How to Start a White Label Dropshipping Business in 2022?

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how to start a white label dropshipping business

White label dropshipping is known as an e-commerce term, and using white labels means that we get the product from a supplier or manufacturer in its original packaging and then resell it.

In this article, you will learn all about what white label dropshipping means, its pros and cons.

Also, we will guide you on how to start a white label dropshipping business, and compiled a “DIRECTORY” of the top 8 white label dropshipping suppliers that you may inquire from.

What Is White Label Dropshipping?

In white label dropshipping, the transaction between the dropshipper and the manufacturer is completely anonymous.

During white label dropshipping shipments, the package does not have any name or logo of the manufacturer, but will have specific instructions in case the customer wants to return it.

This way, the customer never knows where the package came from.

Just like any other dropshipping business structure, white label dropshipping is a new, resourceful model for doing business during times of mass hysteria.

Once a manufacturer agrees to the terms and conditions of this form of dropshipping, the business becomes very smooth and has the potential for rapid growth.

You may learn more about Dropshipping for details below:
Is Dropshipping Legal? Everything You Must Know In 2022


White Label Dropshipping Pros and Cons

white label dropshipping business model

White label dropshipping has its pros and cons, and understanding them will help you prepare for the challenges you may encounter when using white label products.

White label dropshipping pros

When you white label high-quality products, you will establish your business as a reputable dropshipper of quality goods. You can also set the price you want and make a huge profit minus the hard work.

Best of all, if there is a problem, it is always the manufacturer who takes responsibility and solves the problems encountered with white label products.

White label dropshipping cons

Limited choice of brands: Since the manufacturer or supplier will create the containers, labels and packaging for the white label product based on your design, you can only be sure of what he can produce for you.

Limited product selection: You can only choose products made by the manufacturer and cannot create unique products to sell.

Competition is fierce: It’s hard to stand out from other shippers selling the same product, with or without a white label.

You may learn more about Branded Dropshipping for details below:
Branded Dropshipping: What is It? How to Build One in 2022?


White Label Dropshipping Vs. Private Label: Which Is Better?

white label dropshipping vs. private label

The choice between white label dropshipping or private label depends on your business goals.

White label products are usually cheaper and can generate huge profit margins. They can be produced faster and at a lower cost than private label products.

On the other hand, private labels make you an exclusive seller of the product, which is a good way to stand out from your competitors.

You can also choose the regular dropship marketing method without using any private or white label products!

With this method, your dropshipping supplier will not place any logos, company names, or marketing materials on the packages shipped to the end consumer.

In addition, the generated return label will simply appear as “Warehouse”. This is usually done in an inconspicuous brown box or in the supplier’s original box.

You may learn more about White Label Vs. Private Label for details below:
White Label Vs. Private Label: What’s the Difference?


How to Start a White Label Dropshipping Business?

To help you, we have listed 9 important steps to start a successful white label dropshipping business:

1. Product and niche research

As you know by now, research is the key to your success. Before choosing your white label supplier, you must thoroughly research the niche and products you want to sell.

So you can narrow down your product list and find suppliers that make products in your niche.

You may learn more about White Label Products for details below:
Beginner’s Guide 2022: What is White Label Product? 10 Examples to Sell Online

2. Find white label suppliers

Now it’s time to find a list of suppliers, you can find some of the best white label dropshipping suppliers list in the world through CJDropshipping.

When searching through the listings, keep some key points in mind. For example, make sure the supplier ships to different regions so you can sell to a larger audience and check their return policy.

In addition, you can completely automate your dropshipping business with CJDropshipping and its supported vendors. By doing so, you can automate boring daily tasks that usually take a lot of time.

For example:

  • Price/inventory monitoring
  • Fast product import
  • Automated order fulfillment

When you automate these processes, you can focus your time on expanding your business.

3. Search for your products/niche

white label dropshipping

Now with a list of white label suppliers, you can search to see which suppliers offer the products you are selling. Remember, this may seem tedious, but careful vendor selection is critical to your success.

