North America Dropshipping Market Size & Share Analysis - Growth Trends & Forecasts (2024 - 2029)

The North America Dropshipping Market Report is Segmented by Product Type (Toys, Hobby & Diy, Furniture & Appliances, Food & Personal Care, Electronics & Media, Fashion), by Region (North America, Europe, Middle East and Africa, Asia-Pacific, and Latin America). The Report Offers North America Dropshipping Market Sizes and Forecasts in Value (USD) for all the Above Segments.

North America Dropshipping Market Size

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North America Dropshipping Market Summary
Study Period 2020 - 2029
Base Year For Estimation 2023
Market Size (2024) USD 90.35 Billion
Market Size (2029) USD 228.98 Billion
CAGR (2024 - 2029) 20.86 %
Market Concentration Medium

Major Players

North America Dropshipping Market Major Players

*Disclaimer: Major Players sorted in no particular order

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North America Dropshipping Market Analysis

The North America Dropshipping Market size is estimated at USD 90.35 billion in 2024, and is expected to reach USD 228.98 billion by 2029, growing at a CAGR of 20.86% during the forecast period (2024-2029).

The dropshipping market is booming in North America due to the increasing demand for consumer electronics. Consumer electronics such as tablets, smartphones, and laptops are becoming increasingly popular in North America, opening up new and exciting possibilities for various upcoming technological developments. This has resulted in a growing penetration of consumer electronics in economies across North America, including Mexico and Canada.

The consumer electronics industry in North America has a lot of room for growth, and consumption is expected to increase as more and more brands enter the market. Mobile phone cases are a promising niche in e-commerce, and they are growing quickly. Consumer electronics are one of the product categories that are driving dropshipping businesses in North America, and many start-ups are taking advantage of this. The growing e-commerce sector is also expected to positively impact the demand for dropshipping.

The Electronics and media segment dominated the North American dropshipping market by product type. Dropshipping for electronics and media has become very popular, and it has the potential to make more sales and profit.

Dropshippers for electronics and media are taking advantage of the well-established electronics consumer market to make more profit. In recent years, there has been a significant increase in wholesale electronics dropshippers. This is due to the fact that consumer electronics are much lighter and can be easily shipped to the consumer.

Furthermore, you can quickly make more money by selling accessories. For example, dropshippers of consumer electronics can sell tablet and phone covers directly to buyers. As the demand for electronics and media continues to grow, the number of electronics dropshippers will increase due to the increased profit and sales, which will continue to drive the North American dropshipping market.

North America Dropshipping Market Trends

The electronics and media segment is expanding rapidly

• The US is not only known for its technology-savvy consumer base that buys electronic devices through digital channels but also for its lucrative consumer electronics E-commerce segment, which generated revenues of more than USD 90 billion in 2022.

• Home to the world-famous Silicon Valley, it’s no surprise that US tech companies dominated the global market. Looking at the top consumer electronics online stores worldwide, all but one among the top five companies were U.S-based enterprises. Amazon and Apple ranked as the world’s two most valuable brands in 2023, with a combined brand value approaching USD 300 billion.

• In fact, Amazon accounts for almost 50% of total retail e-commerce revenue in the United States in the category of computers and consumer electronics. This is also evident in the Top Consumer Electronics Online Stores list in the United States, where Amazon was the clear market leader. In 2022, Amazon generated more than USD 44 billion in net e-commerce sales, surpassing industry leader Apple by a whopping USD 15 billion.

North America Dropshipping Market: Most used consumer electronics, in percentage, United States, December 2023

United States holds a prominent position in the market

The US e-commerce market has been constantly changing over the last decade and can claim to be one of the biggest e-commerce markets in the world. E-commerce sales in the retail sector are expected to increase at a CAGR of 9.2% from 2023 to 2027, reaching an estimated USD 1.4 trillion.

Amazon is by far the largest online retailer in the United States. Not only does it hold the largest online shopping market share, but it also leads the pack when it comes to online retail sales. In 2022, Amazon significantly outpaced its US competitors, generating approximately USD 130 billion in retail e-commerce revenue in the country. Other leading e-retailers include eBay, Walmart, Target, and Apple.

Customer satisfaction with e-commerce retail is high in the US. However, e-commerce sales account for only about 15 percent of total retail sales in 2023, and eight in ten US internet users were expected to shop online in 2022.

E-commerce channels such as online retailers, brand websites, and online marketplaces are all popular, but social media is becoming increasingly important for online shoppers. For example, in the last four months of 2022, 3 out of every 10 Gen Z shoppers surveyed in the United States bought a product from a social platform.

Mobile shopping is one of the fastest-growing aspects of the global e-commerce market, and it’s no different in the United States. As social commerce continues to grow, so does the number of mobile shoppers. It’s no surprise that smartphones are the most popular devices used to shop online in the United States today. This large base of mobile shoppers directly affects mobile commerce revenue.

By the end of 2022, mobile commerce accounted for 38 percent of total e-commerce sales. While online retail orders have decreased overall in the United States, mobile commerce has remained the shopping channel with the least impact.

North America Dropshipping Market: Most popular categories for online purchases, in percentage, United States, December 2023

North America Dropshipping Industry Overview

The North American drop shipping market has a highly competitive landscape, with numerous players vying for market share. Drop shipping has gained popularity in recent years due to its low entry barriers and potential for high-profit margins.

