A large percentage of businesses around the globe admit that importing products from low-cost markets like China translates to a lot of saving in their production costs. This allows them to improve their bottom line and remain competitive.

China is currently the leading manufacturing hub in the world. It began small, making most of the products available in most dollar stores in many countries. With time, China refined its expertise in the manufacturing sector, and today, a large number of the best brands around the world are manufactured in China.

Today, factories in china produce a variety of products including automobile parts, electronics, clothing, recreational and sports products.

If you are a small scale business looking to start sourcing products from China, it may not be obvious to you how the whole process works or how it can impact your firm’s bottom line. Here is a guide on how to source products from China and the impacts it has on your company’s finances.

Lowers Production Costs

For entrepreneurs or business owners, a product whose production you may be looking to have done elsewhere is either part of the company’s inventory and you are searching for the most cost effective way to sell or, your firm has just developed a new product that you would like to produce at an economical cost.

Sourcing from China lowers manufacturing costs because it involves large volumes - buying in large quantities lowers component cost. Although you could have your products manufacturers locally, having them manufactured in China brings with it a number of advantages. For one, labor as well as overhead costs reduce, which allows factories in China to produce your components at economical rates.

Additionally, factories in China have proven they can produce in large volumes. Factories as well as region in China have been set up to ease the manufacturing process, allowing things to move from point to point seamlessly. Raw materials reach factories on time, while products move from factories to ports within schedule. This has improve the efficiency of the supply chain, lowering manufacturing costs.

Lastly, it’s true that manufacturing costs have gone up in China over the last few years, meaning it’s a slightly more expensive to manufacture now in China, but rates are much higher elsewhere. So, it still makes sense to source products from China. Plus, China has the capacity to meet quality standards that customers expect. Unfortunately, the same cannot be said about other manufacturing zones such as Cambodia or Vietnam as they don’t have the expertise or experience to meet such standards.

Does it make economic sense to manufacture every product in a low cost region?

No, it doesn’t. Not every product should be manufactured in a region halfway across the globe. You should only source or manufacture in a low cost region those products that suite your business model.

As an entrepreneur, you need to be careful about what you source from China if you wish to get the most out of doing so.

The best way to start off is by assessing your entire inventory. The components that you outsource must be those that have a long shelf life and a large dollar value enough to make a difference in your bottom line. To capitalize on outsourcing, choose those components that are fast moving, particularly those that will not be obsolete within a short time.

Product volumes make sense if you want your sourcing to be successful. The reason is that nearly all factories in China operate under a minimum order quantity (MOQ) scheme. In other words, each factory has a minimum number of units that you can order. Otherwise, it would not make economic sense for the factories if businesses make lower orders.

However, the MOQ can change based on the complexity of the products you wish to source. Complex order have a lower MOQ. So, each business needs to choose the right product to source because not only do large volumes translate to lower rates, but because sourcing from a low cost region like China can take plenty of effort and time off your hands, and you want to be sure that the product meets your quality standards.

But, this should not be misunderstood to mean that you need to reconsider you decision to source from China because the whole process can seem complicated. Sourcing products from China is very profitable when you do it correctly.

Minimize Risks and Cut Costs by Engaging a Sourcing Agent

If you have no contacts in China, finding a manufacturer in the country can be a tough task. Actually, most businesses that are familiar with the whole process often advice others to view China as being made up of a number of regions.

This is an important point to remember because each region in China specializes in a particular product line. Electronics mainly come from Guangdong, textiles are manufactured in Jiangsu and Zhejiang, while metal products are manufactured in Guangdong, Zhejiang, Shandong and Jiangsu.

To capitalize on profits, you need to find a way to cut down on costs as much as possible, and using a sourcing agent will help you achieve that. This is where sourcing specialists come in.

Sourcing agents are specialists or firms that manage the sourcing process on behalf of businesses outside China. Their role includes identifying suppliers, requesting and assessing product estimates, negotiating product costs and reviewing product designs. Sourcing agents also perform functions like design review, sample production, overseeing production and quality standards, packaging and preparing consignments for delivery.

Here’s how they can help you cut costs when you source products from China.

As a business, managing costs associated with your supply chain helps you cut costs and maintain reasonable margins. Maintain good margins translates to profits for the business.

The best way to cut cost as you source goods from low cost regions is by working with a cost-conscious suppliers and sourcing agents. Here is how sourcing agents can help you source products from China at a cheaper rate.

