Business tips & ideas eCommerce 101

How to start an online store without inventory or experience in 2025

November 20, 2024 10 minutes

Are you looking for a way to get out of your nine-to-five job? Or, maybe you just want to start a side hustle but don’t have the funds to put into inventory, production equipment, or upfront expenses? Then, we’ve got good news for you. 

The entire eCommerce industry is growing rapidly, and there are more ways than ever to start an online business with a limited budget. 

Let’s explore how to start an online store without inventory and go over profitable business models that empower online entrepreneurs to start selling products online.

Key takeaways

  • Choose an automated fulfillment model like Print on Demand, dropshipping, or third-party logistics to sell without inventory.
  • Select a niche based on your interests and market research.
  • Go inventory-free by selling digital products or start affiliate marketing to earn commissions.
  • Set up an online store with an eCommerce platform or marketplace. Market your business and provide good customer service.
  • Join Printify to create your own custom merchandise and set up a storefront with automated order fulfillment.

Various business models for selling without inventory

A woman with glasses wearing a red blouse, sitting in front of a laptop and looking at the screen.

Before you learn how to sell products without inventory, you’ll need to pick the right eCommerce business model.

Here are your top options:

  • Print on Demand 
  • Dropshipping 
  • Selling digital products or services
  • Affiliate stores
  • Third-party logistics companies (3PL)
  • Fulfillment by Amazon (FBA)

These options have low startup costs and let you run an online store without inventory. 

To help you choose the right one for your business, let’s look at a basic overview of each model along with their pros and cons.

1. Print on Demand

A press machine prints on paper.

Print on Demand lets you create and sell custom merchandise without holding inventory or being responsible for production and shipping. 

Design your own hoodie, personalize candles, or create unique designs for custom backpacks and list them on your online stores. Once a customer makes a purchase, the Print Provider prints and ships the products to the customer. Since every order is made on demand, there’s no inventory involved.

Here’s an overview of how it works with Printify:

  1. Pick a product. Browse our print-on-demand catalog of white-label products, from t-shirts and hoodies to wall art and home decor.
  2. Add your design. You can upload your design or create something from scratch using our design tools. Adjust its size and position, and once you’re done, add a product description and price.
  3. Create a listing. Pick a sales channel – an online marketplace or eCommerce storefront – and add the product to your store. Printify connects with all of the most popular eCommerce platforms.
  4. Sell your product. Once a customer purchases your print-on-demand product, our Print Providers will print and ship the order. Your customer pays the retail price, which covers production and shipping, and you keep the profit that’s left over. 

Pros:

  • No upfront investment 
  • Easily scale your business
  • Simple setup process
  • No inventory management
  • Pay only for what you sell, reducing financial risk
  • Possible to use several manufacturers
  • Product customization

Cons:

  • Reliant on Print Provider quality
  • Fixed product catalog
  • Longer order fulfillment times

Make it happen today!

2. Dropshipping

A human holding a cardboard box on a table.

Dropshipping is a business model where you source products from wholesale manufacturers and sell them at a higher price in your online store. When a customer purchases something, your dropshipping partner sends the product directly to them. 

It’s a low-risk way to enter eCommerce since you don’t need to stock any products yourself or pay for them before they’re sold online. The catch? It’s super competitive, and the product quality can be hit or miss.

Pros:

  • Extensive product selection
  • High potential for growth
  • Easy setup process
  • Low startup costs

Cons:

  • Highly competitive market
  • May need to use multiple manufacturers
  • No quality control
  • Difficult to brand and market
  • Smaller profit margin

3. Selling digital products

A human is scrolling on a tablet with flowers on the table.

Selling digital products covers many categories and is an excellent way to earn passive income and avoid managing inventory. Depending on your particular niche, you’ll need some experience in digital editing or graphic design software.

