Dropshipping Market Size (2020–2026) [Jan 2024 Update] (2024)

FAQs

Dropshipping Market Size (2020–2026) [Jan 2024 Update]? ›

Experts predict that by 2026, the dropshipping market size will be worth as much as $476.1 billion. To put things in perspective, this is more than 3.5 times its value in 2020 and an impressive $347.5 billion of growth in just a matter of six years.

For instance, the dropshipping statistics show that the dropshipping market reached around $243.42 billion in 2023. This marks the first time it has surpassed $200 billion, with a growth of 23.7% from 2022. Plus it is expected to grow up to $301.11 billion in 2024 and $372.47 billion in 2025.

Is dropshipping still worth it in 2024? Yes, dropshipping is still worth it in 2024. Whether you already own an eCommerce venture or are looking to start a business in the space, dropshipping offers a low barrier to entry and less risk than traditional retail.

The global dropshipping market was valued at USD 200 billion in 2022 and grew at a CAGR of 25% from 2023 to 2032. The market is expected to reach USD 1862.64 billion by 2032. The growing preference for online shopping will drive the growth of the global dropshipping market.

Dropshipping's annual growth rate is projected to be 24.39% from 2020 to 2026. Why Important: This rapid growth rate demonstrates the burgeoning potential and expanding opportunity within the dropshipping market. The dropshipping market is anticipated to reach $372.47 billion by 2025.

Yes, dropshipping is an excellent option for beginners in e-commerce. Its low entry barriers and minimal upfront investment make it an accessible business model for those just starting.

Dropshipping isn't dead, at all. Despite what many people might say, it's important to understand that dropshipping requires careful planning and skill. And yes, you can earn through it in 2024.

From 2020 to 2026, the average annual growth rate of the dropshipping market size is expected to be 24.39%. The biggest increase will come in 2026, when it is forecast to rise by 27.82%.

Despite the challenges, Shopify dropshipping can still be a lucrative business opportunity in 2024, especially for entrepreneurs willing to put in the effort to differentiate themselves and adapt to changing market trends.

Some of the best recession-proof business ideas include healthcare, finance, drop shipping, repair, and Information Technology. They prove to be recession-proof during economic contraction.

How many dropshippers fail? ›

So, what percentage of dropshippers become successful? If you define success as reaching $100 000 in sales during the first year of operation, then 90% of dropshippers fail. However, most eCommerce experts agree that between 10% and 20% of dropshipping businesses make it past the first year.

While there are no official figures, industry experts estimate that around 10-20% of dropshipping businesses succeed. The problem, however, is not with the dropshipping model itself but how most people falsely perceive it – a get-rich-quick scheme, carelessly diving into it without doing their research.

Irwin Dominguez – Earning $1 Million In Only 8 Months

Irwin Dominguez's is one of the richest dropshippers and his dropshipping journey is a remarkable success story. Within just 8 months, he was able to achieve a staggering $1 million in sales.

The title of the richest dropshipper worldwide can vary as net worth changes over time. But currently, Andreas Koenig and Alexander Pecka are probably the richest dropshippers followed by Harry Coleman, Pierre Emanuel, Cole Turner, and more. Their journeys began with small steps and grew over time.

If you only want a short answer, well, yes, dropshipping is definitely still worth it in 2024, as it was in 2023 too. And no dropshipping is not dead, to answer another question. Looking at the last couple of years, we can almost guarantee that dropshipping will be worth it in 2024 and many years from now on.

According to top dropshippers around the web, it is estimated that only between 10% and 20% of dropshipping businesses succeed. Yet this doesn't mean you won't succeed, it only means there are many people that start this type of business without actually understanding what it's all about.

But with so much competition, is drop shipping over-saturated, and is there still space for new sellers? The answer is no, dropshipping is not saturated. While dropshipping as a business model is overused, the products themselves are the driving force to make sales and capture the interest of your target audience.

Is dropshipping dead in 2024? The answer is no. From what we see and analyze the market in 2024, dropshipping is still a thriving business model with low investment and high profit.

With effective planning, marketing strategies and excellent customer services you can certainly achieve success in dropshipping as a career. Thin Profit Margins: Dropshipping often involves lower profit margins compared to traditional retail.