The eMerchantClub guide to dropshipping
What is dropshipping? How it works, what it costs, and how to start.
Dropshipping is a retail fulfillment method in which you sell products without holding the inventory yourself. When a customer orders, a supplier ships the product directly to that customer. You run the storefront and manage the customer relationship.
$39 initial signup. Hosting is $29.95/month beginning 30 days after signup and continues until canceled. Other applicable fees and additional services may cost extra.
A dropshipping store lets you focus on presenting products, attracting shoppers, and serving customers while a supplier handles the physical shipment. Understanding that division of work helps you decide whether the approach fits the business you want to build.
Ecommerce describes selling online; dropshipping describes how products reach the buyer. An online store can use dropshipping, stock its own merchandise, or combine fulfillment methods. For the broader picture, read our beginner’s guide to ecommerce.
The key idea: you can sell eligible products without storing or packing them yourself. You still need to understand your costs, bring people to your store, and look after your customers.
How does dropshipping work?
Imagine a shopper ordering a decorative lamp from your store. The lamp is held by your supplier. Your customer buys through your business, and the supplier sends the item to the customer’s address. Here is how the pieces fit together.
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You offer a product in your store
Review its description, price, availability, shipping information, and return terms. Give shoppers the details they need to decide whether it fits their needs.
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A customer places an order
Your storefront records the purchase, and your configured payment service processes the payment. Learn where to check the order and its payment status.
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The supplier receives the order and payment
Follow the required process to submit the item, delivery address, and payment for fulfillment. Depending on the store and supplier, some steps may be automated and others may require your action.
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The supplier packs and ships the product
The item goes directly to the customer. Review the available tracking information and communicate delivery updates when appropriate.
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You help the customer after the sale
If a buyer has a question, a damaged item, or a return request, you coordinate the next steps using the applicable supplier and store policies.
Before your first sale: know how to submit an order, how you pay the supplier, where tracking appears, and whom to contact when something needs attention.
Dropshipping vs. buying and stocking products
Both approaches can support an online store. The main differences are when you buy merchandise and who handles it before delivery.
| Consideration | Dropshipping | Stocking products yourself |
|---|---|---|
| Buying merchandise | You typically purchase the item for fulfillment after receiving a customer’s order. | You purchase inventory before those items sell. |
| Storage and packing | The supplier stores and packs the products it fulfills. | You arrange storage and packing for your inventory. |
| Product inspection | Samples can help you evaluate a product; you usually do not inspect each outgoing order. | You can inspect the inventory you hold and the orders you prepare. |
| Fulfillment control | You depend on the supplier’s availability, handling, and shipping process. | You manage stock levels, packing choices, and dispatch directly. |
On smaller screens, scroll the table sideways to compare both options.
A customer still needs accurate product information, a clear delivery expectation, and a reliable way to contact your business with either approach.
What are the benefits and challenges of dropshipping?
Dropshipping changes the work involved in running a store. Consider both the tasks it takes off your hands and the ones that need your attention.
What it can simplify
- Upfront inventory: you can offer eligible products without first buying a bulk supply.
- Storage and shipping: the supplier handles the stock and prepares shipments.
- Product focus: you can change what you feature without clearing a room of unsold inventory.
What you need to manage
- Order economics: product, shipping, payment, and marketing costs affect what you keep.
- Supplier dependence: availability, delivery times, and packaging need careful review.
- Customer demand: your store needs promotion, helpful information, and responsive service.
For example, a low-priced item with a high shipping charge may be difficult to promote profitably. A product with unclear dimensions may generate avoidable questions or returns. Evaluate the whole buying experience before deciding what to feature.
How do you make money with dropshipping?
You earn sales revenue by selling products to customers. Your profit depends on what remains after the costs of those sales and the expenses of running your business. Start with one order to understand the arithmetic.
| Example order | Amount |
|---|---|
| Selling price, excluding sales tax | $60.00 |
| Less supplier product cost | −$32.00 |
| Less shipping paid by the seller | −$8.00 |
| Less payment processing cost | −$2.00 |
| Remaining before advertising and other expenses | $18.00 |
If you spent $12 on advertising to obtain that sale, you would have $6 left before hosting, returns, other business expenses, and taxes. A different selling price, shipping charge, or advertising result changes that calculation.
This example is not a supplier quote, a typical result, or an earnings projection. Use actual costs for the products and services you select.
Plan for when money becomes available
Customer payments and supplier payments can happen on different schedules. For example, PayPal explains that payments may be held, including for some new sellers. Understand your payment provider’s payout rules and plan how you will fund fulfillment while money is pending.
What does it cost to start dropshipping?
