As a part-time dropshipper, I know the value of high-margin products. These items don't cost much to source but generate a high profit. In times of economic uncertainty, we could all do items that can help keep our business afloat.

That's why I put in the hours to find the best high profit margin products to sell online in 2023.

Before I share them with you, let me point out that such products can be tricky to spot. I had to consider a range of factors, including the average profit margin and sourcing cost, for each item.  Only then I was able to identify high-margin products capable of creating a profit buffer.

Because I have done the hard work, you can jump straight to the products and add them to your catalog.
Read on to learn:

• 17 best high-margin products to sell 
• What are high-margin products
• Pros and cons of selling high-margin products
• How to find high-margin products to dropship
• The best sales channels for high-margin products
• Selling high-margin products in different countries

Key takeaways

• Jewelry, fitness equipment, and kids’ toys are some products with the highest margin.
• High-margin products are often associated with a greater level of quality and exclusivity.
• As a dropshipper, you can sell a combination of high-margin and evergreen products.
• You can find high-margin products via trend sites, ecommerce marketplaces, and social media platforms.
• You can sell high-margin products in most countries worldwide--no special permission required.

17 best high-margin products and niches

Looking for high-margin products that bring in serious cash? I've got you covered.

Below, you'll  find a list of items that meet essential criteria for success.

That means they have intrinsic value and can generate a significant profit for you.

1. Watches

Watches are not only profitable to sell, but they also offer a range of styles and categories to explore.

From analog to smartwatches, designer to outdoor, there is a watch for everyone.

Plus, watches have no seasonal limits--you can sell them all year round.

But you'll likely see a demand boost around major holidays like Christmas.

• Best places to sell in: China, Europe, US
• Average profit margin: 50%-60%

2. Jewelry

Jewelry is a popular product with a high profit margin, making it a go-to choice for merchants. 

Selling jewelry online can be highly lucrative, with markups of up to 80% depending on your supplier.

One reason jewelry is a consistent performer is its year-round appeal. Whether it's a gift for someone special or an accessory for a special event, there's always a demand for it.

Besides its profitability, jewelry is easy to store and ship. This helps keep overhead costs low, allowing you to enjoy higher profit margins.

What's more, jewelry is a versatile unisex product. From watches to necklaces, bracelets, pins, earrings, and more, there's something for everyone.

• Best places to sell in: India, South Africa, US
• Average profit margin: 70%-80%

3. Women’s clothing

Many women love shopping for the perfect outfit.

Opening a women's boutique lets you provide that perfect look, plus accessories.

Wholesale clothing suppliers can help you keep your overhead costs low. And that means more money in your pocket.

But, remember, there's plenty of competition out there.

To stand out, make sure to focus on a niche, like designer coats or plus-size fashion.

• Best places to sell in: India, South Africa, US
• Average profit margin: 40-60%

4. Fitness equipment

With the WFH trend in full swing, more people are opting for at-home workouts as a way to maintain a healthy lifestyle.

As a result, the demand for fitness equipment has grown considerably.

There are a wide variety of items you can sell in this niche. Products like massage guns are easy to ship and have significant markup potential.

Take a look at the market and see which fitness products are trending. This will help you make informed decisions about what to stock.

• Best places to sell in: US, Europe, Australia
• Average profit margin: 60%-80%

5. Kids’ toys

If you're looking to break into the ecommerce market, opening a kids' toy store could be a lucrative option.

The demand for children’s toys is ever-present. Whether it's for birthdays or just because, parents are always looking to buy new toys for their kids.

Another advantage of selling kids' toys is that they are easy to buy in bulk. You can buy large quantities of inventory at lower prices and sell them at a markup.

But keep in mind that there is significant competition in the kids' toys market. To stand out, you may need to focus on a specific niche, such as 2-3 year old toys or board games.

• Best places to sell in: US, UK, Europe
• Average profit margin: 50%-70%

6. Candles

Candles have long been the go-to gift for those who lack gift-giving creativity.

But, let's not underestimate the power of a good candle! Starting an ecommerce store to sell candles is an opportunity waiting to be lit (pun intended).

Plus, the cost of making candles is low, even if you use the most high-quality oils and wax scents. So, you can enjoy a sweet-smelling profit margin without burning through your budget.

Pro Tip: Make your candles stand out by using natural ingredients or creating unique scents that aren't already on the market. Remember, no one likes a copycat candle.

• Best places to sell in: Canada, UK, South America
• Average profit margin: 50%-60%
  

7. Hygiene products

As part of the growing self-care movement, hygiene products have seen increased demand.

Modern consumers want to take better care of their physical and mental health. And they’re willing to spend a little bit extra on items that improve their quality of life.

