Dropshipping Industry Statistics and Percentage Simply Explained

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5 Online Shopping & eCommerce Statistics All Dropshippers Need to Know

What’s in a number? A lot.

That is why, today, we will address the top five eCommerce statistics that all dropshippers should be aware of.

These are items that will assist you in gaining a better understanding of your market and helping you determine where you should be.

The online shopping statistics listed below will serve as a starting point for your dropshipping company. For the 10+ years, I’ve been doing this, the only way I could sort out these numbers was to put in the effort, create shops, and go through so many different processes.

Five eCommerce Statistics for Online Shopping 

I’ve built a baseline of metrics over the years. And I’m going to give you five of them in this blog. That should be extremely beneficial to you and allow you to see where you stand with your business.

I’ll also give you some easy win ideas that you can put into action right away to improve your performance.

On Average, Funnel Conversion Rates Drop 50% at Each Step.

Conversion rates in your sales funnels are the first of these five eCommerce statistics. It’s important to understand that your store’s funnel’s conversion rate will drop by 50% on average at each move.

Bear in mind that these statistics are always averages since there are still exceptions.

I’m not referring to ClickFunnels here; I’m referring to Shopify. So, if you’re still using Shopify, you can see how your conversion funnel looks in your dashboard.

I’m sharing this eCommerce statistic (and why we use it) to find sales funnel bottlenecks. If you’ve found the problem, you can begin taking steps to correct it and improve sales.

To begin, a 50 per cent rule of thumb is a good place to start. You want to be able to deconstruct potential issues with your company and in your website pages.

Let’s claim that eight out of every 100 visitors (8%) add a product to their shopping cart on your website. With a 50% decrease, you can expect about 4% of them to make it to the checkout tab. Furthermore, only 2% of those 100 tourists make a purchase.

Of course, conversion rates differ depending on where your traffic comes from and how well your platform is configured. So these are all numbers I’m throwing in for the sake of illustration. Remember that conversion rates will drop by about 50% at each stage, as a general rule of thumb.

So, how do you put this to use? Examine the data that is already available in your store and pinpoint the areas that need to be addressed. So, let’s presume your conversion rate on your store is currently 1%. However, 10% of visitors to your site complete the checkout process. And maybe 20% of visitors to your site are adding items to their shopping carts.

If I were auditing a store and saw a huge decrease from 10% to 1%, I’d know something was wrong with my checkout. Then I’d look for issues in that move to correct the drop-off and lift my conversion rate to 5%. Keep in mind that each activity should be 50%.

A Healthy, Blended Return on Ad Spend is 10x with the Drop Ship Lifestyle Model.

This online shopping statistic pertains to the Drop Ship Lifestyle business model, which I use and teach. Okay, with a blended ROAS (return on ad spend) often, okay? Blended is a term that refers to a combination of various items.

This is a common query we get: “How much should I spend on Google Ads?” The response is always different. Let’s presume you’re using Google Ads, which you most certainly are if you’re a Drop Ship Lifestyle participant, and you spend $100 on advertisements. So, if you spend $100 promoting your paddleboard shop, I’d expect you to make at least one $1,000 sale.

What is the reason for this? You will get a 10x return on ad spend if you spent $100 to get a $1,000 sale. That figure is an excellent starting point. So, when people ask us how much they should spend on advertisements, we tell them how much they should pay. My response is straightforward: if you can obtain a 10x return on ad spend, you should spend as much as possible.

Does that mean you have to spend it all on your first day of business? Without a doubt, no. However, as you scale and become more comfortable with paying traffic, your return on ad spend will stabilize, you can increase your spending.

Listen, if I can give you $100 and have you buy something from me for $1,000, I’m probably going to make a 20-25% net profit. That’s what I’d do all day.

I should also point out that this does not include the product’s cost or the cost of the products sold. The profit margin does, but not the ad expenditure return.

To conclude, the second significant eCommerce statistic to know is that a healthy, blended return on ad spends with Drop Ship Lifestyle is 10x. If your return on ad spend is lower than that, my recommendation is to investigate what’s causing conversion drop-offs.

Please take a look at what’s giving you traffic and build on it. If you get a higher return on ad investment, that’s fantastic! That, however, implies to me that you will invest more money and continue to work in your sweet spot.

At the end of the day, if you invest more, even if your return on ad spends decreases marginally, you would end up with a higher net profit. Isn’t that what the game is all about? How much money remains in your bank account each month, and how large that number will grow? Again, for more information on dropshipping, see our Ultimate Drop Shipping Guide.

Targeted Traffic From Your Alpha Campaign Should Convert at 2.5% or Better.

According to the Drop Ship Lifestyle model, the third eCommerce statistic to know when dropshipping is that targeted traffic should convert at 2.5 per cent or better. Now, when I say targeted traffic, I’m referring to the alpha campaign.

The Google Ads for eCommerce course that comes with Drop Ship Lifestyle now includes alpha and beta promotions.

Assume your alpha campaign got 100 clicks. That is, 100 people have clicked on your Google product ad. That means 2.5 of them can make a purchase. According to figures, you should have 2.5 sales.

If your alpha campaign isn’t showing you what you want, it’s time to start again. Begin by reversing the process and looking for potential leaks or weak points in your campaign.

