Competing against wholesalers and giant companies will take you nowhere. You will only succeed as a dropshipper in the Philippines if you sell something unique.
I am a Philippine dropshipper. Over the years, I learned many things the hard way. You should not go through the same things I did.
Today, I will help you with the following:
- Find the best dropship suppliers in the Philippines
- Understand the hard truth about dropshipping in the Philippines
- Find out what Filipinos want to buy
- Learn the mistakes to avoid in the Philippine dropshipping scene
For starters, here is a quick list of the best dropshipping suppliers in the Philippines:
- Printful – best for Shopify print-on-demand
- Spocket – best for clothing
- CJDropshipping – best for Lazada and Shopee
- AppScenic – best for toys and furniture
- AliExpress – biggest dropshipping supplier in the Philippines
- Dropified – best for private-label food supplement
- AliDropship – best for AliExpress dropshipping Philippines
- SaleHoo – best for dropshipping websites in the Philippines
- Doba – best for high-quality imported items
- Modalyst – best for fashion and jewelry
- Printify – best for WooCommerce print-on-demand
If you are ready to learn more, let us get started!
The Truth About Dropshipping in the Philippines
Dropshipping in the Philippines is hard. The country is a developing economy, and most buyers want cheap goods.
I am not saying that there is no market in the Philippines. Many people in the country love to shop online. However, the financial status of people in the country is different from what many dropshippers expect.
Below are some of the hard truths about the Philippine eCommerce market.
PROBLEM 1: You are competing against the Chinese
China is so close to the Philippines. Because of this, many Chinese manufacturers and suppliers rent warehouses in the Philippines.
As a result, they can sell their items to the Filipino people at a significantly low price. Take a look at these two screenshots:
SCREENSHOT 1: The item price on Lazada Philippines is ₱529 ( the seller already has profit)
SCREENSHOT 2: The item price on AliExpress is ₱2,188.
As you know, you will pay AliExpress ₱2,188 for the same bag. Then, you have to pay ₱1,336 for shipping. Your total capital for one product is ₱3,524. How much will you sell this product to your Philippine customer?
HERE IS THE THING: Your competitor is selling the same product for only ₱529. How exactly are you going to sell your product, then?
PROBLEM 2: Chinese suppliers have an arrangement with Lazada
Lazada is the Asian equivalent of Amazon. It is an online marketplace where sellers post their items. The owner of Lazada is Alibaba.
Why is this a problem? It is a problem because Chinese manufacturers can post their items on Lazada Philippines.
Once a Filipino customer places an order, the Chinese supplier has a special pick-up/drop-off arrangement for shipping. They can ship the items from China really fast.
These suppliers will ship in as little as two days. The packet will arrive in the Philippines in a week or two. On top of that, the customer will only pay ₱80 for shipping ($1.47).
As a drop shipper, you will likely order retail from a dropship supplier in China, like AliExpress. There is no way you can compete with that shipping speed.
In CJDropshipping, for example, it will take them three days to get the item from the warehouse—at least three days! Then, you must pay at least $20 for shipping. Even at that, the packet will arrive in the Philippines in 30 days!
PROBLEM 3: Most Filipinos have no credit cards
The most common method to charge money from customers online is by credit card. However, only 8.09 percent of the Philippine population has credit cards .
The most common digital payment process or system in the Philippines is GCash. It is a subset of a telco company. The problem is that there is no way you can integrate GCash with Shopify or other store builders.
Next, many Filipinos with no GCash and credit cards want to buy and pay in cold cash. In the Philippines, they call it COD or cash-on-delivery.
Here is how it works:
- Once the customer gets the item, he hands his money to the courier.
- The courier remits this money to the company, like LBC (shipping carrier)
- LBC transfers this money to the online marketplace like Lazada
- Lazada transfers the money to the seller’s bank account
As a dropshipper, you cannot facilitate this method. Shipping carriers do not offer this program to small-time sellers like us.
As you can see, dropshipping to the Philippines is problematic. But do not despair. There are ways to succeed if you will only avoid some common mistakes. I will show you these mistakes later on!
