The True Explanation Behind the Failure of Dropshipping

Oct 9, 2023 | Dropshipping | 33 comments




The REAL Reason Dropshipping Doesn’t Work

Dropshipping has gained immense popularity in recent years, with many entrepreneurs looking to start their own online businesses without investing in inventory or warehousing. It promises easy money and a flexible work schedule. However, the reality is that dropshipping doesn’t always live up to its promises. While it may work for some, there is a significant number of people who find it unsuccessful. So, what is the real reason behind dropshipping’s failure?

Lack of Control

One of the primary reasons dropshipping doesn’t work as well as expected is the lack of control over the supply chain. As a dropshipper, you rely heavily on suppliers to deliver products to your customers. Unfortunately, this means you have no control over inventory, fulfillment processes, or product quality. If your supplier fails to deliver on time or provides subpar products, it reflects poorly on your brand and reputation.

Intense Competition

Another obstacle dropshippers face is the intense competition within the market. Dropshipping has gained popularity due to its low barriers to entry, which means that anyone can start a dropshipping business. Consequently, the market becomes saturated with similar products and stores, making it challenging to stand out from the competition. With numerous options available to consumers, the chances of finding success become slimmer.

Thin Profit Margins

Dropshipping is often hailed as a low-risk business model due to minimal upfront investment. However, the other side of the coin is that profit margins tend to be thin. Since dropshippers don’t have control over pricing, they are at the mercy of suppliers and market trends. Lower profit margins mean that it becomes difficult to scale the business and achieve sustainable growth. With little room for profit, dropshippers often struggle to cover advertising costs and other expenses associated with running an online store.

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Inconsistent Customer Experience

With dropshipping, the customer experience can be inconsistent. Since you rely on suppliers for product fulfillment, shipping times can vary widely. In some cases, customers might receive their orders much later than expected, leading to frustration and dissatisfaction. Moreover, dropshippers have limited control over packaging and branding, making it difficult to provide a unique and personalized experience to customers. Inconsistent customer experience can lead to negative reviews, damaging the overall reputation of the business.

The Need for Effective Marketing

While dropshipping eliminates the need to create products, it doesn’t eliminate the need for effective marketing. Successful dropshippers understand the importance of marketing and invest significant time and effort in promoting their products. Without effective marketing strategies, your dropshipping business may struggle to attract customers and generate sales. Considering the intense competition, a solid marketing plan becomes crucial for reaching potential buyers and standing out among competitors.

In conclusion, the real reason dropshipping doesn’t work as expected is a combination of various factors. These include a lack of control over the supply chain, intense competition, thin profit margins, inconsistent customer experience, and the need for effective marketing. While some dropshippers may find success in this business model, it is essential to be aware of these challenges and plan accordingly to increase the chances of achieving sustainable growth and profitability.


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33 Comments

  1. xurshidmurodov

    Bro can I start dropshipping from Uzbekistan and can I sell my products to another countries from Uzbekistan??

    Reply
  2. A Jim Fan

    I feel like dropshipping is just being a sales man, so if you aren't good at being a slimey salesman, you can't do it. "not good for beginners" lol

    Reply
  3. Hazim

    does your method in product research still works ? (in your dropshipping course that you made with sebastian ghiorghiu)

    Reply
  4. Aziz Alpata

    Many people in here whining that they dont have money to invest. Work, work, work. Lazy ppl doesnt have a dime, why? Cause they’re LAZY. thinks it all comes easy

    Reply
  5. fuckinghell

    you are just lazy, that's why it won't work

    Reply
  6. Aufa

    sebastian, in this video u say u used to make a dropship store without buying the product but how can you make ads without the product?

    Reply
  7. Lazox

    Video title: “Dropshipping doesn’t work”, actual video: “Yes, dropshipping does work”.
    We got click baited? Yes, you earned a dislike? Yes.

    Reply
  8. Sneak Reviews

    This guy is so closed minded basically just telling you not to do anything that is 'uncharted waters' smh

    Reply
  9. Joe Deanda

    so basically, to be a drop shipper you have to be a malnourished chemo kid.

    Reply
  10. Teex 5

    If you make 2k split it and finall profit is around 950€

    Reply
  11. loja clodan

    You can release subtitles in Portuguese in your course, if possible, thank you

    Reply
  12. Kerzy

    someone pleaseeeeee hellppppp!!!! seriously im getting pissed right off im going in never ending fucking circles with all this shit. i try dropshipping, couldnt get the website up and going zendrop blocked my bank card. i try SMMA cant even get past the fucking sign up process facebook block my website i get told to do this do that IM GETTING SICK OF GOING ROUND IN CIRCLES! ive been doing this shit for a month and i still have YET to make a fucking penny! WTAF do i do????????????? dropshipping?? smma??? none of it seems to fucking work im doing nothing but wasting time honestly man someone help! i get ignored all the time and it just puts me into a heavy downer honestly its tiring me out making me double question everything allll the time!

    Reply
  13. Nabi

    Actually had the local police come knocking on my door… They thought I was someone from China running a big scam … A few customers actually reported because they wee not getting their orders and/or it was late by couple months! The cops left and I rest assured them that I was quitting and shutting it down

    Reply
  14. Myster One

    Why there is no pre videos ?

    Reply
  15. MONGO

    I’m definitely going into this blindlessly

    Reply
  16. MONGO

    Dropshipping adverts before the vid lol

    Reply
  17. Andy of Everest

    Can i do dropshipping without tiktok? Every "guru" is saying to make videos of a product on tiktok. I understand tiktok is the hype train but there has to be other ways without tiktok right?

    Reply
  18. Markzo Yang

    How will you know if the supplier is legit

    Reply
  19. The Quiet Zone

    Please seb can u make a video showing us how one can update a new product on their store or is it you have to build another store for a new trending product you jus came across
    ,thank u

    Reply
  20. Abba 136

    This is probably one of the most honest drop shipping videos I've seen on YouTube. Like you said, this is a platform to entertain and keep people engaged, so people will avoid the hard truths and feed people what they want to hear. This is the honesty we need.

    Reply
  21. Gabriel

    What color is your Bugatti??

    Reply
  22. Graham Geer

    Hi im 13 and need help with making a dropshipping website and setting up everything its just confusing and hard to understand

    Reply
  23. TpainthaTrain

    Can’t fucking make ads on Facebook when the shit cunts restricted my account for accidentally using my expired license to verify who I was. Fuck that business, gotta jump through 1000 hoops to try and contact them

    Reply
  24. 4kVision

    Ahaaa mf got the baldie

    Reply
  25. Ulises Ruiz

    Hello Sebastian, how long does it take to do the free course?

    Reply
  26. CAPTAIN HEALTH TIPS

    Hi Dear Bro ☺️ Iam a big fan of you i always be watch your videos to get motivation. ❤ I want to chat with you but i have no any way to contact with you please tell me how i contact with you

    Reply
  27. Real Talk Tina

    Well if the manufacturer sent a bad product shouldn’t they take some responsibility?

    Reply

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