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Global Drop Shipping Market – Industry Trends and Forecast to 2029

ICT

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Global Drop Shipping Market – Industry Trends and Forecast to 2029

  • ICT
  • Upcoming Report
  • May 2022
  • Global
  • 350 Pages
  • No of Tables: 220
  • No of Figures: 60

Global Drop Shipping Market – Industry Trends and Forecast to 2029

Market Size in USD Billion

CAGR :  % Diagram

Diagram Forecast Period 2021–2029
Diagram Market Size (Base Year) USD 220.93 Billion
Diagram Market Size (Forecast Year) USD 1,725.98 Billion
Diagram CAGR %

Major Markets Players

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Global Drop Shipping Market, By Product (Toys, Hobby, and Do it Yourself (DIY), Furniture and Appliances, Food and Personal Care, Electronics and Media, Fashion), Type (Same-Day Delivery, Regional Parcel Carriers, Heavy Goods Delivery), Application (B2B, B2C, C2C) - Industry Trends and Forecast to 2029

Drop Shipping Market

Market Analysis and Size

Supply chain solutions are becoming more intelligent, instrumented, and interconnected with each year owing to rapid advancements in the technology. E-commerce sector has grown rapidly in the past few years, especially during the outbreak of COVID-19. These solutions deliver effective and efficient supply chain services helping organizations in acquiring business objectives.

Global Drop Shipping Market was valued at USD 220.93 billion in 2021 and is expected to reach USD 1725.98 billion by 2029, registering a CAGR of 29.30% during the forecast period of 2022-2029. Electronics and Media accounts for the largest product type in the respective market owing to the high demand for electronic products. In addition to the market insights such as market value, growth rate, market segments, geographical coverage, market players, and market scenario, the market report curated by the Data Bridge Market Research team also includes in-depth expert analysis, import/export analysis, pricing analysis, production consumption analysis, and pestle analysis.

Market Definition

Drop shipping is a type of business model which are used to manage the store without having inventory. It is a supply chain management system, in which the retailer does not keep goods in stock, but rather transfers orders received from customers and shipment details straight to a retailer, manufacturer, or wholesaler.

Report Scope and Market Segmentation

Report Metric

Details

Forecast Period

2022 to 2029

Base Year

2021

Historic Years

2020 (Customizable to 2014 - 2019)

Quantitative Units

Revenue in USD Billion, Volumes in Units, Pricing in USD

Segments Covered

Product (Toys, Hobby, and Do it Yourself (DIY), Furniture and Appliances, Food and Personal Care, Electronics and Media, Fashion), Type (Same-Day Delivery, Regional Parcel Carriers, Heavy Goods Delivery), Application (B2B, B2C, C2C)

Countries Covered

U.S., Canada and Mexico in North America, Germany, France, U.K., Netherlands, Switzerland, Belgium, Russia, Italy, Spain, Turkey, Rest of Europe in Europe, China, Japan, India, South Korea, Singapore, Malaysia, Australia, Thailand, Indonesia, Philippines, Rest of Asia-Pacific (APAC) in the Asia-Pacific (APAC), Saudi Arabia, U.A.E, Israel, Egypt, South Africa, Rest of Middle East and Africa (MEA) as a part of Middle East and Africa (MEA), Brazil, Argentina and Rest of South America as part of South America.

Market Players Covered

AliDropship (US), SaleHoo Group Limited (US), Doba Inc. (US), Dropified (US), Orderhive (US), Aveeto (US), Sunrise Wholesale Merchandise (US), Cymbio (India), MODALYST, INC (US), Spocket. (Japan), AliExpress (China), megagoods (US), Inventory Source (US), and Dropshipzone (India), among others

Market Opportunities

  • Rise of mobile commerce
  • Need for flexibility in location
  • Increase in the preference for online shopping

Drop Shipping Market Dynamics

This section deals with understanding the market drivers, advantages, opportunities, restraints and challenges. All of this is discussed in detail as below:

Drivers

  • Increase in Online Shopping

The increase in the preference for online shopping across the globe acts as one of the major factors driving the drop shipping market. Also, the rise in trend of cross-border e-commerce trade has a positive impact on the growth of the market.

  • Emergence of Mobile Applications

The increase in the emergence of numerous mobile applications due to the rapid revoltunization of smartphones accelerate the market growth. These mobile applications make experience easy and convenient for consumers. Increase in smartphone penetration along with growing consumer disposable income contributes to growth of the e-commerce market, further escalating drop shipping market.

  • Penetration of E-Commerce Platforms

The rise in adoption of dropshipping services by retailers due to the growing penetration of e-commerce platforms further influence the market. These services are known to decline capital expenditure for inventory purchase/ management.

Additionally, rapid urbanization, change in lifestyle, surge in investments and increased consumer spending positively impact the drop shipping market.

Opportunities

Furthermore, rise of mobile commerce and need for flexibility in location extend profitable opportunities to the market players in the forecast period of 2022 to 2029. The surge in investments will further expand the market.

Restraints/Challenges

On the other hand, concerns regarding limited profit margins and inventory issues are expected to obstruct market growth. Also, shipping complexities and lack of control over customer experience are projected to challenge the drop shipping market in the forecast period of 2022-2029.