What is the Market Outlook of the Philippines?
If you only look at the numbers, the Philippines is a small market. Experts project that eCommerce in the Philippines will get to $22 billion in 2023 .
However, the good news is that the industry’s annual growth is 13.47%, which is more significant than other countries we covered in our dropship supplier series of blogs.
Another good news: the population of the Philippines is 120 million. More than half of that is active online. According to studies, over 70 million active online buyers are in the country .
Now, it is merely a question of what you should dropship in the Philippines. What are the best dropshipping niches? I will answer that in the next section!
What Are the Best Products to Dropship in the Philippines?
Looking at the screenshot below, we can say that electronic items are the best to sell online in the Philippines.
The Philippines is the world’s social media and texting capital . There are 81 million social media users in the country as of 2021. By 2026, experts predict that there will be 91 million social media users.
Electronics is the number one item to sell in the Philippines. Electronic products include phones, tablets, and computers. However, it is not a good idea to dropship.
Electronic devices are expensive, and you will compete against wholesalers who have physical stores. These wholesalers get a massive discount from the suppliers. It is virtually impossible to compete against them.
Overall, the top five best items to dropship in the Philippines are:
- Beauty and health products
- Toys, hobby & DIY
Food is third on the graph, but as a dropshipper, you cannot sell food if you are from outside the Philippines. There are customs regulations, and many food items are illegal without a permit.
We have an article about the best dropship products in Indonesia. I can say that the demands for Indonesia are similar to the Philippines. I suggest you read that article about the best dropship suppliers in Indonesia to learn more about the best items to sell under each category.
Regarding electronics, selling phones, tablets, and computers is out of the question. You cannot find these suppliers unless you are a wholesaler. Sure, you can contact a company called Newegg in the United States.
Newegg sells refurbished phones. However, Filipinos do not like refurbished electronics. They like it brand new.
You cannot compete with phone sellers. For one, a big phone brand like Oppo has its store in Lazada. So, how will you compete against their prices?
Because of this problem, you are better off selling computers and electronic-related peripherals. For example, you can sell the following:
- Phone chargers
- Laptop stands
- Phone display stands
- Phone cases
- Charging cables (different USB types)
- Multi-port chargers
As a dropshipper, you are a retailer. The best thing you can do is create a unique product. Many companies in Alibaba can modify products for you.
As far as the Philippine market goes, the best route is white-label or private-label dropshipping. However, this is costly.
If what you are looking for is retail. The best method to dropship is via print-on-demand. An example is this phone case store that sells items worldwide.
As you can see, this store has a niche. The products are:
- Slim phone cases
- Tough phone cases
- Phone wallets
- Phone display stands
It is a print-on-demand dropshipping business. All the designs are unique and have little to no competition. If you want to succeed as a dropshipper in the Philippines, you must do the same.
The 11 Best Dropshipping Companies or Suppliers in the Philippines
1. Printful – best for Shopify print-on-demand
Printful is the number one print-on-demand dropshipping supplier for the Philippines. I am saying this because you must sell unique products to Filipinos to succeed in dropshipping.
- Integration – you can integrate Printful with Shopify, WooCommerce, TikTok, Facebook, Etsy, and many other platforms.
- Product Category – from pillowcases to t-shirts and phone cases, Printful has a wide array of blank products you can choose from.
- Mock-Up – each product comes with a lot of mock-ups. You no longer need a third-party application to create mock-ups.
- Print Type – they use direct-to-garment or DTG printing, all-over printing, and embroidery for their printing techniques.
- Easy to use
- Free to use
- Lots of integration options
- The branding options are difficult to use
Overall, Printful is your best partner or dropshipping supplier in the Philippines. It has the products you need. Best of all, you can design them in ways that Filipinos will love.
2. Spocket – best for clothing
I recommend Spocket to Philippine dropshippers only if the niche is clothing. Spocket is great for Philippine dropshippers because you can filter the suppliers based on your requirements.
