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What is Dropshipping
In simple terms, a dropshipping business is where an online store does not physically hold the items that it is selling. You (the retailer) order products from the manufacturer, who makes the products, holds the inventory and ships the products directly to the customer. But be warned, you need a great e-commerce platform to really utilise your products and audience.
If you are working with this business model, this means you will never need to worry about shipping, packing or storage, saving many overheads and lots of extra hassle! Also, it is a low-risk business model in that you are only paying for items that customers order, so if no orders are made, there are no production costs for you.
Related Article: The full guide on dropshipping for beginners
Top 10 Dropshipping Companies
- Sunrise Wholesale
- Inventory Source
- Worldwide Brands
10 Best Dropshipping Companies
Here is a list of some of the top drop shipping companies to do your business with:
Salehoo, based in New Zealand, connects many dropshippers to suppliers, with suppliers mainly based in the United States, UK, and Australia on their platform. Salehoo also offers website templates so dropshippers can start their own online store via their platform.
- Access to top brands – you can sell from over 1.6 million brand name products, including the likes of Sony, Disney, Victoria’s Secret and many, many more.>
- Customer service – unlike some, Salehoo provides wide-reaching telephone and email customer help, making them a very attractive option.
- Cost – at less than $100 per year, Salehoo is far cheaper than many competitors and one of the most affordable dropshipping solution providers.
- Overcrowded markets – The ability to sell products on eBay or make money on Amazon is amazing. However, when you’re a drop shipper, they’re the worst places to sell your products, since they are massively overcrowded markets. You’ll be competing on price with other drop shippers and perhaps even the manufacturer. As such, your margins could be hugely affected.
Since 2015 Oberlo has established itself as being a leader in allowing you to have your orders sent directly to customers in just a few clicks. With user-friendliness and powerful features, it is easy to see why it has become one of the most used dropshipping providers.
- Integration with Shopify – this seamless relationship between industry masters Shopify makes running your store and managing your products quick, easy and straightforward! This exclusivity can, however, be seen as a negative.
- Dropshipping from Aliexpress – with its huge range of products in its vast online market, the use of Aliexpress is one of the main features that makes Oberlo a huge favourite and makes it incredibly easy to import products to your store. Once you have found the product(s) that you require, you are one click away from importing it to your Shopify store.
- Shopify – whilst in many ways this is a huge positive, having a Shopify account means you may need to adapt in order to use Oberlo.
Founded in 2002, Doba has over 2 million products to choose from in a range of categories such as Clothing, Technology, Entertainment and much, much more.
- Large product offering – Doba has immediate access to one of the biggest and widest product offerings that total over 2 million products from nearly 200 suppliers.
- Educational – for those new to dropshipping and e-commerce, there are educational resources and tools such as tutorial videos and information sections, making Doba very attractive to first-timers.
- Costly – unlike some other dropshipping providers, Doba can be more expensive, and after a free trial does not offer any free service, so those with smaller budgets may be better advised looking elsewhere.
4. Sunrise Wholesale
Sunrise Wholesale of California, whilst not offering as broad a selection of products as some of its rivals (approx. 15,000 products from 7 suppliers), provides many advantages to its competitors that could make it an attractive proposal, such as reasonable membership fees. Some more are listed below.
- Integration with other platforms – Sunrise allows you to export products including images and descriptions to eBay, Amazon and your own website.
- Free trial – after this, there are monthly and yearly plans to choose from at competitive prices.
- Limited Products – with approximately 15,000 products on offer, the range of items is not as broad as some competitors, whose ranges are in the millions. However, when one considers that many of the products could be niche, Sunrise could still prove a worthwhile drop shipping provider.
If in your drop shipping company you are looking for several plans that offer suitable tools and services, then Wholesale2B could be just who you are after. Browsing their products comes at no cost, too, unlike other services, so with many options and a wide range of products to choose from, it’s no wonder Wholesale2B is such a popular choice with small businesses.
- Variety of plans – a broad choice of option when it comes to picking the right plan for your business is a major advantage to choosing to work with Wholesale2B.
- Integration with all platforms – the company lets you connect with virtually every ecommerce platform including eBay, Amazon and even your own site, so no exclusivity.
