Short answer: before you spend on ads for a new online store, check four things: whether the product leaves enough room for advertising (ad room), whether real people want it, whether it can be delivered safely, and whether you can sell and advertise it honestly. The first check needs only a calculator and removes the most bad ideas.
1. Ad room: can the numbers carry ads?
Every order you win through ads must leave enough money behind to pay for the ad that won it. Work out your Max CPA, the most you can pay per booked order without losing money, and divide it by the selling price. That share is your ad room. A useful screening rule is to look for at least 25% before you spend more time on a product. It is a rule of thumb, not a guarantee.
Illustrative example: a kitchen organiser set sells for Rs. 1,899 with a landed cost of Rs. 650, packaging of Rs. 60 and a courier charge of Rs. 220 each way. With a cautious 30% of dispatched parcels returned (RTO) and 10% of orders cancelled, the money left before ads per 100 booked orders is about Rs. 45,154. That gives a Max CPA of about Rs. 452, or 23.8% ad room, which just misses the 25% rule. Raising the price to Rs. 1,999 lifts it to about 25.7%. These numbers are invented to show the method.
2. Demand: are real people already looking?
Strong evidence comes from people: the questions customers ask about similar products, the complaints in reviews, what people around you struggle with, and what they search for. Weak evidence comes from lists and videos claiming a product is trending. Those cannot tell you anything about your price, your costs or your customers.
3. Delivery: will it arrive and be accepted?
Fragile, heavy or bulky items cost more to ship and break more often. Products with sizes or shades invite returns. If even a few parcels in 100 arrive broken, your Max CPA shrinks. Order a sample, test it in its packaging, and add a damage allowance to your landed cost.
4. Trust and policy: can you sell it honestly?
Advertising platforms restrict some categories and claims, especially around health, medicine and weight loss. Rules change and differ by country, so read the current policy before you build on a category. Use real photos, honest descriptions, clear delivery times and a refund policy you honour. Never invent reviews or scarcity.
Then run a small test
Choose a budget you can afford to lose and write your stop rules before you start. Judge the test against your Max CPA over several days, not on one lucky or unlucky day. If your cost per order stays above your limit and no change to price, cost or offer can fix it, stop and move to the next idea.
Frequently asked questions
How do I choose a product to sell online in Pakistan?
Start by eliminating ideas. Run the ad-room calculation on each one, drop those with too little room, then check demand, delivery risk and policy on the rest.
What is landed cost?
Landed cost is the full cost of one unit once it is in your warehouse: the supplier price plus shipping, handling and any other costs of getting it there.
How much should I spend on a test?
Only an amount you can lose without harm, and large enough to buy a meaningful number of orders at your Max CPA. A budget that buys too few orders cannot tell you anything.
Want a free sample of our method? See the free two-chapter sample or The Full-Stack E-Commerce Playbook. All numbers are illustrative, and nothing here is legal advice or a promise of results.