One of the key factors driving the competitiveness of the North American drop shipping market is the rise of e-commerce. With the increasing number of online retailers, there is a growing demand for efficient and cost-effective order fulfillment solutions. Drop shipping, which allows retailers to sell products without physically stocking them, has emerged as a popular choice.

The major players in the market include Shopify, Oberlo, Doba, SaleHoo, AliExpress, etc.

North America Dropshipping Market Leaders

  1. Shopify

  2. Oberlo

  3. Doba

  4. AliExpress

  5. Spocket

*Disclaimer: Major Players sorted in no particular order

North America Dropshipping Market Concentration
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North America Dropshipping Market News

• July 2023: Shopify, the Ottawa-based retail-tech company, announced several new products and enhancements for its merchants, including an Artificial Intelligence (AI) suite, a new business credit card option, and drop shipping-like features.

• June 2023: Shopify Inc, a leading provider of critical online infrastructure for commerce, announced that it closed the previously announced majority sale of its legacy Shopify Logistics segment to Flexport, a leading technology-enabled global logistics platform, under the terms of the transaction agreement. Shopify received stock in the form of a 13% equity stake in Flexport and its existing equity stake in the business. This transaction secures the logistics solution that Shopify has been constructing and transfers it to a reliable and mission-driven partner, Flexport.

North America Dropshipping Market Report - Table of Contents

  1. 1. INTRODUCTION

    1. 1.1 Market Definition and Scope

    2. 1.2 Study Assumptions

  2. 2. RESEARCH METHODOLOGY

  3. 3. EXECUTIVE SUMMARY

  4. 4. MARKET DYNAMICS AND INSIGHTS

    1. 4.1 Current Market Scenario

    2. 4.2 Market Dynamics

      1. 4.2.1 Drivers

        1. 4.2.1.1 Increasing International Trade Driving the Market

        2. 4.2.1.2 Increasing online users driving the market

      2. 4.2.2 Restraints

        1. 4.2.2.1 Regulatory Compliance Affecting the Market

        2. 4.2.2.2 High Competition in the Market

      3. 4.2.3 Opportunities

        1. 4.2.3.1 Expansion of Intermodal Connectivity Driving the Market

        2. 4.2.3.2 Digital Transformation Driving the Market

    3. 4.3 Value Chain / Supply Chain Analysis

    4. 4.4 Technological Advancements

    5. 4.5 Government Regulations and Key Initiatives

    6. 4.6 Demand-Supply Analysis

    7. 4.7 Impact of COVID-19 on the Market

  5. 5. MARKET SEGMENTATION

    1. 5.1 By Product

      1. 5.1.1 Toys

      2. 5.1.2 Hobby & DIY

      3. 5.1.3 Furniture & Appliances

      4. 5.1.4 Food & Personal Care

      5. 5.1.5 Electronics & Media

      6. 5.1.6 Fashion

    2. 5.2 By Country

      1. 5.2.1 US

      2. 5.2.2 Canada

  6. 6. COMPETITIVE LANDSCAPE

    1. 6.1 Market Concentration Overview

    2. 6.2 Company Profiles

      1. 6.2.1 Shopify

      2. 6.2.2 Oberlo

      3. 6.2.3 Doba

      4. 6.2.4 AliExpress

      5. 6.2.5 Spocket

      6. 6.2.6 Modalyst

      7. 6.2.7 Printful

      8. 6.2.8 Dropified

      9. 6.2.9 Inventory Source

      10. 6.2.10 Worldwide Brands

    3. *List Not Exhaustive
    4. 6.3 Other Companies

  7. 7. FUTURE OF THE MARKET

  8. 8. APPENDIX

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North America Dropshipping Industry Segmentation

Dropshipping allows the sale of products online without owning or managing the physical location where the products are packaged and shipped. This means that the client can start an online store and sell various products without managing inventory and fulfillment.

The North American dropshipping market is segmented by product type (toys, hobby & DIY, furniture & appliances, food & personal care, electronics & media, fashion) and by region (US, Canada). The report offers North American dropshipping market sizes and forecasts in value (USD) for all the above segments.

By Product
Toys
Hobby & DIY
Furniture & Appliances
Food & Personal Care
Electronics & Media
Fashion
By Country
US
Canada
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North America Dropshipping Market Research FAQs

The North America Dropshipping Market size is expected to reach USD 90.35 billion in 2024 and grow at a CAGR of 20.86% to reach USD 228.98 billion by 2029.

In 2024, the North America Dropshipping Market size is expected to reach USD 90.35 billion.

Shopify, Oberlo, Doba, AliExpress and Spocket are the major companies operating in the North America Dropshipping Market.

In 2023, the North America Dropshipping Market size was estimated at USD 71.50 billion. The report covers the North America Dropshipping Market historical market size for years: 2020, 2021, 2022 and 2023. The report also forecasts the North America Dropshipping Market size for years: 2024, 2025, 2026, 2027, 2028 and 2029.

North America Dropshipping Industry Report

Statistics for the 2024 North America Dropshipping market share, size and revenue growth rate, created by Mordor Intelligence™ Industry Reports. North America Dropshipping analysis includes a market forecast outlook for 2024 to 2029 and historical overview. Get a sample of this industry analysis as a free report PDF download.

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North America Dropshipping Market Size & Share Analysis - Growth Trends & Forecasts (2024 - 2029)