- Small catalogue – in comparison to other dropshipping providers, the selection of products is much smaller, so, whilst you can browse the site freely before setting up a plan to ensure that it is right for you, other providers may offer broader selections
- Lacking customer service – no email and telephone support is available for customers, so issues can be very difficult to resolve. There are other dropshipping services that have a range of customer service options, so this is a big drawback
Founded in 2004, Megagoods, specialising in electronics and with over 45 categories and thousands of products could be the perfect dropshipping service for a business of a certain type. Below are some of the benefits and drawbacks of working with them.
- Quality over quantity – whilst the offering may not be as huge and wide as some of its rivals, Megagoods still offers top brands such as Samsung, Olympus, Philips, and Pioneer.
- Market expert – specialising in electronics and having run for more than a decade with many satisfied customers, Megagoods is a reliable choice for businesses of this industry.
- Niche – being a specialist is great for a small number of potential customers, but this means that if you do not run a business in the electronics market, you would be well-advised looking elsewhere for your dropshipping provider.
- Extra fees – in addition to monthly membership costs, Megagoods charges an extra fee per order placed for handling and shipping. So, whilst monthly fees could be competitive, you could ultimately be paying much, much extra on top of your basic fee.
7. Inventory Source
Inventory Source is a dropshipping service that has strong inventory and back-end management features along with good account support. This dropship company has more than 1 million products sourced from nearly 100 different suppliers. Below we list some pros and cons of using this provider.
- Free start – basic membership is free to start, which simply gives you access to supplier listing, along with some other basic features. To begin trading, you must purchase more advanced membership plans.
- A wide range of products – with more than 1 million items to select in dozens of categories, Inventory Source is suitable for many different businesses.
- Extra fee per supplier – a drawback of using Inventory Source is that you are charged for each supplier you use. You pay a set monthly rate for the first supplier and an extra, lower rate for each that you add after that.
8. Worldwide Brands
Founded in 1999, Worldwide Brands is one of the largest product sourcing directories online, providing access to more than 6,000 drop shipping and bulk suppliers. Here, we list some pros and cons of doing business with them.
- Huge supplier listing – with over 6,000 suppliers listed, and the list growing and updated on a daily basis, you will never be limited in your search for the perfect product.
- Reliable customer support – WWB provides customer telephone support from 9am-5pm, Monday to Friday, so you will never be short of support if encountering any difficulties.
- Lifetime membership – WWB offers one membership plan which lasts a lifetime and never expires, so you will not need to worry about future membership fees. This model, however, can have certain drawbacks.
- Lifetime membership – whilst this could be an advantage if you were to work with them for many, many years, should you wish to cancel your membership with WWB soon after commencing work, after their 60-day cancellation period, with a $299 lifetime membership fee, that could ultimately be a significant up-front fee wasted.
Similar to Oberlo, Dropified provides connections with the likes of Shopify but also your own website, and offers a free trial along with many other features, making it a very attractive working option. Here, we will list some of Dropified’s key pros and cons.
- Free trial – as mentioned, Dropified offers a free trial of 14 days, unlike most competitors, giving you a terrific opportunity to test this dropshipping provider before others.
- Live customer support – as for support regarding product delivery itself, help can be difficult for any dropshipping company given the indirect nature of the industry. However, Dropified offers LIVE customer support, email correspondence and many tutorial help videos and pages for your benefit.
- Pricey – with expensive, not-so-competitive monthly plans, Dropified is aimed mostly at more established businesses, so start-ups and more niche businesses may be better-advised seeking dropshipping service elsewhere.
Dropbeez is an automatic order fulfilment tool designed for Amazon, eBay, and Walmart. Whilst not meant completely as a solution for dropshipping, it makes the ordering process much easier, removing the responsibility of waiting and processing orders from the store owner.
- Free trial – Dropbeez offers a free 30-day trial to try out the service before signing up. Begin trading with them and, should they not satisfy, within 30 days you can receive all your money back, no questions asked.
- Unlimited orders – you will never have to worry about hitting limits with product orders and needing to pay extra because there is no limit with Dropbeez.
- Platform-specific – the most popular platforms are supported, Amazon, eBay and Walmart, however, other platforms are not supported.
- Google Chrome exclusive – unfortunately, Chrome is the only browser supported, what with Dropbeez being an extension of the browser.
All in all, there are many drop shipping companies to do business with, each with their own benefits and drawbacks, so you must be sure to make your own shortlist and check through each option with great care.