Many new customers will ask this question, so we write this to make it clear for sourcing and dropshipping agents. They are both sourcing agent but their service model are a bit different. With 11 years of experience, let’s make it clear.
- 1. What is Sourcing?
- 2. What is Dropshipping?
- 3. What is a sourcing agent？
- 4. What is a Dropshipping Agent?
- 5. What does a sourcing agent do?
- 6. What Does a Dropshipping Agent Do?
- 7. What is the difference between a sourcing agent and a dropshipping agent?
- 8. How to Find a Reliable Sourcing Agent？
- 9. What service we can offer?
- Related Posts
1. What is Sourcing?
Sourcing means finding and purchasing products from manufacturers or suppliers — often at the best possible price, quality, and terms.
- Usually done in bulk(e.g., 500–1,000+ units)
- Involves negotiation, factory audits, sample checking, and quality control
- You usually handle inventory and logisticsyourself (or through a third-party warehouse)
- Used by wholesalers, Amazon FBA sellers, or brandscreating their own product lines
Example:
You find a factory in China to produce 1,000 custom water bottles with your logo, then ship them to your warehouse.
2. What is Dropshipping?
Dropshipping is a fulfillment method where you sell products online without holding any inventory. When someone buys from your store, the product is shipped directly from a supplier or agent to your customers.
- You list products on your website (e.g., Shopify, WooCommerce)
- When an order is placed, the supplier ships it for you
- You earn the difference between retail price and supplier cost
- No need to buy stock upfront
Example:
A customer orders headphones from your online store → your dropshipping agent ships them directly from the warehouse to the customer.
Key Differences:
| Feature | Sourcing | Dropshipping |
|---|---|---|
| Inventory | You buy in bulk | No inventory — pay per order |
| Upfront Cost | Higher (bulk purchase) | Low (only when you get orders) |
| Fulfillment | You or a 3PL handles it | Supplier/agent ships for you |
| Profit Margin | Often higher, but more work | Lower, but easier to start |
3. What is a sourcing agent？
A sourcing agent is a person or company that helps you find and buy products from suppliers or factories — usually in countries like China.
They help with:
- Finding reliable manufacturers
- Negotiating prices
- Ordering samples
- Quality inspection
- Arranging bulk shipping
Best for:
Businesses that buy in bulk (e.g. wholesale, Amazon FBA, private label brands)
4. What is a Dropshipping Agent?
A dropshipping agent is someone who helps you run a dropshipping business by handling product sourcing, storage, and shipping each order to your customers.
They help with:
- Finding products to dropship
- Storing small inventory
- Packing and shipping orders one-by-one
- Adding your logo or custom packaging
- Sending tracking info
Best for:
Online store owners (Shopify, WooCommerce, etc.) who don’t want to hold inventory or manage shipping
Key Difference:
| Feature | Sourcing Agent | Dropshipping Agent |
|---|---|---|
| Order Type | Bulk (e.g., 500+ units) | One-by-one (as you get orders) |
| Inventory Held | By you or 3PL | By the agent |
| Fulfillment | You handle shipping | Agent ships directly to your customers |
5. What does a sourcing agent do?
A sourcing agent helps you find, evaluate, and purchase products from suppliers, usually in China or other manufacturing hubs.
Services they provide:
- Find reliable factories based on your product needs
- Negotiate prices and terms on your behalf
- Arrange samples and confirm product quality
- Perform quality inspections before shipment
- Help with packaging, labeling, and shipping (bulk orders)
It is best for Best for:
Wholesale buyers, Amazon sellers (FBA); Private label brands, Anyone buying large quantities
6. What Does a Dropshipping Agent Do?
A dropshipping agent helps you run a dropshipping business by handling inventory storage and order fulfillment — so you don’t need to touch the product.
Services they provide:
- Source products that work well for dropshipping
- Store a small stock of those products
- Pack and ship each order directly to your customer
- Offer branded packaging, inserts, or custom logos
- Track delivery and update order status
Best for:
Online store owners (Shopify, WooCommerce, etc.)
Entrepeneurs without inventory or warehouse
People who want to test products before bulk buying
Quick Comparison:
| Role | Sourcing Agent | Dropshipping Agent |
|---|---|---|
| Order Type | Bulk orders | One-by-one orders |
| Inventory Handling | You or your 3PL | Agent stores and ships |
| Main Function | Find & buy products | Fulfill orders from your online store |
| Suited For | Wholesale, Amazon, Private Label | Dropshipping businesses |
7. What is the difference between a sourcing agent and a dropshipping agent?
The main difference between a sourcing agent and a dropshipping agent lies in their roles, responsibilities, and the type of business they support.
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| Feature | Sourcing Agent | Dropshipping Agent |
|---|---|---|
| Order type | Bulk / wholesale | Per order (single units) |
| Inventory | Buyer handles or stores bulk | Agent stores & fulfills per order |
8. How to Find a Reliable Sourcing Agent？
1. Use Trusted Platforms
a. Upwork / Fiverr – Look for agents with verified reviews and completed projects.
- Linkedn – Search for “sourcing agent in China” or your target country.
- Alibaba – Ask suppliers if they offer or recommend sourcing services.
2. Check Their Background
- Company registration info
- Previous client references
- Photos/videos of past inspections or shipments
- Confirm they have experience with your type of product
3. Test Them
- Start with a small project (e.g., source 1–2 products).
- Check how they communicate, negotiate, and manage quality.
- How to Find a Reliable Dropshipping Agent？
- Ask in E-commerce Communities
- Join Facebook groups like：“Dropshipping Agents & Suppliers”“Shopify Dropshipping for Beginners”
- Post a request for reliable agents and ask for feedback
- Try Dropshipping Platforms with Agent Support
- Test Responsiveness & Reliability
- Order fulfillment time
- Sample product shipment
- Branded packaging options
- Monitor their speed, clarity, and attention to detail.
- SourcingXpro-Your sourcing& dropshipping agent and office in China
We are a professional sourcing and dropshipping agent specializing in this line for 10 years.
Our website Dropshipme.co
9. What service we can offer?
- Sourcing products. We can help you to sourcing products from 1688 and alibaba, aliexpres and other local China plarfrom.
- Dropshipping agent. We can help yo to dropshipping products to worldwide with good price and connect with our APP
- FREE APP: to connect with your store to easily make bulk order with dropshipping and sourcing
- Shipping agent, We can help you to find all in one logistic solution. We can offer shipping by Air, by Sea(FCL, LCL), by special line. Express; DHL, UPS
9.1 What is the process of sourcing?
- Send us your sourcing requirement:
Eg, 1.1688 link, alibaba link, pictures. 2.Specification. 3. Quantity. 4 if need customized
- We start sourcing and send back with your total cost. if you need us to arragne shipping please let me now
- Payment and we start to buying
- Items delivery we make inspiection and make lable on items and Carton
- Ship to your address and advice the tracking code
9.2 Commission is 4%-5% based on quantity and total cost.
9.3 What is the process of Dropshipping?
- Send inquiry requirement
You can send your store link or aliexpress link to us
- We offer price
We will offer total price including shipping cost. Delivery time, products pictures to confirm with you.
- Confirm the price
We will send pictures and talk with price then confirm it
- Connect store with our ERP
Send invitation to our Email, then we will connect the store
- Send order list and invoice to confirm
6&7. Confirm the invoice and make the Payment
- Fulfill tracking code automatically to store
With SourcingXpro, our main service is sourcing and offering a dropshipping solution. Contact us today to get one free question, We can help you save 20% on costs.
