Forecast Period 
Market Size (Base Year) 
Market Size (Forecast Year)
CAGRGlobal Drop Shipping Market, By Product (Toys, Hobby, and Do it Yourself (DIY), Furniture and Appliances, Food and Personal Care, Electronics and Media, Fashion), Type (Same-Day Delivery, Regional Parcel Carriers, Heavy Goods Delivery), Application (B2B, B2C, C2C) - Industry Trends and Forecast to 2029
Market Analysis and Size
Supply chain solutions are becoming more intelligent, instrumented, and interconnected with each year owing to rapid advancements in the technology. E-commerce sector has grown rapidly in the past few years, especially during the outbreak of COVID-19. These solutions deliver effective and efficient supply chain services helping organizations in acquiring business objectives.
Global Drop Shipping Market was valued at USD 220.93 billion in 2021 and is expected to reach USD 1725.98 billion by 2029, registering a CAGR of 29.30% during the forecast period of 2022-2029. Electronics and Media accounts for the largest product type in the respective market owing to the high demand for electronic products. In addition to the market insights such as market value, growth rate, market segments, geographical coverage, market players, and market scenario, the market report curated by the Data Bridge Market Research team also includes in-depth expert analysis, import/export analysis, pricing analysis, production consumption analysis, and pestle analysis.
Market Definition
Drop shipping is a type of business model which are used to manage the store without having inventory. It is a supply chain management system, in which the retailer does not keep goods in stock, but rather transfers orders received from customers and shipment details straight to a retailer, manufacturer, or wholesaler.
Report Scope and Market Segmentation
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Report Metric |
Details |
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Forecast Period |
2022 to 2029 |
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Base Year |
2021 |
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Historic Years |
2020 (Customizable to 2014 - 2019) |
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Quantitative Units |
Revenue in USD Billion, Volumes in Units, Pricing in USD |
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Segments Covered |
Product (Toys, Hobby, and Do it Yourself (DIY), Furniture and Appliances, Food and Personal Care, Electronics and Media, Fashion), Type (Same-Day Delivery, Regional Parcel Carriers, Heavy Goods Delivery), Application (B2B, B2C, C2C) |
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Countries Covered |
U.S., Canada and Mexico in North America, Germany, France, U.K., Netherlands, Switzerland, Belgium, Russia, Italy, Spain, Turkey, Rest of Europe in Europe, China, Japan, India, South Korea, Singapore, Malaysia, Australia, Thailand, Indonesia, Philippines, Rest of Asia-Pacific (APAC) in the Asia-Pacific (APAC), Saudi Arabia, U.A.E, Israel, Egypt, South Africa, Rest of Middle East and Africa (MEA) as a part of Middle East and Africa (MEA), Brazil, Argentina and Rest of South America as part of South America. |
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Market Players Covered |
AliDropship (US), SaleHoo Group Limited (US), Doba Inc. (US), Dropified (US), Orderhive (US), Aveeto (US), Sunrise Wholesale Merchandise (US), Cymbio (India), MODALYST, INC (US), Spocket. (Japan), AliExpress (China), megagoods (US), Inventory Source (US), and Dropshipzone (India), among others |
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Market Opportunities |
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Drop Shipping Market Dynamics
This section deals with understanding the market drivers, advantages, opportunities, restraints and challenges. All of this is discussed in detail as below:
Drivers
- Increase in Online Shopping
The increase in the preference for online shopping across the globe acts as one of the major factors driving the drop shipping market. Also, the rise in trend of cross-border e-commerce trade has a positive impact on the growth of the market.
- Emergence of Mobile Applications
The increase in the emergence of numerous mobile applications due to the rapid revoltunization of smartphones accelerate the market growth. These mobile applications make experience easy and convenient for consumers. Increase in smartphone penetration along with growing consumer disposable income contributes to growth of the e-commerce market, further escalating drop shipping market.
- Penetration of E-Commerce Platforms
The rise in adoption of dropshipping services by retailers due to the growing penetration of e-commerce platforms further influence the market. These services are known to decline capital expenditure for inventory purchase/ management.
Additionally, rapid urbanization, change in lifestyle, surge in investments and increased consumer spending positively impact the drop shipping market.
