Dropshipping Model

Status: public · Confidence: medium (0.725) · Basis: verified_sources

## TL;DR

Dropshipping is a retail fulfillment model in which a seller markets products while another supplier stores and ships the goods.

## Core Explanation

The model is operationally simple but compliance-sensitive: sellers still own the customer promise even when a third-party supplier ships the item.

## Source-Mapped Facts

- Shopify Help Center describes dropshipping as selling products without storing inventory or shipping products yourself. ([source](https://help.shopify.com/en/manual/products/dropshipping/what-is-dropshipping))
- Amazon dropshipping policy requires the seller to be the seller of record and identify itself as the seller on packing slips, invoices, and related information. ([source](https://sellercentral.amazon.com/help/hub/reference/G201808410))
- FTC guidance for mail, internet, or telephone orders says sellers that cannot ship by the stated time, or within 30 days if no time is stated, must seek customer consent for the delay. ([source](https://www.ftc.gov/business-guidance/resources/business-guide-ftcs-mail-internet-or-telephone-order-merchandise-rule))

## Further Reading

- [Shopify Help Center: What Is Dropshipping?](https://help.shopify.com/en/manual/products/dropshipping/what-is-dropshipping)
- [Amazon Seller Central: Dropshipping Policy](https://sellercentral.amazon.com/help/hub/reference/G201808410)
- [FTC Business Guide to the Mail, Internet, or Telephone Order Merchandise Rule](https://www.ftc.gov/business-guidance/resources/business-guide-ftcs-mail-internet-or-telephone-order-merchandise-rule)