Dropshipping is a sales model that allows store owners to fulfill orders directly through a wholesaler or manufacturer.
Many entrepreneurs turn to this sector as it requires little investment and concern and has immense potential for growth and sustainability over time.
It seems perfect for selling online, but you have to carefully evaluate the pros and cons in order to be ready for anything, both positive and negative, and be able to solve any problems or optimize the results.
Customers often ask us for objective data on the fashion market, so we want to help them better understand the great potential of dropshipping. Let’s see some data.
The U.S.A. situation
The Dropshipping market in the US was valued at US$ 22.97 billion in 2019 and is projected to reach around US$ 29 billion by the end of 2021.
The fashion market represents US$ 4.13 billion for the current year.
E-commerce in the U.S. has been growing over the years and so has dropshipping, in particular for small and medium enterprises, for various goods and commodities. The presence of a large amount of Dropshippers is an important driving factor for the Dropshipping market in the U.S.
The European situation
The Dropshipping market in Europe was valued at US$ 44.51 billion in 2019 and is projected to reach around US$ 57 billion by the end of 2021.
As you can see, the fashion market is estimated to account for around 18% market revenue share.
Europe’s Dropshipping market is witnessing significant growth. The region has several countries with very different consumer habits, high internet connectivity, high disposable income, and high literacy levels, that are supporting the growth of e-commerce.
Online shopping levels differ significantly across the region, which means that the potential audience is likely to grow in the coming years. The largest e-commerce market within Europe includes Germany, UK, and France.
During our webinars, customers often ask us for this data because they fear competition from big players such as Zalando.
Well, actually small and medium-sized enterprises in Europe are the masters, as can be seen in the graph below:
The dropshipping market for the small and medium-sized business segment was worth US$ 27.09 billion in 2019 and is expected to reach US$ 35 billion by the end of 2021, compared to US$ 22 billion of large companies.
So it may be safe to say that dropshipping in the fashion sector is likely to continue to achieve great results in the coming years.
Everyone has a bad day, the important thing is not to give up and keep on going, perhaps with the help of BDroppy!
If you want to start an online activity or improve your existing one, why don’t you start selling online with us, through BDroppy?
Thanks to BDroppy, if you’re already selling online, on your own website, or through a marketplace, you can have the dropshipping service included so that you can integrate the BDroppy catalog on your website/e-commerce, with thousands of designer fashion products, using a single dashboard.
Otherwise, if you’re interested in a turnkey solution, BDroppy thinks about you too! You will have your own ready-to-use e-commerce, with an integrated fashion catalog and dropshipping service included!
Register now on BDroppy to explore all your opportunities to sell online!