Opportunities
Furthermore, rise of mobile commerce and need for flexibility in location extend profitable opportunities to the market players in the forecast period of 2022 to 2029. The surge in investments will further expand the market.
Restraints/Challenges
On the other hand, concerns regarding limited profit margins and inventory issues are expected to obstruct market growth. Also, shipping complexities and lack of control over customer experience are projected to challenge the drop shipping market in the forecast period of 2022-2029.
This drop shipping market report provides details of new recent developments, trade regulations, import-export analysis, production analysis, value chain optimization, market share, impact of domestic and localized market players, analyses opportunities in terms of emerging revenue pockets, changes in market regulations, strategic market growth analysis, market size, category market growths, application niches and dominance, product approvals, product launches, geographic expansions, technological innovations in the market. To gain more info on drop shipping market contact Data Bridge Market Research for an Analyst Brief, our team will help you take an informed market decision to achieve market growth.
COVID-19 Impact on Drop Shipping Market
The COVID-19 had a negative impact on the drop shipping market owing to the strict lockdowns and social distancing to contain the spread of the virus. The economic uncertainty, partial shutdown of the business and low consumer confidence impacted demand for numerous products. The supply chain got hampered during the pandemic along with delay logistics activities. However, the drop shipping market is expected to regain its pace during the post pandemic scenario due to the easing on the restrictions and increase in the number of e-commerce platforms.
Global Drop Shipping Market Scope and Market Size
The drop shipping market is segmented on the basis of product, type and application. The growth amongst these segments will help you analyze meager growth segments in the industries and provide the users with a valuable market overview and market insights to help them make strategic decisions for identifying core market applications.
Product
- Toys
- Hobby and Do it Yourself (DIY)
- Furniture and Appliances
- Food and Personal Care
- Electronics and Media
- Fashion
Type
- Same-Day Delivery
- Regional Parcel Carriers
- Heavy Goods Delivery
Application
- B2B
- B2C
- C2C
Drop Shipping Market Regional Analysis/Insights
The drop shipping market is analysed and market size insights and trends are provided by country, product, type and application as referred above.
The countries covered in the drop shipping market report are U.S., Canada and Mexico in North America, Germany, France, U.K., Netherlands, Switzerland, Belgium, Russia, Italy, Spain, Turkey, Rest of Europe in Europe, China, Japan, India, South Korea, Singapore, Malaysia, Australia, Thailand, Indonesia, Philippines, Rest of Asia-Pacific (APAC) in the Asia-Pacific (APAC), Saudi Arabia, U.A.E, Israel, Egypt, South Africa, Rest of Middle East and Africa (MEA) as a part of Middle East and Africa (MEA), Brazil, Argentina and Rest of South America as part of South America.
Asia-Pacific (APAC) dominates the drop shipping market due to the presence of large consumer base and number of e-commerce companies within the region.
North America is expected to witness significant growth during the forecast period of 2022 to 2029 because of the evolving consumer behavior and market trends such as mobile e-commerce and voice-enabled virtual assistants in the region.
The country section of the report also provides individual market impacting factors and changes in regulation in the market domestically that impacts the current and future trends of the market. Data points like down-stream and upstream value chain analysis, technical trends and porter's five forces analysis, case studies are some of the pointers used to forecast the market scenario for individual countries. Also, the presence and availability of global brands and their challenges faced due to large or scarce competition from local and domestic brands, impact of domestic tariffs and trade routes are considered while providing forecast analysis of the country data.
Competitive Landscape and Drop Shipping Market
The drop shipping market competitive landscape provides details by competitor. Details included are company overview, company financials, revenue generated, market potential, investment in research and development, new market initiatives, global presence, production sites and facilities, production capacities, company strengths and weaknesses, product launch, product width and breadth, application dominance. The above data points provided are only related to the companies' focus related to drop shipping market.
Some of the major players operating in drop shipping market are
- AliDropship (US)
- SaleHoo Group Limited (US)
- Doba Inc. (US)
- Dropified (US)
- Orderhive (US)
- Aveeto (US)
- Sunrise Wholesale Merchandise (US)
- Cymbio (India)
- MODALYST, INC (US)
- Spocket. (Japan)
- AliExpress (China)
- megagoods (US)
- Inventory Source (US)
- Dropshipzone (India)
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