Here are some profitable digital product niches:

  • Artwork and digital graphics
  • Craft tutorials like knitting or sewing patterns
  • Photography editing presets
  • Video, music, and audio media
  • eBooks and guides
  • Downloadable or web-based software
  • Professional services or online courses

Pros:

  • No shipping logistics required
  • Fantastic sales potential
  • Free creative approach
  • Instant delivery to customers
  • No inventory management

Cons:

  • Relies on an existing skillset
  • Per-sale profits may be lower depending on your niche
  • Vulnerable to piracy

4. Affiliate programs

Woman sitting on a couch and holding a laptop.

Profit from promoting other online businesses through affiliate programs. Affiliate marketers receive personalized links from companies they collaborate with and include them in their online content to promote sponsored products.

Every time a viewer clicks on the affiliate’s unique link and buys the partnered product or service, the affiliate receives a commission – a percentage of the profit from each sale they help make.

Try out affiliate marketing with the Printify Affiliate Program for a 5% commission with no cap on how much you can earn.

Pros:

  • Increases social media presence
  • Earn a profit without handling business operations
  • No upfront costs

Cons:

  • Must have an existing online audience to get started
  • Lack of control over the affiliate store
  • Profits vary by partnership

4. Third-party logistics (3PL)

A storage room.

Third-party logistics is a model for outsourcing inventory management to professional processing companies. Merchants partner with 3PLs, who store, package, and ship merchandise on their behalf.

Like dropshipping, 3PL services provide warehousing, handle logistics, and fulfill customer orders for online retailers. You won’t have to manage your own inventory. However, 3PL providers don’t manufacture products – you’ll still need to find a production partner for that. 

Partnering with a 3PL is especially helpful for businesses with products but no money or space to store them.

Pros:

  • Potential cost savings
  • Professional servicing
  • Easier to scale operations

Cons:

  • Less control over business image and customer service
  • Difficult to secure a like-minded and trustworthy 3PL
  • Loss of potential in-house experience

5. Fulfillment by Amazon (FBA)

Fulfillment by Amazon makes things easier for independent sellers by providing storage space, packaging, and shipping through one of Amazon’s many worldwide fulfillment centers. FBA is similar to a 3PL but has the added benefit of Amazon’s reputation and Prime shipping. 

Create an Amazon seller account and log in to Seller Central to apply for FBA. Add your listings via FBA inventory. Then, send your products to Amazon, following their inventory shipping requirements and packing guidelines to enable automated fulfillment.

Pros:

  • Added brand credibility and quality customer service
  • Can offer special deals and discounts
  • Added shipping location flexibility

Cons:

  • Increased fulfillment costs
  • Possible increased returns
  • Must meet product preparation requirements

Make it happen today!

How to sell online without inventory in 4 steps

Creating a successful online store without inventory management can be much easier than opening a traditional brick-and-mortar store. All you need to do is choose a market niche you’re passionate about, set up an online storefront, and market your business.

1. Choose a niche and products to sell

Two men looking at a laptop screen and smiling.

A niche is a group of people who share common interests and are likely to purchase similar products. Some examples include people who are really into cheese, rodeo horseback riders, or parrot owners. The more specific the niche, the better.

Your niche will determine what products you’ll sell – physical or digital products – and how to market, brand, and personalize them for your target market.

Research the size of your potential target audience using analytics tools like eRank and Google Trends.

2. Set up your eCommerce store

A woman working at a desktop computer.

Use an eCommerce platform or an online marketplace to set up your storefront.

eCommerce platforms like Shopify and WooCommerce offer tools to set up an online website with a custom interface, plugins, and analytics and tracking features.

eCommerce marketplaces like eBay or Etsy are easier to use since they have an existing user base and website interface. You’ll only have control over your storefront and item listings.

Visit our blog to learn more about creating your first eCommerce store, including detailed information about Etsy shop ideas and Shopify store examples.

3. Market your online business

There are two key marketing strategies that ensure all your hard work pays off and you land sales: search engine optimization (SEO) and eCommerce marketing.

SEO uses keywords and phrases to attract people searching for your niche online. To increase traffic and promote site visibility in search engines, incorporate popular keywords in your content, including listing titles, product descriptions, tags, and other store metadata.

