Amazon Dropshipping Guide in 2025 – How To Dropship With Amazon?
In 2025, Amazon will continue to dominate the e-commerce landscape, making it one of the top platforms for sellers to reach millions of customers worldwide.
Amazon dropshipping is still allowed and real in 2025. You can do dropshipping on amazon if you plan well. About 19% of sellers use dropshipping as their main way to sell. Dropshipping on amazon means you must pick good suppliers and follow the rules.
In this article, DailyFulfill will walk you through everything you need to know about Amazon dropshipping and help you scale your Amazon dropshipping business.
Amazon Dropshipping Policy
What’s Allowed
You can do amazon dropshipping if you follow the rules. You must be the seller of record for each order. Your business name should be on all packing slips, invoices, and return labels. You need to take out any information about your supplier or other sellers from the package. You must handle all customer service, returns, and refunds yourself. You also have to follow Amazon’s Business Solutions Agreement and other selling rules.
Here is how you can follow the rules:
Put your name or business name on everything the customer sees.
Take out any supplier or third-party info from the package.
Handle all customer service, returns, and refunds yourself.
Use only suppliers who let you control packaging and branding.
Always follow Amazon’s dropshipping policy and seller agreement.
Note: To do well with amazon dropshipping, always keep your brand easy to see on every order.
What’s Not Allowed
Some dropshipping ways are not allowed on Amazon. You cannot buy products from other online stores, like Walmart or AliExpress, and send them straight to Amazon customers. You cannot send packages that show another seller’s name or logo. You also cannot let your supplier handle customer service or returns.
At DailyFulfill, we specialize in offering the best dropshipping services that fully comply with Amazon’s stringent platform requirements, ensuring that your brand is protected every step of the way.
Do not make these mistakes:
Do not use other stores to send your amazon dropshipping orders.
Do not put any third-party branding or invoices in your packages.
Do not forget to answer customer service or return requests.
Dropshipping on Amazon: Getting Started
Seller Account Setup
You must make an amazon selling account before you begin. The steps are easy if you follow them one by one. Here is what you need to do:
Go to the Amazon Seller Central website at https://sell.amazon.com.
Look at the Pricing section. Choose Individual or Professional plan. Pick the one that matches your goals.
Decide if you want an Individual or Professional account. The Professional plan gives you more tools and lets you sell in more categories.
Click”Create New Account.”Type your email and password. You will get a One-Time Password (OTP) in your email. Enter it to check your account.
Fill in your personal details, bank info, and store details. Add your payment method and any certifications you have.
Finish identity check. Amazon will ask you to join a video call to confirm your information.
Learn about Amazon’s tax rules. Make sure you follow the tax laws for your country and business.
When you start amazon dropshipping , most sellers use Fulfillment by Merchant (FBM) for dropshipping. This means you or your supplier sends products straight to the customer. After you make your amazon selling account, you can list your products and start selling.
Tip: If you want to dropship with no money, start with the Individual plan. You can switch to Professional later when you sell more.
Picking a Country
Choosing the right country is important when you start dropshipping. Each country has its own market size, rules, and customer trends. You should focus on one country first. This helps you learn dropshipping and keeps things simple.
Here is a table showing the best countries for amazon dropshipping in 2025:
Country | Market Size / eCommerce Value | Consumer Preferences & Trends | Regulatory Environment & Seller Considerations |
|---|---|---|---|
United States | Largest market with 300+ million consumers | High responsiveness to trends, tech, sustainability; fast shipping; mobile payments (Apple Pay, Google Wallet) | Advanced logistics; strong demand; compliance with Amazon policies required |
United Kingdom | $161 billion eCommerce market by 2028 | Fashion, tech, fast delivery; lifestyle niches like wellness, minimalism, ethical fashion | GDPR compliance boosts trust and brand loyalty |
Australia | $69 billion eCommerce market in 2025 | Wellness, fitness, fashion; importance of efficient shipping due to geography | High purchasing power; logistics critical for 3-8 day delivery |
Canada | Over $100 billion eCommerce sales | Quality, eco-consciousness, localization (French support) | Bilingual market; open to international sellers |
Germany | Strong EU market with high purchasing power | Sustainable shopping; eco-products; efficiency focus | Central EU location offers logistical advantages |
Sweden | Tech-savvy, sustainability-driven market | Preference for minimal packaging, organic materials, smart functionality | High mobile commerce adoption |
France | Premium market focused on luxury, fashion, beauty | High-end positioning; localized experiences in French | Growing appetite for tech-savvy, elegant solutions |
Netherlands | Known for logistics excellence | Fashion, electronics, lifestyle goods; values efficiency, minimalism | Strategic location for fast shipping across Europe |
Pick a country with a big market and lots of buyers. The United States is the biggest market for amazon dropshipping. The United Kingdom, Canada, and Australia are also good choices. Each country has its own rules for taxes, branding, and customer service. You must follow these rules to avoid problems. If you want to dropship with no money, focus on one country to keep costs low and learn the basics.