- Private-Label – with Spocket, you can find suppliers who manufacture clothing according to your specifications. Because of this, you can sell unique clothing to Filipinos.
- Search Filter – you can search for suppliers by country or by the list of countries they ship to. In addition, you can also search for suppliers based on what they charge for shipping.
- Image Search – you can upload an image of a product, and the Spocket system will search its database for something similar.
- All suppliers are legitimate
- You can search for suppliers based on an image, not keywords
- You can manage your store from Spocket
- The free account has severe limitations
Please take note that there are no Philippine suppliers in Spocket. Most of these suppliers are from China. However, there are suppliers from the US and UK too.
3. CJDropshipping – best for Lazada and Shopee
I recommend CJDropshipping because you can integrate its system with Lazada and Shopee. If you are a Filipino, you know that these two online marketplaces are the biggest in the country. Since you can integrate CJ with Lazada or Shopee, you no longer have to build your online dropshipping store.
- Integration Options – you can integrate CJ with many platforms like eBay, Lazada, Shopee, Shopify, WooCommerce, and many more.
- Sourcing – you can ask CJ to source products for you in China. If there is something you want to sell (from AliExpress or Alibaba) that is not on CJ, file a sourcing request, and they will find a supplier.
- Warehouse Locations – CJ is a huge company. They have warehouses in China, Germany, the US, the UK, Canada, etc.
- Lots of products
- You can ask them to source products for you
- Easy integration with local online marketplaces
- Slow shipping and processing
It is important to note that CJ cannot meet the shipping service level of Lazada and Shopee. Lazada requires that you hand over the item to them, or their carriers, in two days (five days if you are an international seller.
CJ will only work best for you if you can find a supplier who meets this logistics requirement. I am sure there are many of them, but you will have to put them to the test.
4. AppScenic – best for toys and furniture
Most of the toys you will find in Philippine marketplaces are low-quality. I recommend AppScenic if you want to sell unique and high-quality goods to a specific market in the Philippines.
- Automatic Ordering – you can integrate your credit card with the system. Once a customer orders, the system will process it for you. You do not have to log in and place an order manually.
- Syncing – the system will update your store if the supplier updates his stock or prices. You do not need to change this information one by one.
- Premium Products – you will have access to many premium products. They are costly, but they are the best. People will not find these products in local online marketplaces in the Philippines.
- You can automate several processes
- High-quality goods
- More than one million products are available
- There are few integrations
- The free account is pretty useless
You can only connect one store and add 500 products with the free account. However, you cannot order them. You need to upgrade to a paid plan to place orders.
5. AliExpress – biggest dropshipping supplier in the Philippines
I recommend AliExpress to Philippine sellers because of the volume of products you can find here. One caveat is that many AliExpress sellers are also selling in the Philippines.
- Products – there are millions of products in AliExpress. You can also ask the sellers to customize and brand them for you.
- Buyer Protection – if the product is not the same as the description or is defective, you can ask the seller for a refund. AliExpress itself will refund you if the supplier is uncooperative.
- Customization – most AliExpress sellers are manufacturers. They understand dropshipping, and they can make special arrangements with you.
- Millions of products are available
- You have a guarantee of a refund
- The products are customizable
- Shipping is costly and slow
Use AliExpress wisely. You must look for products in AliExpress not available in either Lazada or Shopee. I recommend AliExpress to dropshippers in deep niches. For generic stores, I do not recommend AliExpress.
6. Dropified – best for private-label food supplement
You can find the best white-label products to sell in the food supplement niche in Dropified. It is why I recommend it to Philippine dropshippers. Filipinos love food supplements.
- Automatic Orders – you do not have to order manually. The system will process the orders for you even if you are asleep.
- Free Placements – you can sell your products in the Facebook Marketplace.
- White-Label – you can sell food supplements under your brand. It is an excellent option if you are a health influencer or if you can partner with one.
- You can integrate it into several sales channels
- Millions of products to choose from
- They have a Facebook Marketplace lister
- The plans are too expensive
Dropified is also a high-ticket dropship supplier. Most of the items you will find here are expensive. Although Filipinos, in general, are used to affordable goods, some are willing to spend money on high-quality products.
