Dropshipping 101: How To Find The Best Niches and Products
If 2020 has taught us anything so far, it’s that e-commerce is where the world is heading. As people turn to their computers for remote work and remote shopping, for online entrepreneurs, the importance of finding the best dropshipping niches and products in 2020 has never been more important.
At PageFly, we want to help you lay the first brick of your Shopify dropshipping store. In this, chapter 2 of our Dropshipping 101 series, we’ll show you how to pin down the ideal dropshipping niches and products within them that are rustling up an internet storm.
Read on to discover the 10 top dropshipping niches and 40 top dropshipping niches and products of 2020 – 2021!
I. Best Dropshipping Niches and Products: The Checklist
Forget what the Facebook ads tell you about getting rich in one month with dropshipping. Ask any successful dropshipper and they will tell you that the foundation of success is product and market research.
Every product you consider for your store has to tick every box in the successful dropshippers’ checklist: is there a market for it? How does it help the customer? Can it be sold repeatedly?
Shopify is a fantastic platform for getting dropshipping business off the ground, but it requires product research on your part, as well as a small understanding in the psychological tiers of consumer demand. The lack of preparation amongst many dropshippers is pretty much the biggest contributing factor to dropshipping failure.
So, here’s the only checklist you need for selecting the best dropshipping niches and products for your store:
1.1. Is it a trending or niche product?
For some, getting onboard an emerging trend early is the absolute holy grail of dropshipping. Successful dropshippers have made a ton of money off the back of identifying a trend in its baby stages and setting up an entire store around that single product.
On the flip side, you may find that the best dropshipping products are those that are hardly on the map, yet still have a decent underground following that you can tap into. If you think you understand the market for products like pet falcon accessories and engraved yogurt spoons, take a punt on that – your competition will be minimal.
1.2. Is it a business or hobbyist product?
Targeting products for businesses is a great way to sell in bulk. When a business needs something, it typically needs a lot of it. Market well and there’s a chance that they’ll choose your store as the supplier of their 10,000 new rubber stampers.
Another option is to focus on the individual hobbyist – the kind of person who spends money on the hobby that occupies their leisure time. Tapping into this market and making a name for yourself may not get you bulk orders, but it will get you a wide customer base and a devoted following.
1.3. Is it a repeatable product?
Of the many golden rules of ecommerce, one of the most prominent is never ignore your repeat customers. It’s a rule that many forget; returning customers may only make up 8% of your customer base, but they contribute over 40% to the revenue of your store.
Therefore, most lucrative dropshipping store products are those that are repeatable. What do pet foods, coffee pods and water tank filters have in common? They all regularly run out, meaning that if your store stocks them and you offer great customer service, you could have a source of recurring revenue for the future.
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1.4. What’s the import to order ratio?
Basic supply and demand principles dictate that you want to sell the most popular dropshipping products with the lowest competition. Obviously, right? But how can you tell if a certain product has a good or bad ratio of supply to demand?
Oberlo and other dropshipping apps have a counter for every product in their library that reveals the products ‘imports’ and orders’. That’s how many times the product has been ‘imported’ by another dropshipping store and how many times it’s been ‘ordered’ by a customer. Go for the ones with low imports and high orders – simple.
1.5. Is it bulky?
In dropshipping, smaller and lighter is nearly always better. Bigger products tend to be more expensive and, traditionally, new prospects tend to stick to established companies when parting with larger sums of money.
Smaller packages also save you and your customers money on shipping costs, which you can invest on expanding your stock or bolstering your advertising.
1.6. Does it have good marketing potential?
Most of the job of being a dropshipper is figuring out how to market your product. You can help yourself immeasurably here by choosing dropshipping niches and products that are easy to market.
Say you’re starting a store that dropships phone accessories. Great! You’ll have products that are easy and cheap to ship out to online influencers, so that they can pass on the message of your store to their followers.
If you’re selling large-scale furniture, however, you’ll need to think of another way to market it. Maybe there are online communities crying out for products like yours. Remember to think a couple of steps ahead when you’re trying to find the perfect dropshipping niche.
II. Top 10 Best-Selling Dropshipping Niches and 40 Best-Selling Dropshipping Products In 2020
Here we’ve listed the 10 best dropshipping niches that are making serious money in 2020. Each niche contains 4 of the most exciting dropshipping products to get involved with this year.
