Dropshipping is out, and the “AI Hybrid E-com Model” is in… but is it really? This video is a direct reaction to a viral claim that a new AI tool will make you rich with zero effort. Matt exposes the common pitfalls and shows you why building a truly successful e-commerce business requires more than just an AI-built store.
There are tons of people out on social media giving business advice. Some of it is good advice, but most of it isn’t good. In this series, watch CapForge’s owner react to different advice videos. He’s an expert in all things business and has 20+ years of experience under his belt. Some of the things he reacts to might even surprise you!
Video Transcript:
Business Advice Video:
So dropshipping is the worst and riskiest business model to start going into 2025. So dropshipping is dead and it’s been replaced by something called the hybrid e-com model. This model has absolutely zero risk upfront and you’re ahead of 99% of people entering the e-com space. And what separates the hybrid e-com model from traditional dropshipping is the stores. No one buys from dropshipping stores anymore. They only buy Branded stores. And don’t worry, you’re not going to need to learn web design. Just comment the word store and my AI tool will build you a custom store using the hybrid ecom models best practices. Something like this that’s generating thousands of dollars every single day. This AI tool will create viral video ads for you in seconds using the latest trends. So you’re always on top.
Matt’s Review:
Alright, this is all BS. We work with over a thousand e-commerce sellers, and I can tell you there’s nothing easy, simple, or automatic about e-commerce, whether it’s dropshipping, whether it’s private label, whether it’s wholesale, or what you want to call hybrid. There’s a limited number of buyers for any given product, and there’s fierce competition to get those buyers. That’s the reality. So if you’re just selling somebody else’s brand through a generic website that AI built for you. However you’re doing it, whatever you’re calling it, it’s not going to be easy. It’s not going to be automatic. It’s not going to be guaranteed money. It’s not going to be zero risk. You’re going to have to invest a lot of time, effort, money in order to attract any traffic at all and stand out as a different trustworthy place for people to buy the products that you’re trying to sell when they could buy them from other people who are bigger than you, have more reviews than you, have more marketing power than you, and understand the whole business better than you who started it 10 minutes ago. What this is, is this guy is selling a course, selling a product, service, whatever it is, generating a lot of money, selling a dream. People are paying a lot of money to buy into that dream, and I guarantee 99% of the people he sets up with these AI hybrid e-com model stores are not going to make any money. That’s just the reality. You can’t be successful in a business this competitive with an undifferentiated, nothing special, no unique qualities in e-commerce. It’s just not going to happen. There’s too many smart people who know what they’re doing, who are going to go in and grab those customers ahead of you and make money when you aren’t. So if you want to learn how to do e-commerce, you can be successful. There are ways to do it, but you have to put the time and effort in and be something different than everyone else. Buying an AI-created store from a guy like this is not gonna have it work for you. Just save your money. I promise.