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The List of 9 Best Dropshipping Niches to Sell Online in India

Dropshipping business model is taking place in online business during the e-commerce boom in India. Especially in niches where online sellers have less focus because of their limited market size and lower profit margins. But I’m sure this article will help you find the best niches to sell online through dropshipping business model.

You can make your online dropshipping store on websites like Shopify, where you can create your online presence & engage with customers. After Covid-19, the demand for online stores is on the rise as it is helping small retailers to go online.

These things look doable, but many people find it difficult to implement it on the ground and sell the product. So, here look at some steps before starting a dropshipping business :

Steps to Start Dropshipping Business in India

Step 1: Pick a Supplier 

Choosing a drophip supplier from so many options is a crucial task. You might have to spend days finding the right supplier of your products in the market through regular meetings to clear terms and conditions with them.

Otherwise, it can create problems in your business in the future. Here is the list of the best and reliable drophipping suppliers in India.

Whenever you chose a supplier, check these points about them :

  • The supplier should also be the manufacturer of the product. If he himself, using a third party manufacturer’s service, the product would get late in the long supply chain process. To avoid this problem, one has to select a supplier as a manufacturer.
  • Make sure of the profit margin that you can make with suppliers after researching the cost of the product and prices on which you are going to sell the product.
  • Check the delivery efficiency that the supplier promises, and compare it with the competitors in the market. Because customers do not like to wait for their packages. And many big players are already shipping products within a one day.
  • There is also a need for the availability of white label products. First know, what is white label product?. These are the products that are manufactured and supplied under your brand name. It is necessary for making your own brand because customers expect that product is coming from your store.

Step 2: Decide Products You Want to Sell

Maybe you are thinking that why didn’t I decide on products on step 1? The reason is that your final selection of products will go to waste if you can’t find the right supplier for it. I recommend you to have a list of products and search suppliers for them .

Once, you decide on the supplier with a pool of products, you can select the final product. You can even take recommendation from the supplier as they know their products better than you do. This is the reason I made this list of best dropshipping niches, that sell fast in India.

Step 3: Get GST Number

It’s an important thing to have a goods and services identification number(GSTIN) these days in India to buy or sell online.

If you have registered a company, then you will have to provide it to your suppliers for the transaction. So that you will be able to claim input credit later. As an individual, you will not have such requirements.

Step 4: Build Your Store

Buy a domain name and build a website for your products which will have all your selected

virtually, as maintaining inventory is not required in the dropshipping business.

The website design should be trendy and must have all the required content for their customers. Ultimately, your website will put the first impression and will help in generating sales. 

Also, you need to provide all types of methods and be strong on the technical side to manage your website.

Step 5: List The Products and Promote

While listing products, it is important to provide relevant information regarding products and upload photos. But do not misrepresent the product, otherwise, it will badly impact your business in the future. 

But, Listing is not the end, you have to show your presence in the online market. Do it using social media marketing and Google Adwords which would bring customers to your website.

You can read this, a much more detailed guide on How to Start a Dropshipping Business in India, for better understanding of this business model.

Does Doing Dropshipping Business Require Money? 

It’s a myth that starting a dropshipping business doesn’t require money. You can sell products without having any inventory, but you will have to consider the cost of advertisement for promoting your products online.

Here, we will discuss basic inevitable costs that occurred in starting a dropshipping business :

1) Cost of Building an Online store

Buying a domain name and cost of hosting websites will cost you money in starting a business. After building it, there will also be requirements for maintaining it. Even you can use Shopify for online stores, which also has a success rate in India.

2) Cost of Finding Products

Finding a product also demands the expenditure of money, and it will be variable from person to person. For being cautious about your reputation, you will need to purchase some samples to take a look at products. 

Before selecting the final winner, you need to check its quality, past performances, demand, and its overall cost of purchase. This list of best dropshipping niches to sell online in India, will help you make the best decision. So keep reading, and don’t forget to give it a like as well.

3) Cost of Marketing

The product will not start selling the very first day you start a dropshipping business. The majority of investment is in the marketing of your store. It will cost you some money on Google AdWords and social media marketing.

So, those who are claiming that to start a dropshipping business you don’t require a single penny, it’s possible that they never did it practically on the ground level. And for those asking that What amount needed for starting a dropshipping business? The answer is: The longer you will take to select the final product, the more expenditure will happen.

So, practically it will be impossible to give a fixed amount required for starting a dropshipping business. However, it is still less costly than many other businesses out there.

