Are you confused about which Country to choose to target dropshipping? This guide is going to tell you which are the best and worst countries to target dropshipping.
Choosing the right dropshipping country can make a massive difference between making a profit and a loss. It is critical to identify the correct market for selling, and for it, you have to choose the correct country to target dropshipping. Before you make your choices of countries to target, it is vital you do in-depth research. Dropshipping location is also a crucial parameter to which many sellers often don't pay heed and is a significant reason they don't experience the required growth in their Business.
And to help you out which this, we have compiled a list of the best and worst countries to target dropshipping from which you can easily asses which ones to target and which ones to exclude.
Top Parameters to Look for Before Targeting Dropshipping Country
We have analyzed a few key aspects to look out for before starting dropshipping. Many people sometimes feel that they can begin dropshipping globally, which technically is right but is it profitable? Now that's because when you target each Country, each one of them will respond to a dropshipping ad differently.
So there are a few countries you should consider as the Best and Worst Countries to Target Dropshipping in 2024, especially if you are starting your dropshipping journey. We have tried to describe a few key aspects which you should look for before targeting any dropshipping country. Let's have a quick look at them.
1. GDP of the Country
GDP is the measure of the average income per person in that particular country. It is directly related to people's income and earnings. So as much as they earn, accordingly, they will spend. So, in that case, targeting lower GDP countries does not make sense as they can only give you a low conversion rate as the products you dispose of there will be too expensive for them.
So in our view, the best dropshipping countries will be the ones that have the highest GDP. You should avoid the ones which have a GDP of less than US $3 Trillion. So the world's highest GPD countries are USA and China. But you can also target France, Germany, the U.K., and India, which are the emerging economies on the market.
2. Looking for a Quick Shipping Option
For quick and precise delivery of products, you require a dropshipping partner. And only then can you supply and ship them quickly. So it is essential to look for countries where the shipping network is robust. As for the long-term success of your business, you need to deliver your products to your customers on time. You can choose AliExpress standard shipping and many more shipping partners globally.
3. Social Media Users
Many dropshippers don't pay attention to this aspect as they are more focussed on the operation part. They need to realize the power of Social Media Platforms and the ads for their store, which they can run on them. You can quickly run a dropshipping ad on platforms like Facebook, Instagram, YouTube or Twitter to reach out to a more extensive user base.
By creating a social media presence, you can bring in the best dropshipping products in demand and make your sales even quicker and on a larger scale. With a good social media presence, you can attract lots of customers and boost your dropshipping revenue.
4. The Population of the Country
If you're targeting a country with a significant population, your dropshipping goods will be in high demand. At the same time, location becomes an essential aspect if you are targeting smaller countries as the population is sparse.
You also have to analyze which products are in demand on the market and what your targeted audience should be. If you have a clear understanding of the niche and products, you can use any tool to determine which countries to target. And for this, you can use the Google Analytics tool significantly. Through this, you can easily finalize the best dropshipping countries.
5. Demographic & Cultural Analysis
Before choosing any dropshipping country, it is vital that you study the population and have a brief understanding of the culture it follows. This can help you to ascertain the content or product you need to deliver, which is demand for that particular country. The product should match the standard of living of that specific demography. So as culture or lifestyle changes, you need to acquire information and then decide on the dropshipping strategy.
So now that you have learned about the various factors to consider before targeting any dropshipping country, its time to have a look at the list of the best countries for dropshipping.
List of Best Countries to Target Dropshipping
#1 United States of America
The United States has a sizeable population of 331 million and is among the largest economy in the world. Dropshippers call it the holy grail for their eCommerce business. It has a GDP per capita of $68,309 and an estimated eCommerce Market Revenue of $1,364,628m by 2025.
Another reason for it being on the top of our list is the availability of quick suppliers and shippers. Here the leading category for online shopping is fashion and, in particular, clothing, footwear etc. It is estimated that by 2030, the U.S. will have over 300 Million online shoppers, who will be roughly 91% of its total population.