Note: Always check the legal and tax rules for your country. This helps you avoid account problems and keeps your business safe.
Using Automation Tools
Automation tools make dropshipping much easier. These tools help you manage inventory, change prices, and handle orders without doing everything yourself. If you want to dropship with no money, automation tools save time and help you avoid mistakes.
Here is a table of top automation tools for amazon dropshipping in 2025:
| Tool Name | Key Features | Best For | Price Range |
|---|---|---|---|
| Jungle Scout | Product research, sales analytics, AI-driven predictive sales modeling | Data-driven dropshippers focusing on market intelligence | N/A |
| AutoDS | End-to-end automation: product listing, order fulfillment, dynamic repricing, smart order routing | Sellers wanting workflow efficiency and full automation | N/A |
| SellerActive | Multi-channel inventory & order management, integrated repricer, kitting & bundling | Multi-marketplace sellers needing repricing and inventory control | Starts ~$299/mo |
| Repricer.com | Fast automated repricing, advanced pricing rules, analytics | Sellers focused on winning the Buy Box | Starts ~$85/mo |
| Inventory Source | Full automation of product lifecycle, sync with 230+ suppliers, hands-off operation | Sellers seeking full dropship supplier automation | $99/mo to $199/mo |
| Linnworks | Enterprise-level commerce platform, powerful rules engine, scalable for large SKUs/orders | Large-scale sellers needing complex workflow automation | N/A |
You can use these tools to automate product listings, track inventory, and manage orders. Some tools, like Jungle Scout, help you find good products. Others, like AutoDS and Inventory Source, handle almost every part of dropshipping. If you want to dropship with no money, look for tools with free trials or low-cost plans.
Tip: Automation tools help you grow your business faster. They also cut down on mistakes and give you more time for product research and customer service.
If you want to know how to dropship on amazon, you need to learn how dropshipping works and use the right tools. Focus on one country, set up your seller account, and use automation to keep your business running well. This is the best way to start dropshipping on amazon and grow your business, even if you want to dropship with no money.
Finding Winning Products
Product Research
You need a clear strategy to find winning products for dropshipping. Start by looking for items with steady demand. Use Amazon Best Sellers and Google Trends to spot products that buyers want all year. Focus on products with moderate competition. This helps you avoid price wars and keeps your profit margins healthy. Choose smaller and lighter items to save on shipping costs. Always check if you can legally sell the product and avoid restricted categories. Calculate all costs, including Amazon fees and shipping, to make sure you get at least a 25% profit margin. Here is a quick checklist to help you find products to dropship:
Check demand using Amazon Best Sellers.
Avoid oversaturated markets.
Pick small, light items.
Watch for seasonal trends.
Make sure you can sell the item legally.
Aim for a 25-30% profit margin.
Tip: Use tools like Seller Assistant Extension or Quick View to quickly import winning products and check key metrics.
Market Trends
You should always track market trends to discover the best items to dropship. In 2025, some categories stand out as top choices for dropshipping. These include home improvement, pet products, jewelry, auto parts, drones, print on demand, books, electronics, furniture, candles, patio and garden, beauty care, phone accessories, and fitness gear. Health and personal care, home and kitchen, and sports and outdoors also show strong growth. When you follow these trends, you can import winning products that match what buyers want now. This approach helps you stay ahead of the competition and keeps your dropshipping business fresh.
Home Improvement
Pet Products
Jewelry & Accessories
Auto Parts & Accessories
Drones
Print On Demand
Books
Electronics
Furniture & Home Decor
Candles
Patio, Lawn & Garden
Beauty Care & Health
Phone Accessories
Fitness & Outdoor
Competitor Analysis
A smart dropshipping strategy includes watching your competitors. Use tools like AMZScout PRO AI Extension or Dropship.io to study their sales, product rank, and keywords. Look at their best-selling products and see how they present them. Read customer reviews to spot product strengths and weaknesses. Check their marketing on social media for ideas. This helps you find products to dropship that fill gaps in the market. You can also use Google Trends to see what is gaining popularity. By learning from your competitors, you can choose the best items to dropship and build a list of winning products that stand out.
