Does Dropshipping Work?

does dropshipping work in 2025 and beyond

Every year, without fail, someone declares that dropshipping is dead.

You’ve probably seen it on YouTube, Twitter, or Reddit — the endless posts claiming that the business model is outdated, oversaturated, or “too competitive.”

Yet despite the noise, one simple truth remains: dropshipping still works — and it has worked for over two decades.

In fact, there hasn’t been a single year since 2000 where dropshipping hasn’t worked for entrepreneurs who understand what it actually is.

The confusion comes from a misunderstanding of what dropshipping really means…

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Dropshipping Isn’t a Business Model — It’s a Fulfillment Method

The first thing to understand is that dropshipping isn’t a business model in itself. It’s simply a method of order fulfillment.

Here’s how it works: instead of storing products in your own warehouse, you partner with a supplier, brand, or manufacturer who ships products directly to your customers after they place an order on your website. That’s it.

It’s still an e-commerce business, still about selling products online, and still focused on creating value for customers. The only difference is where the product ships from.

As long as people continue to buy physical goods online — and that’s not stopping anytime soon — dropshipping will remain a powerful way to run an e-commerce operation.

Why “Low-Ticket Dropshipping” Gave the Model a Bad Name

When people say dropshipping doesn’t work, what they usually mean is that low-ticket dropshipping doesn’t work. This is the model that became popular through platforms like AliExpress, where sellers tried to ship cheap, $10–$30 items from overseas directly to Western customers.

The problem is simple: those products have thin margins, long shipping times, and poor customer experiences. Trying to sell a $20 product with only $5 of profit margin while paying for ads just isn’t sustainable.

The result? Frustrated store owners who burn through ad budgets and blame the business model — when the real issue is the strategy.

The Sustainable Solution: High-Ticket Dropshipping

The smarter way to build a profitable e-commerce business is by selling high-ticket products — items that cost $1,000 or more.

High-ticket dropshipping gives you enough margin per sale to cover marketing, operations, and still make a healthy profit. Selling fewer, higher-value products also simplifies fulfillment and support. When your average order is $3,000 to $5,000 with a 30% margin, one sale can easily bring in $1,000 or more in profit.

Even better, these products come from local suppliers and brands. That means fast delivery times, better quality control, and happier customers. For U.S.-based stores, that means sourcing from U.S. warehouses — not shipping from China.

This approach combines the scalability of online retail with the reliability and customer experience of traditional commerce.

How to Get Started

Here’s the proven process:

  1. Find high-ticket products (average price $1,000+).

  2. Partner with local brands or suppliers whose products are warehoused in your country.

  3. Build your store on Shopify, the most beginner-friendly e-commerce platform.

  4. Run Google Ads — not social media ads — to target people actively searching for your products.

  5. Be patient and consistent. Results compound with time and optimization.

Dropshipping is far from dead. It’s just evolved. The people still succeeding in 2025 are the ones who treat dropshipping like what it is — a fulfillment method within a legitimate e-commerce business.

As long as people keep buying online, dropshipping will continue to thrive. The only real question isn’t does dropshipping work? — it’s are you willing to do the work to make it work for you?

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author avatar
Jon Warren