#2 United Kingdom
Next is the U.K., which has a population of 67 million and a GDP per capita of $46,344. It is considered among the most competitive economies of Europe and is a highly developed eCommerce market for targeting dropshipping in 2024. It has an estimated eCommerce Market Revenue of $285,555m by 2025.
Just like in the U.S., Fashion is the most popular category for shoppers in the U.K., and popular payment methods online include credit cards, PayPal, and prepaid. 98% of the U.K.'s population speaks English which is the same as that in the U.S., but the dropshipping market in the U.K. is a highly competitive one.
#3 Canada
This North American Country has been preferred by many dropshippers lately. With a population of roughly 38 million population, it has a GDP Per Capita of $49,222. It is among the best countries to grow your dropshipping business. According to a few analyses, 30% of Canadians are interested in Fashion, whereas 8% of them want personal care products, and most of them are interested in electronics and media.
The Canadian eCommerce Market is projected to grow to $90,586 by 2025. And it has a Higher average eCommerce spend per person as well. This market is also a competitive one, as many U.S. dropshippers target it, but on the brighter side, there are plenty of opportunities as well.
#4 Australia
Next on our list is Australia which is a booming eCommerce market. Many Dropshippers are already targeting this market as it is among the world's rising economies. It has a population of 25 Million and a GDP per capita of $62,723. It is also among the major countries with a sizeable population active on various Social Media Platforms. So you can easily target them using social media ads or through other mediums.
Fashion here as well continues to be the trending theme for dropshipping, and its eCommerce market revenue is said to grow to $66,186m by 2025. So make sure you have Australia on your list of targeted countries for dropshipping. It is also less expensive to target than the USA.
#5 Denmark
This Scandinavian Country is lesser known, but it already has a well-established and growing e-commerce market. With a population of 5 million and a GDP per capita of $67,218 – Denmark should be on your list, as its estimated market revenue is expected to be $15,818 by 2025.
The Danish populations like to shop for fashion, and they are very active on their mobile and desktop. Their average spending is about $2590 on online shopping, which makes them an easy target for dropshippers to look to expand their business.
#6 New Zealand
How can we miss out on this beautiful Island nation? New Zealand is another economy that continues to grow. It has a population of 4 Million and a GDP per capita of $47,499. Many people do Shop online in this country, and according to a few estimates, by 2025, almost 80% of the country's population will shop online.
Also, the E-commerce revenue of the market is expected to be $11,437m by 2025. If New Zealand is on your list, make sure you focus on dropshipping fashion items as it is loved by them even though the population of the country as a whole is less.
#7 France
Having a population of 65.2 million and a GDP per capita of $44,995, France is considered the most populous European country with a per capita GDP. It ranks second on the list of largest economies of Europe and also the eighth largest in the world.
Its eCommerce Market Revenue is projected at $143,200 by 2025 as many online shoppers are going to get added to the list. France is home to many fashion brands, and therefore fashion related products are ones that you should promote. Though the majority of the French population does not speak English, by building a proper dropshipping store and network, you can target this country for dropshipping.
List of Worst Countries to Target Dropshipping
#1 China
China has a huge population on Earth, but most of the products are sourced from this country. And that's the reason why you should not target this country for dropshipping.
Most Dropshippers only source their products from China but do no dropship there. Already the Chinese economy has cheap online retailers and dropshippers like Alibaba, Jingdong etc., who are providing goods to customers at a much less expensive rate. And most importantly, Chinese people are not allowed to buy products from AliExpress. So advertising is also going to fail to work in China as most of them are already doing dropshipping from AliExpress and Alibaba.
#2 India
India is set to become the most populous country on the planet in the coming years. Even though this aspect is promising, here you get only cheap clicks with no conversion. Also, for beginners, India is a challenging dropshipping country to target, as most of the online sales are made on a cash-on-delivery basis. Secondly, most of the transactions have processing fees which can further reduce your margin.
#3 Afghanistan
Political turmoil and instability have led to this country's downfall. The country already has a high fraud rate. Even when you search for this country on the internet, you will come across various false debates, fake offers and chargebacks.
