Indian vs international Dropshipping : Do you want to start a dropshipping business? But can’t decide whether to dropshipping to India or internationally? Don’t worry, today’s article will talk about the difference between Indian dropshipping and international dropshipping in full details and discuss the pros and cons of both models and all the features, which will help you decide whether you should do Indian dropshipping or international dropshipping. Read our today’s article patiently till the end to know the details so that you don’t have any difficulty in understanding.
The e-commerce business in the world is overgrowing day by day especially the dropshipping business, which has no words to express. So if you are thinking of starting an e-commerce dropshipping business, then this is a great idea for you. You can start a dropshipping business at a very low cost. Where you can directly source products from suppliers and ship them to your customers without buying any products. So let’s find out what is the difference between Indian and international dropshipping and you should do dropshipping in India or internationally.
1. Market Reach and Potential Audience
Indian Dropshipping:
Local market focus:
Indian dropshipping specifically targets the Indian market. Currently, the population of India is around 1.43 billion. India is a very large country and almost every person in India has internet and smartphone access. So if you want to start a dropshipping business in India, you can target these 1.43 billion people. [Indian vs International Dropshipping]
Increasing e-commerce adoption:
Nowadays e-commerce business is becoming very popular in India day by day. At the same time, more people in India are becoming part of the middle class and have extra money to spend. This means there is a great opportunity for local businesses to sell their products online.
Cultural relevance:
There are many festivals and religious festivals in India. When you want to sell products within India through a dropshipping business, you can target these festivals and sell products. People of India do a lot of shopping during these religious festivals.
International Dropshipping:
Global reach:
International dropshipping allows you to sell products to customers worldwide. Where you are not restricted by any geographical boundaries. You can target any country in the world and sell the product. It opens up access to markets from North America to Europe, Asia, and beyond.
Higher purchasing power:
People in North America, South America, Europe, and some countries in Asia have high incomes and always have a lot of disposable money with them. These countries have more sales in dropshipping business compared to India.
Competition:
Although the market size is very large, the competition in international dropshipping is very high. If you want to do international dropshipping business, then you have to face competition with all sellers in the world to sell products.[Indian vs International Dropshipping]
2. Suppliers and Shipping
Indian Dropshipping:
Local suppliers:
The way dropshipping has spread internationally in countries like South America and Europe, it has not yet spread the same influence in India. So finding a dropshipping supplier in India can be a bit of a challenge. However, you can connect with platforms like Indiamart, Trade India and bijnis to start a business.
Shipping times:
One big difference between international dropshipping and Indian dropshipping is the shipping time. Shipping process within India is much faster than International. Product shipping is done through Delhivery, Blue Dart and Ecom Express and other local couriers. Products ordered by customers are usually delivered within 3-7 days.
Lower shipping costs:
Since the product is being shipped within India in Indian dropshipping, the shipping cost to India is much lower than international shipping. So it can be good profit margin.
International Dropshipping:
Global suppliers:
There are many types of suppliers involved in international dropshipping. These include major platforms like AliExpress, Oberlo and SaleHoo. All these suppliers offer a variety of products and access to dropshippers. By engaging all these suppliers you can start international dropshipping. [Indian vs International Dropshipping]
Shipping times:
The biggest difference between international dropshipping is the longer shipping time. If you are sourcing products from China and shipping products to countries like USA and Europe, the customer may have to wait up to 10 – 30 days for the products.
Higher shipping costs:
Shipping cost in international dropshipping is higher than Indian dropshipping. Especially for large and heavy products. In international dropshipping orders are placed from different countries so shipping the products from one country to another costs a little more.
3. Payment Gateways and Currency Considerations
Indian Dropshipping:
Local payment gateways:
The role of payment gateways in dropshipping business is immense. Indian dropshipping facilitates easy payment from customers through payment methods like paytm, phonepe, google pay and Razorpay. Moreover, customers can easily pay through UPI, Debit Card, Credit Card and Net Banking.
No currency conversion:
No currency exchange to worry about with Indian dropshipping. Because transactions within India are done in rupees which is a convenient arrangement for Indian dropshippers.
International Dropshipping:
Global payment gateways:
If you want to do an international dropshipping business, for international dropshipping, you need to set up a global payment gateway like PayPal, Stripe or 2Checkout within your online store to accept payments from customers worldwide. Customers of any country can easily make payments through these methods. [Indian vs International Dropshipping]
Currency conversion:
Different countries have different types of currency. If you want to do international dropshipping business you need to transact in multiple currencies. You need to factor in exchange rate fluctuations, which can affect your profit margins.
4. Competitionand Marketing
Indian Dropshipping:
Lower competition:
In countries like South America and Europe, the dropshipping industry is long established and very popular but the dropshipping industry in India is still developing slowly. So the competition in India is very less compared to the international dropshipping market.
