Shopify Dropshipping: How To Start & Manage? + FAQs

How To Do Dropshipping With Shopify? Step-By-Step Guide

by Alex Noah — 6 months ago in Business Ideas 5 min. read

Shopify dropshipping is a great business model for new-bie entrepreneurs or modern retailers. Learn how to do dropshipping on Shopify step by step.

Dropshipping is not a present-day business term, it was coined dated back in the 1950s.

Usually, in those days dropshipping means selling direct-to-consumer (D2C) via phone order catalog.

Presently, the practice is enhanced at a glance and majorly every startup is looking for a dropshipping business model.

Indeed, startups don’t usually make profit right away, time and money required peacefully.

Here dropshipping proved to be a good business model for first-time entrepreneurs.

It helps them in majorly outsourcing manufacturing, warehousing, and shipping operations to a third-party seller or agency, resulting in reduction in cost and might focus their time on marketing.

In this blog, you will get to learn how to do dropshipping with Shopify.

If you’re a startup and squeezed with budget, you can consider reading this blog. And, of course this comprehensive blog is meant for you.

Delve into:

👉 What is dropshipping?
👉 What is shopify dropshipping?
👉 How to start dropshipping on Shopify?
👉 Dropshipping on Shopify FAQs

Also read: How To Do Dropshipping With WordPress?

What Is Dropshipping?

In layman terms, dropshipping is a retail fulfillment method or retail business model in which an online store doesn’t keep the products it sells in inventory.

Instead, outsource manufacturing, warehousing, and shipping to a third party seller who either incubates all of this or has one.

When a store sells a product under a dropshipping model, it usually interacts with a third party entity, typically a wholesaler or manufacturer, who then ships the product directly to the customer.

Here’s how dropshipping works:

  • The retailer markets and sells the products on their website.
  • Sets the prices, and handles customer inquiries and orders.
  • Once an order is placed, the retailer forwards the order details to the supplier.
  • He then packages and ships the product directly to the customer.

Dropshipping offers a flexible and potentially profitable business model for online retailers, but success often depends on selecting the right niche, identifying reliable suppliers, and providing exceptional customer service.

What Is Shopify Dropshipping?

You can expect a definition similar to the above one.

But, there’s a difference.

Simply, Shopify dropshipping is a practice of using a Shopify platform to use as for running a dropshipping business.

As it helps you design, develop, and manage your own eCommerce portal with flexibility and independence. It also allows you to leverage Shopify dropshipping advantages.

The benefits are…

  • With Shopify dropshipping, entrepreneurs can set up an online store and integrate it with various dropshipping suppliers or apps.
  • Additionally, the order details are automatically forwarded to the dropshipping supplier, who then fulfills and ships the product directly to the customer.

While Shopify simplifies the process of managing online stores with dropshipping suppliers, the success of dropshipping business still depends on your effective planning, product selection, marketing, and ongoing management.

Also read: Top 7 Work Operating Systems of 2021

How To Start Dropshipping With Shopify?

In this section, you will glance at how to start dropshipping with Shopify step by step.

There are a total five steps required to follow with detailed attention and knowledge to adhere to a progressive dropshipping model.

  • Search a profitable dropshipping niche
  • Analyze and define your target audience
  • Ask Shopify experts for dropshipping suppliers
  • Design a fabulous eCommerce store
  • Market your dropshipping store

Search a profitable dropshipping niche

I would say it is hard to find, but that’s not impossible to do!

Here, you are engaged in finding your niche market. A niche market is a segment of a larger market that has a high competition rate.

So, how would you be able to find a lucrative dropshipping niche?

Many small businesses are able to cut-down complexity levels through niching.

For example; if you’re selling shoes, you’re going to have a ton of competition. But if you’re selling cotton printed shoes, suddenly the level of competitors is reduced greatly. Sell cotton printed shoes to millennial models or their fans, competition becomes even more scarce.

It would take time and expertise help, unless you won’t find it, don’t jump onto the next step.

Analyze and define your target audience

Once you are sure that your dropshipping niche is lucrative, validate it to make sure there’s an audience for it.

