How To Start Dropshipping In Denmark In 2025
Why start dropshipping
Have you ever dreamed of running your own business but felt unsure where to start?
Dropshipping is a fantastic way to make that dream a reality! It allows you to curate a selection of products that truly reflect your style, all without the hassle of managing inventory.
Imagine connecting with customers from all over the world while working from your favorite spot at home.
With minimal startup costs and the freedom to explore your passions, dropshipping is perfect for beginners like you.
You’re in the right place to kick off this exciting adventure. Embrace the journey, and let your creativity shine – your future is waiting!
How dropshipping works
Why start dropshipping in Denmark
In recent years, Denmark has emerged as a fertile ground for dropshipping, a business model that allows entrepreneurs to sell products without holding inventory. This innovative approach is particularly appealing in Denmark, where the ecommerce landscape is flourishing. With over 98% of the population having internet access and a significant rise in smartphone usage, entrepreneurs can connect seamlessly with suppliers and customers, ensuring efficient operations and customer satisfaction.
The Danish market is characterized by a high level of consumer trust and a strong preference for online shopping, making it an ideal environment for dropshippers. According to recent statistics, in 2024, ecommerce revenue in Denmark is estimated to be worth around 7.6 billion euros. By 2028, online retail revenue is forecast to hit 10 billion euros, highlighting the growing demand for online retail. This trend is further fueled by the increasing acceptance of digital payment methods, which facilitates smoother transactions and enhances the shopping experience.
As a further matter, starting a dropshipping business in Denmark requires minimal upfront investment, allowing aspiring entrepreneurs to enter the market with ease. The absence of inventory management and fulfillment responsibilities means that business owners can focus on marketing and customer engagement, paving the way for creative business strategies.
In light of the evidence, Denmark’s robust ecommerce ecosystem, combined with its tech-savvy population and favorable business conditions, makes it a prime location for launching a dropshipping venture. By embracing this model, entrepreneurs can tap into a thriving market and embark on a journey of growth and innovation.
Advantages and disadvantages of dropshipping in Denmark
Advantages of dropshipping in Denmark
1. Low startup costs
One of the primary advantages of dropshipping is the minimal initial investment required. Entrepreneurs can start an online store without needing to purchase inventory upfront, making it accessible for many aspiring business owners in Denmark.
2. Flexibility and scalability
Dropshipping allows business owners to operate from anywhere, providing a flexible work environment. As the business grows, scaling up is relatively easy, as there’s no need to invest in additional inventory or warehouse space.
3. Wide product selection
Retailers can offer a vast range of products without the constraints of physical inventory. This flexibility enables Danish entrepreneurs to cater to niche markets and test various products without significant financial risk.
4. Reduced complexity
The dropshipping model simplifies logistics and inventory management. Retailers do not have to handle shipping or storage, allowing them to focus on marketing and customer service.
5. Cost efficiency
With dropshipping, businesses can save on overhead costs associated with warehousing and inventory management. This cost efficiency can lead to higher profit margins and a more competitive pricing strategy.
6. Opportunity for market testing
Entrepreneurs can easily test new products in the market without committing to large inventory purchases. This ability to pivot quickly based on customer feedback is crucial in the dynamic Danish ecommerce landscape.
7. Access to global suppliers
Danish dropshippers can source products from suppliers worldwide, allowing them to offer unique items that may not be readily available in Denmark. This access can enhance product offerings and attract diverse customer bases.
8. No need for physical storefronts
Dropshipping removes the necessity for a physical retail space, which can be a significant cost-saving factor. This model aligns well with the growing trend of online shopping in Denmark.
9. Automation potential
Many aspects of dropshipping can be automated, from order processing to inventory management. This automation can save time and reduce the potential for human error, making operations smoother.
10. Growing ecommerce market
Denmark has a thriving ecommerce market, with increasing online shopping trends. Entrepreneurs can leverage this growth, tapping into a consumer base that is increasingly comfortable with online purchases.
Disadvantages of dropshipping in Denmark
1. Limited control over product quality
Since dropshippers do not handle the products directly, they may face challenges in ensuring product quality. Poor quality can lead to customer dissatisfaction and harm the retailer’s reputation.
2. Shipping challenges
Depending on the supplier’s location, shipping times can vary significantly. Long delivery times can frustrate customers, especially in a market like Denmark, where fast shipping is often expected.
3. Increased competition
The low barrier to entry in dropshipping means that many entrepreneurs are entering the market. This saturation can lead to intense competition, driving prices down and reducing profit margins.
4. Difficulty managing returns
Handling returns can be complex in a dropshipping model, as products are shipped directly from suppliers. This complexity can lead to customer service challenges and impact overall customer satisfaction.
5. Dependency on suppliers
Dropshippers rely heavily on suppliers for inventory and shipping. Any issues on the supplier’s end, such as stock shortages or shipping delays, can directly impact the retailer’s business.
6. Lower profit margins
While dropshipping can be cost-effective, the profit margins are often lower than traditional retail models. Retailers must sell a high volume of products to achieve significant profits.
