The Ultimate Guide to Start Dropshipping Business in Europe

Ecommerce is booming globally with larger spending in online shopping. Launching an online business has also become a necessary path for more and more brands. The popularity of dropshipping as an online business model stands out. This online business model with no brick-and-mortar stores and no inventory has brought in significant income for many even without any business experience.

The European e-commerce market is more attractive than ever, thanks to consumers' high purchasing power, widespread online shopping habits, and a diverse population. Dropshipping business in Europe can be especially profitable when focusing on high-quality, customized products tailored to specific niche markets.

If you are interested and want to start your dropshipping business in Europe, you've come to the right place! Look no further, check out this ultimate guide and you can grab everything you need to know about the Europe dropshipping market.

 

What is Dropshipping?

 

Dropshipping typically refers to a retail fulfillment model for an online business. It allows retailers to sell products online without stocking them, and work with a third-party supplier to handle the rest and ship the products directly to the end customers. No need to handle the products makes it ideal for new entrepreneurs with limited starting funds--since dropshipping can free up the retailers' time and money that can be spent on store advertising and marketing.

It is simple to start and requires no formal training or technical skills. Select an appropriate niche based on market research and analysis. Then choose a platform to set up an online store and find reliable suppliers for your niche. This industry has evolved since its rise to become the top choice for many starting their own business. You can find many tools and resources to help you start or further improve your dropshipping business.

 

Is Dropshipping Profitable in Europe?

 

1. Larger Share of Online shopping

 

The pandemic reshaped global customers' shopping habits to a certain extent. Besides, new online marketplaces like SHEIN and TEMU bring brand-new shopping experiences at low prices. Europe has also witnessed rapid growth in the e-commerce market, with more people shopping online than ever before. With a 66% increase between 2019 and 2021, ecommerce market sales in Europe are expected to reach US$745 billion in sales by the end of 2024. 

Judging from recent data, such growth momentum has not ceased. According to Foxintelligence, ecommerce of goods is growing at +8% in West Europe(UK, DE, FR, IT, ES, NL, BE, AT, IE) in H1 2024. The frequency and level of online spending in Germany and the UK are notable–the average online spend per e-shopper in Germany has reached 1125€, and the average number of orders per e-shopper in the UK has reached 22.7. The surprising online shopping trend opens up significant opportunities for dropshippers to reach large customer bases.

 

2. Diverse Niche Selections

 

Europe, though geographically compact, stands as one of the world's most significant economic and cultural hubs. Its rich tapestry of cultures offers dropshippers the unique advantage of selecting specific niches from a diverse range of options, allowing them to tailor their marketing strategies effectively.

What do Europeans buy most online? According to the European Central Database (ECDB), Fashion dominates with 21.6% of market revenue. When considering sub-categories, Consumer Electronics (14%) and Apparel (12.7%) hold prominent positions. In 2023, clothing and footwear emerged as the most popular product categories for cross-border e-commerce in Europe, with 60% of respondents to a large-scale survey reporting that they frequently purchase these items from international online stores.

Other top sub-categories for online shopping in Europe include Media, Furniture, Food, Personal Care, and Tools & Construction Supplies, with market shares ranging from 4.5% to 6.3%.

 

 

3. High Demand for Premium Products

 

Compared with general products, premium niche products are always more attractive for European customers. Many European countries have a high disposable income, allowing people to spend more on quality or high-end products, which is particularly true in Western and Northern Europe.

European consumers often prioritize quality over quantity. They value craftsmanship, durability, brand loyalty and perceived value, which drives demand for premium products. In main marketplaces like Germany, France, and Italy, people appreciate brands that align with their values. And this is why the popularity of brands emphasizing eco-friendly has climbed in recent years.

 

4. Flexible Trade Policies

 

The favorable trade policies in Europe significantly ease the expansion of dropshipping businesses across multiple countries. The European Union (EU) operates as a single market and provides advantageous trade agreements, enabling dropshippers to sell across member states with minimal barriers. Additionally, Europe's efficient and well-connected logistics infrastructure ensures fast shipping and reliable delivery times--which will undoubtedly increase customer satisfaction. With these advantages, Europe offers ideal conditions for dropshipping stores to reach a broad customer base and thrive in a competitive market.

