How to Start Dropshipping with Shopify Guide

in businessecommerce · 8 min read

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Photo by Growtika on Unsplash

Step-by-step actionable guide for aspiring entrepreneurs on how to start dropshipping with shopify, including store setup, supplier sourcing, product

Overview

This guide explains how to start dropshipping with shopify, step by step, so you can set up a live store, source reliable suppliers, and begin selling with minimal upfront inventory. You will learn niche selection, Shopify store setup, supplier vetting and integration, product import, pricing and shipping configuration, store design, launch marketing, and order fulfillment processes.

Why this matters: dropshipping reduces inventory risk and can scale quickly when paired with good product selection and supplier operations. Practical execution matters more than theory, so each section contains concrete actions, commands, and checklists you can implement today.

Prerequisites: basic computer and internet access, a Shopify account (14-day trial available), a PayPal or Stripe account for payments, and $50 to $300 for initial expenses like apps, advertising, and sample orders.

Estimated total time to launch a basic store: ⏱️ ~1-2 weeks if working part time, or ⏱️ ~2-3 days of focused work to launch a minimum viable store.

Step 1:

How to Start Dropshipping with Shopify - Niche and Product Research

Action: choose a niche and 5 to 20 test products with demand signals.

Why: good products and a focused niche reduce marketing cost and improve conversion. You want products with clear margins, shipping viability, and supplier availability.

How to do it:

  1. Use tools: Google Trends, Amazon Best Sellers, eBay Completed Listings, AliExpress, and TikTok/Instagram explore pages.
  2. Look for products with steady or growing search volume and clear use cases.
  3. Validate margins: target a 30% to 50% gross margin after product cost, shipping, fees, and ad spend.
  4. Create a shortlist: 5 core products, 5 backups.

Example checks:

  • Google Trends: compare interest 12 months vs 90 days.
  • AliExpress: check supplier ratings, order volume, and shipping options.

Expected outcome: a validated niche and a list of 5 to 20 SKUs to import and test.

Common issues and fixes:

  1. Issue: Product has many returns or copyright risk. Fix: remove branded or trademarked items; prefer generic variants.
  2. Issue: Shipping takes 30-60 days. Fix: prioritize suppliers offering ePacket or local warehouses, or pick suppliers with faster fulfillment like CJdropshipping or Spocket.

Time estimate: ⏱️ ~2-4 hours

Checklist:

  1. Pick niche and customer persona.
  2. Shortlist 5 to 20 products with supplier leads.
  3. Estimate margins and shipping times.

Step 2:

Set up your Shopify store account and basic settings

Action: create your Shopify store, configure payments, and basic store settings.

Why: a correctly configured store is required to accept orders and run ads.

Step-by-step:

  1. Sign up at shopify.com and choose a plan after the trial if ready.
  2. Set store name and domain. Buy a custom domain in Shopify or transfer one.
  3. Configure payments: Settings > Payments, enable Shopify Payments or Stripe, add PayPal.
  4. Configure checkout: Settings > Checkout - collect necessary customer info, enable order confirmation emails.
  5. Set shipping profile: Settings > Shipping and delivery - create simple shipping rates or integrate carrier-calculated rates if available.
  6. Taxes: Settings > Taxes - enable automatic tax calculations for your region.

Commands/examples:

# install Shopify CLI via npm
npm install -g @shopify/cli @shopify/theme
# serve a theme locally
shopify theme serve

Expected outcome: a functioning Shopify admin with payments and shipping configured.

Common issues and fixes:

  1. Issue: Payments not enabled. Fix: verify business information, add bank details, and confirm identity docs.
  2. Issue: Domain not pointing. Fix: update DNS A and CNAME records per Shopify instructions.

Time estimate: ⏱️ ~30-60 minutes

Checklist:

  1. Shopify account and domain connected.
  2. Payments configured and tested.
  3. Shipping and tax settings created.

Step 3:

Source suppliers and integrate product import apps

Action: choose suppliers and install dropshipping apps to import products and sync inventory.

Why: automated integration reduces manual errors, syncs inventory and pricing, and streamlines order routing.

Supplier options:

  • AliExpress + DSers for low cost and large catalog.
  • Spocket for US/EU suppliers and faster shipping.
  • CJdropshipping for fulfillment and warehousing.
  • Modalyst and Printful for niche or print-on-demand.

