Direct comparison
Affiliate vs Dropshipping: Who Takes the Order
Affiliate vs dropshipping explained: who takes the order, the FTC 30-day shipping rule for stores, and the disclosure rule for affiliates, from the CFR.
Written and maintained by CASRAI Editorial Board
Last updated
How do Dropshipping and Affiliate compare side by side?
The table below compares Dropshipping and Affiliate across 8 dimensions, from who takes the buyer's order to when this model fits.
Side-by-side comparison
| Dimension | Dropshipping | Affiliate |
|---|---|---|
| Who takes the buyer's order | The store. It is the seller the buyer orders from, even when a supplier ships the goods. | Not the affiliate. A referral-only affiliate points the buyer to another seller, which takes the order. |
| Rule that governs shipping promises | FTC Mail, Internet, or Telephone Order Merchandise Rule (16 CFR Part 435): the seller soliciting an order must have a reasonable basis to expect it can ship the ordered merchandise. | Part 435 attaches to the seller that solicits and takes the order, so it falls on the seller the affiliate refers to, not on the referral itself. |
| Default shipping time if none is stated | Within 30 days after receipt of a properly completed order; 50 days where the buyer applies to the seller for credit to pay (16 CFR 435.2(a)(1)(ii)). | Not an affiliate duty; the clock runs for the order-taking seller. |
| If the goods cannot ship in time | The store must offer, clearly and without prior demand, an option to consent to a delay or to cancel the order and receive a prompt refund (16 CFR 435.2(b)). | No shipping or refund offer is owed by a referral-only affiliate; the buyer deals with the order-taking seller. |
| Records behind the shipping promise | In an FTC action, lacking records or documentary proof of systems that assure shipment in the ordinary course creates a rebuttable presumption of no reasonable basis (16 CFR 435.2(a)(4)). | Not applicable to a referral. |
| Disclosure of the commercial relationship | Part 435 does not turn on endorsements; a store that also pays others to promote its products should expect those promoters to face the disclosure rule. | A connection between endorser and seller that the audience would not reasonably expect must be disclosed clearly and conspicuously; material connections include business relationships (16 CFR 255.5). |
| What to ask for in writing | From the supplier: who ships, under whose name, stated ship times, and who handles returns (see the drop ship terms guide). | From the program: who is the seller of record, who answers buyer complaints and returns, and what the disclosure requirements are. |
| When this model fits | You want to be the seller of record for lab or medical supplies and accept the order-taking duties, using a supplier to hold and ship stock. | You want to refer readers or customers to another seller without taking orders, and you can make the required relationship disclosure. |
Sources
- 16 CFR Part 435 (eCFR), read 2026-11-01: https://www.ecfr.gov/current/title-16/part-435
- 16 CFR Part 255, section 255.5 (eCFR), read 2026-11-01: https://www.ecfr.gov/current/title-16/part-255
- FTC Disclosures 101 for Social Media Influencers, read 2026-11-01
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Common questions
Common questions about Dropshipping vs Affiliate
Dropshipping vs affiliate marketing: what is the difference?
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In dropshipping the store takes the buyer's order and a supplier ships it, so the store is the seller the buyer deals with. In affiliate marketing the affiliate refers the buyer to another seller that takes the order. The FTC Mail, Internet, or Telephone Order Merchandise Rule (16 CFR Part 435) applies to the seller soliciting and taking the order; the FTC Endorsement Guides disclosure rule (16 CFR 255.5) applies to a connection between an endorser and a seller that the audience would not reasonably expect.
Does an affiliate have to disclose the relationship?
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Under 16 CFR 255.5, a connection between an endorser and the seller that the audience would not reasonably expect must be disclosed clearly and conspicuously, and material connections can include a business, family or personal relationship. The FTC's Disclosures 101 guidance says to disclose any financial, employment, personal or family relationship with a brand.
What shipping time must a dropshipping store meet?
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If the store states no time, 16 CFR 435.2(a)(1)(ii) sets 30 days after receipt of a properly completed order, or 50 days where the buyer applies to the seller for credit to pay. If it cannot ship in time it must offer the buyer the choice to consent to a delay or cancel and receive a prompt refund.
Who answers to the buyer when a supplier ships late?
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The seller the buyer ordered from. Part 435 places the shipping and delay-or-cancel duties on the seller soliciting the order, which is why the supplier terms should be agreed in writing before listing products.
