What is dropshipping and how can it help your e-commerce business?

You have probably already encountered the term dropshipping in the online world. But not everyone understands this English term and many people do not know how dropshipping could help their online business. That is why we decided to bring this topic closer to you and show you that dropshipping can also be an interesting alternative for your company when selling […]

What is dropshipping and how can it help your e-commerce business?

With the concept dropshipping you have probably already met in the online world. But not everyone understands this English term and many people do not know how dropshipping could help their online business. That is why we decided to bring this topic closer to you and show you that dropshipping can also be an interesting alternative for your company when selling products online.

What is dropshipping?

The article was revised and updated in May 2026. Check with specific service providers for technical information.

Jednoduchá definícia popisuje dropshipping ako metódu predaja produktov cez e-shop pomocou externého skladu. To znamená, že e-shop nemusí mať vlastný sklad (alebo obchodné priestory) a tovar objednáva priamo u dodávateľa, ktorý ho priamo zo svojho skladu posiela koncovému zákazníkovi.

As an e-shop operator, you no longer need to own warehouse space and deal with packaging and sending products to your customers. However, a big advantage is that you don't have to buy the goods in advance, and the stock doesn't drain your budget.

How can dropshipping help you?

This method of selling products has several undeniable benefits for a company that sells any products:

The need for a smaller investment

To start an e-shop with the delivery of products using dropshipping, you do not need such a high investment. You don't have to pay for storage space and buy goods from the supplier in advance. You pay for the goods only when you receive payment from the customer and the goods are then sent directly by the supplier.

An easier start

It follows from the above that you can start building your business much easier and faster with dropshipping. To get it up and running, you only need to arrange the necessary permits and licenses and create an e-shop. We know the other one we can help too. In the first few months, you can run your business from home and with the computer you are reading this article on.

Work from anywhere

You may not realize it, but dropshipping allows you to work from virtually anywhere. Okay, from anywhere there is internet. However, some purchase processes can be fully automated and you are thus only responsible for the smooth operation of the e-shop and possible communication with the client.

Variability of products

By not having to buy the products for storage before the final sale, you have the option of them greater variability. You are limited only by your supplier's offer and his stock. However, it is true that you can have several suppliers contracted at the same time. You can thus cover a larger part of the market.

Disadvantages of dropshipping

As well as a number of advantages, dropshipping also has a number of disadvantages. The biggest are lower margins, which take into account the need to pay an external supplier to store and ship products. It can also be a problem lack of goods. Your suppliers will not only work with you, so it can easily happen that some products are sold out of stock before you have time to update their availability information. You then have to go through unpleasant conversations and explanations with your clients. The disadvantage is that you are responsible for errors caused by the supplier, for example when delivering bad or damaged goods. All these shortcomings should be considered when creating your contracts with dropshipping service providers.

It's a challenge

If you want to use dropshipping in your business, you will face many challenges. This method of storing and delivering goods does not automatically guarantee you higher profits or easier business. In a highly competitive environment with lower margins, you will have to work hard to acquire new customers and retain existing ones. The same pitfalls await you as in other types of business. You have to think about creation of a quality e-shop, sophisticated marketing and professional communication with customers. But it's definitely worth a try!

News and advice

More articles to read

B2B e-shop migration: a nightmare or the best investment?

In a new interview for Ecommerce Bridge, our CEO reveals why e-shop migration can be just the breakthrough change your business needs. In the article you will learn: 👉 If you are thinking about changing the technology, redesigning or comprehensive renewal of the e-shop — this interview will offer y…

Read the article

All articles