7. AliDropship – best for AliExpress dropshipping Philippines
AliDropship is a plugin that you use in WooCommerce. I recommend it to Filipino dropshippers who want to source products from AliExpress. The AliDropship plugin makes importing your desired goods to your store easy.
- Import – you can import the images and product descriptions of AliExpress products to your store with only a few clicks
- Store Builder – AliDropship will build a store for you and host it, too
- Free Updates – you do not need to pay extra if there is a significant update in the system
- Millions of products are within your reach
- You can one-click products from AliExpress for importation
- No limit to the products you can put in your store
- The only source of products is AliExpress
Use AliDropship only if you do not want to use Shopify. Also, use it if you are sure that you want to source from AliExpress.
8. SaleHoo – best for dropshipping websites in the Philippines
SaleHoo is a dropship supplier directory and a plugin. It is an excellent tool for Philippine dropshippers because it has a market research lab.
- Trustworthy Suppliers – SaleHoo has a vetting process. All suppliers must pass these tests before selling their items on the platform.
- Market Research Labs – this is an analytics tool that helps you identify if the product you want to sell has a demand. It also tells you if the product provides an opportunity for high profits.
- Support System – the customer service team is helpful. You can expect one-on-one support if you need help.
- Lots of products to choose from
- The suppliers are all reliable
- Easy-to-use system
- No free plan
- Most products are from AliExpress
I recommend SaleHoo if you need both a plugin and a directory. It is also an excellent option if you want to ensure that your suppliers are legit.
10. Modalyst – best for fashion and jewelry
Modalyst is a white-label specialist. It is an excellent partner for Philippine dropshipper because of the white-label options.
On top of that, Modalyst offers high-quality products. One of these is jewelry. Because of this, you can target a deep niche in the Philippines. An example of this is the wedding niche or the romantic niche.
- Integration – you can integrate Modalyst with Wix, Shopify, and BigCommerce
- Branding – Modalyst specializes in white-label. With its system, you can create your brand and sell it to Filipinos as an independent label, not a generic one.
- Product Categories – there are millions of products that you can sell. Modalyst is home to a wide variety of product categories.
- Shipping Updates – you know the status of your product once the supplier ships the item. You can track the shipment and pass this information on to your customer.
- There is a customization and branding option
- There is no limit to the products you can import and sell
- Syncing happens automatically
- Not a lot of integration options
I recommend Modalyst if you want to target a specific niche in the Philippines. Pick products here that you cannot find in Lazada or Shopee. The other option is to find similar products but of higher quality.
11. Printify – best for WooCommerce print-on-demand
Printify is the second-best POD company in the world. It works best for Philippine dropshippers who do not want to use Shopify. You can integrate Printify with WooCommerce without problems.
- Quality – Printify ensures that all products they sell go through a strict quality process
- Product Category – there is a massive selection of various blank products in the Printify system
- Multiple Providers – you can choose a product provider closest to your target market. This system makes shipping faster.
- Flat Rate Shipping – most sellers here offer flat-rate shipping for worldwide transactions.
- Multiple Stores – you can integrate your account with various stores on different platforms
- You will get discounts on products if you upgrade your plan
- Lots of products to choose from
- Both the design tool and mock-up tool are free
- You can have a free-for-life account
- Not a lot of product mock-ups
Regarding mock-ups, the problem I have with Printify is that you must use PlaceIt to create mock-ups. PlaceIt is not a free tool. It costs around $7 for each mock-up. If you want unlimited mock-ups, you must pay one year of subscription, which can set you back roughly $85.
3 Biggest Philippine Dropshipping Mistakes to Avoid
There are mistakes I made in the past dropshipping in the Philippines. When you start a dropshipping business, you typically want to sell something you are passionate about.
Nothing wrong with that. However, there is a deep saturation of affordable goods in the Philippines. The very thing you are passionate about may not be profitable.
