Drop Shipping Statistics

Steve Goldstein
Steve Goldstein
Business Formation Expert
Steve Goldstein runs LLCBuddy, helping entrepreneurs set up their LLCs easily. He offers clear guides, articles, and FAQs to simplify the process. His team keeps everything accurate and current, focusing on state rules, registered agents, and compliance. Steve’s passion for helping businesses grow makes LLCBuddy a go-to resource for starting and managing an LLC.

All Posts by Steve Goldstein →
Business Formation Expert  |   Fact Checked by Editorial Staff
Last updated: 
LLCBuddy™ offers informative content for educational purposes only, not as a substitute for professional legal or tax advice. We may earn commissions if you use the services we recommend on this site.
At LLCBuddy, we don't just offer information; we provide a curated experience backed by extensive research and expertise. Led by Steve Goldstein, a seasoned expert in the LLC formation sector, our platform is built on years of hands-on experience and a deep understanding of the nuances involved in establishing and running an LLC. We've navigated the intricacies of the industry, sifted through the complexities, and packaged our knowledge into a comprehensive, user-friendly guide. Our commitment is to empower you with reliable, up-to-date, and actionable insights, ensuring you make informed decisions. With LLCBuddy, you're not just getting a tutorial; you're gaining a trustworthy partner for your entrepreneurial journey.

Drop Shipping Statistics 2023: Facts about Drop Shipping outlines the context of what’s happening in the tech world.

LLCBuddy editorial team did hours of research, collected all important statistics on Drop Shipping, and shared those on this page. Our editorial team proofread these to make the data as accurate as possible. We believe you don’t need to check any other resources on the web for the same. You should get everything here only 🙂

Are you planning to form an LLC? Maybe for educational purposes, business research, or personal curiosity, whatever the reason is – it’s always a good idea to gather more information about tech topics like this.

How much of an impact will Drop Shipping Statistics have on your day-to-day? or the day-to-day of your LLC Business? How much does it matter directly or indirectly? You should get answers to all your questions here.

Please read the page carefully and don’t miss any words.

Top Drop Shipping Statistics 2023

☰ Use “CTRL+F” to quickly find statistics. There are total 42 Drop Shipping Statistics on this page 🙂

Drop Shipping “Latest” Statistics

  • By 2027, the B2C e-commerce market will be worth $6.2 trillion, according to Grand View Research.[1]
  • Over 2.14 billion people regularly shop online.[1]
  • E-commerce platforms will soon be used by billions of people worldwide, according to Statista.[1]
  • Real-life product reviews have a 12 times higher level of customer confidence than “official” product descriptions.[1]
  • Grand View Research’s report indicates that the dropshipping industry will reach $557.9 billion by 2025, growing at a CAGR of 28.8 percent over the forecast period.[2]
  • According to another Statista study, the global dropshipping market is expected to reach $196.78 billion in 2022 and $476.1 billion by 2026.[2]
  • Top drop shippers on the internet claim that only 10% to 20% of dropshipping businesses are successful.[2]
  • Dropshipping is now used by approximately 27% of online retailers as their primary method of fulfilling customer orders.[2]
  • When they sell to drop shippers, suppliers earn 18.33% more money than when they sell through their own online stores.[2]
  • The global dropshipping market for fashion and apparel products was valued at $43.9 billion in 2020, according to a Technavio report, and it is anticipated to expand at a CAGR (Compound Annual Growth Rate) of 12.8% between 2020 and 2025.[2]
  • The global dropshipping market for a home and garden products was valued at $29.9 billion in 2020, according to a ResearchAndMarkets report. From 2020 to 2028, the market is expected to expand at a CAGR of 12.3%.[2]
  • 61% of B2B retailers plan to make their eCommerce platform a top technology budget priority in the coming year, according to a report.[2]
  • In 2021, retail e-commerce sales are expected to reach approximately $4.9 trillion worldwide, according to Statista.[2]
  • With e-commerce sales of $2,779.31 billion in 2021, China is the largest market.[2]
  • E-commerce was responsible for 19.6% of all retail sales worldwide in 2021.[2]
  • Over 2.14 billion people worldwide are expected to want to buy goods and services online in 2021, according to a Statista forecast of the number of digital buyers from 2014 to 2021.[2]
  • BigCommerce’s most recent e-commerce statistics show that online stores with at least one social media account (Facebook or Twitter) typically generate 32% more sales than those that do not.[2]
  • Dropshipping was used to fulfill approximately $85.1 billion, or 23%, of online sales in 2017.[3]
  • The fulfillment model used by nearly 33% of online stores is dropshipping.[3]
  • Dropshipping as a fulfillment model is anticipated to continue growing alongside eCommerce, which is growing by approximately 17% annually.[3]
  • Dropshipping is used by Amazon, too: In 2011, drop shippers were used to fulfilling 34 percent of Amazon sales, and that percentage has only increased since then.[3]
  • A typical bulk purchase by a traditional retailer only accounts for about 13 percent of what the supplier would prefer to sell.[3]
  • Because they are not as dependent on retailers’ inventory space, manufacturers who participate in dropshipping are 18.33% more profitable than manufacturers who rely on conventional channels.[3]
  • Dropshipping can potentially make eCommerce stores 50 percent more money than stores that deal with an onsite inventory.[3]
  • Oberlo is the leading dropshipping platform with a 31.5% market share, followed by Printful at 26%, and the number of Shopify dropshipping stores has increased from 5.16 percent to 12.82 percent of all Shopify stores.[4]
  • Clothing accounts for 20.8% of dropshipped products.[4]
  • The United States has the most Shopify stores, accounting for 62.8 percent of all Shopify stores.[4]
  • 12.82% of Shopify stores will use at least one dropshipping product as of April 2021, and 7.10% of all Shopify stores will purchase products from a dropshipping service.[4]
  • The global dropshipping market was worth USD 102.2 billion in 2018.[5]
  • By 2027, the dropshipping industry is predicted to be worth $500 billion.[5]
  • Drop shipping is used by approximately 27% of online retailers.[5]
  • Businesses that dropship products make 50 percent more money than sellers who keep an online inventory.[5]
  • Dropshipping was responsible for 23% of all online sales worldwide in 2017.[5]
  • From 2020 to 2026, the dropshipping market is anticipated to experience an average annual growth rate of 24%.[5]
  • Drop shipping is used by approximately 27% of online retailers.[5]
  • According to Torchbankz, dropshipping businesses make 50 percent more money than sellers who keep an online inventory.[5]
  • According to Shift4shop, dropshipping was responsible for 23% of all global online sales in 2017. Dropshipping is used by nearly 33% of online stores.[5]
  • In the United States alone, retail e-commerce is worth $220 billion and expanding at a rate of nearly 17% annually.[6]
  • Drop shipping is now used by 22-33% of online retailers as their primary method of order fulfillment.[6]
  • Drop shipping accounted for 34% of Amazon.com’s 2011 product sales in 2012, according to the e-commerce giant.[6]
  • Establishing a relationship with a drop ship supplier or wholesaler is regarded by 84% of online sellers as the most significant obstacle to starting an online business.[6]
  • When compared to a manufacturer that sells through conventional channels, a manufacturer that drops ships earns 18.33% more on average.[6]