 

5 Tips for Starting a Dropshipping Store in Europe

 

1. Stick to One Niche or Product

 

In the almost saturated dropshipping market, especially in a diverse marketplace like Europe, focusing on a single niche enhances the ability to target specific customer needs and stand out in a particular area. Providing unique and personalized products is another way to differentiate from existing products. It is also highly recommended to add some creativity customize the products and improve the quality to build a stable customer base. The following niches may give you more inspiration:

 

• Apparel & Accessories

• Mom and Baby Supplies

• Makeup Beauty Supplies

• Home Decor

• Outdoor Gear

 

2. Work with a Reliable EU Dropshipping Supplier

 

To succeed in dropshipping in Europe, efficient shipping and delivery are crucial.  Partnering with local suppliers can significantly reduce delivery times, ensuring a better customer experience. However, if you require a broader range of products and cost-effective customization options, SourcinBox is an excellent alternative. It helps dropshippers source high-quality products directly from Chinese manufacturers and ship them to the end customers in EU countries, balancing affordability with efficiency while meeting your business needs

 

3. Brand Your Dropshipping Business

 

Shoppers in Europe are more selective of what lies behind the products, opting for brands they trust and align with their values. Today, brands are going beyond the value of the product, to the value of a brand. Branding your dropshipping business can differentiate you from competitors, and enhance customer loyalty. A well-established brand also allows chances for premium pricing and long-term development in the competitive European landscape.

 

4. Provide Local Payment Methods

 

Safe and smooth payments in your store can create a better shopping experience for your customers and increase the turnover rate accordingly. In addition to the most widely used international payment gateways such as PayPal and credit cards, prioritize preferred local payment methods. Some European countries are more familiar with their own 'national' payment systems for online purchasing. Here are some local payment methods for most European countries for reference, you could add appropriate ones for the target audience:

 

• Germany: SOFORT / Giropay

• France: Cartes Bancaires

• Norway: VIPPS

• Spain: Bizum

• Denmark: MobilePay / Klarna

• The Netherlands: iDEAL

 

5. Register for the Import One-Stop Shop (IOSS)

 

For dropshippers sourcing products from non-EU suppliers and selling them to EU customers, understanding VAT obligations is crucial. The European Union has introduced the One-Stop Shop (OSS) scheme to simplify VAT compliance since July 2021. You must pay VAT on all imported products, and by registering for the Import One-Stop Shop (IOSS), you can efficiently declare and pay EU import VAT on orders valued at €150 or less. This eliminates the need to register for VAT in each EU country where sales are made. Instead, you can report and pay VAT for all the EU sales through a single online portal in one member state.

 

7 Best Suppliers for Dropshipping in Europe

 

It's crucial to find reliable suppliers who provide the products you need at reasonable prices. When starting a dropshipping business in Europe, it would be great if you could find a supplier that offers a European warehouse to ensure fast delivery. While to save more profits, some dropshippers choose to source from overseas suppliers at lower prices, even though this will take more time in shipping. Regardless of your choice, the ultimate goal is to reinforce brand value and make more profits.

 

We've listed 7 best dropshipping suppliers in Europe in the following content. Hope it can help you choose an appropriate partner according to your business needs and actual budget.

 

1. SourcinBox

 

SourcinBox is a professional sourcing agent who has years of experience in dropshipping fulfillment services. It has long been working with many Chinese manufacturers and provides premium products for dropshippers in Germany, the United Kingdom, and many other countries across the world.

 

Features:

 

• Fast Processing & Shipping: SourcinBox partners with multiple well-known shipping companies to provide fast and reliable global delivery. Besides, its warehouse runs all year round, ensuring efficient parcel handling and timely shipments.

• Real-time Order Tracking: As soon as your orders are shipped, SourcinBox provides real-time tracking updates, syncing directly with your store and automatically notifying customers via email.

• Competitive Pricing: SourcinBox sources directly from manufacturers, offering wholesale pricing on large amounts of products. Shipping costs are separate from product prices, ensuring transparent and dependable rates.

• Professional 1-on-1 Customer Service: Every signed-up customer receives personalized support from a dedicated customer manager, ready to assist with any issues or queries.

• Private Label & Customization: SourcinBox also provides customizable options for branded dropshipping, including packaging, logos, labels, and inserts tailored to your business needs.

 

Pricing:

 

No monthly fee, sourcing service fee, or inventory fee is required to work with SourcinBox.

 

2. BigBuy

 

 

BigBuy is well-known as a genuine supplier focusing on dropshipping and wholesale, which is based in Europe. With tons of product categories– including top brands, it sells to dropshippers, traditional stores, wholesalers, and distributors.

 

Features:

 

• Multiple Platform Integration: Whether you are selling on an online marketplace or through your own dropshipping store powered by some popular ecommerce platforms, BigBuy allows you to easily manage your order from just one platform.

• Inclusive Language Translation Solution: BigBuy offers product catalogs in 24 European languages, with native translations, which eases language burdens for dropshippers significantly.

• Smart Pricing Strategy: BigBuy will configure and define the best pricing strategy per market or channel for dropshippers. You can also set safety rules to ensure a minimum stipulated profit.

• Dropshipping 360° Shop: It is a comprehensive solution for beginners. Since it provides a store designed and optimized to generate sales and is fully synchronized with BigBuy.

 

Pricing:

 

To start dropshipping with BigBuy, you have to pay two types of fees – registration fee and monthly fee:

Marketplace- Registration fee of €89.00, a monthly fee of €119.00

Ecommerce- Registration fee of €89.00, a monthly fee of €89.00

B2B- Registration fee of €89.00, no monthly fee

 

3. Syncee

 

 

Syncee is an excellent B2B platform for European dropshippers to find millions of quality products. You can easily find local dropshipping partners that provide fast delivery for your dropshipping store.

