How to Set Up Shopify Dropshipping

Key takeaways

Setting up a Shopify dropshipping store involves choosing a product niche, defining your audience, opening a Shopify account, and finding suppliers.

• Shopify’s platform allows you to build a website that sells products, which a separate company fulfills and ships, without the need to learn any coding.

• To find dropshipping suppliers, you can search for your own, choose from Shopify's many dropshipping apps, or use its built-in product sourcing network, Shopify Collective.

• You can set up your Shopify store by choosing a domain name and following Shopify's step-by-step prompts.

Use this tutorial to create a Shopify dropshipping store. Afterward, sharpen your e-commerce skills on Coursera with the Google Digital Marketing and E-commerce Professional Certificate. You can learn the fundamental tools to launch your own e-commerce business in as little as six months.

What is dropshipping?

Dropshipping is an e-commerce method where you build a website that sells products, which a separate company fulfills and ships. As the owner of a dropshipping business, you’re responsible for selecting the products, posting them to your online store, and working with reliable dropshipping companies to make sure the products are high-quality and delivered in a timely manner.

Dropshipping is a business model for people looking to break into e-commerce who have limited space to store products and who don’t want to be responsible for shipping lots of products from their own homes. 

What is Shopify dropshipping?

Shopify’s platform makes creating a dropshipping store simple and straightforward without the need to learn any coding. With Shopify, you’ll have the tools to set up your dropshipping store, handle payments, and market your products.

How to set up Shopify dropshipping

Shopify is a user-friendly platform for launching a dropshipping store. Here’s what you’ll need to do to start:

1. Identify your product niche.

2. Define your audience.

3. Open a Shopify account.

4. Install dropshipping apps.

5. Set up your store.

Let’s go over these steps in more detail.

1. Identify your Shopify dropshipping product niche.

When choosing which products you’d like to sell in your store, it’s important to balance both your own personal passions and interests with what the market demands. You’ll want to sell something that genuinely interests you so that you don’t burn out or grow bored, and you’ll also want to sell products you know other people are searching for. 

Keyword research and market trends are great places to start. You’ll also want to consider items with a high profit margin that are specific so that you aren’t competing in a saturated market. For example, phone cases are a high-demand product, but phone cases with 3D designs are more niche.

2. Define your audience.

Understanding the needs of your target audience will help you create more effective marketing strategies, choose better-performing products, and increase your website traffic. Ask yourself about who needs your product, how much they’re willing to spend, and where they like to interact online.

3. Open a Shopify account.

Once you know what you want to sell and who you want to sell it to, it’s time to open a Shopify account. You can sign up for a three-day free trial, followed by your first month for $1, to experiment with different products and marketing techniques. Shopify requires an email, and it’s best to set up an email address specific to your store. Then, follow the prompts from Shopify to set up your account.

4. Install a Shopify dropshipping app.

Once your account is set up, you can search for dropshipping suppliers to use on your own, use the dropshipping apps Shopify offers, or use the built-in product sourcing network Shopify Collective. The apps are available in Shopify’s app store and offer a huge variety of suppliers and products. Select the ones you’d like to work with and add them to your store.

5. Set up your store.

Next, it’s time to set up your store. Choose a domain name that’s short and easy to remember. Follow Shopify’s prompts to select your store’s design, add copy, and attach the domain name. Then, import the products you want from the apps. You can search the products by review, price, and shipping options. Select Add to Import List. Once the items are in the import list, you can edit their price, descriptions, and more. Once you select Import, the items appear on your storefront.

What are the top Shopify dropshipping suppliers?

According to Shopify, the top 10 dropshipping stores (as of 2025) are Shopify Collective, Syncee, DropCommerce, AI Dropship, Worldwide Brands, Wholesale Central, AliExpress, Alibaba, DSers, and CJDropshipping [1]. The option you choose will depend on your business plan and intended product sales, including whether you plan to ship to a US or global audience, your budget, and how many sales you expect per month.

Common Shopify dropshipping issues

One of the key issues people run into with Shopify dropshipping is that Shopify doesn’t generate organic traffic on its own. You’ll need a robust marketing plan, including keywords and social media ads, to reach your intended audience.

Access free learning resources to market your Shopify store

Keep up with the latest trends and technologies shaping your industry by subscribing to our LinkedIn newsletter, Career Chat. Then, learn more about marketing your Shopify dropshipping store with the following resources:

• Watch on YouTube: Digital Marketing Explained in 5 Minutes | Beginner's Guide

• Read our Career Chat issue: What Are the 4 Ps of Marketing? (+ How to Use Them)

• Learn the lingo: Digital Marketing Terms: Key Definitions & Glossary

Whether you want to develop a new skill, get comfortable with an in-demand technology, or advance your abilities, keep growing with a Coursera Plus subscription. You’ll get access to over 10,000 flexible courses. 

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Frequently asked questions (FAQ)