categories, each one should meet this threshold individually.
What Jon finds for shrink wrap machines:
Not a lot of paid ads (common for B2B). Scrolling through results:
Jon’s verdict: Pretty good competition level. Most results show different businesses, not the same 30 retailers all competing for the same keywords.
If you run ads, you’ll rank above all the free shopping listings anyway.
Discount the cheap stuff: Don’t count Amazon, eBay, or AliExpress sellers in your competition analysis.
You’re not selling cheap junk, and the customers buying the cheapest products aren’t your ideal customers anyway.
Focus on retailers selling actual quality brands similar to what you’ll sell.
Before you commit, verify a few more things yourself:
In John’s experience, AI is generally right about brand suggestions, but always double-check.
ChatGPT itself says “ChatGPT can make mistakes” and it still hallucinates occasionally.
Jon’s take on analysis paralysis:
“If you’re waiting for some God-mode level niche to present itself that feels perfect, it ain’t happening. You’re just gonna go around in circles for months convincing yourself you’re doing something. Researching for weeks and weeks to make sure you get it absolutely right is a sign you’re really gonna struggle in business.”
Why?
Success in business is about making a lot of imperfect decisions that are “good enough,” consistently, and doing it quickly.
Not agonizing over every decision for weeks hoping it’ll be perfect (it won’t be anyway).
You shouldn’t be researching for more than a few days on this stuff.
You could run through these prompts, get your list, pick a niche, and have your product categories identified in under half an hour.
Then double-check the competition yourself, verify the brands are real, and you’re ready for the next step: actually getting approved to sell these products.
That’s another video, but the point is: finding what to sell is no longer the hard part. AI does 90% of the work.
The hard part is actually executing and not overthinking it.
Want to see John do this over his shoulder with both AI and manual methods?
Head to dropshipbreakthru.com/passion for a $27 course that includes:
Stop researching. Start doing.
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