By: Andrew Roach April 27, 2017 Topic: How to Start a Business

For many ecommerce entrepreneurs, the prospect of spending time and money on managing your inventory is a deal breaker. If you create an ecommerce store which uses a dropshipping business model, you’ll never need to carry any inventory. You’ll be free to focus your valuable time and resources on growing your online store, and making more sales. Dropshipping is a flexible way to run your business, and it’s supported by the majority of the largest ecommerce platforms, like Shopify. We believe in making life easier for ecommerce entrepreneurs, so we’ve created this ultimate Shopify dropshipping guide to help you start your own successful ecommerce business.

What is Dropshipping?

Dropshipping is a business model which involves ecommerce entrepreneurs selling products without ever having to carry any inventory. When a store owner receives an order from a customer they simply contact the supplier, who will then ship the products directly from their warehouse to your customer’s door.

It’s the perfect business model for new ecommerce entrepreneurs, as it’s simple to set up and manage, and it doesn’t require a large up-front investment. You can also run your dropshipping business in your part time– you don’t need to quit your job to start a successful store.

What is Shopify?

Shopify is the leading ecommerce platform which enables entrepreneurs to start their own online store. Their platform is simple to use, so you’ll be able to build your own store even if you don’t have any technical experience. It’s perfect for entrepreneurs who want to start their own ecommerce store without any hassle. You can read an in-depth Shopify review that details who Shopify is for, why you should use it and some great new features they’ve recently added.  

Why Would I Start Dropshipping on Shopify?

Dropshipping is the perfect business model for entrepreneurs who are looking to set up their own business with little up-front investment, and Shopify is the simplest platform which you can use to create and run your store.

When you dropship on Shopify you’ll never need to worry about excess inventory, as you’ll only ever order the necessary amount of products to meet the demand from your customers. This system is unlike a typical ecommerce business, which involve purchasing products from a wholesaler in bulk and committing to those products until they’re sold. If you’re dropshipping you’ll be able to switch products in just a few clicks.

How to Setup Your Shopify Dropshipping Store

In this section of our Shopify dropshipping guide we’ll walk you through all the steps that you’ll need to take to create your own ecommerce store. We’ll show you our best tips for each stage you go through, and at the end of this you’ll have a fully functional online store, which you’ll be able to use to start making money today.

Naming Your Shopify Dropshipping Store

This is the first step that you’ll take towards opening your Shopify dropshipping store. Here are some top tips for coming up with a name for your online store:

  • Keep it simple.
  • Be creative.
  • Make it memorable.

Once you’ve come up with some ideas for the name of your Shopify dropshipping store you’ll need to check if it’s available. If you’ve come up with a name like ‘American Clothing Store’, it’s likely already in use. You can check this by using Google search, and also searching if there is a .com domain which is already being used.

Creating a Shopify Account

Creating an account on Shopify is a simple and quick process. To start, you’ll need to visit Shopify’s homepage. Once you’ve loaded the page you’ll see an empty field at the top of the screen where you’ll need to enter your email address.

Shopify Dropshiping Guide
Enter your email address into this field. You’ll then be asked to create a password for your account and enter the name which you’ve decided on for your store. Next you’ll need to fill out a couple of details about your store, your experience with ecommerce, and your personal details.

Shopify Dropshiping Guide

Once you’ve completed this your Shopify account will be up and running. Next we’ll need to configure the settings for your account.

Optimizing the Settings for Your Shopify Account

At this point in our Shopify dropshipping guide we’re going to go through the settings of your newly created Shopify account. This step is essential so you can receive money from your customers, create your store policies, and establish your shipping rates

Payment Information

The first thing you’ll need to do is add a payment option to your Shopify dropshipping store. This is a vital step, as you won’t be able to receive money from customers if you don’t add a payment option.

To add payment information you’ll need to access Shopify’s ‘Settings’ page. From here, simply select the ‘Payments’ tab on the left and add your payment information.

Shopify Dropshiping Guide

We’d recommend that you add a Paypal account here. If you don’t have an account you can sign up for one in just a few minutes–it’s a simple process, even if you’re not technically proficient. You can also check out our article on Paypal and other payment gateways here.

Store Policies

When you’re launching your own Shopify dropshipping store you’ll need to make sure that you have created the necessary store policies. Shopify have created a helpful tool which will automatically generate a standardized privacy policy, returns policy, and terms and conditions for your store.

You can access this tool from Shopify’s settings. Click on the ‘Checkout tab’ and scroll down to the bottom to find the fields which were mentioned.

Shopify Dropshiping Guide

Click on the ‘Generate’ button and you’re good to go.

Shipping Rates

It’s critical that your store has clear shipping rates. We’d recommend that you always offer free shipping, as this is the easiest option. If you offer separate shipping rates for various regions it can become confusion, so we’d always advise that you incorporate your shipping fees into the price of your products. For example, if you’re planning to sell a T-shirt for $20, raise the price to $25 and offer free shipping–this will also help you sell your products.

You can set free shipping on your store by accessing the ‘Shipping tab in your Shopify settings.

Shopify Dropshiping Guide
Delete all of the domestic shipping zones and add ‘Free International Shipping’ into the ‘Rest of World’ section. Then you’ll need to select ‘Rate: Free Shipping Rate’ and you’re good to go.

