---
title: "What is dropshipping?"
description: "What is dropshipping? Selling goods a supplier ships direct to the buyer, so you hold no stock. See a plain definition and an example order flow."
url: https://assistbpo.com/glossary/dropshipping/
updated: 2026-09-20
publisher: AssistBPO (SS Support Network LLC)
language: en-US
---

# What is dropshipping?

Glossary

What is dropshipping? Dropshipping is a retail model where the store sells products it does not stock. When an order comes in, the store forwards it to a supplier or manufacturer who ships directly to the customer, and the store keeps the difference between the retail price and the supplier's price. The store still owns the customer relationship, support and returns.

Updated September 2026 · Reviewed by [Nimra Khalid](https://assistbpo.com/team/nimra-khalid/)

## How does dropshipping work?

1. List supplier products in the store with your own titles, images and pricing that covers supplier cost, fees and ads.
2. Forward each paid order to the supplier, by app or by manual entry, and pay the supplier's invoice.
3. Collect the supplier's tracking number and add it to the order so the customer gets a shipping notice.
4. Watch supplier stock and lead times daily; pause listings when items go out of stock.
5. Handle support, returns and disputes yourself, then recover costs from the supplier under your agreement.

## A worked example

A two-person pet accessories store in Canada sold through Shopify with three suppliers, two overseas and one in Ontario. Orders were being forwarded in the evening, so a customer who ordered Monday morning saw no movement until Wednesday. A dropshipping assistant took over the morning routine: forward all paid orders by 10am Eastern, chase any supplier that had not sent tracking within 48 hours, update the order with tracking, and check three supplier stock feeds for items running low. Delivery complaints fell, and the owners stopped selling items the supplier no longer had.

## Where does dropshipping show up in your tools?

Dropshipping stores typically run on Shopify or WooCommerce with supplier apps such as DSers, Spocket or Zendrop pushing orders to AliExpress or domestic suppliers. Tracking and stock sync can be automated with Zapier or Make, with a person checking the exceptions.

## Common mistakes

- Advertising items without checking supplier stock and lead time, then canceling orders after the money is taken.
- Letting customers see the supplier's packaging and pricing because nobody set up blind shipping.
- Treating support as the supplier's job, when the customer only knows your store name.

## Why does dropshipping matter?

Dropshipping removes inventory risk but not responsibility. The stores that last are the ones that forward orders fast, tell customers the truth about shipping times, and manage suppliers like partners with data, because every late parcel is charged to your brand.

## How does AssistBPO handle dropshipping?

Our dropshipping assistants run the daily forward, track and update loop inside your store and supplier accounts, with a stock check that pauses listings before you oversell. Payments stay in your checkout and supplier portals; we never move money outside them. Supplier performance, late shipments and out-of-stock items are logged and reviewed with you weekly.

[Supplier orders placed, tracking sent](https://assistbpo.com/services/dropshipping-operations/)[Get a staffing plan](https://assistbpo.com/get-a-staffing-plan/)

## Related terms

- [Order processing](https://assistbpo.com/glossary/order-processing/)
- [WISMO](https://assistbpo.com/glossary/wismo/)
- [Returns](https://assistbpo.com/glossary/returns/)
- [Vendor management](https://assistbpo.com/glossary/vendor-management/)
- [Zapier](https://assistbpo.com/glossary/zapier/)

## Where it is used

- [Supplier orders placed, tracking sent](https://assistbpo.com/services/dropshipping-operations/)

## Next in the A to Z

- [Eligibility verification](https://assistbpo.com/glossary/eligibility-verification/)
- [Email marketing](https://assistbpo.com/glossary/email-marketing/)
- [Employer of record](https://assistbpo.com/glossary/employer-of-record/)
- [End-of-day report](https://assistbpo.com/glossary/end-of-day-report/)

[All 148 terms, A to Z](https://assistbpo.com/glossary/)

Next step

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[Get a staffing plan](https://assistbpo.com/get-a-staffing-plan/) [Book a 20-minute call](https://assistbpo.com/book-a-call/) Or call [+1-657-777-0006](tel:+16577770006) during US, UK or Australian business hours, or [hear our demo receptionist](https://assistbpo.com/demo-line/).

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---

Source: https://assistbpo.com/glossary/dropshipping/ · Contact: https://assistbpo.com/contact/ · Full site map for agents: https://assistbpo.com/llms.txt