A variety of product options exist in this niche. You can sell natural deodorants, mask-friendly makeup, skincare products, and much more.

To grow a hygiene brand, using influencer marketing can be highly effective. Many consumers trust top influencers to provide honest advice on self-care products. 

As a result, partnering with influencers can be an excellent way to boost brand awareness.

• Best places to sell in: India, US, Europe
• Average profit margin: 40%-60%

8. Pet care supplies

If there's one thing that's certain, it's that pet owners will spare no expense to keep their fur babies happy and healthy.

From fancy beds to protective gates, the pet industry is booming and showing no signs of slowing down. 

The best part about selling pet supplies online? There are no seasonal trends to worry about. After all, pets need to be taken care of all year round, no matter what the weather is like outside. 

So why not jump on the pet supplies bandwagon and start your own online pet store? With high-profit margins to be had, you'd be barking mad not to consider it.

• Best places to sell in: US, Canada, Europe, UK
• Average profit margin: 60%-70%

9. Phone accessories

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With smartphone manufacturers releasing new products frequently, phone accessories are always in demand.

You can choose from a diverse range of items to sell, from cleaning kits to portable charges.

Most phone accessories are small in size, meaning they don't cost much to source or ship.

Plus, you'll find many vendors offering the option of private labeling their products.

• Best places to sell in: UK, India, South Africa
• Average profit margin: 30%-50%

10. Kitchen products

Kitchen products are an excellent choice for high-margin goods to sell.

Why? Well, for starters, everyone needs these products for daily cooking.

Not only that, but most kitchen products are small in size, meaning they're easy to ship and store. This makes them perfect for ecommerce, especially if you're using a dropshipping model.

Moreover, kitchen products are versatile and can fetch high prices. For instance, you could sell coffee makers, air fryers, and other similar products at a high markup.

• Best places to sell in: US, UK, Australia
• Average profit margin: 50%-60%

11. Home office supplies

The home office is no longer a rarity.

Due to the rise in flexible working arrangements, almost every home has a workspace of some kind.

As a result, the demand for home office supplies like ergonomic desks has skyrocketed.

You can buy these products in bulk or dropship them to keep costs low.

• Best places to sell in: US, Europe, Canada
• Average profit margin: 40% to 50%

12. Outdoor furniture

With people spending more time at home, the demand for outdoor furniture is rising.

From patio chairs and tables to lounge sets and hammocks, you can offer a wide assortment of products.

The modern varieties of these products are both stylish and durable. So, you charge a premium price.

Plus, as people invest in their outdoor living spaces, they’re willing to spend more money on quality furniture that will last for years.

• Best places to sell in: Canada, UK, Europe
• Average profit margin: 50% to 60%

13. Luggage and travel products

Luggage and travel products are highly profitable items to sell due to their high markup. 

A well-made luggage set can sell for hundreds of dollars. And smaller items like packing cubes can also generate significant profit margins. 

Plus, these products do especially well during peak travel seasons. You can charge higher prices during that time due to their perceived value by consumers.

• Best places to sell in: US, Russia, China
• Average profit margin: 60% to 70%

14. PC components

PC components is another lucrative niche due to the constantly evolving technology landscape. 

New products are always being developed. And that gives sellers the opportunity to offer cutting-edge hardware to consumers. 

Components like graphics cards, processors, and RAM can fetch healthy profit margins. Plus, with the rise of gaming and content creation, there are even more products to sell.

• Best places to sell in: US, UK, South Africa
• Average profit margin: 40% to 50%
  

15. Car accessories

Average profit margin: 50% to 70%

Car accessories have a broad customer base, making it a high-margin niche.

Car owners take pleasure in personalizing their cars. And they don't mind paying extra for quality products.

Furthermore, ride-sharing drivers are also searching for accessories to increase their efficiency.

As a result, there is consistent demand for items like phone holders and cable clips.

These products are inexpensive to source and offer a lot of room for markup.

• Best places to sell in: US, UK, China
• Average profit margin: 50% to 60%
  

16. Smart home products

Ah, the modern home. 

It's no longer just a place to eat and sleep. But a multifunctional space that serves as a home office, gym, and entertainment hub. 

With so much going on, people are turning to smart home products to help manage their hectic lives. 

From WiFi-enabled bulbs to virtual assistant devices, there's no shortage of products to choose from. 

And with many consumers willing to pay a premium for the latest and greatest tech, the margins on these products can be quite decent.

• Best places to sell in: US, Europe, Canada
• Average profit margin: 50% to 60%

17. Digital goods

Who says you can only sell tangible products online? Digital products like online courses or photo filters can also be sold through an online store.

These kinds of items are very popular in the digital age. You don't need to worry about shipping costs. And your customers can access their product in seconds with a download.

