How To Start Dropshipping In Hungary In 2025
Why start dropshipping
Imagine a world where the bounds of geography fade away, where your entrepreneurial dreams can break free from the limits of your location.
This is the realm of the global business, where customers worldwide await your offerings.
If this vision captivates you, then you’ve arrived at the right place. Dropshipping, a business model that levels the playing field, presents equal opportunities for everyone.
Seeking a brighter future for yourself and your family? Start an online business that generates income from anywhere in the world.
All you need is a reliable internet connection and an online store. Your entrepreneurial path begins here, in this borderless realm of boundless potential.
How dropshipping works
Why start dropshipping in Hungary
In the heart of Eastern Europe, Hungary stands out as a fertile ground for entrepreneurs looking to tap into the booming dropshipping sector. The country’s strategic location, coupled with a well-developed logistics network, makes it a prime location for launching a dropshipping business.
The Hungarian market is characterized by a growing middle class, which has a significant disposable income to spend on online goods, thus driving the demand for diverse and international products.
Hungary’s ecommerce landscape is not only consumer-driven but also supported by the government’s initiatives to foster digital entrepreneurship. The state offers a range of incentives, from tax breaks to simplified legal frameworks, which can significantly lower the barriers to entry for new businesses.
Moreover, the country’s robust internet infrastructure and widespread adoption of digital payment solutions further enhance the ease of conducting online sales and transactions. According to recent data, the Hungarian ecommerce market is poised to capture over 7% of the transaction volume, potentially exceeding $1.5 billion in value, which underscores the vast potential for growth and profitability in this sector.
Starting a dropshipping business in Hungary is not just about capitalizing on the current market trends; it’s also about contributing to the local economy and being part of a broader movement that aims to transform the traditional retail sector into a modern, digital-first commerce landscape. By establishing a dropshipping business, entrepreneurs can play a pivotal role in this transformation, benefiting from the local support while making a global impact.
Advantages and disadvantages of dropshipping in Hungary
Advantages of dropshipping in Hungary
1. Strategic location and logistics
Hungary’s strategic location in Central Europe is particularly significant for businesses looking to serve both European and international markets. The robust infrastructure and reliable transportation systems reduce delivery times and enhance customer satisfaction, which is crucial for maintaining a positive brand image.
2. Growing middle class and high disposable income
The Hungarian market is characterized by a growing middle class with significant disposable income. This demographic is increasingly turning to online shopping, driven by the convenience and variety offered by ecommerce platforms.
3. Government support and incentives
The Hungarian government is actively promoting digital entrepreneurship through a range of incentives. These include tax breaks, simplified legal frameworks, and support for digital infrastructure. These initiatives not only lower the barriers to entry for new businesses but also create a supportive environment for growth and innovation. Entrepreneurs can leverage these resources to streamline their operations and reduce operational costs, making it easier to start and sustain a dropshipping business.
4. Rapid capital turnover
One of the most significant advantages of dropshipping in Hungary is the rapid capital turnover. Hungarian marketplaces enable sellers to monetize at the back of the funnel, meaning that payment terms are significantly shortened from the industry average of 60-120 days to just one day. This rapid capital turnover is a game-changer, driving explosive growth and boosting profits for market participants. Entrepreneurs can achieve rapid iteration cycles, allowing for quick adjustments and optimizations in their business models, which is crucial in the fast-paced world of ecommerce.
5. Simplified fulfillment processes
Dropshipping in Hungary simplifies the fulfillment process compared to traditional ecommerce or physical stores. With fewer steps involved in order fulfillment, dropshippers can focus more on marketing and customer acquisition. This streamlined process reduces the operational burden and allows businesses to scale more efficiently.
6. Reduced risk
Starting a dropshipping business in Hungary involves significantly less financial risk compared to traditional retail. You don’t have to invest heavily in inventory, which means you’re not stuck with unsold products. Additionally, the pay-per-sale model means you only pay for products when they are sold, reducing the financial burden. This reduced risk is particularly important in a market where consumer behavior can be unpredictable, and trends can change rapidly.
Disadvantages of dropshipping in Hungary
1. Customer service challenges
One of the primary challenges of dropshipping is the difficulty in managing customer service. The lack of control over the supply chain and fulfillment process can lead to issues such as delays, damaged products, and inaccurate orders. When these problems arise, the dropshipper often has to take the blame, even if the supplier is at fault. This can strain customer relationships and damage the brand’s reputation. Effective communication and clear policies can help mitigate these issues, but they remain a significant challenge.
2. Data protection regulation
Compliance with the General Data Protection Regulation (GDPR) is a critical consideration for dropshippers operating in Hungary. GDPR applies to any interaction with customers in the European Union, regardless of the company’s location. Dropshippers must invest time and resources into understanding and implementing GDPR requirements.
3. Limited control over suppliers
Another challenge of dropshipping is the limited control over suppliers. Using multiple suppliers can complicate coordination and strain relationships, leading to inefficiencies and potential issues with product quality and delivery times.
4. Long delivery times
Dropshipping often involves longer delivery times, especially when sourcing products from international suppliers. This can be a significant drawback, as customers increasingly expect fast and reliable shipping. Long delivery times can lead to customer dissatisfaction and negative reviews, which can harm the business’s reputation. Implementing a clear and transparent shipping policy can help manage customer expectations and reduce the risk of complaints.
5. Branding and differentiation
Building a strong brand and differentiating from competitors can be challenging in the dropshipping industry. Many dropshippers sell similar products, often sourced from the same suppliers, making it difficult to stand out. Effective branding and marketing strategies are essential to attract and retain customers. This may require significant investment in marketing and customer engagement, which can be a barrier for new businesses with limited resources.
Although some may doubt the effectiveness of dropshipping, the countless success stories of entrepreneurs who have built thriving businesses from the ground up demonstrate that with the right mindset and strategies, this model is indeed worth pursuing.
What to dropship?
How much can you make with dropshipping?
How far you can go with dropshipping: real-life experience
FAQ
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