For some more great information on 2020’s top dropshipping niches, check out this video from dropshipping maestros, Oberlo: https://www.youtube.com/watch?v=CErSLdMW2rI
And remember, once you’ve found your perfect product and niche, you can get started building your site on Shopify with your 14-day free trial!
(Note: all keyword searches and Google Trends reports accurate as of May 2020. All Google Trends data is analysis of the past 5 years of product interest within the U.S.)
1. Health and Beauty
Anything with high Instagram potential won’t be going anywhere soon. Last year, the highly Instagrammable cosmetic industry was worth $93.5 billion in the U.S market; here’s what to expect from health and beauty this year:
1.1. Air purifiers – 282k global searches per month
As more people become acutely aware of the dangers of air pollution, the popularity of home air purifiers is definitely on the rise. These units can be small enough to ship and the need to replace the filters inside can give you repeat business.
1.2. Wigs – 164k global searches per month
Believe it or not, the taboo around wigs seems to be vanishing. They’re far less damaging than getting extensions and people are seeing them as a more natural alternative to remedy hair loss.
1.3. Neck pillows – 4.7k global searches per month
The buzz around travel neck pillows that started years ago has never really died down. In fact, searches are now higher than ever, seeing as most people are spending more time crouched over their computers and phones. Neck pillows can solve a very literal pain point for your prospects.
1.4. Face slimmers – 1.4k global searches per month
Customers are always after quick and easy fixes, and face slimmers offer the idea of exactly that. These machines are like treadmills for your cheeks, but most importantly, they tick all the boxes of 2020’s best dropshipping products: lightweight, cheap and easily marketable.
Personal jewelry will forever be tied to the idea of success and money. Hey, if you manage to choose a highly profitable dropshipping niche, you might be coated in the stuff yourself. The value of the jewelry market is expected to top $480 billion by 2025.
2.1. Hoop Earrings – 52k global searches per month
There’s not a single woman who doesn’t look that little bit more glamorous with a set of hoop earrings. Their popularity has been on a steady increase for years and they could just be the sort of ostentatious product to get your store off the ground.
2.2. Initial Necklaces – 17k global searches per month
Necklaces featuring a loved one’s initials have great sentimental value and are looking to be a great jewellery trend in 2020. They can be cheap to make and very simple to dropship.
2.3. Chain Necklaces – 11k global searches per month
Chain necklaces give a bit of a punk rock edge to both guys and gals, making it one of the best dropshipping products for unisex stores. Experiment with the popularity of different materials to find your ideal customer base.
2.4. Bead Bracelets – 2.1k global searches per month
Great for either adults or kids, bead bracelets have been increasing in search volume every summer for the past 5 years. Catch the trend and start selling in the summer of 2020.
3. Women’s clothing
Women’s clothing is a very popular niche for dropshipping, but don’t let this put you off. The market is set to grow 5% by 2025, with sportswear being one of the fastest growing sub-niches at 6.8%. The market is heavily seasonal, so try and stick with year-round trends.
3.1. Women’s joggers – 11k global searches per month
Sportswear for women is set to become one of the most profitable dropshipping niches and products in 2020, so get onto the hype now by offering a wide variety of joggers in your store.
3.2. Seamless underwear – 9.7k global searches per month
If you’ve never wondered how to wear an expensive dress without showing panty outlines, you’ve probably never heard of seamless underwear. Well, they’re great for dropshippers as well as glamorous gals as they’re cheap, lightweight and highly popular right now.
3.3. Padded headbands – 1.9k global searches per month
Soft-feel headbands were recently popularised by Prada, now the public just can’t get enough. Offer a variety in your store to maximise on your conversions.
3.4. Women’s bucket hats – 1.2k global searches per month
Thin in the summer and furry in the winter, bucket hats have really taken off in recent years. They frame faces nicely and portray an ‘effortless’ type of look that women are increasingly into.
4. Men’s Clothing
Fashion is not just a women’s game. Men’s clothing follows similar trends to women’s and, at 6% growth by 2025, is a market that’s growing 1% faster than women’s clothing.
4.1. Men’s joggers – 25k global searches per month
Just like women’s joggers, men’s joggers are doing the rounds in 2020. Combining to sell unisex joggers or targeting both men and women in the jogger market could mean high sales for your store.
4.2. Men’s sneakers – 9.7k global searches per month
The craze around men’s sneakers doesn’t seem to be slowing down. It’s been growing year on year and a particular style of men’s sneaker could be one the best-selling dropshipping products in your store.