Launching Your Shopify Dropshipping Store

You’ve now added all the necessary information which you’ll need to launch your Shopify dropshipping store.

To launch your store simply access the ‘Sales Channels’ option on your Shopify settings. From here select the ‘add an online store’ option.

Shopify Dropshiping Guide

Once you’ve finished this set you’ll have an online store which is up and running!

Designing Your Shopify Dropshipping Store

In this section of our Shopify dropshipping guide we’ll go over the importance of design for your ecommerce store, and we’ll talk about some key points for you to consider.

Having an aesthetically pleasing ecommerce store is just as important as a brick and mortar store having an enticing shop window. It’s a user’s first impression of your business, and first impressions count.

There are two main aspects of design which you’ll need to take into consideration when you’re designing your Shopify dropshipping store– your theme, and your logo.

Picking a Theme on Shopify

Shopify Dropshiping Guide

Shopify has a built-in theme store which you’ll be able to use to source a wide variety of different themes. There are both free options and premium options on their store. Take a look around and decide on the best theme for your store based on your financial resources–if you’re starting your store with a tight budget we’d advise choosing a free theme.

Creating a Logo for Your Store

The logo for your ecommerce store will help customers remember your brand. Take some time to consider how you want your logo to look, and how it will fit in with the rest of your store’s design.

If you’re interested in creating your own logo then you can use graphic design software, like Photoshop, or take advantage of free online logo software. You can also outsource high-quality graphic designs from freelance platforms, like Upwork, or Fiverr, at an affordable price point.

Dropshipping on Shopify With Oberlo

Once you’ve sorted out the design of your Shopify store you’ll need to start adding products, so you can start generating revenue. To add products which you can dropship to your Shopify store you’ll need to install the Oberlo app. Oberlo is the leading platform for ecommerce entrepreneurs who want to import dropshipped products to their store.

When you’ve installed Oberlo you’ll need to add a category onto your Shopify store. Name this category after the type of products which you’ll be selling. If you’re thinking about starting an online T-shirt business then simple name this category ‘T-shirts’.

Shopify Dropshiping Guide
Now you can access the Oberlo app, and search for products which you’re interested in selling. Click the import button on any products that you’d like to sell and they’ll be imported directly into your store.

Making Your First Sale

Now it’s time to start generating revenue and making sales with your ecommerce store. It’s unlikely that you’ll be generating a huge volume of traffic from simply launching your store, so we recommend that you use marketing campaigns to draw potential customers to your store.

Take a look through the various different marketing channels which are available, and do some research to find out which one you’re most suited to. If you think that you’ll excel with Facebook advertising then test out some campaigns. Remember to keep testing, and you’ll soon find out which marketing strategies work best for your ecommerce business.

Over To You

You’re now the owner of your own Shopify dropshipping store. Congratulations!

We’ve covered a lot in this Shopify dropshipping guide, but you’ll learn even more whilst you’re running your own business. There’s no limit to the amount of money which you can make with your online store, so it’s time to start making sales and generating revenue.

Want to learn more?

If you have any other questions let us know in the comments section– we’re happy to help you out in your ecommerce journey.

  • Shaheer Khan

    That was already published some days ago?what’s new?

  • I’d like to know about the payments. Of course I will resell with a price greater than my supplier, but I had doubt about how it works. The difference will be at my account?

    Can someone help me?


  • Angelo Mike
  • Sukhpreet Singh

    Customer dont checkout from my store why this
    they are saying remove your password by paying us 29 usd . tell me about this

  • Thank you Oberlo.
    Your app is the best 🙂

  • Hi. Wonderful write up and very helpful. I do have this question regarding shipping zones: Why would I want to delete my domestic shipping zone? Thank you.

  • Th3Med Coder

    Hi pleas i wanna know if google adwords support shopify our not .

  • Andrew Roach

    Hey Rolando.

    Glad you enjoyed the article.

    If you delete your domestic shipping zone, you can offer free worldwide shipping on your products.

    Hope this helps.


  • Andrew Roach


    You can use Google Adwords for a Shopify store!

    Hopefully this helps.


  • Andrew Roach


    Glad you enjoyed it!

    Hope you have a great day!

  • Iteire Apollos

    Thanks for this detailed guide. I do have one questions. I will like to know the price a customer will see when he/her open the item. Will it be the original price from the supplier or the price from your drop-shipping store. This question has been bordering me for a while now.

  • Andrew Roach


    The customer will see the price that you set in Shopify for a given product.

    Hope this helps!

  • The Niche4U

    I read in my research that I must utilize my own personal credit card to complete transactions through Oberlo and Shopify?

  • The Niche4U

    I have my own website, do I need shopify? Is there a company such as oberlo or another company that will integrate with my website?

  • The Niche4U


  • Rolando Silva

    But will I still be able to sell and ship to my domestic shipping zone, even after it’s been deleted?

  • Andrew Roach


    Sorry, looks like I missed your first comments. If you want to use Oberlo to run your business, you’ll need to run your store through Shopify. As Oberlo is a Shopify app, it’s only available on that platform.

    As for credit cards, we always recommend creating a business bank account when running a business — this will help you to declare the correct amount for taxation.

    Hope this helps!