What I Learned About Choosing Products to Dropship

When you’re first setting up a side hustle, especially an online business side hustle, the initial excitement is powerful. But once you’re past the setup phase, you run into the first real challenge: what, exactly, are you going to sell? Even with a clear niche, you could be looking at hundreds of products, and it’s easy to get overwhelmed.

The key isn't just to find products to fill your online store; it’s to find products that will actually sell. A good rule of thumb is to let your target audience be your guide. You’re trying to solve a problem for them, so they should be the ones who proverbially decide what you list. This means you need to get good at listening—scrolling through customer feedback, watching online trends, and paying attention to what people are talking about. Your goal is to find what people are already looking for.

The Makings of a Great Dropshipping Product

Can you technically sell anything through dropshipping? Sure. But some products are simply better suited for this model. Choosing wisely from the start saves you a world of headaches down the road. This is essential for a successful .

Here are a few characteristics of products that just seem to work better:

The sweet spot is generally between $15 and $200. Products under $15 often have such thin profit margins that you need massive volume to make it worthwhile. On the other hand, items over $200 can be a tough sell, especially when you’re building trust as a new store.
Seasonal products can be great for established stores, but for a new , they can kill your momentum. You want something people are looking to buy in March as well as in October.
This is a big one. Shipping costs can eat into your profits faster than anything else. A product that weighs less than four pounds and can fit into a shoebox is ideal. This is one of the secrets to running profitable, .
You’re looking for products in niches that aren’t already saturated by major brands. As a small business, trying to compete with Apple or Samsung by selling a different smartphone is a losing battle from the start.

The Practical Details People Often Forget

Beyond those core characteristics, a few logistical details can make or break your .

First, understand ePacket shipping limits if you’re sourcing from overseas. The general limit is 4.4 pounds (or 2 kg), and there are specific size dimensions. Staying within these limits helps you avoid surprise shipping fees that can wipe out your margin.

Next, think about your profit potential. As mentioned, items under $15 are tough. But you also have to factor in marketing costs. A higher-priced item might seem appealing, but if it costs you a fortune in ads to sell one unit, it might not be worth it.

Finally, your product is only as good as its supplier. You could find a wildly popular item that solves a real problem, but if you can’t find a reliable supplier for it, it’s a non-starter. A good supplier ensures product quality and can even offer better packaging, reducing the chance of damaged goods. This is a critical step in for long-term success.

The Secret to a Scalable Side Hustle: Repeat Business

One of the most overlooked factors is a product’s potential for repeat customers. A great product is one that brings people back to your store. This creates a more because you're not constantly chasing new customers.

Think about products that are consumable or require refills. For example, if you sell a unique Vitamin D3 supplement, customers will need to reorder when they run out. Or consider a pocket photo printer. You sell the printer once, but the customer will need to come back to you for proprietary ink and photo paper for years to come. That repeat business is gold.

My Biggest Mistakes (So You Can Avoid Them)

You will make mistakes on this journey. It’s part of the process. But you can save a lot of time and money by learning from the blunders others have made. Here are a few of mine.

Mistake #1: Jumping into a Hyper-Competitive Niche

Early on, I thought Bluetooth speakers were a brilliant idea. I knew the product, owned several myself, and saw them everywhere online. The search volume was huge, and it seemed like a hot market. I figured I could just carve out a tiny piece of the pie for myself.

It was a terrible idea. I completely failed to account for the brutal price wars. I was a new seller trying to compete with established stores that could afford to operate on razor-thin margins. They could survive a race to the bottom, but my fledgling business couldn’t. The pressure was too much, and I had to fold.

Mistake #2: The Temptation of Knock-Offs

You’ll eventually come across suppliers selling fakes and imitations. There’s a market for them, no doubt. But my advice, based on what I’ve seen happen to others, is to stay far away. Selling counterfeit goods can land you in serious legal trouble. A shady supplier can disappear overnight, but as the owner of a new sole proprietorship, you’re the one left facing the consequences. If a deal seems too good to be true, it is.

Mistake #3: Selling Big-Name Designer Products

It’s tempting to sell products from major brands because people are already searching for them. You might think the high price tag means a higher markup for you. The reality is the exact opposite.

Profit margins on designer goods are notoriously thin. Big retail chains can survive on low returns because they have deep pockets and sell in massive volume. As a dropshipper just starting out, you don’t have that luxury. One or two expensive returns could put your business in jeopardy. It’s a risk not worth taking when you’re trying to build a sustainable .