#4 Indonesia
Indonesia is said to have the highest fraud rate for e-commerce transactions which is 44.1%! Also, the GDP per capita is only $3.9k, so that means you only have a little population that will spend on buying products online.
#5 Malaysia
Just like in Indonesia, here as well, the same situation is faced by dropshippers as many of them have complained about fraudulent transactions. In our opinion, you should stay away from this country for dropshipping.
#6 Pakistan
Though the population of this country is huge, it will only serve you cheap quality traffic when you test your ads. Plus, as mentioned earlier, here as well, you will witness a significant amount of fraud, and it is tough to get high-quality clicks.
#7 Iraq
Same situation in Iraq. Here as well, you will only get cheap clicks with no rewards. Also, the per capita income is comparatively lower than many Middle Eastern countries, which makes it among the worst countries to target for dropshipping.
How to Begin your Dropshipping Journey as a Beginner?
Here are a few tips on how you can begin your dropshipping business easily.
- Step 1: Identify the target market/niche and then find the potential products to dropship.
- Step 2: Identifying the products is really important. When you identify them, you need to undergo proper research on them. You can take the help of any dropshipping spy tools like PiPiADS to help you with that.
- Step 3: As you find the product, it's time to find a reliable supplier. Not that's a bit tricky as you cannot comment on any global supplier unless you do business with them. But you can check out reviews and make sure that your supplier is capable of providing the products along with being reliable.
- Step 4: Create a website that will be easy to navigate at the same time, attractive. It will be your first impression that your potential customers will view, so make sure that it is user-friendly and that visitors find the product they are looking for easily.
- Step 5: It's time to formulate a robust business strategy that can boost your revenue. You can use tools like BigSpy, and AdSpy for competitor research, and you can search out the products they are selling and key metrics which make them reach and sell well.
- Step 6: After this, its time to increase the organic traffic on your website. You can use ads to drive traffic to your store from various social media platforms. You can also formulate engaging and SEO-friendly content to upscale your organic traffic. You can reach out to the targeted audience more effectively by running paid ads on Google, Facebook, Instagram etc.
- Step 7: Evaluate all the above steps from time to time. Do a proper analysis of the efforts you put in to increase your sales where you can track your conversion rate, organic traffic and various other aspects that determine the success of your dropshipping business.
FAQs on Best and Worst Countries to Target Dropshipping
Can you do dropshipping worldwide?
Of course. You can drop ship to any country. Having said that, don't just jump on with any country as they react differently to different dropshipping products. Accordingly, the list of Best and Worst Dropshipping products has been formulated.
Does the GDP of any country determine which country to target for dropshipping?
Yes. As GDP is a measure of what a person earns in a country, you can term it directly as the amount they earn will directly be correlated to their spending. It is more of a terminology that will describe the spending capacity of a person according to earnings. So countries with higher GDP will have more spending capacity, and people will have more disposable income and spend more. So if you are targeting a country that has a decent GDP income, you can say that your Dropshipping can be profitable as you can get good buyers for your products.
Which are the countries which have the maximum online fraud and scams?
So while you do cross-border dropshipping, it is vital that you go through this list and note the countries listed and avoid them from the targeted ones.
1. Nigeria
2. Indonesia
3. Pakistan
4. India
5. Venezuela
6. Philippines
7. South Africa
The above-mentioned list is not specific to the order. You should just exclude them from your list of targeted countries for Dropshipping.
Final Verdict: The List of Best and Worst Countries to Target Dropshipping
Dropshipping business can be a highly profitable one, but before you do any cross-border dropshipping, it is highly essential that you look for a few key metrics. To begin with, it is required to select a country that is ideal for dropshipping. You can choose from our list of mentioned best countries to target for dropshipping.
Make sure you profit from your efforts; after all, that's what matters. Beginners should target known countries mentioned in our list, and they should exclude the ones mentioned above. Make sure you choose a country that has a sizable population and a good GDP, and make sure that the population makes enough purchases online.