How to Start Profitable CBD Dropshipping Business in 2024?

If you are looking for the right way to start profitable CBD dropshipping business in 2024, then you've landed on the right page.

CBD dropshipping has become a popular choice for entrepreneurs looking to grow in the booming CBD market. As more and more people discover the potential benefits of CBD products, the demand for these products continues to rise.

Here through this article, we will provide you with an overview of the essential steps to start your CBD dropshipping business. From understanding the legalities and regulations of CBD products to finding reliable suppliers and marketing your online store, we've got you covered. So, let's get started!

🍀 What is CBD Dropshipping?

Start Profitable CBD Dropshipping Business

CBD dropshipping is a business model that allows entrepreneurs to market and sell CBD products without maintaining inventory. In this method, companies partner with a supplier who handles the storage, packaging, and shipping of the products directly to the customer when an order is placed through the entrepreneur's online store.

The process begins with the entrepreneur promoting and selling CBD products from a supplier on their online store. When a customer places an order, the entrepreneur forwards the order details to the supplier. The supplier then picks, packs, and ships the product directly to the customer, eliminating the need for the entrepreneur to hold any inventory.

How is CBD Dropshipping different from Regular Dropshipping?

CBD dropshipping and regular dropshipping share the same basic business model, where a retailer sells products without holding inventory and relies on a supplier to fulfill orders. However, there are some key differences between the two which are listed below:

Regulations: CBD products are subject to more regulations than regular products due to their association with cannabis and potential medical uses.
Reputable Supplier: It is crucial for CBD dropshippers to find a reputable supplier that offers high-quality products.
Limited Availability of Services: Due to the high-risk nature of CBD products, some service providers may not work with CBD dropshippers. This can limit the availability of payment gateways, shipping partners, and advertising options for CBD dropshipping businesses.

Step-by-Step Guide to Start Profitable CBD Dropshipping Business

Follow the simple steps below to start your CBD dropshipping business in 2024:

STEP 1: Register your business

Begin by registering your business according to your state's requirements. Obtain the necessary permits and licenses, including a resale certificate, and apply for state and federal tax ID numbers.

STEP 2: Choose a reliable CBD dropshipping supplier

Partner with a high-quality, trustworthy CBD supplier. Ensure they offer specialized solutions for CBD resellers, such as CBD-approved payment gateways and industry-specific shipping options. Some popular options include Our CBD Pantry and Absolute Nature CBD.

STEP 3: Set up your online store

Create an e-commerce website for your CBD dropshipping business. If you're based in the US, you'll need to submit an attestation to Shopify for the sale of hemp and hemp-derived products, proving you're using a payment processor that accepts payments for CBD-related products.

STEP 4: Add CBD products to your store

Once your website is ready, add CBD products to your store. Use conversion rate optimization (CRO) best practices to increase the percentage of people that buy, such as welcome bars to announce special promotions or shipping deals.

STEP 5: Promote your products

To attract customers, identify your target audience and run marketing campaigns using various tactics, such as social media advertising, content marketing, and email marketing.

STEP 6: Comply with regulations

Ensure you follow the laws and regulations surrounding the sale of CBD products in your region. This may include verifying the age of customers and adhering to specific shipping and labeling requirements.

STEP 7: Provide excellent customer service

Respond to customer inquiries promptly and professionally, and address any issues that may arise with orders or product quality.

By following these steps, you can establish a successful CBD dropshipping business and tap into the growing market for CBD products. Remember to stay up-to-date with the latest regulations and industry trends to ensure your business remains compliant and competitive.

How Profitable is CBD Dropshipping?

The CBD industry has seen significant growth in recent years. In the United States alone, CBD product sales revenue almost doubled between 2019 to 2021, indicating a profitable market.

CBD dropshipping, in particular, has proven to be a highly profitable venture. This is due to the high-profit margins that can be achieved by selling CBD products at a premium price. The greater the margin between the product price and your resale price, the more money you'll make as a CBD dropshipper.

Therefore, dropshipping CBD products can be an amazing business venture for entrepreneurs looking to grow in this market.

What are the Requirements to Become a CBD Dropshipper?

To become a CBD dropshipper, you need to fulfill several requirements, including:

Licensing and legal compliance

To legally sell CBD products, you need to obtain necessary licenses such as a business license and a resale license. A business license is required to operate your business, while a resale license allows you to purchase products from wholesalers or distributors without paying sales tax and to collect sales tax from your customers. The requirements for these licenses vary from state to state, so it's essential to research the requirements in your area and ensure compliance.

Functioning E-Commerce website

To create an online store for your CBD dropshipping business, you can use platforms like Shopify, WooCommerce, or BigCommerce. These platforms offer templates and tools to help you design and customize your website, manage inventory, and process orders. When choosing a platform, make sure it supports the sale of CBD products, as some platforms may have restrictions due to the legal status of CBD.

Active merchant account for payment processing

Setting up a merchant account to process payments for your CBD products is really important. Since CBD is considered a high-risk product, you may need to work with a high-risk payment processor like Shift Processing. They specialize in high-risk and CBD merchant processing and can provide a CBD merchant account that allows you to accept credit card payments both in-store and online.

