Starting an online business is easier than ever, thanks to eCommerce models like dropshipping and print-on-demand (POD). Both allow entrepreneurs to sell products without holding inventory, making them attractive for beginners. But which one is better for you?
In this guide, we’ll compare dropshipping and print-on-demand in terms of business model, startup costs, profit potential, ease of scaling, and pros & cons—helping you decide the best option for your goals.
What is Dropshipping?
Dropshipping is an eCommerce business model where you sell products without keeping them in stock. Instead, when a customer places an order, the supplier ships the product directly to them.
How Dropshipping Works:
- You create an online store and list products from suppliers.
- A customer places an order and pays you the retail price.
- You forward the order to the supplier, paying the wholesale price.
- The supplier ships the product directly to the customer.
- You keep the profit (retail price – wholesale price).
Pros of Dropshipping:
✅ Low startup costs – No need to buy inventory upfront.
✅ Wide product selection – Sell anything from gadgets to clothing.
✅ Hands-off fulfillment – The supplier handles shipping and storage.
✅ Scalable – Add new products easily without upfront costs.
Cons of Dropshipping:
❌ Lower profit margins – Competition can drive prices down.
❌ Longer shipping times – Many suppliers ship from China, causing delays.
❌ Less product control – Quality issues can lead to refunds and complaints.
❌ High competition – Many dropshippers sell the same products.
Best for:
Entrepreneurs who want a wide variety of products and prefer a hands-off business model.
What is Print-on-Demand (POD)?
Print-on-demand (POD) is a type of dropshipping where products (like t-shirts, mugs, and phone cases) are custom printed only after an order is placed. You create unique designs, and the POD supplier prints and ships the product.
How Print-on-Demand Works:
- You design graphics for products (t-shirts, hoodies, mugs, etc.).
- You upload your designs to a POD platform (Printify, Printful, etc.).
- A customer places an order, and the supplier prints and ships the product.
- You keep the profit (retail price – base cost of the product).
Pros of Print-on-Demand:
✅ No inventory risk – Products are printed only when ordered.
✅ Higher profit margins – Unique designs can be sold at premium prices.
✅ Brand control – Sell custom, branded products.
✅ Less competition – Your designs make your store unique.
Cons of Print-on-Demand:
❌ Higher base costs – Printing per order is more expensive than bulk manufacturing.
❌ Longer fulfillment times – Printing adds time before shipping.
❌ Limited product variety – Mostly apparel, mugs, posters, and accessories.
❌ Design skills needed – You need to create or source unique artwork.
Best for:
Creative entrepreneurs who want to sell unique, branded products and build a long-term brand.
Dropshipping vs. Print-on-Demand: Side-by-Side Comparison
Feature | Dropshipping 🛒 | Print-on-Demand 🎨 |
---|---|---|
Startup Costs | Low | Low |
Profit Margins | Lower | Higher (for unique designs) |
Customization | Limited | High (custom designs) |
Product Variety | Huge (thousands of products) | Limited (apparel, mugs, posters, etc.) |
Brand Control | Minimal | High (custom branding possible) |
Shipping Time | Often long (from China) | Faster (local suppliers available) |
Competition | High (many selling same products) | Lower (unique designs stand out) |
Best For | Entrepreneurs who want to sell trending products quickly | Creatives who want to build a long-term brand |
Which Online Business is Better for You?
✅ Choose Dropshipping if:
- You want a wide range of products (gadgets, accessories, home decor, etc.).
- You prefer minimal involvement in product design.
- You want to quickly test and switch trending products.
✅ Choose Print-on-Demand if:
- You enjoy creating designs or have access to unique artwork.
- You want to build a long-term brand with custom products.
- You prefer higher profit margins over selling generic products.
The Right Choice for You
- If you want quick sales and a large product selection, go with dropshipping.
- If you want long-term branding and unique designs, print-on-demand is better.
- If possible, combine both to maximize profits and diversification.
Both business models can be profitable if executed well. Choose the one that aligns with your skills and goals, and start building your online business today!
FAQs: Dropshipping vs. Print-on-Demand
Which is easier to start, dropshipping or print-on-demand?
Both are beginner-friendly, but dropshipping requires less creativity, making it easier to launch quickly. Print-on-demand takes time to create good designs.
Can I run both businesses at the same time?
Yes! Many entrepreneurs combine both models, selling generic dropshipping products alongside custom POD products.
Which business model is more profitable?
Print-on-demand can have higher margins if you sell unique designs. Dropshipping often has lower margins but higher sales volume due to more product variety.
Is dropshipping or print-on-demand more sustainable?
Print-on-demand is more eco-friendly because products are made only when ordered, reducing waste. Dropshipping often involves mass-produced items that may not be sustainable.