if you’re looking for realistic ways you can start earning money online, chances are that you’ve come across dropshipping.

Dropshipping is an online retail order fulfilment model where you purchase products directly from suppliers and ship them to your customers. You can run an online store without inventory.

In this article, we will explain to you everything you need to know about dropshipping, to start your own online business!

Dropshipping might sound like an easy way to earn money online (thanks “gurus”), but it’s a get rich quick scheme. Dropshipping is a real business! You need to put a lot of your time and effort into this if you want to get results. Success doesn’t come overnight.

How does the dropshipping business model work?

Dropshipping is a type of retail fulfilment method, where instead of a store stocking products, it purchases the products from a third-party supplier, who then ships the goods directly to the customer.

Image from Shopify website, that explain how dropshipping works.


If you still struggle how it works and what does dropshipping business model means.

This is a quick guide for you:

1. You have an online store where you sell products, but you are not buying products in bulk and store in your house.
2. When someone purchasing a product in your dropshipping store, then you place the same order directly with your dropshipping supplier. Don’t worry. There are a lot of apps that can automate this process. For example, CjDropshipping, or many other alternatives.
3. Then your dropshipping supplier will handle the rest. Prepare the package and will send the order straight to your customer address.
4. Your customer will receive the product straight from your dropshipping supplier, but you never touched the product in between!

dropshipping explained

Image from Oberlo.

Best dropshipping niches for beginners

Is Dropshipping Still Profitable in 2021?

Yes, dropshipping is still profitable in 2021.

I see this question every year, and you will probably hear it in 2022 and 2023.

More people starting their dropshipping businesses nowadays but It is not a problem. Ecommerce and dropshipping profits have reached over $4 billion, which is a 7 per cent year on year increase for the last 10 years.

It is not only profitable but thriving!

Pros and Cons of Dropshipping

pros-and-cons-of-dropshipping (1)


Easy to set up: You can set up your online store really fast. Just identify your products, partner with a good dropshipping supplier, set up your online store, and list your products for sale. Even if you are a newbie in the eCommerce, you can start a store in a few days.

Low financial risk: You can test products without buying them in bulk. Since you don’t keep inventory in stock, you aren’t under any pressure to sell and you don’t have to worry about inventory. Whether you sell products or not, you don’t really have anything to lose – you just won’t be making any money!

Dropshipping is easy to grow: As you scale up, your business model doesn’t have to change very much at all. You’ll have to put more work into sales and marketing to grow your store.


Dropshipping has low margins: Unlike a regular wholesaler that would sell you products in bulk, a dropshipping supplier sells you a single item every time you place an order. That’s not to say it can’t be profitable, but you should be aware that some products margin can be small.

Dropshipping doesn’t give you a lot of control: When you are running a dropshipping store you don’t have control over the delivery process. If your supplier messes up the delivery process, the customers will see that as your fault and you will have to deal with complaints.

Customer service is more challenging: This is another problem that happens when orders go wrong or suppliers fail. Because you’re just the storefront and don’t have a lot of control, it can be difficult to sort out orders and handle customer support.

Can You Start Dropshipping Without Money in 2021?

Shopify / Woocommerce

shopify woocommerce

To be honest, dropshipping can cost you a lot of money or it can cost you next to nothing.
The costs will all depend on your experience and what kind of plan you’re going to follow.

Minimum budget: about 100-150 dollars

To start a dropshipping online store, you will need these elements:

  • Domain name
  • E-commerce platform Subscriptions(Shopify, Woocommerce)
  • Apps or plugins
  • Dropshipping software
  • Paid Traffic (Facebook Ads, Google Ads, YouTube Advertising)


Dropshipping on eBay is a great way to start an online business with minimal upfront investment or risk. If you are a beginner eBay is the perfect starting point.

Find out the all you need to know about starting an eBay dropshipping business.

If you’re just starting out with dropshipping on eBay, it’s super simple and straightforward to create all the listings yourself. But as your business grows and you add more listings to your inventory, the work multiplies until you eventually reach a point where there just aren’t enough hours in the day to keep on top of creating and maintaining listings.

At this stage you can start using tools to scale your business and save a lot of money:

Best Dropshipping Software For eBay


Dropshipping is not dead. It is still a lucrative business model and anyone with the right insights can reap huge profits by using it wisely.
Please, don’t forget that success doesn’t come overnight. Just keep pushing forward and keep learning from mistakes!

Don’t know how to choose eCommerce platform for Dropshipping? Read our post on ‘Best Ecommerce Platforms for Dropshipping.’ and start your Dropshipping store today.

Good luck with your dropshipping journey!

1 CommentClose Comments

1 Comment

  • Ashley Moore
    Posted December 20, 2020 at 7:55 am 0Likes

    Thank you so much for the useful information! Your website is great!

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