A major obstacle when you start a dropship business is identifying the dropshipping target countries to focus on. Even if you have a dynamic business plan and a killer product niche, your dropshipping business can fail if you don't choose the right country.
If you want to learn how to build a dropshipping site or how to get a dropship site built for you, be sure to check out our completely FREE webinar on how to build a successful dropship business! (Spoiler alert: In the webinar, we walk you through our secret dropship model that destroys AliExpress dropshipping in 2020!)
To have a fully automated, USA based dropship website built for you in less than 3 days, click here.Location is key to running a successful e-commerce business as everything from scalability, marketing, and product selection depends on it.
There are many countries that are devastating for a dropshipping model and you should avoid drop shipping in these places.
Listing the worst countries for dropshipping would take too long, so we're going to list the ten best countries to drop ship to!
There are lots of factors that make a country an ideal candidate for dropshipping. Let's take a look at some of the best dropship target countries and talk about why they're good for your drophsip business!
Germany is one of the world's biggest economies, with one of the best standards of living for its citizens. In 2019 Germany's online industry earned around 60 billion euros, making it the second-biggest online market in Europe and the fifth largest online market globally.
By 2024 user penetration in Germany will rise to 81.5%, meaning the scope for dropshippers will only increase as average revenue per customer is expected to be around $1,401 dollars.
Fashion is easily the most popular online shopping category in Germany. German customers are big into buying clothing and accessories, and their preferred payment method is PayPal.
The UK is considered to have one of the most advanced eCommerce markets in the world. Back in 2018, the UK's e-Commerce revenue hit 688 billion pounds, and even with Brexit, the right to free trade is still in play.
E-commerce is booming in the UK, with the wholesale sector alone generating 204 billion pounds. The most popular online shopping category is fashion.
UK citizens pay for their products with a wide range of payment methods: credit cards, prepaid cards, and PayPal are the most popular choices.
Canada is one of the world's largest economies, and it holds the eighth spot in the list of the largest eCommerce markets. It imports vast amounts of goods and services, making it one of the best countries to drop ship to. Canada is one of the most popular locations for drophsippers. Even US dropshippers are using Canada as their target location!
There are about 37 million people in Canada, and in the past few years, there have been over 28 million orders placed. About 30% of the purchases are from the fashion sector and another 30% in electronics and media.
One of Canada's least popular categories is Food & Personal Care, with only 8% of purchases in that sector. So, if you are a dropshipper working in fashion or electronics, Canada is one of the best countries to dropship to.
The US is the promised land for e-commerce and always has been. It's estimated that by 2023 there will be 300 million online shoppers in the US alone, and that's 91% of the entire population.
There is no doubt that it should be a target location for dropshippers as Americans aren't afraid to spend a little more online. The average US shopper spends $1,804 dollars more annually.
Leading online shopping categories in the US are clothing and accessories. A recent Statista survey found that, on average, US citizens spend $100 a month on clothing and accessories.
That's not too surprising when you consider the global apparel market is already on its way to hit a valuation of 1.5 trillion dollars by the end of 2020.
The US apparel market is estimated to be around 385 billion dollars by 2025, which hints at a growing market and that's always a good sign for dropshippers!
Now let's take a look at the land down under. Australia is one of the biggest e-commerce markets globally, as 80% of Australians are internet users.The potential for growth in Australia is fantastic for dropshippers. Food & Personal Care goods are the most popular category in Australia, with Fashion coming in a close second.
By 2024 the total amount of e-commerce sales in Australia is estimated to hit 32 billion dollars. You'll want to check for cheaper shipping solutions if you want to increase your profitability, so make sure you do your research before starting your business. Australia is a growing economy with a vibrant consumer base.
New Zealand is one of the best countries in the world for a high standard of living. It has a thriving economy with a vibrant consumer base. By 2026 it is estimated that 83% of New Zealand's population will shop online.
That makes it one of the best countries for dropshipping! In 2019, Kiwis spent around 6 billion dollars on clothing and footwear, and the numbers keep increasing each year. So, now is the perfect time to start to dropship in New Zealand!
The e-commerce sector in New Zealand is huge, with the revenues being estimated to hit 3.4 billion dollars by the end of 2020. An average New Zealander spends around $1,101 USD on online shopping. Fashion is the most popular category in New Zealand and with sales increasing, it's a good idea to start your dropshipping business now.
The market in Sweden is growing exponentially every day so, if you want to get into dropshipping, now is a great time to start! The most popular category in Sweden is fashion and apparel.
By the end of 2020, the online fashion industry in Sweden will reach 3.6 million so you can feel confident choosing Sweden as your dropshipping target country.
Dropshipping in Sweden has become a viable industry, with many new businesses gaining headway in recent years. Companies like BrandsGateway have set up international drop shipping programs and found success in Sweden.
Denmark has a thriving e-commerce scene with a growing e-commerce market. The revenue of the e-commerce sector in Denmark is supposed to reach 5.2 million dollars soon.
Many Danish people prefer shopping online using their PCs and phones. The average Danish customer spends around $1,308 dollars online and that makes Denmark one of the best dropshipping target countries.
The most popular e-commerce product category in Denmark is Fashion, as it holds a large market share. It accounts for 1.6 billion dollars of the entire market. Denmark is one of the top destinations for the members of the dropship nation.
Norway has around 98% internet penetration, which means that it has more than 5.29 million users. Like other Scandinavian countries, Norwegians love buying clothing and accessories, making it the most popular e-commerce category.
Norway's e-commerce market is dominated by the Fashion category, worth around 1.8 billion dollars alone. This means that there's plenty of opportunities for dropshippers and it's one of the best countries to drop ship to.
By the end of 2020, the e-commerce revenue will hit 17 million dollars and increase to 22 million dollars by 2024.
If you start a dropshipping store and choose The Netherlands as a dropship target country, you should consider focusing on the fashion category. It's the most popular category for online shopping in the The Netherlands.
Research Is Key For Targeting The Right Dropshipping Country
Ok, now you have a much better idea of how to choose the right dropshipping target country! The countries on this list, in our experience, are the best dropshipping target countries in the world, with potential for even more growth in the next several years.
Remember, we here at DropshipUSA build unique dropshipping websites. We'll build you a fully automated USA-based drophsip website in 72 hours or less!
Our experience building dropshipping businesses has provided us with a unique perspective on the sector. We understand what works and what doesn't. The list you see here was created to help you understand that location is crucial in building a successful dropshipping business. So, make sure you do your research!
To learn how to build your dropship website, check out our free webinar on dropshipping!
To have a fully automated, USA based dropship website built for you in less than 3 days, click here!