What are pros and cons of dropshipping with recipe-based business?

Topic summary

Topic: Feasibility and trade-offs of using dropshipping for a recipe-based/cooking business on Shopify.

  • Definition/fit: Dropshipping means a third-party supplier makes and ships products directly to customers; the store owner doesn’t handle inventory or fulfillment. If you cook and ship the food yourself, that is not dropshipping.

  • Applicability to recipes/food: For a model where customers submit recipes and pay based on how the dish looks/tastes, dropshipping doesn’t align unless a supplier prepares and ships the food. Participants note there isn’t an app or common supplier setup for dropshipping custom recipe-based food.

  • Pros highlighted: Low upfront costs; no need to store inventory; focus on marketing/sales while supplier handles logistics.

  • Cons highlighted: One participant warns Shopify Payments may hold 20% of payouts for 120 days due to perceived risk with dropshipping. (Presented as a user claim, not an official policy confirmation.)

  • Status/outcomes: No concrete solution for recipe-based dropshipping was identified. Clarification was requested on how the cooking concept would work with third-party fulfillment. Discussion remains open with unanswered feasibility questions.

Summarized with AI on December 22. AI used: gpt-5.

Are there any pros and cons to dropshipping on shopify? If so,then is there any way for me to make a business on Shopify where customers can send me recipes and pay me based on how the dish looks and tastes while using the dropshipping method?

Hi, @cbrown218

Thanks for posting to the Community!

Dropshipping is the business strategy of selling products without hosting your own inventory. In these situations when a buyer purchases from you, you then purchase the purchased item from your supplier, who ships the order directly to your customer. This means you never have to handle any goods.

As such, I am not sure I understand the correlation between dropshipping and your cooking venture. Can you please elaborate?

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If you’re cooking the food and sending it to your customers, then you wouldn’t be “dropshipping”.

Dropshipping is when you have another company creating & shipping the products for you, when orders are placed on your store.

If you’re wondering if there’s an app for dropshipping food (especially custom recipes), then the answer is no, there is not.

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Dropshipping is like having an online store, but you don’t need to store or send out products. Instead, when someone buys from your store, the supplier ships the product directly to them. You make money by charging a bit more than what you pay the supplier. It’s an easy way to start selling online without spending a lot of money upfront on buying things to keep in stock. You focus on selling, and the supplier takes care of the shipping and storing part.

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yeah ur right are u doing dropshiping on shopify

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A big cons to dropshipping using Shopify is that Shopify payments will grab 20% of your payouts for 120 days because they consider dropshipping risky.