4.3. Men’s streetwear – 5.3k global searches per month
Music’s most popular artists have been promoting streetwear for years now, and the streetwear market has subsequently become a hugely attractive one for dropshipping enterprises.
4.4. Men’s graphic tees – 4.5k global searches per month
Men are getting bolder with their fashion statements, meaning interest in graphic tees has been steadily climbing. A recent surge in online searches could be all the indication you need to get your graphic dropshipping venture off the ground.
5. Home and Garden
2020 so far has seen a lot of people spending more time in their homes and gardens. As more people fall back in love with their abode at the same time as Q1 spikes registering in the ecommerce sector, home and garden is set to become one of the top product niches for dropshipping in 2020.
5.1. Dog beds – 54k global searches per month
The new generation of pet influencers online have sparked a rise in cutesy pet product searches, and what’s more cutesy than a dog bed? This product has great marketing value online and amazing variety.
5.2. Artificial plants – 37k global searches per month
Houseplants have been the big boom of the last decade, but busier schedules and more cramped living conditions have inhibited our ability to take care of them. Artificial plants are a cheap and easy-to-care-for solution.
5.3. Inflatable swimming pools – 3.2k global searches per month
Families treasure their time together and inflatable swimming pools are a great way to strengthen bonds. There are many different sizes available, they have great marketing potential and they’re easy to ship.
5.4. Home organizers – 2.8k global searches per month
The average American home has 300,000 items and that number is growing. There’s never been a better time to start dropshipping home organisers as the U.S comes to terms with its hoarding problem.
6. Mother and Kids
Babies are the real winners of 2020. Moms are increasingly spoiling their kids year-on-year, which is set to result in a 6.2% increase in market value between now and 2027. There are so many ways that you can help mothers find what they need for themselves and their kids.
6.1. Baby clothes – 107k global searches per month
Adorable baby clothes have incredible Instagram and YouTube value, with online searches skyrocketing in the first half of 2020. Research further to discover how to capitalise on increasing interest in bodysuits, outerwear and pyjamas.
6.2. Baby bouncer – 54k global searches per month
With an surging amount of mothers and fathers spending more time working from home, baby bouncers are gaining popularity. These softly swinging devices can help soothe babies and provide some much needed respite for parents. Easy to pack, ship and assemble.
6.3. Maternity leggings – 12k global searches per month
Maternity leggings are a great compromise between comfort and fashion for expectant moms. They’re very lightweight and, according to Google Trends, currently more popular than ever before.
6.4. Baby spoons – 2.5k global searches per month
Cutlery is regularly listed as some of the most profitable dropshipping products for 2020, something which most definitely stretches to babies as well. Baby spoons are small, lightweight and go missing a lot, meaning they need replacing.
7. Sport and Entertainment
With the COVID-induced absence of sports, many are predicting they’ll come back with a big bang. At present, home workouts are all the rage and the industry is set for 6% growth heading into 2022.
7.1. Running shoes – 185k global searches per month
While car activity is down so far this year, running is well and truly up. As more and more people decide to give it a go, the customer base for your running-based dropshipping store promises to grow and grow.
7.2. Yoga mats – 130k global searches per month
Yoga is something that absolutely everyone can get into. With people spending more time at home and in need of regular activity, yoga has exploded in popularity and mats have become one of the top-selling dropshipping products this year.
7.3. Fishing line – 24k global searches per month
Fishing line is, obviously, absolutely essential for fishing. It’s also easy to pack and sell, with a great potential for repeatable business. Outside time is prized in 2020, so fishing sports and hobbies are set to do big business.
7.4. Cycling glasses – 7.7k global searches per month
Much like running, cycling is enjoying a worldwide renaissance. More people are cycling than ever before and one of the hottest products right now is cycling glasses.
A projected 3.5 billion mobile users by the end of this year, growing to 3.8 billion by the end of 2021, means that the potential for the mobile niche is gargantuan. Many dropshippers have already been very successful with smart innovations for smart phones, and many of the best dropshipping products of 2020 are based around the mobile as the all-purpose tool.
8.1. Phone tripods – 24k global searches per month
Who needs a camera when phone camera megapixels are heading through the roof? Filming top quality videos is no problem with lightweight and portable phone tripods.
8.2 Clear phone cases – 3k global searches per month
There’s a frankly bewildering choice of phone cases out there, but the trend right now seems to be going back to basics. A nice clear phone case and screen protector are doing the trick for hundreds of thousands of people.
