Dropshipping Business Plan

Updated: 12/05/2022

According// to resources, 25% of overall E-commerce sales are fulfilling by Drop-shipping at the present moment which is valued at $100 billion approx.

Global dropshipping revenue is expected to reach more than $500 Billion by the year 2025.

E-commerce Drop-shipping store business model with plan

35% of E-commerce online stores around the world are fulfilling their order through the Drop-shipping business model and it is rising year by year.

Big giants like Amazon too uses Drop-shipping business model and cover upto 30% of the sales.

It doesn’t matter if you are an Individual, Women, Entrepreneur from a country that doesn’t show on the world map. We will provide you with the borderless solutions for sure.

USA Business

Drop-shipping business model consists of 3 main players

1- Supplier or Wholesaler/Manufacturer – Take care of inventory, packaging, and shipping along with other things like a replacement, etc.

2- Retailer(You) – Display and market the product on the website at your own customized pricing.

3- Customer – Place the order and receive it without knowing about the supplier.

Advantages of Drop-shipping business model

  • Customized pricing
  • Marketing in own term
  • Inventory management by the supplier
  • Easy to Start & cost is low
  • Scalability(Increase & decrease) without loss
  • Expand business globally
  • Reduce the risk of investment

Disadvantages of a Drop-shipping business model

  • Less margin
  • Ownership overstock
  • Errors like wrong packaging
  • Shipping timings
  • Product availability


Zappos is the ultimate story of a successful drop-shipping business model which is now acquired by Amazon.

Your most unhappy customers are your greatest source of learning.

Bill Gates

Drop-shipping Success Stories

Drop-shipping Business plan

The business plan is a blueprint like a google map that tell you to step by step how to reach your targeted goal or destination. It enhances the image of the goal that any freelancer or entrepreneur imagines by keeping in mind the future scope.

Benefits of creating a business plan?

  • Examine the advantages & disadvantages
  • Identify strengths and weakness
  • Express your vision to investors
  • Enhance business performance
  • Help to set right directions
  • Help to focus on priorities
  • Predict accurate outcome
  • Help in Decision making
  • Help to avoid mistakes
  • Create a Strategy
  • Cost-effective
  • Save energy

“Action speaks louder than words.”

Abraham Lincoln

It doesn’t matter if you are pitching to the investors with a team or starting as a freelancer, this business plan will work for you.

Step by step guide to create a Drop-shipping business plan

Step 1: Research of the right and unique product that the world demands at the present moment.

Step 2: Get to know your audience segment by behavior, interests, nature, gender or age.

Step 3: By keeping in mind the best product, demand and the audience, create a website of your own or choose any E-commerce software or platforms.

Step 4: Now prepare your market strategy like how you will market your products? Through Adwords or Social media ads like on Facebook or Instagram or you would adopt other things like influencer marketing.

Step 5: Calculate your expenses and the expected profit & loss that you think you can make in order to prepare before time.

Step 6: Get this all stuff in writing anywhere you like and then you are ready to shoot your Drop-shipping online store.

It’s better to be a pirate than to join the Navy.

Steve Jobs

How you can make your Drop-shipping business plan more effective?

  • You need to identify the unique product that has the least competition around the globe.
  • Think about the solution that you can provide through your product in any country.
  • Get to know your customers and engage with them to understand them in a better way.
  • It is very essential to know about your competition and their strategies.
  • Multiple marketing channels are very important to increase the visibility of your product.

Useful resources

Best drop-shipping business ideas with products

Start your Drop-shipping business

Small Image source: Icons8

Leave a Reply

Your email address will not be published. Required fields are marked *