With this in mind, let Yansourcing research the white label suppliers that show the best results for your product/niche. We’ll look at product ranges, prices, reviews, shipping times, and return policies.

You can find out more details about Yansourcing’s services below:
Introduction of Our Services and Charges

4. Check branding and pricing options

In general, the more flexible your supplier is, the better it will be for you. Therefore, you should check what options white label suppliers have to hide branding and pricing information from buyers.

For example, you can contact an AliExpress seller and ask them not to include their brand or invoice.

In addition, through Amazon, you can use gift wrapping and add gift information to your buyers. Any additional personalization will help you increase sales and enhance customer loyalty.

5. Create a business policy

While this may not be the most exciting part of running a dropshipping business, it is still necessary. Like any business, you must have a clear set of policies for your suppliers and customers.

Therefore, you need to create business policies based on what your suppliers can offer. Examples include shipping/return times, shipping locations, and quality inspections.

6. Import products into your store

You have completed your research and selected your white label suppliers, now it is time to import the products from these suppliers into your dropshipping store.

When products are sold, you buy them from your white label suppliers and ship the products directly to your customers.

So, how do you import products into your store? Well, you can use either manual or automatic methods.

imported from cjdropshipping

Manually, you need to copy and paste all the product information from the supplier’s page and paste it into your website. However, doing this one by one for each product can take a lot of time.

While using the automatic method, you can perform all the time-consuming tasks automatically.

With CJDropshipping, you can use the draft importer, which will automatically take all the information about your products from their supplier’s website and import them into your dropshipping store.

Thus, saving you time and allowing you to focus on expansion.

7. Fulfill your orders

Congratulations, you’ve made your first sale! Now it’s time to complete your order and ship your products. Similar to the previous step, you can fulfill the order manually or automatically.

If you fulfill the order manually, you will need to purchase the product from the vendor’s website and ship it to your customer.

Then, you must constantly check if you need to update any information, such as the tracking number.

However, not only does this take time, but you may risk entering incorrect information and losing the customer.

To avoid this, you can use an automated system. CJDropshipping offers a complete fulfillment solution that automatically processes 100% of orders (from supported vendors).

So you don’t have to worry about entering the wrong information and you can make sure your customers are satisfied.

8. Buyer receives the product

After the product is shipped to your customer, the shipment arrives and they receive their product. Supplier remains anonymous during the entire transaction, which is exactly what you need.

Therefore, your buyers will be happy when they receive their products quickly.

To ensure success, follow the tips above to work with quality suppliers and automate order fulfillment, processing your orders even while you sleep.

Remember, satisfied customers are loyal customers, which is critical to the long-term success of your business.

9. Location and price remain anonymous to the buyer

As with the previous step, buyers have no idea where the package came from or how much it cost. As you saw before.

Supplier staying anonymous in the process and you collecting your profits is how the white label dropshipping business model works.

On the other hand, in cases like Amazon gift wrapping, buyers will see that the product came from Amazon because you can’t remove their brand.

However, there is no need to worry because 99% of buyers don’t care at all. As long as they receive the package on time and in good condition, they will be happy with your service.

You may learn more about Dropshipping Process for details below:
Dropshipping Process: How to Start Dropshipping Business?


Top 8 White Label Dropshipping Suppliers

Without a great white label dropshipping supplier, our business would be at risk of virtually no sales.

Of course, we don’t want our business to fail; we want to succeed. When selecting suppliers, our goal is to work with only the best in the business.

Here are top 8 best white label dropshipping suppliers that offer quality products and excellent service:

1. CJDropshipping

cjdropshipping

CJDropshipping is an outstanding white label supplier. With global warehouses and their white label branding options, they can benefit from fast shipping times and parcel customization.

In addition, CJdropshipping guarantees quality control of each item before it is shipped, ensuring the best possible product for our buyers.

