Dropshipping Statistics By Market Size, Media Usage, Beauty Products, Sales, Demographic, Revenue And Profit

Maitrayee Dey
Written by
Maitrayee Dey

Updated · Dec 17, 2024

Aruna Madrekar
Edited by
Aruna Madrekar

Editor

Dropshipping Statistics By Market Size, Media Usage, Beauty Products, Sales, Demographic, Revenue And Profit

Introduction

Dropshipping Statistics: Dropshipping, most probably the cheapest eCommerce model today, has opened doors for anyone interested in business all over the world. It is still booming in 2024, catching up with innovations in technology, global supply chains, and growth in online shopping trends.

Here are the latest and great dropshipping statistics that may help entrepreneurs, investors, and enthusiasts.

Editor’s Choice

  • Recent dropshipping statistics reveal that the global e-commerce market for dropshipping was valued at approximately US$128.6 million in 2020. By 2026, it is expected to grow to as much as US$476.1 billion.
  • Of all the retailers across the globe, 27% adopted dropshipping in 2023, with 46.3% in China and 36.3% in the UK as their leaders in usage.
  • Out of all online visits made to the store, about 74% were made from mobile devices, and therein lies the importance of mobile optimization for dropshipping stores.
  • Purchases are now greatly influenced by social media; 20.6% of TikTok users never buy anything “all of the time”. Next would be the heavy users of purchasing from Instagram and Facebook.
  • Dropshipping statistics state that Just 1.5% of dropshipping businesses are able to achieve more than US$50,000 of income a month, and only 10% of dropshipping businesses become profitable.
  • Of the dropshipping segments, apparel holds the lead with a projected CAGR of 24.8% by the year 2030.
  • In total, dropshipping will account for USD 6.17 trillion in global online retail sales in 2022.
  • Now dropshipping is automated, and you have automation software that can do wonders.
  • Earnings from drop-shipping in the United States have dropped, as it was reduced from 11.27% in 2022 to 10.83% in 2025.
  • According to a survey on dropshipping statistics carried out by Statista in 2019, 33.8% of online shoppers belong to the lower-income group, while 34.6% belong to the high-income group; this research shows that people from different income levels participate well in e-commerce.
  • In 2023, dropship revenue closely correlated to social media, with stores that have dynamic social media engagement achieving 32% higher sales revenues.
  • In the USA, 45% of e-business sales were down to mobile devices, including 27% of online sellers who do dropshipping activities.
  • Dropshipping manufacturers earn an average of 18.33% more profits than their counterparts who do not use the model.
  • Shopify tops the list of the most popular dropshipping platforms, with 23% of the websites using it, followed by WooCommerce (15%) and Magento (8%).
  • Dropshipping statistics indicate that In the U.S., the largest age group for digital buyers is aged 25-34 (20.2%). However, older ages are represented well, including the 65+ years (14.4%).
  • The dropship market is in the neighborhood of 23% of all online transactions, with Forrester Research estimating US$85 billion in sales worldwide for the drop-ship model.