7. Limited branding opportunities
Since products are shipped directly from suppliers, there may be limited opportunities for branding and personalization. This lack of control over branding can make it harder to build a unique identity in the market.
8. Potential for supplier issues
Relying on third-party suppliers can lead to issues such as stock outages or quality inconsistencies. These problems can disrupt business operations and lead to customer dissatisfaction.
9. Legal and tax implications
Navigating the legal and tax requirements for dropshipping in Denmark can be complex. Entrepreneurs must ensure compliance with local regulations, which can be a barrier to entry for some.
10. Customer service challenges
Providing high-quality customer service can be challenging when relying on suppliers for fulfillment. Any issues with orders may require dropshippers to mediate between customers and suppliers, complicating the service process.
While it’s true that customer service can be a challenge in dropshipping, the rewards of building a brand with loyal customers and the scalability of the business model often outweigh these obstacles for dedicated business owners.
What to dropship?
How much can you make with dropshipping?
How far you can go with dropshipping: real-life experience
FAQ
Is dropshipping legal in Denmark?
Yes! When you are dropshipping, you are not ‘fooling’ anyone, and you are not breaking any laws. You are simply helping other people receive the items they want - and enjoy the perfect customer service you provide.
However, pay attention to your choice of products. It is illegal to sell branded, copyrighted items, or things like weapons (even their sports or hunting models), knives, smoking mixtures, etc.
How much money do I need to start?
At least $150 is necessary - let’s do the maths.
If you have some technical skills and can assemble and set up a website yourself, you will need around $150.
First of all, you will need to buy a domain name (a good one costs about $10-15, and you will need to pay this fee every year to prolong your registration).
After that, you need a hosting: a server that makes your store info visible to the Internet user. You can use the basic hosting service from AliDropship (‘Silver Plan’) and only pay $69 per year.
Then, you will need to install WordPress, which is absolutely free, and buy AliDropship plugin, which costs $89. It should be enough: WordPress + AliDropship make a proper basis to create a fully functional dropshipping store.
If you don’t have these technical skills, you can order a ready-made store based on the AliDropship plugin. It will be made for you personally by an expert team: the specialists will even add the first products to your store. So, technically, it will be ready to sell items from day 1. The basic ready-made dropshipping store costs $299; together with the annual domain fee, you will have to pay $310-315 to launch your business.
How to choose the store niche?
First, it should be something that you really like - or, at least, know deeply. You will be picking products, making advertisements, and advising customers, so you absolutely need to be a pro in this.
Also, this niche should be popular with buyers and easy to promote online. Here is a complete niche selection guide that will help you!
Where to find the products?
AliDropship plugin lets you easily import products on your dropshipping website. Basically, it transfers the products’ titles, descriptions and images in a single click. So, all you need to do is browse and find good quality products from reputable sellers.
Alternatively, you can use a database of over 50,000 selected products which are guaranteed to be in high demand. This database is available within AliDropship plugin: you can see it when you go to the Import section of your AliDropship-based store. The best part is that all the products’ titles and descriptions are already edited there, so you won’t spend your own time doing this yourself.
If I sell products, how can I compete with itself?
AliExpress is a large shopping platform where sellers offer everything at once. At the same time, your niche dropshipping store is focused on a specific range of products. Surely, you are more client-oriented than a large-scale store, and this is why buyers will choose you over.
Will my buyers know they are actually buying items?
It’s not likely. Even if they see Chinese names/addresses/characters on the wrapping paper, it won’t tell them anything. Lots of warehouses and manufacturing facilities of the largest global companies are situated in China, so there is nothing strange if a buyer receives a package of the Chinese origin.
Also, you can write your suppliers directly and ask them not to put any promotional materials into the package. Sellers are always glad to partner with dropshipping store owners because this partnership is profitable, so they will be happy to help you.
Will my buyers agree to a long delivery?
Long delivery itself isn’t a problem. Your customers are not buying life critical items from you, so they don’t mind waiting - especially, if you offer them an appealing price and a low-cost shipping.
Besides, you can choose the ePacket delivery method which cuts up the delivery time significantly. With ePacket, it will take the packages 7-15 days to arrive.
What if a buyer asks me for a refund?
Refunds are the responsibility of the original suppliers. Usually, they refund low-cost purchases really quickly, so there is nothing for you to worry about.
How to promote the store?
To make profit from your store, you first of all need to attract traffic to it. There are lots of ways to promote your store online for free, so pick the ones you personally like. Also, read the free marketing tips for dropshipping business: an experienced team brings them to you every week!
Will WordPress or AliDropship limit my activity and charge business fees?
No. The only recurring fee is the domain fee - you will have to pay for it every year, otherwise, your site won’t be visible on the Internet.
WordPress is completely free, and all the AliDropship solutions only require a one-time payment. Whatever AliDropship tool or service you get, you remain a full owner of your business. There are no limits on the amount of orders you can accept, or the volume of profit you make, or the quantity and the content of the products you import, etc. You are your own boss!
Free Dropshipping Guide