These key features, along with affordable pricing, make CJDropshipping the ideal white label provider.

Pros

  • No setup/monthly fees
  • No minimum order quantity (MOQ)
  • Free warehousing of CJ products
  • Free product sourcing and listing
  • Automatic order fulfillment and processing
  • Reliable shipping times and reasonable costs
  • Global warehouses: China, USA, Thailand, Germany, Indonesia
  • Customized packaging/branding/white labeling
  • Print-on-demand (POD) services for sellers and buyers
  • Quality check of each package
  • Cash on Delivery (COD)
  • Product photo/video shooting services
  • 7/24 customer support

Cons

  • Shipping costs are calculated based on the weight of the product

2. AliExpress

aliexpress

AliExpress is an international wholesale and dropshipping platform that connects e-commerce platforms with dropshipping suppliers and products.

Most merchants selling through AliExpress are located in China and source their products from that region. It is free and open to people around the world.

In addition, AliExpress has a powerful search engine that allows you to find any product you are looking for.

It also enables you to filter results by price, order quantity, customer ratings, and many other factors.

Pros

  • Large selection of products at low prices
  • Large selection of suppliers to choose from
  • Frequent discounts and cash-back opportunities

Cons

  • Shipping usually takes a long time
  • Increasing number of dishonest suppliers

3. NicheDropshipping

nichedropshipping

NicheDropshipping is a Chinese company that offers a comprehensive dropshipping solution. Their core services include product sourcing, warehousing, and of course, white label.

In addition, NicheDropshipping can help you create mock-up samples so you know what to expect from your products.

Quality control will also be the least of your concerns as they will follow through with production to ensure it meets the established standards.

Pros

  • Automated dropshipping solution to reduce workload
  • Every product undergoes rigorous quality checks
  • Worldwide shipping to expand your business

Cons

  • Must meet daily order quantities for white label products

4. HyperSKU

hypersku

HyperSKU is a dropshipping company that basically acts as a middleman. They can help you source and ship white label products directly from Chinese suppliers at a low cost.

HyperSKU performs quality control during the production process. However, if the product is still defective, a refund service is also offered.

Finally, all shipments from China to the EU and the US are completed in just 7 days.

Pros

  • Strict quality control and refund service
  • Fast 7-day shipping from China to the US and EU
  • Storage of products in the US warehouse

Cons

  • These products can be more expensive than AliExpress

5. Dropified

dropified

Dropified is another dropshipping service that acts as an intermediary to help its customers purchase products from AliExpress and many other sites.

They offer a variety of services, including white labeling, automated order fulfillment, order tracking, and more. However, the only problem with Dropified is that they charge a lot of money for their services.

Pros

  • Automated order tracking and inventory management
  • Focuses on ePacket to reduce delivery time and costs
  • Provides fast customer support via live chat

Cons

  • More expensive than most of the dropshipping services on this list

6. BigBuy

bigbuy

BigBuy is one of the most popular wholesale and dropshipping suppliers in Europe. But what sets them apart from other suppliers is that they use their own inventory for dropshipping.

All of their products are stored and distributed directly from their warehouse. This eliminates the hassle of dealing with middlemen.

BigBuy also offers custom packaging and invoicing to help build their customers’ brands.

Pros

  • Dropshippers get wholesale pricing with no minimum order quantity
  • Inventory is translated into over 20 languages
  • Frequent discounts and lightning deals to further reduce prices

Cons

  • Monthly subscription fees are relatively expensive, but necessary for dropshipping
  • Customers often complain about shipping time delays

7. DropCommerce

dropcommerce

DropCommerce is a supplier directory containing over 300 suppliers from North America. DropCommerce will also help you with white labeling after selecting the supplier of your choice.

And since most suppliers are from Canada and the US, shipping time is less than 5 days! The catch is that DropCommerce only provides branded invoices and not packaging.