Facts About Dropshipping

  • Dropshipping statistics reveal that As of 2030, it is anticipated that the dropshipping industry in North America will increase at a compounded annual growth rate of 23.5%.
  • By 2022, the main aiding factor for 84% of eCommerce entrepreneurs willing to start a dropshipping business was finding a good supplier.
  • Accordingly, that year, online stores under dropshipping had a 50% increase in profitability. Among the segments in dropshipping, fashion, electronics, media, toys, hobbies, DIY, furniture and appliances, food, and personal care are some of the most important segments.
  • Fashion alone is expected to register a global CAGR of 24.8% by 2030.
  • Dropshipping has helped online retail sales remarkably hit US$6.17 trillion in 2023.
  • Dropshipping works by having retailers forward customer orders directly to suppliers or wholesalers. Most dropshipping systems work through this method without having an inventory.
  • The market, from 2022 to 2023, has seen a considerable increase in automation, making processes simpler through the plethora of software tools and apps that manage the whole dropshipping experience.
  • It is worth noting that the dropshipping market in the Asia-Pacific region grew by about 33.9% towards the end of 2022, with North America registering as the fastest-growing region in 2023.
  • However, only a meager 1.5% of dropshipping stores were able to make over USD 50,000 on a monthly basis in 2022.
  • For the United States, sales contribution in the regional continent accounts for 80.9%, followed by Canada at 5.2% and the UK at 4.1%.
  • In Europe, dropshipping took on outside hot spots like Germany, which realized a CAGR of 16.9% in 2022.
  • Globally, 27% of all dropshipping stores have been founded in 2022, with an additional 175,000 stores in the first quarter of 2023.
  • Africa graced the bottom ranking as the least popular dropshipping market. Social media has increased dropshipping sales by 32%.
  • According to dropshipping statistics, the income of suppliers who sell to dropshipping increased by 18.33%.
  • Many companies are formulating AI strategies to boost their dropshipping, and AliExpress has come up with the Sellika AI plugin to advance their efforts.

Dropshipping Market Size

Estimated Value Of The Global Dropshipping Market Size In 2020, With A Forecast From 2021 To 2026(Reference: statista.com)

  • dropshipping statistics reveal that in 2020, the global market value for e-commerce through dropshipping was approximately 128.6 million U.S. dollars.
  • In fact, the industry boomed over the upcoming years. By 2026, the market was forecasted to grow to 476.1 billion U.S. dollars, which would indicate a significant increase from the preceding year, 2021.
  • The increase was propelled by the growth in eCommerce, the advancement in technology, and a rising number of new entrepreneurs adopting a dropshipping business model.

Retailer Vs Dropshipping

Retailer vs. Dropshipping Statistics(Reference: enterpriseappstoday.com)

  • Even in 2023, just 27% of retailers across the globe use the dropshipping model to place orders for their customers.
  • The other 73% still have not adopted the methods. Countries where retail sales vary through dropshipping include China, leading at 46.3%, followed by the United Kingdom at 36.3%, South Korea at 32.2%, Denmark and Indonesia at 20.2% each, Norway at 19.4%, the United States at 16.1%, Finland at 14.6%, Sweden at 14.1%, and Canada at 13.6%.
  • According to dropshipping statistics, as of April 2022, 24% of small business owners are engaged in dropshipping. Among these individuals, the highest dropshipping participation was in the form of Gen Z customers at 38%, followed by Millennials at 30%, Gen X at 24%, and Baby Boomers at 16%.

Dropshipping Of Smartphones

Dropshipping Of Smartphones(Reference: dropship.io)

  • A dropshipping shop must have mobile optimization, as 74% of online store visits come from mobile devices.
  • The remaining traffic is divided between desktops: 24% for desktops and 2% for tablets.
  • In order completion, slightly more dominance goes to desktops at 35%, but smartphones take the wider share at 63%.
  • Therefore, every page on your site should be functional and properly formatted both for mobile and desktop.
  • Because a transition between devices should be seamless, a user experience that goes smoothly and positively can drive conversion levels high.

Dropshipping Media Usage

Buyers' Statistics By Social Media Platform(Reference: enterpriseappstoday.com)

  • Dropshipping statistics state that as of January 2022, TikTok has become the dominant social media platform for influencing people into buying or purchasing.
  • Of all the users surveyed, 20.6% said they purchased products “all of the time,” while the remainder stated “sometimes” at 48.7%, “rarely” at 20.7%, and “never” at 9.9% in case of influence through particular videos.
  • YouTube followed, with 16.6% of users stating that they purchased products “all of the time” influenced by viewing videos, 47.7% “sometimes,” 24.2% “rarely,” and 11.6% said “never” for the same.
  • On Instagram, 16.4% of users purchase “all of the time,” 55.8% “sometimes,” 20.7% “rarely,” and only 7.1% “never.”
  • Facebook bought 15.8% of users with a “buy all the all-time” statement, while 54.8% stated sometimes,” 23.6% “rarely,” and 5.9% “never.”
  • 15.4% of users on Twitter buy these “all the time,” while 37% do it “sometimes,” 33.4% “rarely,” and 14.3% “never.”
  • For Pinterest, the lowest user engagement comes at just 11% of users buying “all the time,” while 54.1% said they would buy product styles “sometimes,” 29.3% said they would buy “rarely,” and 14.6% indicated they would never purchase.

