Starting your own ecommerce business can feel daunting, but the dropshipping business model is one way you can launch an online store without dealing with complicated logistics like inventory management and order fulfillment.
Many dropshipping businesses sell large amounts of smaller items like skin care products and dog toys to earn their profit margins, but some focus on more expensive items like furniture and outdoor gear. Although high-ticket dropshipping businesses involve greater risks, they also present unique opportunities for entrepreneurs.
Learn more about how you can start your own high-ticket dropshipping business.
What is high-ticket dropshipping?
High-ticket dropshipping is a business model where ecommerce merchants sell high-priced products to customers and a third-party supplier handles the order fulfillment process of those sales.
The profit business owners earn using this dropshipping business model comes from the margin between the retail price customers pay and the wholesale price that merchants pay the suppliers for procuring, storing, and shipping products. For example, a high-ticket dropshipper could market and sell a sofa for $500 as the retail price, pay the supplier $400 for the wholesale price, and make a 20% profit margin off the sale.
Whereas low-ticket dropshipping involves selling items in the price range of $10 to $100, high-ticket dropshipping focuses on products at a higher price range, from $200 up to several thousand. Low-ticket dropshipping requires merchants to earn high sales volumes to earn money from their low-ticket sales, while high-ticket dropshipping businesses can earn money from a few products at a higher price.
Although high-ticket dropshipping can involve less competition and higher profit margins, there are also greater risks. This type of dropshipping company needs to put more upfront investment into customer service, insurance, and marketing efforts, as high-ticket customers need to trust the quality of the products and brand to purchase more expensive high-ticket products.
High-ticket dropshipping products
There are many dropshipping products to choose from, but here are a few ideas for popular types of high-ticket dropshipping items.
Jewelry
Ecommerce merchants sell these high-ticket dropshipping products at higher prices based on the quality of the materials and the personal significance associated with special occasions like anniversaries and holidays. Businesses dropshipping jewelry are entering a large market; in fact, the worldwide jewelry market is expected to reach more than $310 billion by the end of 2024, with an annual growth rate of 3.53% from 2024 through 2028. Here are some specific examples of high-ticket jewelry items to consider:
- Rings
- Watches
- Necklaces
- Earrings
- Bracelets
Outdoor equipment
Ecommerce merchants can sell outdoor equipment at high prices since these products require more expensive materials and intricate designs. With a projected market volume of $1.61 billion by 2029 in the United States, customers continue to purchase high-ticket outdoor products at a premium price, including:
- Tents
- Kayaks
- Backpacks
- Skis
- Sleeping bags
Furniture
High-ticket dropshippers can also consider selling high-end furniture. In 2024, the worldwide furniture market is projected to exceed $766 billion in revenue, with living room furniture comprising the largest segment of that number, at $227.7 billion. Here are a few specific examples of products a high-ticket dropshipping store could explore in this category:
- Sofas
- Office chairs
- Lamps
- Dining sets
- Patio furniture
Electronics
As electronics products become more integrated with everyday life, the market continues to grow rapidly. In fact, the global revenue for electronics is expected to reach $847.9 billion by 2029. There are several high-ticket dropshipping products to consider in the electronics space, including:
- Speakers
- Smartphones
- Cameras
- Drones
- Computers
How to start high-ticket dropshipping
- Perform competitive research
- Choose a dropshipping supplier
- Set up your ecommerce store
- Market and sell your high-ticket products
Learning how to start dropshipping can take time and energy, but there are a few general steps to consider as you launch your own high-ticket dropshipping company.
1. Perform competitive research
Before you start high-ticket dropshipping, research the market and identify high-ticket dropshipping niches with low competition and an increasing number of online searches. Once you’ve chosen the right high-ticket products to sell, research the competition to learn what other high-ticket stores sell those items for, what profit margin you can expect, and how your products and brand can stand out from other sellers.
2. Choose a dropshipping supplier
Once you’ve chosen what high-ticket products you want to sell, research dropshipping suppliers that source, warehouse, and ship those specific products. Compare the options and check the difference from one supplier’s price and shipping costs versus its competitors. Focus on dropshipping suppliers with a good reputation for shipping high-quality products on time.
3. Set up your ecommerce store
Your high-ticket dropshipping business now needs an online store to sell products directly to customers. Choose a reliable ecommerce platform like Shopify, which offers user-friendly tools for designing a dropshipping store with customizable themes. When trying to build a successful online store, there are a few important factors to consider, including using high-quality product photos, engaging product descriptions, and an optimized checkout flow.
4. Market and sell your high-ticket products
Whereas businesses that sell low-ticket products can rely more on impulse buyers purchasing cheaper products, ecommerce merchants selling premium products at high prices focus more on customers who are making informed decisions about expensive purchases.
A high-ticket dropshipping business can attract potential customers with higher purchase intent to their online store by implementing inbound marketing strategies like search engine optimization (SEO) and email marketing to generate traffic. Consider selling both low-ticket and high-ticket items to see which products work best for your business.
How to choose high-ticket dropshipping products
When searching for the right high-ticket products from sites like AliExpress, Alibaba, and other dropshipping suppliers, there are a few important factors to keep in mind:
Price range
Look for high-ticket products in the right price range—start with products in the $200 to $1,000 range. Avoid expensive products that face competition from inexpensive alternatives. For example, a high-quality luxury sofa will face less low-ticket competition than a basic futon competing with several cheaper products. A good rule of thumb is to choose high-ticket products where well over half of the results on online shopping websites for that type of product exceed $200.
Availability
Merchants selling low-ticket items can face a competitive market with numerous companies selling large amounts of the same product—office supplies like notebooks and staplers, for instance. However, ecommerce businesses selling high-ticket products search for niche items with less competition.
Research which suppliers provide the high-ticket products you’re considering selling, and make sure there are several supplier options for those products. Relying on only one supplier for a line of high-ticket products can leave your business vulnerable if that supplier shuts down or stops supplying that particular product line.
Demand
Search for a high-ticket niche with an increasing demand from customers. Finding the right dropshipping niche can take time, but finding a product in demand can make or break your high-ticket store. Research demand by exploring online marketplaces and using tools like Meta Audience Insights and Google Trends to identify what types of products customers are searching for online.
High-ticket dropshipping FAQ
Is high-ticket dropshipping profitable?
With the right choice of products, a great online store, and a smart digital marketing campaign, high-ticket dropshipping can be well worth the effort. High-ticket dropshipping items like speakers and watches can earn ecommerce merchants a good profit margin without all of the logistics that go into storing and shipping products.
What are the risks of high-ticket dropshipping?
High-ticket dropshipping presents unique challenges and risks, including the need for quality control, premium customer service, and insurance to protect against expensive items being lost or damaged in transit.
How do I choose a high-ticket dropshipping niche?
When searching for a high-ticket dropshipping niche, research demand for certain products on online marketplaces, as well as what search terms are being used for high-ticket products with limited competition.