But be sure to price your product competitively and highlight what makes it valuable. After all, it’s not rocket science - unless, of course, you’re selling a course on rocket science.

• Best places to sell in: Worldwide
• Average profit margin: 90%-100%

What are high-margin products?

High-margin products are those that yield a high profit margin when sold.

A high profit margin is usually considered to be in the 50% to 60% range.

This range gives you enough cash even after deducting all the expenses and overheads.

High-margin products also have certain attributes, just like winning products do.

If a product has:

• Decent price point
• High demand
• Limited competition
• Potential for repeat customers
• Good marketability
  

There's a good chance that it's a high-margin product.

Pros and cons of selling high-margin products

Before adding high-margin products to your store, consider the potential advantages and disadvantages.

Here are some of the key pros and cons to keep in mind.

Greater profit margins

One benefit of selling high-margin products is the potential for greater profit margins.

Because you're able to charge more for these items, each sale can generate a higher level of revenue.

Higher perceived value

High-margin products are often associated with a greater level of quality and exclusivity.

Know what that means? Adding these items to your store can help enhance the perceived value of your brand.

And also attract customers who are willing to pay a premium price.

Improved cash flow

Besides increasing profits, high-margin products can also help to improve your cash flow.

Because you're earning more per sale, you may be able to generate more revenue in a shorter amount of time.

Cons

Limited customer base

One potential disadvantage of selling high-margin products is a limited customer base.

Not everyone is willing or able to pay a premium price for certain items.

And this could limit the size of your target market.

Increased competition

Another potential downside is that you may face more competition from other sellers.

Because these items deliver greater profits, other stores will be selling them too.

This could make it more difficult to stand out in a crowded marketplace.

How to find high-margin products to dropship

Want to find high-margin products for your online store? You're in luck. There are platforms and methods to help you identify these items.

Before you start your search, it's crucial to look at factors such as demand and competition.

This is to get an idea of whether a product has enough appeal and where the market stands in terms of saturation.

Once you've got that sorted, take the following steps to identify high-margin opportunities: 

Get inspiration 

There are several places where you can find inspiration for high-margin products. The popular ones are:

Trend sites

Sites like Google Trends can provide valuable insights into different products.

Enter keywords related to a high-margin niche to see which items are popular among buyers.

Then use the information to determine which products to add to your inventory.

Marketplaces

Ecommerce marketplaces offer valuable trend insights for high-margin products.

These online platforms feature dedicated pages showcasing top-selling items and in-demand products.

Take, for example, Etsy's Popular Right Now page highlighting the latest trends.

Or, Amazon's Movers and Shakers page, displaying daily hot sellers across various categories.

Similarly, AliExpress and Alibaba have their own dedicated pages for hot products and best sellers.

Browse these pages to discover new product ideas for your business.

Social media

Social media can also be a valuable resource for discovering profitable products.

Start by researching hashtags on Instagram and TikTok to see what people are buying.

The products featured in hashtags are likely to be profitable. (Because otherwise, why would merchants be selling them?)

You can also browse Reddit and Facebook communities for product inspiration. Go through the interactions of people in ecommerce groups to find new ideas.

And on Quora, search for queries like "what are the top high-margin products for 2023?" to gain valuable insights.

By leveraging social media in this way, you can get an idea of the latest trends in high-margin products.

Calculate the profit margin

When deciding which high-margin items to sell, you must calculate the gross margin.

This requires you to substrate the cost of the product from the selling price. 

So for example, if you sell a table for $200 that you bought for $150, your gross profit would be $50.

To calculate the product margin, divide the gross profit by the selling price. In this case, the profit margin would be 25%.

You can use this information to determine whether a potential product will provide a high enough profit margin to be worth selling.

Additionally, conducting market research can help you identify products with high profit potential.

For example, items with unique features may have higher margins due to less competition.

Use Dropship.io to simplify product research

I don't mean to brag, but Dropship.io is the best tool for finding high-margin products to sell.

It removes the need for manual profit margin calculation and saves tons of time.

Plus, you can see the average cost and selling price of various products at a glance.

Here's how it works: first, you create an account on the platform.

Then, you open the Product Database and use filters to search for products in your niche.

You can also select one or multiple product categories when researching the items. Plus, advanced filters like product title and description are also available.

When you do a search, Dropship will present you with a list of products along with plenty of useful data.

You can see the price, monthly sales, monthly revenue, and several other metrics for each item.

To see the profit margin for any item, click its price. This will prompt Dropship to show you the Numbers Breakdown screen.

Numbers Breakdown has everything you need to make an informed decision. You can see the selling price, cost of goods sale, profit margin, and more for any item.