Dropshipping Statistics By Revenue And Profit

  • Dropshipping statistics reveal that quite simply, not more than 1.5% of all dropshipping businesses amass a revenue of above US$50,000 on a monthly recurring basis, which clearly states how finding the right niche, getting strong partners, and so on all remain challenges in the field.
  • Shopify does proffer an expert addition by mentioning that only 10% of dropship businesses end the day in profits.
  • Despite these challenges, however, it remains a much healthier option than conventional retailing generally because the majority of the costs are related to the management of a warehouse and paying for the storage of inventory.
  • Realizing this promise, official e-commerce websites such as Amazon and Shopify have introduced new but carefully tailored facilities that reduce operating costs to potentially save up to 50% in profits.
  • According to dropshipping statistics, an average successful drop shipper earns about 20-30% profit margin per transaction.
  • More often than not, high-value products tend to carry a much higher profit margin, even if they do not turn that fast. Moreover, since dropshipping has become commonplace in channels, suppliers’ profits shot up by 18% when compared to those recognized through direct sales.
  • If the figures clearly speak of the financial benefits that dropshipping models have provided to suppliers as well as retailers, they will spell a successful business model.

Dropshipping Statistics By Beauty Products

(Reference: enterpriseappstoday.com)

  • According to the trend of decline in the profitability rate of dropshipping for the past year in the USA, in 2022, the rate was merely 11.27% after a slight drop from the previous year.
  • In 2023, it dived further down to 11.14%. In 2024, it dropped by 11%.
  • A further drop has been projected for 2025 when the expected rate of profitability becomes 10.83%.

Dropshipping Statistics By Income Group

  • The 2019 Statista Global Survey revealed that online buyers were nearly evenly distributed across income groups, demonstrating the broad reach of e-commerce.
  • Dropshipping statistics showed that 33.8% of online buyers were from the lower-income group, indicating strong participation from the segment.
  • The medium-income group represented 31.5% of online buyers, while the high-income group reported a slightly larger share at 34.6%.
  • This shows how widespread online shopping is across all economic classes, with nearly equal participation from all three groups.
  • And specifically, that kind of survey conducted in August 2022 found that females were more likely than males to buy fashion items from online shops.
  • Over the 12 months before this survey, 82% of women reported having purchased clothing online, compared to 73% of men. Thus, this shows a greater tendency among women to shop online for fashion products.

Dropshipping Ecommerce Usage

eCommerce Usage Distribution In The Top 1 Million Sites(Reference: dropship.io)

  • This deep technology e-commerce top among the 1 million websites portrays a vast usage of platforms. Leading by far is Shopify, accounting for a whopping 23% of such sites – an indication of its popularity and ease of use.
  • The next in line is WooCommerce Checkout with 15%, especially implying its importance among WordPress users.
  • Magento, as a popular eCommerce solution known for its scalability and robust features, is found on 8% of sites, while its enterprise version, Shopify Plus, holds about 6% share. PrestaShop, another e-commerce solution, weighs in at 3%, suggesting it’s fairly niche.
  • That leaves about 44% to the minor platforms, which speaks volumes about the fragmented nature of the market.
  • It also emphasizes a competitive scenario where businesses choose a particular platform based on their requirements, such as scalability, cost, and peculiarity.
  • This diversity underscores a competitive landscape where businesses select platforms based on their needs, such as scalability, cost, and specific features.