Dropshipping Suppliers
Sourcing Products
You need good suppliers to do well in dropshipping. Start by using trusted websites that help you find a reliable dropshipping supplier. These sites give you many products and work with Amazon. They also help you automate your business. Here is a table with some top choices for 2025:
Platform | Key Features | Product Categories | Pros | Cons | Notes |
|---|---|---|---|---|---|
DailyFulfill | 59960+ products, Amazon integration, 24/7 support | Clothing, electronics | Easy to use, automation | Not as famous as others | Great for all dropshippers |
Inventory Source | Automated uploads, verified suppliers | Apparel, home goods | Strong automation | Learning curve | Good for busy sellers |
Spocket | US/EU suppliers, fast shipping, branded invoicing | Fashion, home decor | Fast shipping, quality | Higher prices | Ideal for premium brands |
Wholesale2B | US suppliers, direct Amazon integration | Apparel, pet supplies | Reliable shipping | US/Canada only | Best for North America |
SaleHoo | 8,000+ vetted suppliers, research tools | Various niches | Pre-vetted, affordable | No Shopify app | Useful for research |
Alibaba | 2.8M+ suppliers, bulk buying | Wide range | Huge selection, low prices | Long shipping times | Good for private label and bulk |
AutoDS | AI sourcing, order fulfillment, bestseller data | 500M+ products | AI tools, education | N/A | Great for sourcing and automation |
Always check for extra supplier fees and how long shipping takes. Some suppliers want you to buy a minimum amount. US suppliers can help you get faster shipping and avoid extra taxes.
Ensuring Quality
Quality control keeps your Amazon account safe and makes customers happy. You must check your product listings and make sure items match what you say. Pick suppliers who ship fast and have good products. Look at reviews, certificates, and what others say before you start. Talk to your supplier to fix problems quickly. Make clear rules for returns and refunds. Use directories like Alibaba or SaleHoo to find trusted suppliers. Watch product quality by reading reviews and talking to your supplier. Handle returns well to keep your ratings high.
Pick suppliers with good reviews and quick replies.
Set clear rules for payment, returns, and shipping.
Watch product quality and fix problems fast.
Note: Good quality control helps stop account suspension and keeps your dropshipping business strong.
Listing and Fulfillment
Creating Listings
When you put products on Amazon, you must follow the new rules for 2025. Start with a product title that is 60-80 characters long. Use title case and write numbers as digits, not words. Do not add extra keywords or ads in the title. Use Amazon Autocomplete and Brand Analytics to find real keywords. Add clear, high-quality pictures from many angles. These pictures help buyers know what they will get. This is important because you do not keep the items yourself. Write five short bullet points that show the main features. Make sure each bullet is easy to read and solves a problem. The product description should talk about the benefits and use keywords in a natural way. Set your price so it is fair and change it when needed. Ask for reviews by using Amazon’s tools. Good reviews help your products sell better.
Order Management
Order management is very important for dropshipping. You must track your stock all the time and fill orders quickly. Use order management tools like Ordoro, Spocket, or Auto DS. These tools work with Amazon and update your inventory for you. They help you avoid selling things that are out of stock. You can also handle orders from many suppliers in one place. This makes dropshipping easier and keeps your store running well. A good system sends tracking numbers and shipping info to customers. This helps build trust and gives buyers a better experience.
Platform | Key Features | Price Range |
|---|---|---|
Ordoro | Dropshipping, shipping, inventory automation | From $299/month |
Spocket | US/EU suppliers, automated order processing | $39.99–$299.99/mo |
Auto DS | Product sourcing, order fulfillment automation | $9.90–$32.90/mo |
Customer Service
Great customer service makes your dropshipping store stand out. Always answer questions fast and clearly. Work with suppliers who ship on time and give tracking numbers. Use software to send messages and updates to buyers. Watch your seller scores like order defect rate and late shipments. If there is a problem, fix it quickly by talking to your supplier or using a prep center. This keeps your name on the package and follows Amazon’s rules. When you focus on customer service, you protect your account and build a good reputation.
Tip: Give buyers more than they expect. Fast answers and clear updates make customers happy and bring more good reviews.
Dropshipping Costs
Amazon Fees
You should know about Amazon’s fees before you sell. These fees can change how much money you make. Here are the main costs you will see in 2025:
Referral fees: Amazon takes a part of each sale. The amount depends on what you sell.
Fulfillment fees: If you use Fulfillment by Amazon, you pay for size and weight. Small items under 2 pounds cost about $2.50 to $5.50 each. Big items can cost $8.00 to $40.00 each.
Storage fees: Amazon charges you every month to store your items. These fees get higher from October to December.
Inbound placement fees: For big items, these fees went down by about $0.58 each in 2025.
Other fees: You might pay for removing or throwing away items, or for having too few items in stock. These fees help Amazon save space and make you restock.