Pros

  • Fast order fulfillment in the US and Canada
  • Over 300 suppliers to choose from, most of which are located in North America
  • Branded invoices make it look like the products are shipped from your warehouse

Cons

  • Does not offer branded packaging services

8. BTS Wholesaler

bts wholesaler

Beauty is an evergreen dropshipping niche and you can never go wrong. However, the only condition is that you need to find a trustworthy supplier.

Fortunately, BTS Wholesaler meets the criteria and can help you start a white label dropshipping business in the beauty field.

They have a free dropshipping program, but only work with customers in the EU. If you want to use their branded packaging services, joining the dropshipping program is essential.

Pros

  • Allows branded packaging for the dropshipping program
  • Purchase products at wholesale prices to increase profits
  • Over 17,000 references in stock

Cons

  • Only works with customers in the EU

You may learn more about Dropshipping Websites for details below:
Complete List 2022: Top 15 Best Dropshipping Websites


Tips before Using White Label Dropshipping

white label dropshipping tips

Here we provide 4 tips on what to know before using white label dropshipping:

1. Always communicate with the merchant

Continuous communication is a good characteristic of a healthy business.

Dropshipper should always be in contact with the supplier or manufacturer to avoid delays, make some design changes and maintain transparency.

This is very useful when placing large orders, where the best way to stay in touch is through a group chat or email line. The supplier/manufactuer must always keep you up to date with all his/her information.

2. Sign a contract with your manufacturer

Have a strong and straightforward contract with your manufacturer and make sure you have a strict set of terms and conditions, policies and regulations in place before doing business with each other.

If you need to have several meetings, read them carefully and make sure everything is on paper.

3. Work with an international shipping company

Shipping is one of the biggest tasks of any dropshipping company. There are many companies that offer very economical rates for shipping overseas; these usually end up delaying or even losing shipments.

Always choose a reliable international shipping company that can meet all your requirements and has extensive coverage, insurance and tracking tools.

4. Timely payment

As a dropshipper, payment to manufacturers can be stressful. Many manufacturers do not cooperate with payment methods and sometimes require large advance payments.

In such cases, make sure that payment is clearly mentioned in the terms and conditions and that both parties must abide by this contract.


White Label Dropshipping FAQ

1. Do all suppliers offer white label dropshipping?

No, not all suppliers offer white label dropshipping services. Instead, most suppliers are busy with their orders and they don’t have time to offer services such as white label dropshipping goods.

Usually, the larger suppliers offer services such as white label and private label. It also depends on how you convince them to offer white label dropshipping.

2. Can I put a white label on an AliExpress product?

Yes, you can put a white label on the AliExpress product after talking to the supplier and determining the terms and conditions.

You should select a supplier that offers a customized service in their store. You can then discuss the possibility of white labeling the products they sell.

3. Will the customer know where the package with the white label is shipped from?

No! When dropshipping white label products, the supplier delivers the package directly to the customer who ordered it from you. In this way, the supplier remains anonymous throughout the transaction.

4. What kind of products can be white labeled?

A dropshipper or retailer can white label all items that are legally sold. Whether it’s accessories, cosmetics, electronics, furniture, shoes, clothing, or sometimes even pharmaceuticals.

Any dropshippers can have a successful quarter by selecting the products that are most in demand.

5. What is the difference between private label and white label?

The main difference between private label and white label is that multiple dropshippers can sell white label products.

However, unlike white label products, private label products require a minimum order quantity. There are pros and cons to both, just check out our comparison of the two in this article.


White Label Dropshipping Conclusion

White label products may or may not be right for you. Developing a brand concept and finding the perfect product takes time and effort.

But if you are prepared to be complacent about the hard work and risk that comes with white label dropshipping, then it can pay off.

We are Yansourcing, a leading sourcing company in China, dedicated to helping our clients source products from China at the most competitive prices. If you are interested in importing from China, please feel free to contact us.

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yan

Yan

Hi, I'm the author of this post, and I have been in the sourcing field for more than 10 years. If you are interested in importing from China, feel free to ask me any questions.

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