Dropshipping Demographics

  • As of February 2020, the demographics of digital buyers in the United States showed a marked diversity in the age groups.
  • Among the age segments, adults aged 25-34 comprised the largest percentage, 20.2% of the entire population, and this seems to indicate their online shopping interest.
  • The second-largest age segment turned out to be aged 35-44, alongside the group coming in at 17.2% of entire digital buyers.
  • Middle-aged adults were also represented proactively at 15.5% and 14.6%, respectively, in the age brackets 45-54 years and 55-64 years.
  • Adults aged 65 and over hold another interesting share of 14.4% in their own right, which substantiates their ever-growing interest in e-commerce.
  • Among 18- to 24-year-olds, 13% account for digital buyers, while only 5.2% of total buyers were teenagers aged 14-17.
  • Well, beyond a doubt, these numbers prove that online shopping has truly become in vogue among US citizens across the age spectrum.

Dropshipping Sales Statistics

Dropshipping Sales Statistics(Reference: dropshipping.com)

  • As an important piece of the tapestry of eCommerce, dropshipping has been driving much of the industry’s growth. By 2025, such sales are projected to reach almost US$7.4 trillion globally in eCommerce.
  • Roughly 23% of all transactions conducted over the Internet are based on dropshipping.
  • Forrester Research estimates that about a quarter of all online purchases- about US$85 billion in sales internationally- are fulfilled using dropshipping methods, showing the increasing popularity of this business model.
  • Furthermore, sales through dropshipping are most typically associated with advertising via social media, with stores that keep active profiles on social networks like Facebook and Twitter generally posting 32% more revenue.
  • Also, Business Insider mentions that 45% of e-commerce sales in the U.S. are made via mobile. 27% of online sellers use the dropshipping business model.
  • It brings benefits to online retailers and suppliers as well. The profits of manufacturers who adopted drop shipping are reported to be 18.33% more than those who did not adopt this model.

Conclusion

The prospect for dropshipping statistics as a business model still looks very bright in the year 2024, especially among newbie entrepreneurs willing to venture into niche markets, optimize their supply chains, and provide delightful customer experiences. With the right approach and an enormous potential for high-profit yields, this business model defies geography in its rapidly growing global market space.

FAQ.

What are the future growth predictions for the dropshipping market?

It was estimated that the global ecommerce market for dropshipping was valued at about US$128.6 million in 2020 and is expected to reach a whopping US$476.1 billion by 2026. This wide shift can be attributed to various factors, such as advancements in technology and an increase in online shopping, with the concomitant rise in entrepreneurship taking up the dropshipping model.

What percentage of retailers use drop shipping?

27% of retailers across the globe practice dropshipping to fulfil customer orders as of 2023. It is most widely embraced in China (46.3%), followed by the UK (36.3%) and South Korea (32.2%).

What benefits does mobile optimisation provide for dropshipping stores?

Mobile optimisation is very important in dropshipping stores because 74% of every visit to an online store comes from mobile devices. Hence, keeping the website mobile-friendly is good for user experience and higher chances of conversion because 63% of orders are completed via smartphones.

Is Dropshipping Profitable?

While dropshipping offers high, low entrances into its business model, profit still proves elusive. Only 1.5% of monthly revenues reach beyond US$50,000, while only 10% are said to make profits. The model could still be considered a more affordable option than conventional retail in terms of overhead costs, such as inventory maintenance.

How does social media affect dropshipping sales?

Social media drives a lot of sales in dropshipping; stores engaging on platforms like TikTok, Instagram, and Facebook can see sales revenue improve by 32%. TikTok has proven to be a revolutionary space for making purchase decisions, as 20.6% of its users claim to buy anything as soon as they see ads or influencers post about it.

Maitrayee Dey
Maitrayee Dey

Maitrayee, after completing her graduation in Electrical Engineering, transitioned into the world of writing following a series of technical roles. She specializes in technology and Artificial Intelligence, bringing her experience as an Academic Research Analyst and Freelance Writer, with a focus on education and healthcare under the Australian system. From an early age, writing and painting have been her passions, leading her to pursue a full-time career in writing. In addition to her professional endeavors, Maitrayee also manages a YouTube channel dedicated to cooking.

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