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Dropshipping vs Print on Demand – Complete Guide for 2025

Vivan Z.
Created on November 26, 2024 – Last updated on February 6, 20253 min read
Written by: Vivan Z.

In 2025, the e-commerce industry continues to grow rapidly, and Dropshipping and Print on Demand (POD) are two of the most popular business models. Many entrepreneurs often find themselves torn between the two when deciding which type of e-commerce store to start. So, what are the key differences? Which model is better for you? In this article, we will thoroughly compare these two business models, discuss their pros and cons, and help you make a well-informed decision.

What is Dropshipping?

Dropshipping is an e-commerce business model. The retailer doesn’t keep inventory. Instead, they team up with a supplier. When an order comes in, the supplier ships the products straight to the customers. In this model, the retailer focuses on sales and marketing while the supplier takes care of product manufacturing, inventory management, and shipping.

For more details on dropshipping, check out our previous article on What is Dropshipping & How to Start.

how does dropshipping work

What is Print on Demand?

Print on Demand (POD) is a custom e-commerce model where the retailer does not need to purchase large amounts of inventory upfront. Instead, products are printed and produced only when a customer places an order. This model is often used for custom items like T-shirts, mugs, posters, and more. It allows retailers to offer unique and personalized products without the need for upfront inventory investment.

For more detailed information on Print on Demand, refer to our earlier article on What is Print on Demand? A Beginner’s Guide to the Growing?.

Dropshipping vs Print on Demand: A Comparative Analysis

feature Dropshipping

Dropshipping Pros & Cons
Dropshipping Pros&Cons

Print on Demand Pros & Cons

 

Dropshipping vs Print on Demand: A Comparative Analysis

Which One Should I Choose?

Instead of choosing between dropshipping and print on demand, the goal of this article is to help you gain a deeper understanding of both business models. By reading this guide, you should be able to make an informed decision about which industry or service is the best fit for you. Both models have their unique advantages, and your decision should be based on your business goals, target market, and product offerings.

Conclusion

As we discussed in the Dropshipping Pros section, services like DropSure can help streamline and enhance the dropshipping process. We encourage you to explore your options carefully and choose the model that aligns with your business vision and resources.

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Keep Learning

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You’ve probably heard the saying: “Price = Cost × 2.” Sounds nice, doesn’t it?But anyone who’s done dropshipping knows — if you really follow that, you’ll basically end up eating dirt. This article will walk you through, step by step: where your profits actually go, and how to calculate a realistic pricing strategy to avoid the nightmare of “the more you sell, the more you lose.” The Cost Components of Dropshipping  Don’t fool yourself into thinking the cost is just what you pay on 1688, AliExpress, or Temu. The real cost = product price + shipping + fees + marketing expenses + returns/customer service + taxes + your own salary/profit expectations. Let’s break it down: Cost Item Example Data (Selling One T-shirt) Product Cost ¥20 (AliExpress cost) International Shipping ¥15 (ePacket or Yanwen small package) Platform Fees ¥5 (e.g., PayPal + Shopify transaction fees) Marketing Cost ¥30 (Facebook ad spend) Returns/After-sales Allocation ¥3 (average 1 return per 10 orders) Other Expenses ¥2 (Shopify subscription, domain, customer service, etc.) Total Cost ¥75 Note: This doesn’t include your profit expectations yet. How to Calculate Your “Bottom-Line Price”   Many people set prices on a whim: “The product cost is ¥30, so I’ll sell it for ¥60. That should be enough to make a profit.” But in dropshipping, this kind of pricing is basically suicidal. Your costs are much more than just the product price — you have shipping, advertising, platform fees, after-sales costs, and more. If you don’t calculate these clearly, you might think you’re making money on a sale, but in reality, you’re losing. So let’s get clear on a crucial concept — the bottom-line price. What is the bottom-line price?The […]

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