10 Common Misconceptions About Dropshipping

10 common misconceptions about dropshipping
10 common misconceptions about dropshipping

When it comes to dropshipping, like many other concepts, there are myths and misconceptions here and there. In this article, we will shed more light on the 10 misconceptions about dropshipping and why you should correct them.

It is understandable that when starting a new business using a different business model can be overwhelming and sometimes frustrating. Since Google is our friend, we want to first read everything concerning the business model so we can either get “prepared” for anything coming our way or perhaps, find something else to get involved in. Truth is, dropshipping business has its own challenges like every other kind of business and it is expected that you read as much as possible on this business before taking that big leap.

However, with many misconceptions published all over the internet, it is very easy to get bothered and not take that leap of faith. This is not to downplay the challenges of dropshipping but to point out some outrageous myths and misconceptions that have stopped a lot of people from taking the bold step in becoming successful dropshippers.

So, let’s dive right in.

1. Dropshipping makes you a millionaire overnight

This has got to come first as it is the worst misconception out there. DROPSHIPPING DOESN’T MAKE YOU AN OVERNIGHT MILLIONAIRE. It is very easy to believe this especially seeing that many dropshipping coaches make it appear really simple by painting a picture of quick-buck strategy. 

While there are a few people who might have become millionaires with this business model, many do not become millionaires just like that. It takes a couple of years to achieve such revenue and even those who “show proof” of such within a short time frame are either lying (it is very easy to manipulate photos these days anyway) or just trying to get you to pay for their “classes”. So, if you have seen facebook or instagram ads that have motivated you and you have this mentality of becoming an overnight millionaire with dropshipping…well, sorry to break your heart. 

2. You must have lots of capital to start dropshipping

The business model itself minimizes the need for excessive capital. This js proven true with so many results of existing dropshippers who started from nothing. Dropshipping doesn’t require you to have a business capital before starting. Ofcourse, you might need to spend money on internet and a few things such as a logo etc But that’s valid, right? You can’t possibly communicate with your audience and vendors these days without the internet. 

However, unlike regular business models, you don’t need capital for office rental, staff management etc. You might need to invest in a few tools like a laptop to make it easy to manage inventory and all but that’s just about it.

3. You need to be an advertising guru to be able to sell well

This is also one of the sold misconceptions out there that has kept a lot of dropshippers from getting started. Truth is, while having a good knowledge of digital advertising on platforms such as Facebook and Instagram comes in handy, it is not a rigid requirement for dropshippers. What being an advertising guru does is that it helps you run effective ads but even pros fail at ads too. Hence, this is not something that should prevent you from starting your business. 

If you don’t have the expertise to run ads, you can outsource this via freelance sites like Fiverr or Upwork so you can focus on more important aspects of your business such as managing your inventory and finding high-demand products. This is not to say that having ads knowledge is not necessary. We recommend that you have the basic knowledge of how ads work so you can make better advertising decisions. You can always improve on your skills by taking a course on Udemy or Coursera to get additional skills for your dropshipping business.

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4. If your store is not popular, you won’t sell well

Well, this is also a very wrong misconception. Ofcourse, there is an advantage of popular and known brands or dropshippers but even the popular ones started out unpopular right? And as long as your customers get quality products and you encourage reviews from them, your store can become known and popular too but until then you have to keep trying to make the best of the business. 

Rome was not built in a day right? So are popular drop shipping businesses. The popularity didn’t just happen overnight. It started from making one customer happy and then more before it became so. If you think you’ve got to be popular before starting out as a dropshipper, you might have to drop this misconception and get started.

5. You must choose a particular niche or product to sell

Truth is that while there might be some iota of relevance in the idea that one must choose a niche, it isn’t all necessarily true for everyone. It is not so important either. Some products do better than others and you can sell many things as long as it’s in high demand. If you want to be “nichey” too, that’s fine but it’s not a compulsory requirement either. You can sell self-automatic mugs and back stretchers in your store as long as there is a market for the two products even thought they are not related in any way. 

6. Dropshipping is very easy

Hello, are you still here? Well, if you are, I hope you are debunking this misconception even before I tell you why. First off, nothing good ever comes easy. As easy as the dropshipping model looks or sounds, it has its own unique challenges too. First you have to set up your store, you have to look for reliable suppliers and manufacturers, you have to manage your inventory and find high-demand products etc. All of these are not comfortable activities to do. It takes lots of efforts and sometimes, frustrations. So, if you want to jump into the dropshipping ship because you heard, it’s easy. Sorry to burst your bubble.

7. You have to learn how to build your own dropshipping website

Hey there. Have you heard of shopify? This website has helped millions of people start an ecommerce store without having the knowledge of building a website. With its drag and drop feature, you can set up and run in a few minutes for free. 

Although, if you want advanced features, you might need the help of a website developer to do that but basic store management is easy for anyone to handle. You practically don’t need to become a website designer or hire one to get started. You can learn the ropes by following up on resources to do that. Easy peasy.



8. Dropshipping can only be done in the US

Well, this business model became more popular in the US but it’s not limited to the US alone. There are many dropshippers making success happen from all over the world. Customers are everywhere and you just need to know what your customers want and where they are. You can sell from the comfort of your home to someone thousands of miles away from you, as long as the supplier delivers to such a location and the shipping cost is covered. 

9. You must pay taxes and import duties as a dropshipper

This is not particularly true. Most products pricing are calculated with inclusive VATs and such this covers the tax you should pay,however, some import duties may apply. Make sure you understand how much it is and if it can be added to the entire shipping cost instead of making your customers pay extra for this If this is applicable, let your customers know at the point of payment so they understand their charges. But to rule out this misconception, know that you don’t have to pay taxes and import duties as a dropshipper.



10. You can sell any product from any supplier

Dropshipping is not a business model that permits you to sell unverified products. You must have discussed with the vendor to know if you can sell their product. You must also be sure that there is a market for the product. This is all you do at the research stage. 

So, just to be clear, you can’t sell any kind of product by just downloading images of products from vendor websites and uploading them. First build a relationship by communicating with the supplier that you want to start selling their products. This way, you know if you are permitted to do so legally and discuss pricing and profit etc. It is not advisable to sell products you don’t have an idea if they are available or not permitted to. 

Now that we have debunked the misconceptiosna bout dropshipping, we hope you are encouraged to get started now.



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