The Dropshipping market was valued at US$ 162.44 billion in 2019 and is projected to reach US$ 591.77 billion by 2027; it is expected to grow at a CAGR of 18.3% during the forecast period.
Dropshipping is a type of retail fulfillment model where a store does not need to keep the goods in stock. Instead, with the implementation of dropshipping method, a store purchases the item from a third-party and ships it directly to the end user; thus, the vendor does not have to manage the product directly. Moreover, it is one of the methods for making money online without investing or holding any inventory. Dropshipping is implemented in numerous industries to offer various types of products, such as electronics, personal care, and toys; it also ensures the smooth delivery of goods to consumers. Introduction of advanced technologies has offered new opportunities to dropshipping model providers to move from traditional to online business mode. The major advantage of dropshipping is one can start a web-based commerce store without investing a huge amount of money in stock. Whereas, in the traditional method retailers had to invest a huge amount to obtain stocks.
The COVID-19 crisis is affecting the industries worldwide, and the global economy is anticipated to take the worst hit in 2020, which is likely to have impact on 2021 as well. The pandemic has disturbed dropshipping businesses and suppliers around the globe. Warehouses, suppliers, and delivery companies are not operating at their full capacity. This might cause some order delays. These companies are experiencing disruptions in their operations, and it is likely to have negative consequences for companies across the globe, including dropshipping stores.
The List of Companies - Dropshipping Market
- Doba Inc.
- Inventory Source
- Megagoods, Inc.
- MODALYST, INC.
- Printify, Inc.
- SaleHoo Group Limited
- Sunrise Wholesale Merchandise LLC