eBay Dropshipping Guide for 2020


ebay dropshipping guide 2020

These days everyone is looking to start a side hustle. In fact, according to statistics, nearly 44 million Americans have a side hustle. And here comes the dropshipping to help you!

If you want to earn decent passive income by starting your eCommerce store but are skeptical about the complexities of inventory, delivery, and record-keeping, then dropshipping is the ideal option.

However, if applied correctly, dropshipping can help you make a lot of money.

In this Guide for Dropshipping, we will try to cover everything from what it is, to getting started, to how to make a successful dropshipping business.

Let’s start.

What is Dropshipping?

Dropshipping has been around for a while. However, contrary to popular belief, this is not a quicker enrichment scheme.

This is a retail implementation method where the store does not own or maintain inventory. Instead, you buy the product from a third-party source and ship it to the customer.

You do not have to handle the product yourself or take care of the delivery process.

The biggest difference between a regular eCommerce or brick and mortar store and a dropshipping store is that the person selling the product is not handling inventory.

Let’s take a look at Amazon, the largest online store in the world. Suppose a customer enters Amazon, buys a new smartphone, pays the bill, and exits. Essentially, Amazon must store the smartphone at its retail location so that the buyer can see it and make a purchase.

They must also show the phone, set up their store to display it, make billing desks for the user to make a payment, store billing material at the billing counter, deliver the phone from their warehouse, etc. n.

This is where dropshipping is different.

In the case of dropshipping, the seller does not have a smartphone at all. Instead of storing the items in a warehouse, the dropshipper ships the item from a different shop.

Because you don’t need a lot of money or resources to get started with dropshipping, its popularity is growing. More and more retailers are skipping the strip.

And it makes a big business sense: you don’t have to store any inventory, and you don’t have to worry about packing and shipping. Have someone else do all these things for you while you make a decent profit.

In simpler terms, here are the exact steps you need to make when a dropshipper make a sale:

  • Shop your products online through a catalog presenting your products
  • Attract online users to make an online purchase
  • The merchant forwards the product list to the respective manufacturer/wholesaler/distributor, along with customer details such as name and address
  • The interested manufacturer/wholesaler sends the customer the item list (under the name of the retailer)
  • Dropshipping requires good trust and long-term partnerships with multiple stakeholders such as retailers, suppliers, distributors, and manufacturers.


The biggest reason why dropshipping has become a famous business opportunity is that it does not have a large entry-level.

Anyone with a small investment can start their own dropshipping company.

Here is a list of some of the benefits of starting a dropshipping business:



There is no business model without its fair share of disadvantages. And the dropshipping model is no exception.

Here is a list of some of the most common downsides of the dropship model:



Dropshipping is the perfect way to get into the world of business for beginners and those who don’t want to invest their money.

Previously, setting up a business required a large amount of money. People usually make their parents borrow money or work overtime to make money. Jeff Bezos started Amazon by borrowing money from his parents, and we all know how that came about.

What is eBay?

eBay is an online platform/website where you can sell your products. 

Like other e-commerce markets such as Amazon and AliExpress, eBay’s customer base has grown steadily for years. In the second quarter of 2019, the platform reached 182 million users.

The high volume of users on the platform has attracted online sellers who want to find customers for their products.

Dropshipping from Amazon to eBay

Dropshipping from Amazon to eBay is the most famous method of dropshipping now because amazon as a supplier is offering very fast and free shipping which is nice for the seller’s customers. Also, the customer support of Amazon is great. You will need them for sure.

So what is dropshipping from amazon to eBay looks like?

  1. Find a hot item that you think will sell a lot on eBay.
  2. Create a new eBay listing using the pictures and description from the Amazon listing.
  3. Depending on the shipping of the amazon product, set up your eBay shipping and return policy.
  4. Calculate your expenses on eBay and decide what profit margin will be okay for the product.
  5. When you sell the item on eBay, go to Amazon and order it with your buyer shipping address. Choose gift receipt – this will tell amazon not to put the invoice in the package and your buyer won’t see that you bought the product for less.
  6. That’s it! You made a few dollars profit. Now repeat this process with the same item or multiple items and you could be supplementing your income or generating enough money for this to be your primary source of income.


On the left, you can see this Nostalgia Retro Toaster is selling on eBay for $24.97 and on the right, you can see the same toaster in Amazon for $16.47.

Make market research to confirm the profitability

You will feel that this is not an important step to start dropshipping. However, don’t you hate it when you start doing something with high hopes and it doesn’t work out well?

Because dropshipping is easy to get started, everyone is trying to do it. However, only a few will survive. The most common reason for the failures is that almost no one is doing their “homework” properly! So, do you disagree that you need to do a market analysis before you start dropshipping?

How to do market research for products you can dropship?

Spy on your competitors 

This is one of the most famous methods for product research and it’s one of the most profitable ones. Why? Because what’s easier from just going through sellers and see how much they are selling? On eBay, you can see other sellers listings and also see how many pieces they sold for each product. This is super important information, because if you list an item that has been sold 10 times in the last 24 hours, this item will be more likely to be sold again, but this time from your account.

Spying is not just finding the item and copying it. It’s a little bit more complicated. 

Of course, you can find a winning product, but if you copy and paste the same pictures, title and description you are lowering your opportunity to sell.

When you find a nice product you have to start building your listing properly. Look at the pictures from the supplier. If you see pictures with bad quality or not showing the product at all, delete them. Then go to google and look if you can find better pictures for your product. You can also check on Pinterest. If you can work with photoshop – great! You can make collages and edit your pictures to make them unique. When you are ready with the pictures for the item focus on the title. Don’t copy and paste the supplier title or even your competitor titles. Аnalyze this title. Find the keywords. Sort the keywords by importance. You can use google keyword planner as well to see which are the trending keywords for your item. When you are ready with the title to go and make the description. Use imagination. Build a strong and good description so your customers can understand why your product is special and why they will need it.

When you are ready with the pictures, title, and description you are ready to go! You just built a nice product listing which is more likely to sell than 95% of the dropshippers out there.

How can I track if my supplier changes the price or the product go out of stock?

Although the dropshipping business model does not require you to store inventory, it is a good practice to maintain a section in the inventory of vendor warehouses as you will sell their products under your name.

The good news is that we are here to help you!

We offer inventory management and multi-warehouse dropshipping management software tools.

WSG Dropshipping Automation

Web Seller Guru has revolutionized the market for dropshipping automation software with multiple features that helps thousands of dropshippers every day.

Tracking System

Tracks the price and stock availability on your suppliers on every 1 hour and updates automatically on eBay Checks prices in suppliers daily Checks stock availability in every one hour Updates the price on eBay in case of a change in the supplier's price using a pre-set formula, fully customizable by the user! Changes the price by selected by the user percentage in the case of out of the stock product!

Suppliers we support:

Listing Builder

Upload products in eBay fast and easy using all the WSG suppliers Fast and easy product upload in eBay Automatically extracts product information from the supplier Template system – so that every listing can be beautiful! Pre-set profiles for various parts of your listing to save you time!

Price Movement

Automatically moves the price up to and down to bring more activity into your eBay profile Increases the price of all products by a pre-set by the user amount every 3 hours Decreases the price of all products by a pre-set by the user amount every 3 hours Full control over which of your listings to use the service

Quantity Manager

An inventory management system that helps you manage the product quantities in your store Manage the quantities all from one place Last one feature - create scarcity by putting the display of your products on “Last one” Auto relist feature - your products are automatically released Choose quantity buyers to see on your products even if you have more at the moment


So, that’s everything you will need when starting your first online dropshipping store! 

Don’t overthink and start now!

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