Reputable suppliers

Partnering with reliable CBD dropshipping suppliers is essential for the success of your business. Some reputable suppliers include Smoke Drop, Spocket, Sweet Earth, Puffing Bird, CBD Universe, and US Hemp Wholesale. When choosing a supplier, consider factors such as their product quality, hemp sourcing methods, extraction methods, reviews from other entrepreneurs, and pricing.

Effective marketing strategies

Use various marketing strategies such as content marketing, social media marketing, and email marketing to promote your store and attract customers. Remember to always comply with the advertising regulations and restrictions related to CBD products when implementing your marketing strategies.

How can I make my CBD dropshipping business a success?

To make your CBD dropshipping business a success, it is essential to implement key strategies and actions that focus on the fast-growing CBD industry and its potential high profit margins. Start by optimizing your pricing strategy, taking into account costs like marketing and shipping, and selecting a reliable ecommerce store platform.

Effective marketing techniques and customer engagement strategies are crucial for attracting and retaining customers. Use keyword research, content marketing, and social media to promote your products and educate your audience about the benefits of CBD. Build a reputable brand with quality products for establishing trust and loyalty among your customers.

Guidelines and Restrictions for CBD Dropshipping in 2024

As you know, CBD products are not freely permissible in certain areas and that's why to run a CBD dropshipping business, dropshippers must require following certain guidelines. Read the important guidelines to follow before starting your CBD dropshipping business:

  1. Register your business and obtain the necessary permits and licenses, including a resale certificate and tax ID number.
  2. Research the specific rules and regulations for CBD dropshipping in each country or region where you plan to sell your products.
  3. Verify the age requirements for purchasing CBD products in each region and ensure that your customers meet these requirements.
  4. Work with reliable CBD dropshipping suppliers that provide high-quality products.

Some Reliable CBD Dropshipping Suppliers

Struggling to find a trustworthy CBD dropshipping supplier? Well, to solve this problem we have made a list of some of the best CBD dropshipping suppliers in 2024:

SmokeDrop: A platform that connects you with various CBD suppliers and offers a wide range of products

Spocket: A dropshipping platform that focuses on sourcing directly from US and EU suppliers, including CBD products.

Spocket Logo
Staff Pick

Up to 65% Off on Spocket [Highest Discount]

Get the highest discount on Spocket with the limited-period offer. Savings extended up to 65%. Use code “SPOCKET10“.
2651 People Used
325 Only Left
On-Going Offer

Absolute Nature CBD: A company that offers a special hemp/CBD oil dropshipping program and provides services for hundreds of dropshippers.

US Hemp Wholesale: A supplier that offers a variety of CBD products, including oils, edibles, and topicals.

Margaret River Hemp Co.: An Australian-based company that offers a range of hemp and CBD products for dropshipping.

Eco Sciences: A premium supplier with a CBD dropshipping program that offers a 50% margin on products.

Charlotte's Web: A well-known CBD brand that offers a dropshipping program for their range of products.

It's essential to research and choose a supplier that aligns with your business goals, provides high-quality products, and ensures compliance with legal requirements.

Pros and Cons of CBD Dropshipping


  • Low startup costs
  • A broad customer base
  • Wide selection of products
  • Scalability


  • Legal complexities
  • Limited control over product quality and shipping
  • Restrictions on advertising and marketing

Top FAQs for CBD Dropshipping in 2024

Is CBD dropshipping profitable?

Yes, CBD dropshipping can be profitable due to the increasing popularity of CBD products and the low startup costs associated with dropshipping.

Is CBD dropshipping legal?

CBD dropshipping is legal in many countries, including the United States, as long as the products being sold are derived from hemp and contain less than 0.3% THC.

What are the product options for CBD dropshipping?

There is a wide range of CBD products available for dropshipping, including CBD oils and tinctures, capsules, edibles (such as gummies), topicals (creams, balms, and lotions), and pet products.

How can I become a CBD dropshipper?

To become a CBD dropshipper, you'll need to find a reputable supplier who can provide high-quality products. Once you've established a relationship with a supplier, you can set up an online store using a platform like Shopify or WooCommerce, add the supplier's products to your store, and start marketing your business.

What should I know about the legality of CBD products?

It's important to know about the laws and regulations related to CBD products in your area before starting a CBD dropshipping business, as they can vary significantly between states and countries.

Final Takeaways

To conclude, this 2024 guide on starting a CBD dropshipping business has provided you with valuable insights and essential steps to help you run a successful CBD dropshipping business. As the demand for CBD products continues to grow, now is an excellent time to enter the market and capitalize on this trend.

Our final thoughts and recommendations are to stay informed about the ever-changing laws and regulations surrounding CBD, focus on offering high-quality products, and invest in effective marketing strategies to reach your target audience.

By following these guidelines, you'll be well on your way to establishing a successful CBD dropshipping business in 2024. 

Leave a Comment

This site uses Akismet to reduce spam. Learn how your comment data is processed.