8.3. Mobile game controllers – 2.7k global searches per month
Many see mobile gaming as the future for the gaming industry. It’s certainly on the rise and fledgling mobile gamers are investing heavily in the necessary equipment. Controllers optimised for mobile gaming are set to do great businesses in the teen market.
8.4. Phone screen magnifiers – 2.5k global searches per month
Better phone specs mean that people are turning to their mobiles to watch videos and movies. The phone screen magnifier is a cheap and effective way to provide great quality picture and sound.
9. Toys and Hobbies
The constant changing nature of toy trends and the diversity of hobbies means that this may be a difficult niche to break into. Nevertheless, if you lock onto an excellent set of toys or find the perfect audience for your hobby store, you have the opportunity to tap into a market growing globally at an incredible 7.1%.
9.1. Montessori toys – 13k global searches per month
This is a vast market in itself, but colourful, educational montessori toys are all the rage right now. If you get your marketing right, you can sell to both individuals and businesses.
9.2. Outdoor toys – 11k global searches per month
The steady uphill climb in popularity for outdoor toys has recently rocketed upwards due to the current world situation. Garden play areas, kids’ tents and bubble guns are all on the up for summer and beyond.
9.3. Bonsai care – 1.9k global searches per month
The world has fallen in love with the intricacy of bonsai care. This is a hobby that is kicking off in the West after centuries of success in Asia. There are many items you could dropship to help people care for their bonsai trees.
9.4. Painting kits – 1.6k global searches per month
2020 has certainly been the time for new hobbies. Drawing and painting has found favour with a brand new audience of housebound hobbyists, all needing supplies that require regular repurchasing, making painting kits one of the high potential dropshipping niches and products this year.
10. Food and Drink
We’re steering clear of actual food and drink items in this category as their perishable nature and competition with big supermarkets make them very hard to dropship. Instead, we’re looking at how food and drink-related homeware can offer the ideal 2020 dropshipping niche.
10.1. Coffee beans – 108k global searches per month
Okay, we’ll make one exception to our no food or drink rule straight off the bat. People reliant on their fix of morning coffee have had to invest big in 2020, meaning that both home coffee machines and, therefore coffee beans, are set to do big business for the rest of the year and beyond.
10.2. Plastic containers – 19k global searches per month
The reusable revolution is upon us and here’s hoping that it’s not just this year’s trend. Plastic containers are growing in popularity in order to save on wasteful takeaway packaging. It’s cheap, super light and easily customisable.
10.3. Spice jars – 12k global searches per month
With more time to spend in the kitchen, people have been experimenting more with cooking at home. Spice jars can spice up any kitchen in elegant glass or ceramic style.
10.4. Pancake molds – 1.1k global searches per month
Pancake art has become all the rage of late, making fun and diverse pancake molds one of the top-selling dropshipping products this year.
III. Best Dropshipping Niches and Products: What’s Next?
So you may be tempted to think that the hard work is done now that we’ve given you all the valuable information above.
Not even close I’m afraid. These niches and products can give you a great foundation for your success, but the rest of the legwork is down to you.
3.1. Further research
A product that’s trending and has a high search volume doesn’t simply equal straight-up success. You have to find out everything you can about it. Who makes it? Who ships it? Most importantly, who buys it?
Find online communities that are discussing dropshipping niches and products like the ones you want to sell and you’ll discover their pain points. You’ll also be able to gather good information about where they search and shop. Get to know the product and the customer base.
3.2. Find your supplier
You can discover more about how to find the right supplier in chapter 2 of our Dropshipping 101 series, but essentially, you’re looking for a supplier with the big 3 qualities: reliability, legitimacy and great communication.
Dropshipping apps such as Oberlo and Spocket are great ways to find your supplier, but if you’ve got the gumption, you can fly solo and contact wholesalers directly. Remember, the best dropshipping niches and products come from suppliers you can trust.
3.3. Build your website – Open your Shopify store
The bedrock of your business is there, now it’s time for the logical next step: building your website. Again, this is a topic that our next chapter tackles, so click here to check that out.
Shopify has already launched so many highly successful dropshipping stores. Make sure you take advantage of Shopify’s current 14-day free trial and start building your store. Also, if you’re looking for some inspiration, check out our bumper list of the 20 best dropshipping stores of Shopify.
PageFly is one of Shopify’s most trusted tools for dropshippers. Our page builder can really help to get your store noticed amongst the crowd.