Also Read

How Useful is Drop Shipping

For those unfamiliar with the concept, drop shipping is a retail fulfillment method where a store doesn’t keep the products it sells in stock. Instead, when a store sells a product, it purchases the item from a third party and has it shipped directly to the customer. This means the store owner never has to handle the product, resulting in reduced costs and overhead compared to traditional retail businesses.

On the surface, drop shipping sounds like a fantastic opportunity for anyone looking to break into the world of online retail. It offers a way to start a business with little to no upfront investment, eliminating the need for inventory management and freeing up time for marketing and customer service. However, while drop shipping does have its advantages, there are also several drawbacks and challenges that should be considered before diving in headfirst.

One of the main issues with drop shipping is the lack of control over inventory and product quality. Because the products are not stored or handled by the drop shipper, there is little to no quality control or oversight. This can lead to delayed shipping times, product shortages, or even receiving subpar or defective products. This lack of control can damage a drop shipper’s reputation and result in dissatisfied customers, ultimately impacting the success and sustainability of the business.

Another downside to drop shipping is the fierce competition and saturation in the market. With the barrier to entry being so low, it’s easy for anyone to set up a drop shipping store, resulting in a crowded marketplace with countless competitors selling similar products. This can make it difficult to stand out and gain a competitive advantage, leading to lower profit margins and decreased customer loyalty.

Additionally, drop shipping often comes with slim profit margins due to the high levels of competition and reliance on third-party suppliers. To make a decent profit, drop shippers need to drive significant traffic to their store and sell a high volume of products. This can be challenging, especially for newcomers who may not have the marketing expertise or resources to compete with more established retailers.

While drop shipping may seem like an appealing and easy-to-implement business model, it’s essential to approach it with caution and realistic expectations. Success in drop shipping requires careful planning, strategic decision-making, and a strong focus on customer satisfaction. By acknowledging the challenges and limitations of drop shipping and taking proactive steps to mitigate risks, aspiring drop shippers can increase their chances of building a profitable and sustainable online business.


  1. alidropship – https://alidropship.com/starting-an-online-store-with-dropshipping/
  2. appscenic – https://appscenic.com/dropshipping-and-ecommerce-key-statistics/
  3. shift4shop – https://blog.shift4shop.com/can-dropshipping-be-profitable-check-these-key-statistics
  4. shopgram – https://blog.shopgram.io/key-statistics-of-shopify-june-2021/
  5. woosuite – https://woosuite.com/stats/dropshipping/
  6. americommerce – https://www.americommerce.com/the-numbers-behind-drop-shipping

Leave a Comment