The disadvantages of drop shipping

Although drop shipping is a business offers a number of distinct advantages it also has a few disadvantages. The low barriers to entry, the no set location and competitive nature of e-commerce stores can make drop shipping a bit harder.

Resell price.
Depending upon what niche you enter, you may find that other people who are also drop shipping mean that you need to have low margins to compete. This is especially true due to the low barriers of entry, minimal overhead costs and the fact that they have invested so little to get started means that some people are willing to sell a rock bottom prices. There are ways to overcome this issue which will cover in more detail later on. Continue reading

The disadvantages of drop shipping

Handling returns

It does not matter what you sell who you purchase stock from unfortunately at some stage there will be the need to handle returns. A dropship store is different to a traditional store as you did not directly send the product to the customer. So there are a couple of different options available to you depending on who the supplier is and how you want to handle the return itself. The other option to consider is if you want to hide the supplier from your customer (this is very useful for products that have repeat sales, or for customers you are trying to upsell)

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Handling returns – online clothing dropship supplier


Name: Galoreclothes
Location:  Ukraine
Category:  women’s clothing
Contact:  Elena:
Shipping: Worldwide
Discount: 15% discount
Details: A Ukraine manufacturer of casual women’s clothing.
Will drop ship without any advertising and with  plain packaging.
Prices start at US$70 a unit.