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Drop shipping business: Is it worth the try?

Drop shipping is the concept of listing products on a certain e-commerce platform like Shopify. The listed products are manufactured and produced by a specific third party of a seller’s choice. When a customer buys that product, the inventory does not come from the seller but from the third party. It is also shipped by them. In simpler terms, the seller acts as the market.

If you are considering doing a drop shipping business, then you are not the only man in the world. Like e-commerce, it has been one of the most searches business strategies in the Google search bar. But is drop shipping really worth the try? Let’s find out.

Low startup capital

In drop shipping, you would not need a huge amount of capital. Why? Because the only money you will splurge into is marketing your business and when a customer actually buys. Compared to physical stores, you can enter the drop shipping business even with a low startup.

Another thing is, the products that you sell are not manufactured under your business. Meaning to say, you do not need to allot money for the production of goods. Another line of the company does it for you.

Little to minimal risk

Relevant to having a low startup capital, you are not vulnerable to a large risk or massive loss of profit. The drop shipping business is a good industry for starters and newbies as this can be their learning ground to later on enter another career growth.

Moreover, since a third party supplies your inventory, you do not have to undergo the process of trial and error in producing a new item. In this way, you would not lose investment over a product that is defective.

Continuous cash flow

With drop shipping, an assurance of continuous cash flow is guaranteed -- of course, if there are proper branding and buyers. Besides this, you can continue to generate income even with a little amount of effort. You could be sleeping or doing some other things while your store still earns money.

Very competitive market

The drop shipping business has a very competitive market. With new sellers and long-time sellers in the industry, the competition is high. One more thing, a lot of stores are sourcing their products from the same manufacturer. So this is a battle of customer engagement and product advertising.

Unstable quality of products

Since you do not get your hands on the product or see how it is manufactured, you really do not know about the quality of what you are selling. This can be a hindrance if you really want to deliver the best conditions of the product as much as possible. But you can countermeasure this hindrance in providing the best customer service.


Overall, it is still worth it to enter the world of drop shipping. Businesses have their own pros and cons. It is a great training ground for people who wants to earn money without imposing risk and at the same time learn business strategies to level up.