How to integrate:

  1. In Shopify admin, go to Apps and search for DSers, Spocket, CJdropshipping, or Modalyst.
  2. Install the app and connect it to your Shopify store per app instructions.
  3. Import sample products and configure synchronization settings.

Example product CSV format for bulk import (first 3 columns shown):

Handle,Title,Body (HTML),Vendor,Type,Tags,Published,Option1 Name,Option1 Value,Variant SKU,Variant Price,Variant Inventory Qty,Image Src
blue-tumbler,Blue Travel Tumbler,"Stainless steel tumbler",MyVendor,Drinkware,tumbler,true,Color,Blue,SKU-001,19.99,100,

Expected outcome: suppliers linked, initial products imported and syncing inventory.

Common issues and fixes:

  1. Issue: Imported images missing or blocked. Fix: ensure image URLs are public or re-host in Shopify files.
  2. Issue: Supplier cart differs from Shopify checkout. Fix: enable automatic order fulfillment in app settings or use app-provided checkout sync.

Time estimate: ⏱️ ~1-2 hours

Checklist:

  1. Install one or two supplier apps.
  2. Import 5 to 20 test products.
  3. Confirm inventory and price sync settings.

Step 4:

Create product pages, pricing, and shipping rules

Action: optimize product listings, set profitable pricing, and create shipping profiles.

Why: product pages and pricing directly affect conversion and profitability.

Steps:

  1. For each product write a benefit-focused title and short bullet feature list.
  2. Use high-quality images and add 1-3 lifestyle images. 3. Price formula examples:
  • Cost + shipping + transaction fees + ad spend per sale + profit margin
  • Example: product cost $6, shipping $3, fees 5% of sale ($2 at $40), ad target $8, target profit $10 -> price = $6 + $3 + $2 + $8 + $10 = $29 (round to $29.99).
  1. Create shipping profiles: group products with similar shipping times and rates. Offer free shipping threshold to increase AOV.

Expected outcome: well-structured product pages with clear pricing and shipping.

Common issues and fixes:

  1. Issue: Low conversion. Fix: add reviews, clear shipping times, and a money-back policy.
  2. Issue: Unexpected duties for customers. Fix: specify that customers may be responsible for import fees, and consider DDP services if available.

Time estimate: ⏱️ ~1-3 hours

Checklist:

  1. Product titles, descriptions, and images optimized.
  2. Pricing set with margin calculations.
  3. Shipping profiles and free shipping rules created.

Step 5:

Design your storefront, policies, and apps

Action: pick and customize a Shopify theme, create store policies, and add essential apps.

Why: trust, clarity, and performance influence conversion rates.

Steps:

  1. Choose theme: free themes like Dawn or paid themes from the Shopify Theme Store. Keep design clean and mobile-first.
  2. Customize: edit header, footer, homepage hero, featured products, and add testimonials. Use Shopify theme editor.
  3. Create policies: Privacy Policy, Refund Policy, Shipping Policy, Terms of Service. Use Shopify settings > Legal to auto-generate and customize.
  4. Install apps: reviews (Judge.me), email capture and automation (Klaviyo or Shopify Email), analytics (Google Analytics 4), and a live chat (Tidio).

Expected outcome: professional-looking storefront with legal pages and basic marketing tools.

Common issues and fixes:

  1. Issue: Theme is slow. Fix: compress images, remove unused apps, and enable theme performance settings.
  2. Issue: No trust signals. Fix: add customer reviews, clear shipping times, and a visible returns policy.

Time estimate: ⏱️ ~2-6 hours

Checklist:

  1. Theme selected and basic customization complete.
  2. Legal pages published.
  3. Essential apps installed and configured.

Step 6:

Launch marketing and analytics

Action: set up tracking, create initial paid campaigns, and implement email capture.

Why: you need to drive traffic and measure what works to scale.

Steps:

  1. Install Google Analytics 4 and Facebook Pixel (Meta Pixel) in Shopify admin > Online Store > Preferences.
  2. Set up a simple marketing funnel: Facebook/Instagram ads, Google Shopping, or influencer outreach.
  3. Create a basic email capture popup with welcome discount (10% to 15%).
  4. Start small ad tests: run 3 creatives and 3 audiences with small budgets for 3 to 7 days to gather data.

Example ad testing budget plan:

  • Daily budget $10-$20 per ad set for initial tests.
  • Run 3 audiences x 3 creatives = 9 ad combos, rotate over 7 days.