Incentives: Sometimes Amazon gives discounts for new products or for using special shipping programs.
Tip: You can save money by keeping track of your stock and using Amazon’s Partner Carrier Program.
Monthly Expenses
You have to pay more than just Amazon’s fees to run your business. You will have monthly costs. These costs change based on your supplier, shipping, and business tools.
Expense Category | Typical Monthly Cost Range | Notes |
|---|---|---|
E-commerce Platform Fees | $29 – $39 | Shopify Basic plan example |
Marketing | $50 – $600 | Ads and email marketing |
Customer Service | $4 – $8 per hour | If you hire help |
Payment Processing Fees | ~2.9% + $0.30 per transaction | PayPal, Stripe, etc. |
Apps/Tools | $10 – $50 | Automation and admin tools |
Legal/Tax Compliance | $20 – $50 | Tax software, accounting |
Supplier Fees | $27 – $97 | SaleHoo, Wholesale2B, etc. |
Shipping Costs | $2 – $10 per order | Depends on size and method |
Refunds & Returns Buffer | 5-10% of revenue | To cover losses |
AliExpress Standard shipping is usually less than $5 but takes more time.
Profit Margins
Profit margin means how much money you keep after paying costs. In 2025, most businesses keep between 10% and 30%. If you keep 20% or more, you are doing well. Many Amazon sellers have lower margins because Amazon’s fees are high. You should try to keep at least 15% to make sure you earn money. Always watch your costs, like taxes and ads. This helps you set good prices and keep your business strong.
Note: You get higher profit margins by setting smart prices, getting good deals from suppliers, and watching your costs closely.
Pros, Cons, and Challenges
Advantages
Amazon dropshipping in 2025 has many good points:
You only need a little money to begin. This helps new sellers start.
You do not keep products at home or in a warehouse. You do not lose money if things do not sell.
You can work from any place with internet. You do not need a store or office.
You can add more products as you learn what sells best.
Amazon has lots of shoppers. You can reach many people without paying for ads.
You can try new products fast. You do not have to buy a lot before you know if they sell.
You can make your own brand on Amazon, which is the biggest online store.
Note: These good points make Amazon dropshipping easy and safe for people who want to sell online.
Risks
You need to know about the risks before you begin. Here are some problems you might have:
You cannot control how fast things ship or how good they are. You must trust your supplier.
You might not make much money because there is a lot of competition and Amazon charges fees.
You may pay extra for boxes, returns, and ads. These costs can add up.
Many sellers want the same buyers. It can be hard to get noticed.
Customer service is hard if your supplier gives wrong or late info.
If you break Amazon’s rules, you can get in trouble or lose your account.
It is hard to get loyal customers if you cannot change your products much.
Your account can be closed if you break rules or use bad suppliers.
Fake orders and payment problems can make you lose money.
Scams and bad advice from fake experts can lead you the wrong way.
Tip: Always follow Amazon’s rules and pick good suppliers to lower these risks.
Common Mistakes
Many new sellers make mistakes that hurt their business. One big mistake is breaking Amazon’s rules by buying from other stores like Walmart or Home Depot. Amazon only lets you dropship if you are the seller of record, your name is on all papers, and you handle all returns. If you do not follow these rules, your account can be closed.
Here is a table with other common mistakes and how to avoid them:
Common Mistake | Explanation | How to Avoid It |
|---|---|---|
Choosing the Wrong Suppliers | Bad suppliers are slow and send poor products. | Read reviews, test shipping, and order samples before you sell. |
Poor Inventory Management | Not watching stock means you run out or have too much. | Use software to track and reorder products automatically. |
Underestimating Shipping Costs | Forgetting shipping costs means you make less money. | Add all shipping costs to your prices and check different shipping companies for the best price. |
Poor Customer Service | Slow answers and bad returns lower your ratings and sales. | Reply fast, fix problems quickly, and make returns easy for buyers. |
Remember: Plan well and follow Amazon’s rules to avoid these mistakes.
If you want to start an amazon dropshipping business in 2025, you need a good plan.By focusing on building a strong brand, optimizing your listings, and understanding the ins and outs of Amazon’s policies, you’ll be well on your way to standing out in a competitive market.
At DailyFulfill, we’re committed to helping you navigate this complex landscape while protecting your brand and boosting your profits. If you have other questions about amazon dropshipping, contact us for more help.
DailyFulfill is your Best Dropshipping Partner
- 24/7 customer support
- 100% quality guarantee
- 1400+ professional clients
- 8400 m² fulfillment center
- 59960+ Sku of products
- 12+ dropshipping experience