This drop shipping market report provides details of new recent developments, trade regulations, import-export analysis, production analysis, value chain optimization, market share, impact of domestic and localized market players, analyses opportunities in terms of emerging revenue pockets, changes in market regulations, strategic market growth analysis, market size, category market growths, application niches and dominance, product approvals, product launches, geographic expansions, technological innovations in the market. To gain more info on drop shipping market contact Data Bridge Market Research for an Analyst Brief, our team will help you take an informed market decision to achieve market growth.

COVID-19 Impact on Drop Shipping Market

The COVID-19 had a negative impact on the drop shipping market owing to the strict lockdowns and social distancing to contain the spread of the virus. The economic uncertainty, partial shutdown of the business and low consumer confidence impacted demand for numerous products. The supply chain got hampered during the pandemic along with delay logistics activities. However, the drop shipping market is expected to regain its pace during the post pandemic scenario due to the easing on the restrictions and increase in the number of e-commerce platforms.

Global Drop Shipping Market Scope and Market Size

The drop shipping market is segmented on the basis of product, type and application. The growth amongst these segments will help you analyze meager growth segments in the industries and provide the users with a valuable market overview and market insights to help them make strategic decisions for identifying core market applications.

Product

  • Toys
  • Hobby and Do it Yourself (DIY)
  • Furniture and Appliances
  • Food and Personal Care
  • Electronics and Media
  • Fashion

Type

  • Same-Day Delivery
  • Regional Parcel Carriers
  • Heavy Goods Delivery

Application

  • B2B
  • B2C
  • C2C

Drop Shipping Market Regional Analysis/Insights

The drop shipping market is analysed and market size insights and trends are provided by country, product, type and application as referred above.

The countries covered in the drop shipping market report are U.S., Canada and Mexico in North America, Germany, France, U.K., Netherlands, Switzerland, Belgium, Russia, Italy, Spain, Turkey, Rest of Europe in Europe, China, Japan, India, South Korea, Singapore, Malaysia, Australia, Thailand, Indonesia, Philippines, Rest of Asia-Pacific (APAC) in the Asia-Pacific (APAC), Saudi Arabia, U.A.E, Israel, Egypt, South Africa, Rest of Middle East and Africa (MEA) as a part of Middle East and Africa (MEA), Brazil, Argentina and Rest of South America as part of South America.

Asia-Pacific (APAC) dominates the drop shipping market due to the presence of large consumer base and number of e-commerce companies within the region.

North America is expected to witness significant growth during the forecast period of 2022 to 2029 because of the evolving consumer behavior and market trends such as mobile e-commerce and voice-enabled virtual assistants in the region.

The country section of the report also provides individual market impacting factors and changes in regulation in the market domestically that impacts the current and future trends of the market. Data points like down-stream and upstream value chain analysis, technical trends and porter's five forces analysis, case studies are some of the pointers used to forecast the market scenario for individual countries. Also, the presence and availability of global brands and their challenges faced due to large or scarce competition from local and domestic brands, impact of domestic tariffs and trade routes are considered while providing forecast analysis of the country data.   

Competitive Landscape and Drop Shipping Market

The drop shipping market competitive landscape provides details by competitor. Details included are company overview, company financials, revenue generated, market potential, investment in research and development, new market initiatives, global presence, production sites and facilities, production capacities, company strengths and weaknesses, product launch, product width and breadth, application dominance. The above data points provided are only related to the companies' focus related to drop shipping market.

Some of the major players operating in drop shipping market are

  • AliDropship (US)
  • SaleHoo Group Limited (US)
  • Doba Inc. (US)
  • Dropified (US)
  • Orderhive (US)
  • Aveeto (US)
  • Sunrise Wholesale Merchandise (US)
  • Cymbio (India)
  • MODALYST, INC (US)
  • Spocket. (Japan)
  • AliExpress (China)
  • megagoods (US)
  • Inventory Source (US)
  • Dropshipzone (India)


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Research Methodology:

Data collection and base year analysis are done using data collection modules with large sample sizes. The stage includes obtaining market information or related data through various sources and strategies. It includes examining and planning all the data acquired from the past in advance. It likewise envelops the examination of information inconsistencies seen across different information sources. The market data is analysed and estimated using market statistical and coherent models. Also, market share analysis and key trend analysis are the major success factors in the market report. To know more, please request an analyst call or drop down your inquiry.

The key research methodology used by DBMR research team is data triangulation which involves data mining, analysis of the impact of data variables on the market and primary (industry expert) validation. Data models include Vendor Positioning Grid, Market Time Line Analysis, Market Overview and Guide, Company Positioning Grid, Patent Analysis, Pricing Analysis, Company Market Share Analysis, Standards of Measurement, Global versus Regional and Vendor Share Analysis. To know more about the research methodology, drop in an inquiry to speak to our industry experts.

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FREQUENTLY ASK QUESTIONS

The Drop Shipping Market is expected USD 1725.98 billion by 2029.
The Drop Shipping Market is expected to witness CAGR of 29.30% during the forecast period of 2022-2029
On the basis of application, the Drop Shipping Market is segmented into B2B, B2C, C2C.
On the basis of product, the Drop Shipping Market is segmented into Toys, Hobby, and Do it Yourself (DIY), Furniture and Appliances, Food and Personal Care, Electronics and Media, Fashion.
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