Expected outcome: initial traffic, first orders, and baseline performance metrics like CTR, CPC, and conversion rate.

Common issues and fixes:

  1. Issue: Ads spend with no sales. Fix: check landing page relevance, ad creative, and product pricing; pause poor performers and reallocate budget.
  2. Issue: Tracking mismatch. Fix: verify conversions in Shopify vs Pixel and ensure thank-you page tracking is active.

Time estimate: ⏱️ ~4-10 hours (setup + initial campaign run)

Checklist:

  1. Analytics and pixels installed and tested.
  2. Email capture and welcome flow active.
  3. First ad campaigns launched and tracking performance.

Step 7:

Order fulfillment, customer service, and scaling

Action: implement fulfillment workflows, customer service templates, and scale operations.

Why: timely fulfillment and clear communication are crucial for customer satisfaction and repeat business.

Steps:

  1. Define fulfillment process: orders placed in Shopify should auto-forward to supplier via your dropshipping app, or be manually placed for initial orders.
  2. Order samples: test product quality and shipping times. Document packaging and issues.
  3. Create canned responses for common inquiries: order status, returns, shipping times.
  4. Plan scaling: add faster suppliers, US/EU warehouses, or use a 3PL as volume grows.

Expected outcome: repeatable order flow with clear SLAs and customer service playbooks.

Common issues and fixes:

  1. Issue: Supplier misses fulfillment. Fix: switch suppliers, enforce penalties, or maintain backup suppliers.
  2. Issue: High refund rate. Fix: review product quality via samples and update product descriptions for clarity.

Time estimate: ⏱️ ~1-3 hours per week ongoing

Checklist:

  1. Fulfillment automation set up.
  2. Sample orders completed and documented.
  3. Support templates and SLA established.

Testing and Validation

Run a functional test suite before scaling.

  1. Place a test order using a real payment (or Shopify Bogus gateway for testing). Confirm order flows to supplier app and that confirmation emails are sent.
  2. Confirm product pages load fast on mobile and desktop, images are correct, and checkout completes.
  3. Verify Google Analytics and Facebook Pixel fire on the thank-you page.
  4. Test a return or refund flow internally to ensure staff know the steps.

Expected validation outcome: orders process end-to-end, tracking is accurate, and customer communications are automated and clear.

Common Mistakes

  1. Choosing a saturated or trademarked product - avoid copyrighted or branded goods and look for unique angles.
  2. Ignoring shipping times - long shipping times kill conversions. Prioritize suppliers with warehouses near your customers.
  3. Underpricing or ignoring ad economics - calculate all costs before setting price and test ad ROAS before scaling.
  4. Skipping samples - always order samples to verify quality and packaging.

How to avoid them: follow the product validation step, require samples before listing, and track ad performance with clear CPA targets.

FAQ

How Long Does It Take to Start Making Sales?

It varies, but most stores see initial sales within days to weeks if they run paid traffic. Organic growth can take longer. Expect 1 to 4 weeks to validate ad creatives and product-market fit.

Which Supplier Apps are Best for Beginners?

DSers (AliExpress), Spocket, CJdropshipping, and Modalyst are common. Choose based on shipping speed, product quality, and integration features.

Do I Need a Business License to Dropship?

Requirements depend on your country and local laws. Many sellers operate as sole proprietors initially, but you should research local regulations and register a business when revenue grows.

How Much Should I Budget to Start?

Initial costs typically range from $200 to $1,000 covering Shopify fees, domain, sample orders, apps, and initial ad spend. Conservative testing can be done with $100 to $300.

How Do Returns and Refunds Work in Dropshipping?

Returns depend on your supplier policies. You may need to refund the customer and request reimbursement from the supplier, or instruct customers to discard products if return shipping is higher than product cost. Clearly state your refund policy.

Next Steps

After completing this guide, run at least two ad campaigns for a minimum of 7 days to collect data, order 3 to 5 product samples for quality verification, and set up an email marketing sequence for new customers. Track key metrics like conversion rate, cost per acquisition, average order value, and return rate, and iterate product selection and creatives based on performance.

Further Reading

Sources & Citations

Daniel

About the author

Daniel — E-commerce & Dropshipping Expert

Daniel helps aspiring entrepreneurs build successful dropshipping businesses through proven strategies, supplier guides, and marketing tactics.

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