The Ultimate Guide to eBay Dropshipping: Everything You Need to Know

The Ultimate Guide to eBay Dropshipping: Everything You Need to Know
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Are you interested in starting an eBay dropshipping business, but are unsure of where to begin? Look no further than this ultimate guide, which contains everything you need to know about the ins and outs of eBay dropshipping.

What is Ebay dropshipping?

Before researching eBay dropshipping, let’s define it. eBay was one of the first eCommerce marketplaces. Millions use eBay to purchase and sell. Since there are many users, we may gain from organic traffic.

Dropshipping enables us to sell things without inventories. Instead, we purchase from vendors when we get store orders. Finally, we tell the supplier to ship to our client.

Ebay dropshipping
Ebay dropshipping

eBay dropshipping lets us sell to multiple customers. Dropshipping requires little startup capital. eBay dropshipping is a promising business idea.

What to dropship on eBay

EBay is an online marketplace where you can buy or sell practically anything. When choosing a product to sell, look at the most famous categories:

  • Disposable masks
  • Cellphones
  • Male fragrances
  • Video games
  • Headphones

Check eBay’s restricted and forbidden list before selecting dropshipping items. Alcohol, cosmetics, fertilizer/pesticides, jewelry, and auto components are regulated. For your first eBay dropshipping experience, avoid them.

Things to know before dropshipping on eBay

Dropshippers may only buy from trade-only or wholesale suppliers on eBay. These regulations may lead to account suspension.

“If you use drop shipping, you’re still responsible for the item’s safe delivery within the time frame you stated in your listing and the buyer’s overall satisfaction with their purchase.” —eBay dropshipping policy
eBay dropshipping costs include:

  • Insertion fees: Get 200 free listings per month. After that, 35 cents per listing.
  • Final value fees: eBay charges 12.9% of the selling price up to $7,500 and $30 each order. (Depending on product category.)
  • Store fees: $4.95/month for 250 free listings. Dropshippers with 1,000+ listings pay $21.95/month.

eBay dropshipping policies

As said, eBay allows dropshipping if you “fulfill orders directly from a wholesale supplier.” Wholesale items may be sold on eBay.

However, you cannot purchase from another shop or marketplace that delivers straight to your consumer. You cannot post something on eBay, buy it from Amazon, then send it to your eBay buyer. Amazon packages in the mail are confusing and untrackable.

eBay dropshipping policies
eBay dropshipping policies

Amazon FBA may still fulfill eBay orders. Instead of ordering through Amazon, you’ll employ their fulfillment services. If you employ dropshipping, you’re still responsible for safe delivery within your listing’s timeframe and client satisfaction.

eBay removes or lowers listings that violate this guideline. They may even downgrade your platform rating or status if you are a long-time vendor.

Pros and Cons of dropshipping on eBay

eBay dropshipping may assist start-ups and new merchants if done properly. The benefits:

  • It’s free. eBay dropshipping’s biggest advantage is not having to acquire merchandise in bulk. Find a supplier willing to dropship to your clients. If it’s not for you, you just waste time.
  • Starts easily. It’s cheap to start since you don’t require inventory. Setting up an online shop or E-commerce blog is unnecessary and expensive. You only need an eBay seller account and a dropshipper.
  • Use eBay’s audience. eBay is one of the most popular online auction platforms, therefore it has a vast and dedicated client base. Start an eBay dropshipping company to reach a large audience without any effort.
  • Reduce marketing. eBay dropshipping lets you capitalize on a big consumer base and save money on marketing since millions of online shoppers will view your listings.

Dropshipping on eBay sounds like a no-brainer, but there are several drawbacks, particularly considering eBay’s rigorous dropshipping policy. The drawbacks:

  • Listing fees. eBay charges a listing fee (the first 50 are free) and 10% of your selling price. Dropshipping’s tight business margins make these costs add up rapidly.
  • Less customization. Dropshipping on eBay is a terrific method to start an online company, but limited shop and listing customization may make it hard to stand out.
  • Mistakes are yours. You’re responsible for safe product delivery within your listing’s timeframe. Dropshipping requires the provider. So if they run out of stock and take a month to ship, there are no consequences. You might lose your account and sales due to poor comments.
  • High competition. Due to its low entry barriers, eBay dropshipping attracts many online retailers like you, making competition fierce. When numerous stores offer the same things as you, you’ll need to concentrate on others that are simple to stand apart, which may be time-consuming.
  • Marginally profitable. To be competitive in such a cutthroat market, you may need to drop your rates. eBay dropshipping costs can lower profit margins. Thus, to profit from eBay dropshipping, you must maintain a high monthly sales volume.

Is ebay dropshipping profitable?

Making a living via eBay dropshipping is possible. Dropshipping is a fantastic low-cost option for launching or growing an internet company. It frees you from the burden of stocking and warehousing things before they may be sold.

Successfully operating an eBay store hinges on setting the proper prices. Your pricing has to be competitive with other listings while yet yielding a healthy return.

Find out what other similar things cost, and take a close look at your spending habits. If you’re having trouble turning a profit, cutting expenses by bargaining with your supplier or switching to a cheaper one is one option.

How to dropship on eBay

eBay dropshipping—ready to start generating money? A step-by-step approach to building a profitable dropshipping shop.

1. Create an eBay seller account

Selling on eBay requires a seller account. Enter dropshipping company details on the registration page. Next, choose an eBay shop and connect your bank account to receive paid for sales.

