How to Make Money From Dropshipping: The Ultimate Profit-Making Guide

How to Make Money From Dropshipping: The Ultimate Profit-Making Guide

December 7, 2022

Dropshipping is an excellent and widely growing business in 2022. Many businesses moved to drop ship from traditional business models.

Researches show that dropshipping increase your profits by up to 50% more.

But how to make money dropshipping?

Like every business, the dropshipping business also needs proper research and attention to detail to make good money.

Let’s have a detailed look into making money drop shipping.

Research Thoroughly

Understanding the market is the most important part of making money online through dropshipping. You must conduct proper market research when you want to step into dropshipping.

Market research can be based on different parameters. It helps you see if your business model is profitable. Market research for dropshipping revolves around the demand for the product. Check other dropshippers who have been dealing with products you want to sell. It would also help to see how these articles perform on other retail platforms. Analyze google trends and check customer interest on social media platforms.

Choosing a Suitable Niche

While many drop shippers do not care about selecting a suitable niche, it is critical.

Choosing a niche refers to a specific group of products related to each other. These products are somewhat in the same category and bought by a particular set of consumers. For example, ‘kitchen accessories’ has all products you need in the kitchen. It may have all the small gadgets and utensils to sometimes electric kitchen appliances like food factories and kitchen aids.

You might be wondering why choosing a niche is important for making money from drop shipping. It enables the customers to remember your store when you look for a particular product. When you have all sorts of articles, the consumers may prefer any other store because of multiple options. However, choosing a niche gives you a unique identity.

Moreover, researching and picking the right product niches makes a huge difference in your customer base and sales. The reasons include higher demand for particular products, products with higher profit margins, and difficult-to-source products. When you can procure items with all these properties, there are high chances that you will succeed.

Protip: Choose between evergreen or trending products per your choice. If you want to make money, dropshipping quick, trending products are a better option. On the other hand, evergreen articles provide you with a steady income. Realizing your preference between the two can help further target the right audience.

Some of the most popular niches include:

  • Kitchen accessories
  • Car Accessories
  • Women’s and children’s clothing
  • Electronics and gadgets
  • Pet products

Find a Reliable Supplier

.If you are looking for “how to make money dropshipping,” you cannot ignore the importance of a reliable supplier. Dropshipping significantly depends on your vendor, as you are not directly interacting with the customer. A reliable supplier makes sure that your products are stored and shipped properly. Contrarily, it may harm your business if you do not put enough effort into researching or the right resources.

Thus, running a good online drop shipping business is only possible when you can trust the quality and service of your vendor.

But, besides the product’s quality, you must ensure that your vendor does not have high costs because it will eventually reduce your profits. The key to making money from drop shipping is to search for a vendor with minimal prices yet high-quality products to retain customers without compromising quality.

Offer More

Did you know that 92% of buyers always look for a deal when shopping?

Yes. Everyone loves saving money and is quick to buy more than one product when offered better prices.

One common application is “Save $2 on buying two.” Now, even if the person came to buy one only, they will think, “I can save two dollars this way.”

Another example is “Get three for the price of two.” While you are not directly offering them any discount, they are willing to buy more to get something for free.

Similarly, you can offer discount vouchers over a particular limit of shopping (e.g., free delivery over $50 or 10% off on purchases of more than $200)

Provide Value

A different yet equally effective approach is providing value at a higher price. Making money drop shipping is not only possible when you sell at a low price. Instead, the buyers may be willing to pay more if you provide better value.

If you observe, customization businesses typically cost a lot more than readymade pieces. And people are willing to pay a high price. It is primarily because it enables them to get exactly what they want then choosing from the preexisting.

Another idea is to provide premium packaging to your consumers. A survey by Dot Com Distribution showed that 61% of consumers said they are more likely to buy again from a brand if it comes in premium packaging.

You may add different packaging options, including customized tags and cards for presents.

Stay in Touch with Market Trends

With increasing competition, you cannot stay on top of the game if you do not stay in touch with market trends. It is important to know about the market situation to ensure you stay in business.

For example, you think of procuring a particular product. You find a vendor and tell them you will take that product from them. You take orders and ship the product. However, you do not realize that the item has not been cleared by the relevant authorities. Or if the item has been recently banned in the country, you sent it to.

The lack of connection with the market can often lead to a setback you did not expect.

Average Dropshipping Income

Now that we have discussed “how to make money dropshipping,” most of you might be wondering about average income dropshipping.

Don’t worry; we have found out how much most drop shippers earn on average.

Dropshippers generally make 20% to 30% profit from each sale. Most dropshipping businesses earn between $1,000 and $5,000. Some premium stores also make up to $6,000 per month.

But remember that these numbers only exhibit some of the sellers on eCommerce platforms. Your profits and monthly earnings significantly depend on your chosen niche and products. Product demand and vendor prices also made a huge difference.


  • How do you profit from drop shipping?

Dropshipping is a more profitable business model as you do not have to worry about the inventory and staff costs involved in the business. Especially if you take help from a drop shipping company like Wefullfill, you can just relax and enjoy profits.

  • Is dropshipping hard to do?

Dropshipping is not hard. It is more convenient than many businesses and flexible. But, you have to give proper time and effort to dropshipping if you want to make money from dropshipping. Research the products, select the right niche, find a reliable vendor, and monitor all orders. Remember that dynamic customer service wins buyers and retains them.

  • What is the biggest problem in dropshipping?

The dependence on the vendor is the hardest part of dropshipping. When you depend on your vendor, they might not inform you of poor quality. Sending the wrong product to the customer will result in a negative review and harm your business.


Making money dropshipping is relatively easy. But, it does not mean you can get good profits without effort. Choose the right niche and a reputed vendor if you want to earn good money. The vendor can be the hero or villain of your dropshipping story in the long run. The average dropshipping income is between $1,000 and $5,000. But, some premium stores also make up to $6,000. You can earn $100,000 or more from your dropshipping business if you research properly and give it enough time.

So, are you ready to make money from dropshipping?

shailesh is a Design Founder & Advisor, Berlin School of Creative Leadership Executive MBA participant, Zippie advisor, Wolt co-founder, and Nordic Rose stakeholder.

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