If you’re a participant, I highly advise you to visit Drop Ship Lifestyle and watch the video we have open, which depicts a live campaign. There, you’ll learn how to find various weak points and how to troubleshoot them.

Urgency, Scarcity, & Bonus Offers Should Double Your Conversion Rate.

The fourth online shopping statistic you should be aware of is that urgency, scarcity, and incentive deals should double the conversion rate by a factor of two. If you’re looking to start implementing this, it’ll probably be a little difficult to keep track of.

You’re probably already using some of these on your website if you’re a Drop Ship Lifestyle participant. If you aren’t, or if you aren’t having the results you think you are, here are three places where you can make extra money on your store quickly, comfortably, and cheaply.

Seriously, if your conversion rate is currently 1.25 per cent, if you do this correctly, it could easily increase to 2.5 per cent. This seems to be self-evident. But, by the end of each month, you’ll have a lot more money in your wallet and bank account.


Let’s begin with a sense of urgency.

Using an expiring header coupon code bar is one of the items we suggest in dropshipping shops. It could be as easy as “Press to Save 10% on All Orders!” Expires at Midnight Tonight!”

Doing anything like that would bring a sense of urgency. For a limited time, it is offering tourists a discount code. As a result, they must determine whether or not to save money, and they must do so within a certain period.


Now, with scarcity, you can do this when there are just a few things left. You can specify on your product page that only a few products remain in stock. It’s something Amazon does all the time!

By doing so, you’ll be using a strong persuasion tactic to establish scarcity. If the quantity is truly small, your visitor will need to decide sooner rather than later whether or not they want the commodity.

When you pair that with the need to save money, it’s a recipe for disaster. When you mix urgency and scarcity, you have a far better chance of making a sale.

Bonus Offers

Finally, let us discuss incentive deals. This means you can have something with a purchase to help close the deal and encourage visitors to buy from you.

If you’re selling paddleboards, you should throw in a free bag so they can transport it in their car.

And you’d take a snapshot of it and stress the gift as well as the real value. I even go so far as to suggest, “When you buy from us, we’ll ship it to you for free.”

If you’re not even using any of the above strategies, you can start using them right away and predict a significant increase in conversions, at least doubling! When it comes to turning tourists to customers, this is some serious stuff.

Now, if you do this and your earnings don’t double, you may want to reconsider the incentives you’re including. Have a more appealing coupon code in your header bar, maybe.

Keep tinkering with these things, whatever it is. It will still be a quick way to double your conversion rate and increase your revenue.

66% of Online Shoppers Will Buy From Your Competition if They Offer More Shipping Options.

The fifth and final online shopping statistic that dropshippers should be aware of is that 66% of online shoppers would purchase from the competition if they have more shipping options.

Today, a lot of people do this, and I understand why because it’s the simplest. They offer one shipping option– either a flat rate or free shipping. We usually opt for free shipping, particularly if we’re using the Drop Ship Lifestyle model and selling high-ticket pieces.

What’s cool about that is that it seems that all of your rivals are doing it, so you can as well. However, it would help if you did not stop there.

Different people have various requirements.

This is why I discuss how to do stuff like include expedited shipping as an upsell in the Drop Ship Blueprint. On items where it makes sense, I also mention white glove delivery.

What if you have a customer ready to place a $4,000 or $5,000 order, but they want white glove delivery? They urgently need someone to deliver it to their residence. They’re not going to buy from you if you don’t have that. You’d be able to get the sale if you provided more delivery options.

This does not imply that you can provide free shipping as a norm. It simply means that the more choices available, the better. When it comes to supporting the clients, imagining a range of situations such as this can provide them with options.

When it comes to buying options, people have a lot of options.

Another field where getting choices makes sense is when it comes to payment methods. As a consequence, I recommend stressing that your company supports Apple and Google Play. To put it bluntly, if anyone offers you money, you should be able to accept it.

Let’s take a look at your choices now. You’d have free shipping as a default, so everybody gets it if they want it. That would result in a monetary benefit of zero.

Then you would have the expedited, correct?

You may do this as an upsell on the page, in your cart, or anywhere else. But let’s presume somebody requires the product in four days rather than the usual ten. Then you should provide them with that choice.

People might even want a white glove, as I mentioned earlier, depending on your niche. If they want it, you can have it for whatever price they want.

Just because you have a range of shipping options doesn’t mean that everybody will use them. Visitors, on the other hand, are more likely to purchase from you if they need it. Only leave it there as a possibility.

By far, the bulk of people can also take advantage of free shipping. On the other hand, those who want something else would be able to buy from you instead of quitting. And if you don’t offer such delivery options, it will still make your store more money than its rivals.

Wrapping up Online Shopping Statistics Dropshippers Need to Know 

I hope that these five eCommerce statistics about online shopping patterns help you see all of the ways you can improve and maximise your dropshipping store.

To sum up:

  • At each step of the funnel, conversion rates drop by 50% on average.
  • A Healthy, Blended Return on Ad Spend is 10x with the Drop Ship Lifestyle Model.
  • Your Alpha campaign’s targeted traffic should convert at a rate of 2.5 per cent or better.
  • Your conversion rate could be doubled if you use urgency, scarcity, and bonus offers.
  • If your competitors offer more shipping options, 66% of online shoppers will buy from them.

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