“I Made ₹5 Crores from Drop-Shipping in 2025 – (Full Breakdown)” by Nick Arora, here is an article in English summarizing the content.
- CA Bhavesh Jhalawadia
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How I Made ₹5 Crores from Drop-Shipping in 2025: A Full Breakdown
In a video detailing his decade-long journey in e-commerce, Nick Arora shares a comprehensive breakdown of his drop-shipping business, revealing how he generated over ₹5 crore in revenue in the last 12 months. Moving beyond the typical “guru” content, Arora dives into the real numbers—including profits, expenses, and the critical lessons learned—that are essential for anyone looking to build a profitable, long-term business.
The Inception: From a Job to a $10,000 Goal
Arora began his journey in 2016, like many, by searching for ways to make money online. Inspired by a friend’s Facebook screenshot showing earnings of $200-$300, he became curious about drop-shipping—a business model that requires no inventory. He invested in a $1,000 course, a significant amount at the time, and with some savings from his job and a loan from a friend, he launched his first store.
The initial months were tough, and he lost money. However, a turning point came in June 2016. With a whiteboard goal of making $10,000, he nearly achieved it, earning over $9,000 that month. This success motivated him to quit his corporate job and pursue drop-shipping full-time. By the end of 2016, he had made over $111,000 in sales, achieving a profit that was three to four times his salary.
What is Drop-Shipping? The Core Concept
Arora explains drop-shipping as the easiest e-commerce model. In this model, you don’t hold any inventory. Instead, you list products on your website, and when a customer places an order, your supplier directly ships the product to them. This eliminates the need for managing a warehouse or handling products, allowing the entire business to run on automation.
The 12-Month Breakdown: Key Lessons and Financials
Arora provides a month-by-month breakdown of his revenue from June 2024 to June 2025, highlighting key lessons.
The Importance of Markup: He stresses that a high-profit margin is crucial for success. Unlike retail, where a small markup might work, drop-shipping requires a significant margin to cover marketing costs, which can consume 20% to 40% of the revenue. For example, if a product costs $10, you should aim to sell it for $40 to $50 to ensure profitability after ad spend.
The Q4 Boom (October, November, December): Arora highlights that the fourth quarter (Q4) is the most profitable time for drop-shipping. This period is driven by three factors: holiday seasons (Halloween, Christmas), increased consumer spending from accumulated savings, and a widespread buying frenzy that creates a “monkey see, monkey do” effect among consumers.
During Q4, his store’s revenue skyrocketed. In November alone, he generated over $176,000 in revenue with a profit of over $30,000. To manage this massive scale, he faced a cash flow challenge. His solution was to negotiate a 10-15 day credit line with his supplier, a strategy made possible by a long-standing, trusting relationship.
The Cold Months and the Reality of Loss: In the months following Q4, Arora experienced a slowdown. He candidly shares a loss of around $25, which he uses to illustrate a vital lesson: Knowing when to stop is more important than knowing when to scale. He explains that not every month will be profitable, and understanding when to pull back on ad spend is key to protecting your profits. This slow period is an opportunity to analyze data, learn from mistakes, and prepare for the next profitable season.
The Ultimate Secret: Trend Hunting
The most powerful lesson Arora shares is the concept of trend hunting. This involves identifying and capitalizing on products that are gaining popularity based on seasonal, cultural, or event-driven trends. He gives an example of fleece leggings, which consistently trend in the winter months.
His own biggest success came from trend hunting during the COVID-19 pandemic. By using Google Trends and Amazon’s Movers & Shakers, he discovered that infrared thermometers were in high demand. He listed the product on his store, and the results were astonishing: he made $5,000 on the first day, $9,000 the next, and eventually over $30,000 in a single day, all with a huge profit margin. He states that a trending product not only guarantees sales but also allows for a much higher markup.
Arora concludes by stating that by focusing on these core concepts—a high markup, strategic scaling in Q4, smart financial management, and, most importantly, trend hunting—anyone can build a profitable and sustainable drop-shipping business. He emphasizes that this single business, thanks to these principles, has been generating income for him on autopilot since 2016.