Should a supplements and health store in Saudi Arabia dropship or hold stock?

Not a decision about the business — a decision about each product. Dropship the long tail you are still testing; hold the few lines that reorder, because those are the ones where margin compounds and where a slow delivery costs you a repeat customer rather than a first one.

How to decide, line by line

A practical rule: once a line sells consistently for two months, price out holding it. If the improvement in margin covers the storage inside one turn of stock, hold it.

Dropshipping trades margin for not holding stock, and the trade only works while traffic is cheap. For a supplements and health store in Saudi Arabia, the answer turns on one thing in particular: Subscription behaviour without a subscription: people finish a tub and reorder, often on the same day of the month.

What is different about Saudi Arabia

Saudi Arabia is the largest ecommerce market in the region by some distance, and the most phone-dominated.

Cash on delivery remains common in Saudi Arabia, which changes the economics of every refused delivery.

What is different about a supplements and health store

The part nobody plans for is returns: if the supplier will not take one back, the store is the returns department.

Where a mobile app comes into it

Reorder reminders are the whole opportunity, and they are free through an app and paid through anything else.