Localized marketing:
Indian market is much easier than international market. You can easily target local audiences through India’s regional language medium. Platforms like Facebook, Instagram, Telegram and WhatsApp are widely used for product promotion in India.
People in India love content in Indian regional languages, you can target different audiences in India by creating content in Indian regional languages on different platforms, and you can also do marketing through Google Ads and other platforms.
International Dropshipping:
High competition:
Competition is high in international dropshipping. Thousands of dropshippers are targeting the same audience. That’s not to say that international dropshipping isn’t profitable. As the competition in the international market is high, so is the population high. When starting international dropshipping you can start an international dropshipping business by selecting a low competition niche. [Indian vs International Dropshipping]
Diverse marketing strategies:
Different countries have different marketing strategies in international dropshipping. Marketing strategies may vary based on the country. In international dropshipping you need to adopt marketing methods using platforms like Facebook Ads, Google Ads and TikTok.
5. Regulatory Challenges and Taxes
Indian Dropshipping:
Indian taxation system:
Dropshipping in India involves dealing with the Goods and Services Tax (GST). You will need to register for GST if your annual turnover exceeds a certain threshold. Compliance with Indian tax regulations is relatively straightforward, though it’s important to stay updated on the latest rules.
Lower barriers to entry:
Indian dropshipping is not burdened by complex import-export regulations. You can easily import-export with less hassle in Indian dropshipping. This makes it easier for entrepreneurs to start locally.
International Dropshipping:
Customs duties and taxes:
Selling internationally means understanding each country’s customs regulations and taxes. Some countries impose high import duties, which can affect customer satisfaction and lead to product returns.
Complex compliance:
When you start international dropshipping, you need to manage tax compliance for multiple countries. You need to have knowledge of VAT in Europe, US sales tax and taxes in other countries, plus you can consult with tax experts. [Indian vs International Dropshipping]
6. Customer Expectations and Trust
Indian Dropshipping:
Cultural affinity:
When you are doing dropshipping business in India you and your customer will have the same culture, which makes communication with your customer very easy and helps to build trust quickly. This is a positive aspect in Indian dropshipping.
Customer needs:
Indian consumers spend good money on good quality products and focus on getting good value. To keep them happy, you need to offer competitive pricing, fast delivery and good customer service.
International Dropshipping:
Higher expectations:
Consumers in Western countries expect good quality products and fast shipping. So you need to make sure that the products you are listing on your online store are of high quality and the supplier you are shipping the products to has fast shipping.
Building trust:
International dropshipping is much more difficult to gain customer trust than Indian dropshipping. Especially if customers don’t know your brand. To earn their trust, you need to quote shipping times, offer good customer service, and offer product guarantees.
Also can read : How to Start Dropshipping for Free in Kuwait
A Comparative Breakdown: Indian vs International Dropshipping
Factors | Indian Dropshipping | International Dropshipping |
---|
Market Size | Limited to Indian customers | Global market with larger opportunities |
Shipping Time | 2-7 days (domestic) | 2-30 days (depending on location) |
Shipping Costs | Low | High for international orders |
Supplier Base | Limited (mostly domestic suppliers) | Large (many suppliers from China, US, Europe) |
Profit Margins | Moderate (due to lower shipping costs) | High (with the right pricing strategy) |
Competition | High (many local competitors) | Moderate to High (varies by region and niche) |
Customs Duties/Taxes | None (within India) | Yes (varies by country) |
Cultural Alignment | High (understanding local trends and needs) | Low to Moderate (depends on target region) |
Risk Level | Low (fewer regulations and overhead costs) | High (due to legal, shipping, and tax complexities) |
Scalability | Limited (restricted to India) | High (expand to multiple countries) |
Indian vs International Dropshipping: Which is Better?
Let’s discuss what is right for you in India vs international dropshipping and whether you should dropship in India or dropship internationally. I am a dropshipper myself. And I can tell you from my dropshipping experience that if you have less budget then you should dropship in India first and if you have more budget then you can do international dropshipping first.
But from my personal experience I would recommend you to start Indian dropshipping first rather than international dropshipping first. When you start earning some money by dropshipping in India and your knowledge about dropshipping develops you can start international dropshipping.
For more information: Read More
Conclusion:
Hope you liked our today’s article and you have fully understood the difference between Indian Dropshipping and International Dropshipping. Fully understand what is right for you and whether you should do Indian dropshipping or international dropshipping first.
If you want to read articles about dropshipping business then we have other articles on our website you can patiently read them. If this article is helpful to you then share the article with your friends and family members who want to know and learn about dropshipping business. If you have any query about this article then you can ask in the comment box below on our website.