The 10 Easy Dropshipping Business Ideas for Beginners, From Pet Supplies to Skincare

Written by: Upwork

June 9, 2024

If the idea of having to manufacture products, stock inventory, or ship orders has ever kept you from starting your own business, then dropshipping may be your solution. This unique e-commerce business model presents an attractive option for entrepreneurs due to its low risk and potential for high profit margins.

Throughout this article, we’ll explain what dropshipping is and how to use it to start a business from your own home with no or low upfront costs. We’ll also explore a collection of dropshipping business ideas and fill you in on what you need to know to start an e-commerce store.

Image Credit: JLco – Julia Amaral/Istockphoto.

What is dropshipping?

The dropshipping business model involves selling third-party products from your own online store. To explain, we’ll offer a simplified example of what starting a dropshipping store looks like.

Imagine you want to sell a specific product, like a t-shirt, through your own online business without turning an entire room of your house into a makeshift inventory warehouse. You can use the dropshipping business model instead by following these steps:

Create an online store. If you hadn’t already, you’d start by signing up for an e-commerce platform like Shopify, WooCommerce, or Wix to create your own online store.
Locate products to sell online. You’d then locate the t-shirt you wanted to sell through a reliable supplier like AliExpress, WorldWide Brands, or SaleHoo.
Post products at markup prices. If the t-shirt were available from your supplier for $12, you’d post a product listing for it in your own online store at a markup price such as $15.
Market your store. You’d then use marketing strategies to attract potential customers.
Order fulfillment. When a customer purchases a t-shirt for $15, you’d use $12 to purchase the product from your supplier and send it directly to the customer.
Profit. Your profit on the sale would be $3, or about 20%, minus any marketing expenses or e-commerce platform fees.

While dropshipping can be a profitable business model, understand that it takes just as much dedication as running any other type of online store. One of its major benefits is that it’s relatively low-risk, as you never have to purchase inventory until it’s already sold.

Image Credit: JLco – Julia Amaral/istockphoto.

1. Fashion and accessories

If you’re looking for a profitable niche with no signs of slowing down, look no further than fashion and accessories. Industry forecasts expect the fashion market to attain a higher compound annual growth rate (24.8%) between 2023 and 2030 than any other dropshipping segment.

Clothing and fashion accessories are among the best products for dropshipping companies because they enjoy consistently high demand at a global level. This niche also comes with many suppliers to choose from, many of whom offer international shipping.

There’s also a large range of specific products to choose from, including:

T-shirts and tank tops
Sweatshirts and hoodies
Hats
Belts
Backpacks and purses
Shoes
Jewelry
Sunglasses
Gloves
Scarves
Ties and bowties

Image Credit: JLco – Julia Amaral/istockphoto.

2. Tech gadget accessories

If you love staying on top of the latest electronics and tech gadgets, you might consider dropshipping products to a like-minded customer base. The electronics segment enjoys plenty of demand, pulling in just over 19% of the dropshipping market share in 2022.

Some suppliers, such as AutoDS, even offer automated features that highlight best-selling products, auto-calculate eBay fees, and update you on the latest TikTok trends. Examples of products in this niche include:

Phone cases and chargers
Headsets
Computer and tablet accessories
Video game consoles and accessories
eReaders
Audio and streaming devices
Portable electronics
Household electronics

Image Credit: CarmenMurillo/istockphoto.

3. Skincare and beauty products

Online sales are expected to generate over 27% of the beauty and personal care market revenue in 2024. If you’d like to develop a collection of high-quality skincare and beauty items, this could be a great niche market for you.

Product ideas for this niche include:

Makeup and cosmetics
Skincare creams and moisturizers
Face masks and spa items
Shampoo and conditioner
Hair styling products and accessories
Perfumes and fragrances
Nail polish and accessories
Lash or hair extensions

Image Credit: Bet_Noire/istockphoto.

4. Eco-friendly products

As global awareness of the importance of sustainability continues to spread, many consumers are shifting to eco-friendly products. If you want to help the planet while earning income, an eco-friendly dropshipping business plan may be the way to go.

Eco-friendly products come in a wide range of shapes and sizes, including:

Reusable water bottles and bags
Natural vitamins and supplements
Vegan or cruelty-free products
Bamboo or biodegradable products
Organic pillows, blankets, and bedding

Image Credit: victoriya89/Istockphoto.

5. Pet supplies

There are over 65 million dog owners and nearly 47 million cat owners in the United States alone. If you want to offer high-quality supplies for pet owners everywhere, consider opening a pet supplies dropshipping store.

You’ll find plenty of great product ideas in this niche, such as:

Leashes and collars
Pet beds
Pet toys
Cat trees and scratching posts
Pet food and treats
Pet pens and crates
Pet clothing and costumes
Grooming supplies

Image Credit: Hazal Ak/Istockphoto.

6. Home decor

As of 2024, the global home decor segment is a $128.7 billion industry with a projected annual growth of 5.33%.

If you’ve got a knack for interior design, then consider offering your customers home decor items such as:

Wall art
Sculptures and decorative accessories
Furniture and accent pieces
Pillows and blankets
Rugs
Candles
Lamps and lighting
Wallpaper
Holiday and seasonal decor

Image Credit: Artit_Wongpradu/Istockphoto.

7. Fitness & wellness

With a projected annual growth rate of 9.61%, the fitness industry is on track to a projected market volume of $6.73 billion by 2027. If you’re a health and wellness enthusiast, you might consider creating a dropshipping store that offers trending products in the fitness industry.

