The dropshipping playbook is getting rewritten in 2025. This is a result of the ever-changing global marketplace, consumer behaviors, and technological advancements. If you don’t stay updated and on trend, your business is going to be left behind. What’s new? What should you do with your strategies?
Find out the top trends that are shaping the industry this year. At the same time, look out for things to avoid and anticipate what to expect in the future. Use these insights to prepare your business.
What’s Working in Dropshipping in 2025
Explore these current trends and identify your areas of improvement:
AI and Automation
AI and automated dropshipping are huge these days. For repetitive tasks that usually take hours to do, there are now different AI tools that can do them for you. Here’s how they’re being used nowadays:
You can read more about how to use AI and automation for dropshipping here.
Niche Products Domination
Item-wise, niche dropshipping products will still dominate the market this year. If you’re thinking about trying a general store, don’t—they’re losing their effectiveness. As I’ve often said, your niche determines whether your business will succeed.
High-ticket items are the way to go, especially those with high profit margin potential. You can easily stand out in the market by catering to specific interests and needs. Here are some niches you can consider:
If you want more ideas for a niche, you can check our list here.
Sustainability
The consumers’ need for more sustainable brands is more prominent today. For online business owners like dropshippers, those who practice sustainability can have a competitive edge in their market. The “green” market cares the most about two things:
The consumers’ need for more sustainable brands is more prominent today. For online business owners like dropshippers, those who practice sustainability can have a competitive edge in their market. The “green” market cares the most about two things:
1. Eco-Friendly Packaging
According to Shorr, about 54% of consumers are deliberately buying products with sustainable packaging. They’re ditching the usual bubble wrap and looking for more environmentally friendly alternatives, like those made with recyclable materials.
However, since you’re not in charge of packaging and shipping in dropshipping, you can’t exactly decide for your store. What you can do instead is ask your suppliers. When you’re applying for your suppliers, ask them about their approach to sustainability, specifically the packaging. You can ask them these:
2. Sustainable Products
Consumers are showing more interest in “green” products. Based on studies, millennials and Gen Z are willing to pay more for sustainable products. These two groups of consumers make up most of the e-commerce market. If you’re still looking for a niche or new products, it’s time to consider sustainable products. Here are some options:
Virtual Reality (VR) and Augmented Reality (AR)
Virtual reality (VR) and augmented reality (AR) are now in the industry. Consumers are using them to interact with products virtually, allowing them to see how they can use them in their lives. In 2024, retailers using AR have experienced a 40% increase in conversion rates. In 2025, this trend will continue to grow and be adopted by more online stores. Here’s how you can use these technologies in a dropshipping store:
Mobile Commerce
According to OuterBox, mobile traffic makes up over 70% of all e-commerce traffic. It’s a common thing now for shoppers to buy using their mobile devices. It’s easier, faster, and more convenient. Plus, most digital wallets used for payments are available on mobile devices.
If your store is still not optimized for mobile commerce, you’ll be left behind. Make sure your store works properly on mobile devices. It should load fast, the navigation is easy to see and use, and the format is designed for a mobile screen.
What to Avoid This 2025
Despite the growing trends in dropshipping, there are some things you don’t want to get yourself into. Below are the top “don’ts” this year.
Trending/Viral Products
These are often oversaturated products with tight competition in the market and low profit margins. As I always strongly recommend, avoid this in 2025 as well. For a profitable business this year, focus on niche products—more high-quality and high-value products.
Here are some tips to help you find unique products:
Electronics Niche
Although electronics are high-value items, the niche is too risky due to high return rates. Many things can go wrong, especially during the shipment. They’re fragile and require more handling.
Plus, if the customers are dissatisfied with the product in person, you’ll only get return items and refunds. If there’s something faulty with it, they will ask for repair support and warranty, which can be too much to deal with.
Overspending on Paid Ads
Ads indeed drive traffic, but spending excessively on them can harm your profitability. The costs to run them are increasing this 2025. Reports show that the cost per lead rose by about 25% from 2023 to 2024, and it’s expected to rise further in 2025. This means that spending too much on paid advertising can affect your store’s cash flow and profitability.
Here are some tips to help you manage your ad spending:
Not Responding to Feedback
A customer’s feedback directly affects the reputation of any business. It indicates the trust and satisfaction a shopper has with the store. Dropshippers who continue to ignore reviews, especially bad ones, are going to lose customers to competitors.
Consumers are now more unforgiving, so they’d prefer brands that actively listen and engage with them. In fact, according to reports, 89% of consumers expect businesses to respond to their online reviews. Plus, you can use feedback to improve your store. Here’s how:
What’s Next for Dropshipping: What to Expect?
You can expect more trends and advancements this year. To stay ahead in the market, here are things to look out for in the future:
Economic Shifts: Higher Increase of Tariffs
Ever since Trump’s re-election, the tariffs on imports have increased. Trump has also threatened to raise these tariffs further, especially on products imported from China. To stay profitable, you need to be ready when or even before it happens.
Check your suppliers if you’re working with one from overseas, especially China. Start diversifying your supplier list and add more domestic suppliers—U.S. suppliers. This way, you can avoid higher tariffs—and higher retail prices—in the future.
Social Commerce
Social media platforms are becoming new sales channels in e-commerce. With the growing popularity of social commerce, it’s now possible to buy directly from a social media page or store. Shoppers can now buy within apps like TikTok and Instagram. Since there are more social media users today than ever before, social commerce will become more dominant this year.
Here’s how you can utilize it for your dropshipping business:
Blockchain Technology
Dropshipping is about to advance further with blockchain technology. It’s a tool that can make dropshipping transactions more transparent and secure. You can utilize it to upgrade how you do your business.
Here are the potential applications of blockchain in dropshipping:
Key Takeaways
Make sure your dropshipping store is updated in terms of AI, automation, virtual reality, and mobile commerce. At the same time, make sure you have niche products to ensure profitability this year. Plus, to stay ahead of your competition, look out for economic shifts, social commerce, and the adaptation of blockchain into dropshipping.
However, despite all these positive things, make sure to avoid trendy products and the electronics niche. Stop overspending on paid ads, too, and make sure to respond to customer feedback.
Tired of wasting time chasing trends that don’t work? My training gives you the step-by-step plan to build a profitable, future-proof dropshipping store—join me today!