Here’s some ways:

  • Facebook Audience Insights: Facebook incubates around 2.9 billion monthly users. You could expect to gain valuable insights about the target audience.
  • Google Keyword Planner: Reportedly, it processes billions of searches each day. Using its platform you can surely search for a limitless lucrative niche.
  • Google Trends: A mediocre way to get well information about trending behavior, interest, and pattern, plus the ability to measure interest over time.
Ask questions to yourself…


Question: Who benefits the most from my product?
Question: What makes my product unique in the market?
Question: Who is discovering my product and how?

Ask Shopify experts for dropshipping suppliers

The Shopify dropshipping apps are your way!

You can find Shopify’s dropshipping apps straightforwardly in the Shopify App Store.

When you utilize Shopify for dropshipping, the details of your orders are promptly sended to your chosen third-party supplier for seamless shipping.

Further processes are carried by them systematically. In time, you could ask them about order updates and tracking numbers to provide customers, or they could do this on your behalf.

Design a fabulous eCommerce store

After getting assistance and confidence about dropshipping suppliers.
You can adhere to creating an online store for your brand and target customers. Might it look irrelevant to you, but for long run and new product promotion, it becomes needy.

In precise, here’s what you need to do:

  • Log in to your Shopify account
  • Set up your domain name
  • Import products into your Shopify store

Creating an online store on Shopify offers several advantages for businesses such as user-friendly interface, design customization, mobile responsiveness, and app integration, including hosting, security, payment gateways, inventory management, order processing, and more.

Market your dropshipping store

At last, market your dropshipping store with careful planning, actions, and management.

It is important to review each parameter to ensure your dropshipping idea is good and profitable for your business.

Here’s you can try following things for marketing your dropshipping store:

  • Search engine optimization
  • Social media marketing
  • Influencer marketing
  • Content marketing
  • Email marketing
  • Paid advertisement
  • Customer review and referrals
  • Brand collaboration, etc

Remember to monitor and analyze your marketing efforts regularly.

Track key metrics, such as website traffic, conversion rates, and sales, to evaluate the effectiveness of your marketing strategies and make data-driven adjustments as needed.


How To Manage Dropshipping After Creating A Shopify Store?

You can fruitfully manage your shopify dropshipping agenda by following the mentioned tips.

These tips are tested and result-driven, so there’s a good chance of getting possible positive results for dropshipping management.

  • Consider dropshipping apps that automate order processes like contacting the supplier, paying for the product, and providing the customer’s shipping details.
  • Provide excellent customer service by promptly responding to inquiries, resolving issues, and addressing customer concerns.
  • Regularly analyze your marketing campaigns to identify what works best for your business.
  • Establish a unique brand identity for your store. Create unique professional logos, approach modern day promotional practices, and design cohesive branding elements.
  • Keep up with the latest trends, changes in the market, and new strategies in the dropshipping industry.


It’s time to start a lucrative dropshipping store today!

If you’re a new retailer, Shopify dropshipping is a great way to keep costs low, since the expenses are specified and controlled, such as you only pay when products are shipped after they’re purchased.

Another thing, dropshipping allows online retailers to focus on new product innovation and its marketing including building a reputable brand.

How to start dropshipping with Shopify – doubt is now clear!

Dropshipping On Shopify FAQ

Can I start dropshipping with Shopify?

Yes, you can start dropshipping with Shopify. In fact, Shopify is a popular platform for setting up and running a dropshipping business.

How profitable is dropshipping with Shopify?

Shopify dropshipping platform is a great business model for first-time entrepreneurs. However the profitability can vary depending on several factors, including your niche selection, product pricing, marketing strategies, competition, and operational efficiency.

How to do dropshipping on Shopify step by step?

Follow the indications in a systematic manner to do dropshipping on Shopify. Search a profitable dropshipping niche, Analyze and define your target audience, Ask Shopify experts for dropshipping suppliers, Design a fabulous eCommerce store, and Market your dropshipping store.

What are the benefits of shopify drop shipping for startups?

Low investment, low cost incurred, and great flexibility. Dropshipping eliminates a need for in-house manufacturing, warehousing, and shipping concerns.

Alex Noah

Alex is senior editor of The Next Tech. He studied International Communication Management at the Hague University of Applied Sciences.

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