Additionally, you can compare your profit margins to those of similar niches. Doing this will help you see if you're doing well or struggling to stay profitable

What's more, you can get a better idea of where your product metrics are lacking. 

For instance, if your profit margin for one item is 44% but only 15% for another, it calls for an investigation.

So you see, Dropship.io makes it easy to know your numbers and make lucrative business decisions.

Where to sell your trending products

Once you've picked your high-margin products, it's time to decide where to sell them.

Below, I've put together a list of sales channels that merchants use for selling these items.

Selling high-margin products on Shopify

Shopify is an ecommerce platform that allows you to create and launch your own online store.

With Shopify, you can sell your high-margin products directly to your customers. No need to go through a middleman.

But keep in mind that the platform does have a fee for processing payments through third parties.

To begin, choose a theme that suits your brand, define the settings of your store, and add the items to your catalog.

And don't forget to craft compelling product descriptions to pull in the customers.

Shopify also offers tools for print on demand and dropshipping. Both of which allow merchants to manage inventory and fulfill orders effectively.

Selling trending products on Amazon

Amazon's vast customer base makes it an appealing platform for showcasing high-margin products.

But competing with other sellers and their prices can make it challenging to succeed.

Despite this, it is not impossible to sell high-margin products on Amazon. All you need to do is be strategic with your pricing.

From my experience, pricing your items between $100 and $200 can yield optimal sales.

This may vary for others, such as for merchants who sell trending items.

But for high-margin selling, this is the ideal range to consider.

Selling high-margin products on Instagram

Did you know that more than 60% of the 2 billion active users are on Instagram to discover new items?

That's right--Instagram is an excellent place to showcase high-margin products.

The platform's influencer marketing capabilities are also worth a mention.

By collaborating and co-creating with influencers, you can get exposure for your brand.

Selling trending products on TikTok

With the potential to make products go viral, TikTok is also a great platform for selling your stuff.

TikTok's algorithm favors captivating content. So if your product videos are unique and eye-catching, they could go viral.

Plus, you can partner with TikTok's rising stars to shape consumer perception about your brand.

All in all, TikTok's marketing prowess makes it a valuable channel for all kinds of merchants.

Selling high-margin products on the Facebook Marketplace

Facebook Marketplace is a quick and easy way to sell your products locally.

It's free to list any item, and you'll get plenty of engagement.

To maximize your chances of making a sale, craft an attention-grabbing title and description.

Interested buyers will contact you with their offers, and you can negotiate a price.

In no time, you can turn your high-margin products into cold hard cash.

Selling high-margin products in different countries (Canada, US, UK, etc.)

You can sell high-margin products in any country worldwide.

But some markets are more favorable than others due to consumers' purchasing power.

That's why it's crucial to identify the best countries for  sales.

Below, I have listed some of the best markets for selling high-margin products.

Selling high-margin products in the US

No surprises here. The US is a profitable market for high-margin and many other types of products.

With Americans spending an average of $5,577 each month, you are likely to get sales with proper marketing.

To maximize profits, focus on high-margin niches like pet products and children's toys.

Data shows that the pet sector contributed $260.5 billion to the US economy last year. And the contribution of other high-margin niches is in billions, too.

Selling high-margin products in Canada

The Canadian market is another favorite of ecommerce sellers. 

Canadian consumers care more about the quality of the goods they buy than their price. So you could earn good profits by selling high-margin products to these audiences. 

Just make sure whatever you offer is high quality (no compromises!).

Selling high-margin products in the UK

The UK has significant purchasing power, making it an ideal market for product sales.

Data shows the UK ranks fourth in countries with the highest consumer spending.

Also, online buying is prevalent in the UK, making it easier to sell high-margin goods online.

Selling high-margin products in Australia

Australians have a reputation for being one of the most generous online spenders.

But, they're also savvy shoppers who compare products before making a purchase.

To succeed in Australia, you must find creative ways to market your brand. 

One approach could be sharing the story behind your product selection. Another could be highlighting how your item connects to Australian culture.

Selling high-margin products in India

India offers a lucrative opportunity for ecommerce sellers of high-margin products.

The country has a fast-growing middle class and a large population, making it a vast market.

To succeed, it's essential to understand local preferences and tailor your marketing strategy.

By adapting to Indian consumers' unique needs, you can build a loyal customer base.

Final Verdict

There you have it — a list of 17 high-margin products to sell online in 2023.

Whether you go with kids' toys or pet care supplies, just remember to keep your eyes on the prize: profit.

But hey, who says you can't have a little fun while making money? So go ahead, pick a high-margin niche that excites you and get started.

And if you want to expand your offerings even further, our list of evergreen products can help you get there.

Happy selling, and may your margins be ever in your favor!