Create an eBay seller account
Create an eBay seller account

Consider utilizing DSers to sync eBay to Shopify after choosing an eBay shop name. One dashboard lets you manage corporate rules, inventory levels, and buyer communications.

2. Find your suppliers

Dropshipping suppliers may make or destroy your company. Your reputation depends on them storing and sending the stuff.

Ask yourself and the provider these questions when choosing a supplier:

  • Does the supplier actively support dropshipping?
  • What shipping methods does the supplier offer? These techniques take how long?
  • Do they deliver worldwide, or only to specific countries?
  • How do they conduct their quality control?
  • How is their reputation? How would they handle order issues?
  • Can you use their source material (product photos, descriptions, specs) in your listings?

Find a reliable source. If you partner with a shady supplier, eBay dropshipping might swindle you.

Find and contact your supplier(s) after selecting them. Inform them and enquire about dropshipping policies. How to Find a Dropshipping Supplier? has further advice.

3. Choose a profitable products

Find eBay’s best-selling products next. Check eBay’s bestsellers page for dropshipping companies like Alibaba and AliExpress that offer comparable items at a discount.

  • Best dropshipping products:
  • Business or hobby goods
  • Repeated purchases
  • Popular eBay purchases

Choose items with low return rates and simple shipping. Small, lightweight, low-return items are simpler to transport and less likely to create customer concerns. —MyEnamelPins marketing manager Kristin Stump

4. Create your product listings

Create product listings using supplier data. High-quality product descriptions and photos may persuade shoppers that your product is superior. Well-written eBay listings rank better.

Visitors compare your items to rivals by asking questions like:

  • Does it contain my desired feature(s)?
  • What’s the delivery time?
  • Is this seller trustworthy?

Answering all these questions in your product description will increase client confidence.

5. Calculate Your eBay Fees & Profit

Our earnings depend on product pricing and profit margin. We use five parameters to compute profits:

  • eBay Category Fees
  • Payment Processor Fees
  • Fees Buy/Sell Price

We can’t calculate our profit since fees fluctuate. The AutoDS eBay Fees Calculator simplifies eBay dropshipping fees profit margin calculations.

The calculator automatically calculates all required fees to show our profitability. This saves time by calculating these costs automatically.

6. Import eBay Dropshipping Products

Once we find things to offer on eBay, how do we import them? Products are imported manually or automatically.

The manual technique requires visiting the supplier’s website, copying and pasting the title, description, and photos for each product. It is tiresome and time-consuming.

However, an automated technique saves human labor hours. Dropshipping solutions like AutoDS product importer automatically submit product data to our shop. Four product-importing features:

  • One-click Importer
  • Single Product Importer
  • Multiple Product Importer
  • Bulk Upload with a CSV file

Tips for success with eBay dropshipping

Keep control of your pricing

Millions of internet shoppers visit eBay everyday to find the greatest deals. Dropshippers have a major hurdle since the provider charges a set amount regardless of the selling price. As said, eBay listings involve a listing fee and a portion of the selling price, which might eat into your slim profit margins.

Fortunately, there are several strategies to sustain profitability. You may make a Buy It Now listing on eBay to guarantee your profit while dropshipping.

If you want eBay customers to bid on your things and make more money, establish a reserve price. Set a large beginning bid to cover fixed expenses.

Include supply expenses, eBay listing and final value fees, and taxes.

Minimize your workload

Since eBay dropshipping profit margins are usually just a few dollars each transaction, huge volume is the key to success. Since you must process and fulfill each listing separately, large volume equals more labor.

Find multi-item listings to simplify this procedure and save time. Thus, you just need to list once and can focus on fulfillment and returns. To prevent re-listing, extend these listings.

Provide trackability

Make sure eBay consumers can monitor packages. Give them your FedEx, UPS, or USPS tracking numbers. You may resolve these issues with your vendors.

Ensure availability

eBay dropshipping is popular because it removes inventory, but it has limitations. One of their greatest blunders is not checking eBay listings for availability. This may deter clients and hurt your finances.

So, check your suppliers’ stocks often to prevent selling out-of-stock or discontinued products. Daily supplier reports may help you maintain a fast and dependable fulfillment reputation.

Ensure fulfillment

After checking your inventory, it’s time to keep your clients pleased by swiftly and effectively delivering orders. In business, reputation is vital, so fulfill.

Find trustworthy providers. They will rapidly track shopping goods and order progress. This allows you advise consumers of probable delays or concerns.

Keeping in touch with suppliers and consumers will reduce negative feedback when issues emerge.

Is dropshipping with eBay worth it?

If your business wants to be present on eBay’s platform and make some extra money, then dropshipping on eBay can be a smart move. It’s easy to use and doesn’t involve much risk. Small online stores can benefit a lot from reaching a big audience without having to build it from scratch.

But dropshipping on eBay comes with its own challenges. These include finding trustworthy suppliers, dealing with delivery problems, and competing against others who sell similar products. Listing fees can eat into your profits if you’re not careful.

If you prefer having more control over your online sales and fulfillment, then eBay dropshipping might not be the best choice for you. Some sellers like to focus on building a long-term brand and enjoy higher profit margins through their own online store. Others use eBay dropshipping for certain parts of their business while concentrating on other channels.

Ready to start dropshipping on eBay? Sell wherever your customers are and grab every opportunity!


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