Can You Dropship on Amazon? Amazon's Rules Explained

Dropshipping on Amazon is allowed, but only on Amazon's terms: you must be the seller of record, and your name alone must appear on the packing slip, invoice and packaging your customer receives. Amazon's rules for dropshipping ban the most common shortcut, which is buying the item from another online retailer and having that store's box and paperwork arrive at your customer's door.

So the honest answer to "can you dropship on Amazon?" is yes, with a supplier who ships under your name, and no, with retail arbitrage. This guide explains what Amazon's Drop Shipping Policy says, what gets sellers suspended, what selling costs and how a compliant setup works. If the model is new to you, read what dropshipping is and how it works first.

What does Amazon's Drop Shipping Policy say?

Amazon accepts dropshipping as long as it is clear to the customer that you are the seller. The policy says that if you use a dropshipper to fulfill orders, you must always:

• Be the seller of record of your products.
• Identify yourself as the seller on all packing slips, invoices, external packaging and other information included with the products.
• Remove any packing slips, invoices, external packaging or other information identifying a third-party dropshipper before the order ships.
• Accept and process customer returns of your products yourself.
• Comply with all other terms of your seller agreement and Amazon's policies.

The policy also tells you to have an agreement with your supplier that they will identify you, "and no one else," as the seller of your products. In practice, that means a written arrangement for neutral or your own packing slips, not a hope that the warehouse remembers.

What does Amazon prohibit?

Amazon's policy gives two examples of dropshipping that is not permitted:

1. Buying from another online retailer and having that retailer ship directly to customers, if the shipment does not identify you as the seller of record or if anyone else, including that retailer, appears on packing slips, invoices or external packaging.
2. Shipping orders with packing slips, invoices, external packaging or other information that shows a seller name or contact information other than your own.

Amazon describes both as prohibited, and says failure to comply may result in the suspension or removal of your selling privileges. An earlier Amazon announcement on the policy also noted that violations can affect your ability to fulfill orders through its Merchant Fulfilled Network.

Allowed vs not allowed at a glance

Amazon's focus is on who the customer sees as the seller. eBay's rule works differently, focusing on who you buy from, so read each marketplace's policy on its own terms.

What does it cost to sell on Amazon?

Amazon charges the same fees whether you dropship or ship your own stock. As of 2026, Amazon's pricing page lists two selling plans, and most sales also pay a referral fee.

Amazon's registration guide lists what you need to open an account, including a government-issued ID, an internationally chargeable credit card, a bank account, tax information and business details. Identity verification is part of sign-up.

Example (hypothetical): you sell a $30 item on the Professional plan. If the category's referral fee were 15%, Amazon would keep $4.50, and your supplier might charge $15 including delivery. That leaves about $10.50 before returns, advertising, your monthly plan fee and income tax. Check the live fee schedule for your category; a few points of difference changes the picture.

How does Amazon measure dropshippers' performance?

Amazon judges your account on customer outcomes, and a supplier's delays count as yours. The Order Defect Rate is the headline metric: the share of your orders with negative feedback, an A-to-z Guarantee claim or a chargeback, measured over 60 days, and Amazon's target is under 1%.

Amazon also tracks shipping and cancellation metrics for sellers who fulfill their own orders, including late shipments, cancellations before fulfillment and valid tracking. Dropshipping puts pressure on all of them:

• Stockouts at the supplier force cancellations.
• Slow handling turns into late shipments.
• Missing or delayed tracking hurts your tracking metrics and triggers buyer contacts.
• Low product quality brings negative feedback and claims.

In the US, shipping promises are also a legal matter. Under the FTC's Mail Order Rule, you need a reasonable basis for the shipping time you state, and the seller who took the order is responsible even when a separate warehouse ships it.

Which products can you dropship on Amazon?

Not everything is open to new sellers. Amazon requires approval to list in some categories and for many brands, to protect authenticity and customer experience. You may need a separate approval for each new category or brand, and some categories have performance requirements.

For a dropshipper, this means two practical rules:

• Check approval before you sign with a supplier. A great supplier is useless if you cannot list the category.
• Avoid branded goods you cannot document. Selling well-known brands without proof of authentic sourcing is a fast route to listing removals.

Products your supplier makes or private-labels, in open categories, are usually the realistic starting point. Our guide to vetting dropshipping suppliers covers the questions to ask about packaging, returns and documents.

How do you dropship on Amazon the compliant way?

A compliant Amazon setup is mostly paperwork and discipline, done before the first listing.

1. Pick products in open categories or get approval first.
2. Choose a supplier that ships under your name, with neutral packaging and your packing slip or none.
3. Put it in writing: seller identification, shipping times, returns handling and what happens with damaged items.
4. Order a sample to your own address and time it.
5. Set handling times from your sample, with a buffer.
6. Plan returns: a return address and process you control.
7. Price from full cost, including referral fees, plan fees and a refund reserve.
8. Watch account health weekly, and pause listings if the supplier slips.

If you would rather avoid customer service and account health risk, promoting Amazon products as an affiliate is a different model entirely; see how Amazon Associates works.

Is dropshipping on Amazon worth it?

It can be, for sellers with a reliable supplier who ships under their name, but it is not the easiest place to start. Amazon brings buyers, and it also brings strict packaging rules, category approvals and performance targets that a slow supplier can break for you.

Many beginners find it easier to learn the model on their own store first, then add a marketplace once the supplier has proven reliable. We compare the options in the best dropshipping platforms, and our step-by-step guide on how to start dropshipping covers the launch in order.

Next steps

Dropshipping on Amazon is legitimate when you are clearly the seller of record, your supplier ships under your name and you meet Amazon's performance targets. It is not a shortcut, and most new sellers earn little at first while they learn.

• Vet your supplier before anything else with our guide to vetting dropshipping suppliers.
• Follow our beginner dropshipping guide to build the rest of the business around it.

To compare dropshipping with other realistic paths, see our guide to making money online.