Your budget should cover opening the store, fulfilling orders, and operating the business. Avoid treating the signup price as your complete business budget.
eMerchantClub currently advertises a $39 initial signup offer. Hosting is $29.95 per month beginning 30 days after signup and continues until canceled. Other applicable fees and additional services may cost extra. Check the current offer and terms for your selected store option.
- Store expenses: signup, hosting, and any additional services you choose.
- Order expenses: supplier products, shipping where applicable, and payment processing.
- Promotion: any advertising, content, or marketing services you purchase.
- Operating cushion: funds for payment delays, refunds, returns, and unexpected expenses.
Unpaid promotion still takes time. Begin with a manageable plan, record your expenses, and review the results before increasing your spending.
How does eMerchantClub help you get started?
eMerchantClub brings together a prepared storefront, product supplier connections, and guidance for learning to run your store. Participating suppliers fulfill eligible orders, while you develop your business and follow the required ordering process.
Store setup. Training. Real people.
Have a place to turn when you need your next step.
eMerchantClub offers U.S.-based human support, technical help, training resources, and marketing guidance. You can ask questions as you learn the platform and work through store setup.
Use the Learning Center for website management and setup tutorials, the Marketing Center for promotional guidance, and Member Support for help with an existing account.
Your role is to choose a direction, learn the order process, attract shoppers, and serve customers. The support gives you resources to use as you do that work.
How should you choose products to dropship?
Start with a customer you can describe and products you can explain. Someone furnishing a small apartment, for example, may care about dimensions, versatility, and how an item fits into a limited space.
eMerchantClub advertises product lines including home décor, home goods, electronics, jewelry, medical supplies, and adult products. Review the available store options for the category you want to offer; selections and availability can change.
- Customer fit: can you explain who the product helps and why someone would choose it?
- Complete cost: does your planned price leave room for fulfillment, promotion, and other expenses?
- Product clarity: are dimensions, materials, features, and photos detailed enough to support a purchase?
- Delivery and returns: do you understand availability, delivery expectations, and how problems are handled?
If samples are available, consider ordering one to evaluate the product and delivery experience. Use what you learn to make your descriptions and answers more useful.
How to start dropshipping with eMerchantClub
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Choose your direction and review the offer
Identify your intended customer and product category. Review the available store options, signup cost, recurring hosting charge, and services before enrolling.
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Complete your store setup and training
Follow the customization process for your selected option, including your product line and domain name. Use your new website training to learn the platform and finish the required setup tasks.
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Learn the full order journey
Review product information, contact details, payment setup, shipping information, and return terms. Confirm how you submit and pay for supplier orders, retrieve tracking, and request help.
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Promote a focused selection and review results
Choose a manageable channel and share useful product information regularly. Track visits, inquiries, orders, and expenses. Use what you observe to improve your product presentation, marketing, and service.
For a home décor product, that might mean showing how it fits in a real room, answering common size questions, and linking directly to its product page. A specific explanation gives shoppers something useful to consider.
Frequently asked questions about dropshipping
Do I need to keep inventory at home?
For eligible dropshipped products, the supplier holds the stock and sends orders to customers. You still need to understand availability, supplier charges, and the steps required to fulfill an order.
Do I need coding experience?
You do not need to code the storefront eMerchantClub prepares for you. You will need to learn the platform, complete setup, and manage the business. Training resources and technical support can help you learn those tasks.
Are dropshipping orders processed automatically?
The process depends on your storefront and supplier. Confirm which steps are automated and which require you to submit information or make a payment. Check order and fulfillment status so you can spot anything that needs attention.
Who handles shipping problems and returns?
The supplier handles the physical fulfillment it provides. As the store owner, you help your customer and coordinate issues through the relevant supplier. Review return eligibility, deadlines, charges, and damage reporting procedures before selling.
Can I work on a dropshipping store part time?
You can plan store tasks around other commitments, but orders and customer questions need timely attention. Set a routine for checking the store, following up on fulfillment, helping customers, and promoting products.
Is dropshipping profitable for beginners?
Profit is possible when sales revenue exceeds your costs, but there is no guaranteed income or timeline. Your results depend on your products, pricing, audience, competition, marketing, and operating expenses. Use actual order costs and business records to evaluate your progress.
Build your store with guidance from eMerchantClub.
Start with a product direction and a clear picture of the work involved. eMerchantClub can help you prepare your storefront, connect with suppliers, and learn the next steps through training and real human support.
$39 initial signup. Hosting is $29.95/month beginning 30 days after signup and continues until canceled. Other applicable fees and additional services may cost extra. Building a business takes effort and promotion; earnings are not guaranteed.