Best Dropshipping Niches to Sell Online in India

1) Books

You can see a big rise for books in the Indian market, around 10,000-12,000 people shop for books every day. And the estimate of online sales of books is as near as Rs 70 crore in annual sales, increasing at the rate of 50% every year.  

Around 40-50% of the online sales come from the top 10 class A cities of India, remaining from others, So one has to target after doing proper research in your area. So, it can help in generating some income.

2) Apparels

Apparels never lost their charm attracting customer of all kinds anywhere in the World. People always like to be in a trend that made them regularly purchase the Apparels.

In India, you will find a wide variety of clothes according to states like Marathi clothes, Gujrati clothes, Rajasthani clothes, and many others. Sellers who want to deal in an evergreen niche, they can opt for traditional Indian clothes.  

The Indian textile and apparel market was worth the US $102.2 billion in 2018, and the estimation is that it will reach US$ 225.7 Billion by 2024, growing at a CAGR of 14.2% during 2019-2024.

3) Food, Health, and Beauty supplements

The health supplements market is rapidly growing in the niche of health and beauty. Recently, it has seen an increase in demand for protein supplements, green tea, low-fat products, and many other products like body detox products.

Focusing on health also includes a segment of fresh foods especially organic, whose trend is increasing in the market.

With the current pace, the prediction is that this market will compound to an annual growth rate of 65% by 2022.

4) Footwear

The footwear market is very diverse in India, and it is one of the top-grossing products in the market. In India, both men and women’s footwear have many foreign as well as Indian brands, and even the first copy of famous brands are easily available in India.

 Mostly sneakers, sports shoes, converse as well as flip-flops contribute to major sales in India. It was expected to grow by about 10% to 12% in 2020. This makes this one of the best selling niches in dropshipping business model.

5) Jewelry

When it comes to buying gold and diamonds, you will never find any country like India. In this country, women are always keen to purchase jewellery which they consider as a symbol of esteem in India. This sector contributes to 7% of the total GDP, and around 12% of India’s total merchandise exports. 

Especially during festival season, many people would like to purchase jewellery, and with the inclusion of foreign brands, there is a wide variety of designs available in the market. Most of the premium jewellery sold in India is through physical stores, but in dropshipping you can opt for cheap brands that are normally purchased online by the younger generation. 

6) Fashion Accessories

Various innovative fashion accessories like matching purses, belts, hats, bags, cell phone covers, and other travel accessories are sold well in the Indian market.

People are ignoring these basic touch-ups in the phase of the rapid development of fashion outlook. It marks a remarkable growth at CAGR 64.87% in terms of revenue until 2019. The E-commerce market is estimated to grow by 35% in the coming years at the current pace.

This makes it a hot selling niche in dropshipping with less risk and best niches to be in the basket for both- the online and offline market.

7) Home and Kitchen Furnishing

Another hot grossing product category is Home and kitchen furnishing. Home decor is already a craze for the entire Indian community, and if you look at the current growth of this home and kitchen furnishing, which is increasing at the pace of 6-7% per year.

Major drivers of sales of Home and Kitchen furnishing are more creative and innovative products that keep on coming, & makes people buy products and add them to their home decor. It was projected to cross the mark of Rs 40,000 crore by 2020.

8) Handmade Goods

In this world of artificial and machine-made products, people find it good to have to go along with handmade products like begs, shoes, jewellery, and many others.

Their good quality and long life make them more special to purchase, and these are famous among foreigners as well, India exports more than 100 billion rupees worth of products to foreign markets. 

These are best dropshipping niches to sell directly from home, also a cost-effective approach as it decreases extra cost and increases profit margins as well.

9) Toys and Video Games

Toys and games are one of the things that are sold most in the Indian market. This sector is quite famous not only among kids, but even adults have a huge following to video games in India.

One of the reasons for the high growth market is that as technology gets better and cheaper toys start coming into the market, which ultimately starts attracting more kids towards them.

Even the video games industry is on the rise in India, and it is expected to grow around at a CAGR of 10%.

In India, most of the digital games are played on mobile, which is followed by PlayStation and Xbox. 

Conclusion

Here, we discussed some best dropshipping niches which are getting good response from consumers as well as have good potential in the future as well.

All the products listed are great to have on your list as they are promising to generate higher returns in the market and as internet culture keeps upgrading, more people will start purchasing from online stores.

This market is expanding at a good pace, and many products are coming into the market, from which you need to select after proper research of the niche you are dealing in.  

About Nandini

Nandini Yogi is Co-creator and Senior Editor at Online Business in India . She is Writer by Heart and Business Developer by Profession. You can connect with her on LinkedIn and Instagram.