Dropshipping in Malaysia in 2025 — honest assessment of whether it's still viable
by Jeffrey Teoh·May 23, 2026
The short answer: harder than it was in 2019—2021, still possible in certain niches, not the get-rich-quick opportunity it's marketed as.
Why it's harder now:
- Shopee and Lazada algorithm changes have reduced organic reach significantly
- More sellers = more competition = lower margins
- Consumer returns have become more common, cutting into already thin margins
- Chinese suppliers (AliExpress, 1688) direct-to-consumer options have improved, threatening the middleman model
Where it still works:
- Niche products with low competition and genuine search demand
- Local dropshipping (working with Malaysian suppliers) reduces shipping time and returns friction
- Combining dropshipping with genuine product knowledge and content marketing (not just listing products)
The realistic numbers: Most successful Malaysian dropshippers I know are making RM2,000—6,000/month in profit after a full year. This is genuine income but represents significant time and capital investment.
Not viable: Getting rich quickly. Being passive. Selling random products without a theme or audience.