You can avoid that mistake now and some others. In this section, I will explain these mistakes further.
1. You sell things in US dollars
Filipinos are averse to any currency other than theirs. They love USD if the money comes in, not if it goes out. In addition, you must price your products correctly.
If you put up a dropshipping store, make sure that your store automatically converts to the Philippine peso when a Filipino browses the store from the Philippines.
To a Filipino, anything that is in US dollars is expensive. It does not matter if the item is actually affordable or reasonable. If it is in US dollars, it is expensive. Period.
What will happen if you sell in USD? I guarantee you that most Filipinos will close their browsers. So, just imagine the amount of money you spend on ads. You get clicks. You get traffic. But then, they close the browser once they see the dollar sign.
In addition, a Filipino will typically not want to buy imported goods. Filipinos are much more confident in products that are already in the Philippines.
Filipinos LOVE imported goods—only if somebody buys them for them, like relatives working abroad. Filipinos, in general, DO NOT BUY imported goods at a whim.
If you sell in USD, the natural assumption is that the product is not in the Philippines. Filipinos are wary of imported online items, so price all your products in Philippine pesos.
2. You charge too much for shipping
The typical shipping cost in Lazada is only ₱50 per item. And here you are, charging $20, or the equivalent of around ₱1,000, in shipping.
It is not going to work.
My advice is not to charge shipping at all. Bake the shipping cost into the total selling price. Then, say that shipping is free.
Of course, there is really no such thing as free shipping. Some say it is unethical to say “free shipping” because it is misleading or an outright lie. If you share the same sentiment, just say that the sale price is inclusive of the shipping already.
3. You sell things that everyone is selling
Because of the Philippines’ proximity to China, millions of goods are for sale online. Notably, these goods are in Lazada or Shopee.
Take a look at this:
If you think you will dropship motorcycle gloves and be successful, you are making a mistake. There are so many sellers of motorcycle gloves in Lazada.
I highlighted the prices. Some of the gloves are selling for less than a dollar! You will not succeed if you dropship items that Filipinos can readily find in Lazada or Shopee!
What is the trick, then? The trick is to sell something unique.
Does that mean you cannot sell motorcycle gloves? You can. However, it would help if you took the time to make your gloves outshine the rest.
Here are some tips:
- Create a brand name
- Make sure the brand name is on the product
- Sell the gloves in special boxes to make them look expensive
- Sell them at a reasonable price
The two primary keys to success in Philippine dropshipping are:
- Brand name
Filipinos love to buy branded goods. They are proud of branded goods. However, as a developing economy, they are also opposed to high prices.
Although there are other mistakes you should avoid, the ones on my list are the biggest. Overall, here are your key takeaways:
- Only dropship unique items
- Avoid shipping charges if possible
- Sell in Philippine peso only
The Philippines is a tough market. Filipinos are loyal and trusty people. When they put their trust in a brand, it is hard to pry Filipinos away from it.
Remember that you are competing against giant online marketplaces like Lazada and Shopee. Is dropshipping worth it? Yes, it is worth it, but only if you do things the right way.
Best Alternative to Dropship Suppliers in the Philippines (Dropship.IO)
Please allow me to toot my own horn here. We at Drosphip.IO all came from dropshipping backgrounds. As such, we know the biggest problem of a dropshipper.
Here is the problem: how do I know if there is a demand for my product?
The only way to tell is to know if people are buying the product. The problem is that you need to sell it before you get an answer.
No more. We developed a tool to tell you if a product has a demand. This tool, of course, is not only for the Philippines but for the whole world.
Let me explain how it works.
Dropship.IO is not a dropship supplier database. Instead, it is a product database and analytics tool. What it does is scour the internet for products. Then, the tool tells you whether or not that product sells.
We have specific videos showing how our tool will help you. I will summarize a few things it can do to give you a snapshot.
1. Product Database
You will have access to millions of products in our database. This report will show analytics about each product’s revenue or sales data.
2. Competitor Research
Our system can find your competitors and tell you what their websites are. From here, you can explore further. You can find out what they are doing to sell the same product. You can also check how much they are selling the same products for.