Features:

 

• Multiple Platform Integrations: Syncee has integrated with major ecommerce platforms, including Shopify, BigCommerce, Ecwid, WooCommerce, and Wix. You can seamlessly connect your online store with Syncee for reliable suppliers and easily import products.

• Direct Supplier Connections: Syncee allows you to connect directly with verified suppliers, ensuring product quality and meeting your requirements.

• Supplier Filtering: Syncee enables dropshippers to filter on warehouse location, language, product category, and more when searching for suppliers. This means you can find appropriate suppliers for your online business more accurately. 

 

Pricing: 

Syncee provides a free starter plan with limited services. If you want to experience more, you can choose the basic plan charging $29 per month, or the pro one(also the most popular one) charging $49 per month.

 

4. vidaXL(dropshippingXL)

 

 

Beginning as a marketplace for home and garden supplies, vidaXL has now turned into a premium supplier option for European dropshippers. If you focus on home and garden niches, it can be your best dropshipping partner.

Features:

 

• Wide Product Range: Besides home and garden supplies, it provides 20 categories and over 100 subcategories of products at reasonable prices, such as pet supplies and sporting goods.

• Fast Global Shipping: With a well-established logistics system, vidaXL ensures fast and reliable shipping to customers worldwide. Additionally, it has numerous international warehouses, such as in the Netherlands and Poland, which can effectively shorten shipping time.

• Transparent Pricing Rules: If you work with dropshippingXL, it will fulfill your dropshipping orders with free shipping fees from nearby warehouses. Also, the inventory costs are never billed in advance.

 

Pricing: 

Only one pricing plan which costs €30/per month.

 

5. Spocket

 

 

Spocket provides rich kinds of products from US/EU suppliers to dropshippers, which makes it an excellent option for dropshipping in Europe. The comprehensive ecommerce platform integrations make it appropriate for many dropshipping stores.

Features:

 

• Easy-to-use but Advanced APP: After connecting you can simply import products from Spocket to your dropshipping store within just several clicks. And the app automatically adjusts inventory levels, removing the risk of accepting orders for out-of-stock products.

• Search Filter: Spocket allows you to search suppliers based on supplier location or where the products are shipping from. For European dropshippers, it helps limit suppliers to specific countries or regions for faster shipping.

• Branded Invoice: For those selling under brands, Spocket enables you to customize invoices with a unique brand identity to increase brand impression on customers.

 

Pricing:

 

Spocket requires a monthly fee to import Spocket products with 4 different pricing plans. The most popular plan is $99.99/month which offers 10000 unique products, 10000 premium products, and unlimited orders. You can experience each plan with a free 14-day trial.

 

6. Printful

 

 

For dropshippers who stick to custom printing, it's worth checking out Printful, a leading print-on-demand supplier. Printful prints and ships products directly to your customers on demand, all under your brand.

Features:

• European Warehouses: Printful has European warehouses in Barcelona, Spain, and Riga. You can experience Printful's Warehousing & Fulfillment service to store inventory and save delivery time.

• Large Product Collection: Large Product Collection: Printful offers unique products in numerous categories allowing customized prints. You can optimize its resources easily to customize products with your creativity.

• Branding Services: Printful provides branding options for dropshippers, including inserts, packaging, and invoices. It can help realize a customized shopping experience for your customers all under your brand.

 

Pricing:

 

There’s no monthly fee or membership fee for using Printful. When a product is sold in your store, it will charge for order fulfillment and shipping. However, accessing additional features comes with extra fees.

 

7. BrandsGateway

 

 

Brandsgateway is the largest online luxury fashion marketplace based in Europe. If you want to start a luxury fashion online store, Brandsgateway can always be your best supplier choice! 

Features:

 

• Reliable Luxury Brands Source: You can easily find fashion items from over 100 luxury well-known brands, including Dolce & Gabbana, Gucci, Swarovski, and Prada.

• Fast Global Shipping: With warehouses in the US, Germany, Sweden, and several locations in Italy, Brandsgateway promises to deliver products to over 170 countries globally in seven days.

• Multiple Platform Integration: Brandsgateway works with 5 eCommerce platforms, allowing you to effortlessly connect your Shopify, WooCommerce, Wix, BigCommerce, or, Shift4Shop store.

 

Pricing: 

 

€147 / month for annual plan and  €279 / month for monthly plan.

 

Start Dropshipping EU with SourcinBox

 

Ecommerce is developing in Europe at a healthy pace year over year. Whether you live in the EU or non-EU region, starting a dropshipping business in Europe is a wonderful choice to win profits. Work with SourcinBox for all-around fulfillment services, from quality product sourcing, efficient global shipping, and inventory management to product customization. Sign up for free and grow your dropshipping business in Europe now!