Another perk of the fitness and wellness niche is its huge range of products, from water bottles to home fitness equipment. You’ll find plenty of product options on dropshipping sites like Alibaba or AliExpress, including:

Yoga mats
Athletic apparel
Sports equipment
Stretch bands
Fitness trackers
Jump ropes
Gym bags
Water bottles and meal prep containers

Image Credit: Inna Dodor/Istockphoto.

8. Baby products

Baby products are a $67 billion global industry spanning everything from clothing and toys to diapers and accessories. While it can be a great fit for the right online retailers, this is one niche where you’ll want to take the time to do plenty of research to ensure you work with only the most reputable suppliers.

With that in mind, below are several baby products to consider offering:

Organic baby clothing
Baby shoes
Bottles and bibs
Diapers and wipes
Baby supply carrying bags
Toys
Playpens
Bedding
Nursery decor
Stroller accessories

Image Credit: Ksenia Sandulyak/istockphoto.

9. Smart home products

Smart home technology had already penetrated 16% of the global market by 2023 as more consumers embraced the latest technological innovations. Now is a great time to get in on a growing trend by stocking your online store with home automation devices.

If you want to break into the smart home niche, some quality products worth considering are:

Smart home security products
Smart lighting
Smart thermostats
Voice command devices
Smart TVs or other entertainment devices
Smart doorbells
Smart cleaning products

Image Credit: DragonImages/istockphoto.

10. Print-on-demand

Last but not least, there’s print-on-demand (POD). This business model works in much the same way as dropshipping, but with one key difference: rather than dropshipping products you had no part in creating, POD makes it possible to customize products with your own designs.

POD is very popular among influencers, musicians, and creatives because it allows you to create your own branded merchandise. It works like this:

Sign up for an account with a POD supplier like Printify or Gelato.
Upload your design files and choose which products you’d like to make them available on.
Post product listings on your e-commerce platform.
When a customer places an order, your POD supplier will print your design on a product they supply and ship it straight to your customer.

POD makes it possible to sell high-demand products without investing in materials or equipment. Just be sure to factor any POD costs into your pricing to turn a reasonable profit.

By partnering with a print-on-demand supplier, you can sell your designs on high-quality products like:

T-shirts, tanks, sweatshirts, and other apparel
Kids and baby clothing
Wall art or even wallpaper
Coffee mugs and water bottles
Phone cases
Cards, notebooks, and stationary
Tote bags
Stickers, photo books, or calendars

Image Credit: ChayTee/istockphoto.

Launching a successful dropshipping business

To become a successful dropshipper, you’ll want to start with a solid business plan. Throughout the following sections, we’ll walk you through what you need to know to set up, launch, and grow your dropshipping store.

Identifying your target audience

The key to starting a successful dropshipping business often lies in selecting the right target market. Your target audience is the group of people most likely to be interested in your products.

As a small online business, you’ll have a much easier time honing in on the right target audience by offering a selection of products from a certain niche. Whether they’re pet products, hilarious t-shirts, or smartphone accessories, focus on offering specific types of products. Invest plenty of time in market research and use tools like Google Trends to stay on top of the latest demands.

Sourcing products and choosing suppliers

The importance of choosing products from reputable suppliers can’t be overstated. Remember, if a product arrives late or doesn’t deliver on the quality promised, your ratings will suffer—not your supplier’s.

In general, you have two ways to find high-quality dropshipping suppliers. The first is to research industry-specific suppliers who offer dropshipping programs. The second (and often easier) option is to use a dropshipping supplier directory tool like Spocket or USA Drop.

There are also several major dropshipping platforms like AliExpress and Alibaba that source products from suppliers worldwide. However, keep in mind that while some products from overseas may be less expensive, they may also come with much longer shipping times.

Always do your due diligence to make sure you can offer your customers accurate and reliable delivery frames. If a customer experiences an issue, you’ll be responsible for providing solutions.

Image Credit: amenic181/istockphoto.

Setting up your dropshipping store

You’ll also discover that you have several options when it comes to online e-commerce platforms. Shopify can be great for dropshipping, as it offers plenty of tools and integrations to help you get started.

That said, depending on your subscription choice, Shopify can also be a little pricey. Some dropshippers prefer to build their own e-commerce stores using platforms like BigCommerce, Wix, Fourthwall, or SquareSpace.

You can also set up a dropshipping store directly on Amazon. Just make sure to research the fees involved (they vary) and adjust your prices accordingly. If you choose the POD model, you might consider setting up shop on a platform like Etsy.

No matter which platform you use, always use search engine optimization (SEO) best practices.

Image Credit: opolja/istockphoto.

Marketing and scaling your dropshipping business

If one thing can make or break a new dropshipping store, it’s your marketing strategy. One of the biggest potential drawbacks of dropshipping is that online stores now face plenty of competition.

That’s why you should use every available asset to attract and engage your target audience. Your marketing strategy might include:

A professional website and SEO-friendly blog
Paid and organic advertisements on social media platforms
Paid search advertising
Developing a YouTube or social media following
Email campaigns
Influencer collaborations

Never underestimate the power of referrals when it comes to scaling your business. Focusing on customer satisfaction is one of the best ways to ensure repeat customers, strong reviews, and referrals.

This article originally appeared on Upwork.com and was syndicated by MediaFeed.org.

Image Credit: Maksym Belchenko/istockphoto.