3. Sales Tracker
You can create reports where our system will track the sales of a product every day. You can also follow the revenue of stores that you are spying on.
Finally, we have a portfolio program. In it, you will receive a list of products that have a demand. You no longer have to do your research. We will drop these products in your account. It is up to you now to sell them in your store.
The beauty of Dropship.IO is that it allows you to expand your business outside the Philippines. With our tool, you will not make guesses. You will get specific answers to a product’s demand in the market!
You can access Dropship.IO now for free. My suggestion is that you take advantage of our 7-day free trial. We will not ask for your credit card information. You will only upgrade if you decide to do so!
Things you Need to Know About Philippine Dropshipping
Is Dropshipping in the Philippines Profitable?
Yes, dropshipping in the Philippines is a profitable business. However, your business will only succeed if you sell unique or high-end items. The Philippines is a country where you can find the cheapest goods. Selling common items is not a good idea.
Is Shopify available in the Philippines?
Yes, Shopify is available in the Philippines. The rate of Shopify is cheaper in the Philippines compared to users in the United States.
Is Dropshipping Better Than Wholesale in the Philippines?
It depends. Typical items on Alibaba and AliExpress cannot compete with wholesale prices in the Philippines. If you source your dropshipping products from China without modification, you will lose against wholesalers. You should only dropship unique items in the Philippines for products with little competition.
Is Dropshipping in the Philippines a Good Idea in Terms of Shipment?
No, it is not a good idea if the shipping time is the only basis. Shipping from China can take 30 to 60 days.
Shipping from the US is costly—you will pay at least $20 for shipping, and the buyer will receive the item in 30 days. $20 for shipping is a considerable cost, so many Filipinos will not buy your product.
Do I Need to Register a Company to Start Dropshipping in the Philippines?
No, you do not have to. Although technically, you do, the Philippine government does not come after the small fish in the sea.
If you are a beginner dropshipper, chances are you are not earning enough every year for your income to be taxable. There is no reason to register. If you do, you will pay taxes and government fees even if you have no sales!
What Problems Will I Face When Starting a Dropshipping Business in the Philippines?
The most common problems you will face are shipping times, cost, competition, and sourcing. The Philippines is an isolated archipelago, so doing business with international suppliers can be challenging.
Can I Use a Dropshipping Agent to Help me Dropship to the Philippines?
Yes, companies like Niche Dropshipping will provide you with a dropshipping agent. This agent is an expert who can guide you. He can help you solve problems when it comes to dropshipping in the Philippines.
What Are the Available Payment Gateways in the Philippines?
The most popular payment gateways in the Philippines are GCash, Maya, Dragonpay, 2Checkout, and PayPal.
Top Philippine Dropshipping FAQs
What is the best dropshipping company in the Philippines?
The best dropshipping company you can use for the Philippines is a print-on-demand (POD)supplier. The best two are Printify and Printful.
Where can I find dropshipping suppliers in the Philippines?
There are no local dropshipping providers or dropship suppliers in the Philippines. They have no reason to do it because they can sell their products on Lazada or Shopee. They have no incentive to involve themselves in dropshipping.
Is dropshipping still profitable in the Philippines?
Yes, but only if you do it right. You must choose unique products. If you sell products that people will find on Alibaba or AliExpress, chances are that these products are also in Lazada and Shopee. You cannot compete against these giants as far as prices go.
How do I find the best suppliers for dropshipping in the Philippines?
The best suppliers for dropshipping in the Philippines are on this list. Kindly review them one by one. If you have the time, sign up for a free account for those you like. Dig deeper into their systems and order a product from them. You can also read our article about how to find dropshipping suppliers.
The best dropshipping supplier in the Philippines is Printful. It is a print-on-demand company that offers many products you can design.
The next step is to register for a free account in Printful. Experiment with the design software, and then decide which niche you want to enter or penetrate.
Simultaneously, I highly recommend you try our software, Dropship.IO. We offer a free trial that lasts for seven days!