Use multiple popular marketing strategies to expand your reach:

  • Content marketing. Create engaging content, like blog articles and photos, to promote your business and engage customers.
  • Email marketing. Use email newsletters to promote products and announce campaigns. Automate post-purchase emails to inform and reward loyal customers.
  • Social media marketing. Use branded business accounts to post videos, Instagram posts, TikToks, and other social media content.
  • Offline marketing. Advertise the old-fashioned way by putting up posters and stickers or giving away free t-shirts with your logo.
  • Influencer marketing. Hire an influencer or partner with an agency to promote your products to their audience.
  • Paid advertising. Buy ad space on the social media platforms and websites your target audience visits often.

4. Offer great customer service

A woman sitting on a couch, smiling while looking at a mobile phone in her hand.

Customer service issues are one of the main reasons why customers don’t make a second purchase. Avoid this problem by offering quality service to build customer loyalty and a good reputation for your brand.

Here are a few ways to provide great customer service:

  • Establish a transparent return policy to manage expectations.
  • Proactively reach out to customers to thank them for their orders and make yourself available if they have questions.
  • Provide a place for customers to leave reviews or feedback.
  • Post consistent updates with new content for sales events and campaigns.
  • Create a supportive environment that fosters loyalty and positive word-of-mouth.

Pros and cons of selling online without inventory

Let’s compare the advantages and disadvantages of running an online store without inventory. While having zero inventory makes your own store easier to manage, you should still consider whether it’s the right business method for you and your potential products.

AdvantagesDisadvantages
Saves money in storage costsDifficult to ensure top product quality
Streamlines shipping to professionalsLow barrier to entry means higher competition
Limits initial setup costs and preparationFewer opportunities for what to sell
Can be done exclusively online by a smaller teamLess control over delivery times and where products get fulfilled
Offers more free time for market analysisHandling returns and refunds can be more challenging

How to start an online store with no inventory: Choose Printify

A man designing a custom t-shirt to sell with print on demand.

Start selling print-on-demand products online with Printify. No inventory, no upfront costs, and no hassle.  

Take your best design ideas and turn them into unique branded merchandise in five simple steps.

1. Join Printify

Create a free Printify account to access all the tools and resources to start an online store without inventory for free.

2. Create your products

Go to the Product Catalog and browse over 1000 print-on-demand products. Add your designs using Printify’s easy-to-use Product Creator and hit Save once everything looks good.

3. Order samples

Go to the product page on your Printify account dashboard to order a sample product. Follow expected delivery times and check the product quality to ensure it meets your standards.

4. Connect your own online store

Use any of Printify’s eCommerce integrations to connect your sales channel. We offer integrations with many popular eCommerce platforms and marketplaces like Shopify, Etsy, eBay, and WooCommerce.

5. Publish and start selling

Set a price, add a title and description, and publish your new product. Once a customer orders from your online store, we’ll print and ship it right to their doorstep.

FAQ: How to start an online store without inventory

Yes! Several business models let you sell products online without inventory. Dropshipping and Print on Demand take care of both production and shipping, while 3PL or FBA act as warehousing and fulfillment partners. Each option offers its own advantages for starting an online store without inventory.

Start an online store without inventory by selecting an automated eCommerce business model like Print on Demand. Then, choose your niche, set up your storefront, and source products from custom distributors or your own existing items.

Market your business and generate sales while your chosen automated inventory solution delivers your products to customers.

Choose a business model that doesn’t require upfront costs or inventory, like dropshipping or Print on Demand. We recommend using Print on Demand if you want to create custom items for free and start selling products online immediately.

There’s no single magic number when it comes to discoverability, but we recommend having a big enough inventory to attract your niche market. 

With a print-on-demand store, you can create your own products for free, try out unique design ideas, and publish and sell products online without inventory.

Why start selling online with Printify?

Partnering with Printify is an easy, cost-effective way to start a business without managing your own inventory. You’ll have access to a massive range of products and top international Print Providers, enjoy no minimum orders, and have automated fulfillment for all merchandise.

Use Printify to quickly bring your custom designs to market!

Make it happen today!

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