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Dropshipping is a business model where you sell products without storing inventory or handling shipping yourself. When a customer places an order on your Shopify store, the order details are sent to your supplier, who then picks, packs, and ships the product directly to your customer while maintaining your store's branding.
Key benefits include:
- Low startup costs with no warehouse, inventory, or storage expenses
- Easy to start with many resources and integrated Shopify apps for supplier sourcing
- Wide product selection that's easy to change as your business evolves
- No time spent on packaging or printing shipping labels
Important considerations:
- More competition due to low barriers to entry
- Less control over quality and branding since you don't handle products directly
- Orders from multiple suppliers may arrive at different times
- You remain responsible for customer service and order tracking
Common dropshipping models:
- Product reselling (curating niche-specific items)
- Business extensions (partnering with local retailers)
- Product creation (bundling existing products into new offerings)
When choosing suppliers, avoid those charging monthly fees, prioritize suppliers who don't sell directly to the public, and verify their order processing efficiency. Look for suppliers with proven expertise, dedicated support teams, and centralized warehouse locations for faster shipping.
Shopify makes it easy to find suppliers through print-on-demand apps and dropshipping apps in the App Store, and the platform integrates seamlessly with tools for product sourcing and order management.
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