Sourcing agents link businesses with the cheapest product manufacturers

With the help of a sourcing agent, your business will have access to a range of affordable manufacturers based in China. Additionally, because the agents are domiciled in China, they understand the requirements for one to do business in the country efficiently and they know the local culture very well.

Furthermore, a sourcing agent will negotiate the best price for the goods you wish to source from China because they know agents and factories apart from those listed on Chinese e-commerce websites like Alibaba.

Minimize the need for you to go to China frequently

Based on the expert input of various sourcing specialist, during the sourcing process, the business needs to organize at least one visit to China in order to verify that the shortlisted suppliers are the people they claim to be; and they have the capacity to produce the volumes you are looking for. Based on the nature of your products, you could set up an office in China to ease your sourcing process.

While larger firms may have the resources to pull this off, smaller ones with a limited budget and a small team to work with have stretch themselves thin to handle such projects. But with sourcing agents, who already have teams and the right resources in China, you can cut down costs significantly.

For a small fixed fee, which you will include in the overall cost of production, the specialists will be your resource in China, your representative in the factories, taking care of your business interest on your behalf.

That way, you will be able to cut costs associated with running errands like identifying suitable suppliers, running background checks or commissioning samples before products are shipped to your location.

Sourcing agents know when and how to place orders

If you choose to source products from China, you can easily save a lot of money by working with an agent like Bliss Sourcing. They are conversant with business practices and the Chinese culture, so they will be able to help you kick start your sourcing project.

On the other hand, without the assistance of a sourcing agent, it will take you a long time to settle in and get good to your country. As an example, it would take a business a long time to find the right supplier.

Plus, Sourcing agents have immense local knowledge, which comes in handy when you want to start sourcing good right away. For instance, Bliss Sourcing understand that a customer should not place an order right before a major holiday. That way, they help you minimize losses.

No need for a translator

The biggest challenge that business face when they start sourcing from China is language barrier. Because the customer and supplier speak different languages, striking up a deal will take quite a long time.

In addition, getting the right price for your products amidst the language barrier is significantly low. But, with Bliss Sourcing or your preferred agent working on your behalf, you are guaranteed a great deal in record time.

Not only is Chinese their main language, they also understand the strategies they need to engage suppliers in the country. So, you are assured of a great deal, with little to no miscommunication. 

Sourcing products from China has become a favorite of most business, particularly those based in the United Kingdom that are running a limited budget are looking for opportunities to cut costs.

But, the greatest challenge, for most businesses, is the communication limitation, which makes negotiating with suppliers in China a little difficult.

If you are new to sourcing products from China, and are afraid you might be scammed, here are some of the things to consider before you get started.

Spend some time looking for reliable suppliers

No business entity wants to spend money and time wondering whether it choose the right supplier. There is no guarantee that the one you choose to do business with wont rip you off, even if you chose one with Accessed supplier, Golden Supplier or Trade assurance certification.

Bing, Yahoo or Google search engines are the default options for most people who are looking for suppliers to help them source products. Alternatively, you can visit sourcing platforms like Global Sources, Alibaba or Made in China. These avenues connect businesses and suppliers based in China.

Take note that while these avenues will come in handy when you wish to draw up a final shortlist, remember that most businesses listed by search engines might be resellers, not product manufacturers.

Although sourcing through these middlemen can work, especially for businesses buying retails products like clothes, toys or electronics, when you want products that have to meet certain technical standards, it is often advisable to work with a reputable manufacture.

Most sourcing platform such as Bliss Sourcing have a rating system for their suppliers, which can be helpful to businesses creating a shortlist of products suppliers in China. Look for suppliers with a gold rating, as this is often a sign of trustworthiness.

But, be careful, because some suppliers pay platforms an annual subscription fee for premium membership, which comes with the gold status. This helps to increase a supplier’s visibility. That is not a reliable mark of trustworthiness, so you need to be careful.

Verify your suppliers’ credentials

Once you have your shortlist of suppliers, the next step is to verify that they are who the claim to be. Although you may find some useful information online, you also need to find out whether they are a factory of just middlemen. Also find out if they have the capacity and expertise to meet and deliver your order.

There are plenty of ways to achieve this. Start by checking the company’s website. Ensure that the firm has a website to start with, and not just an About Us page. Google the firms in your list and find out whether they have scam reports against them or bad reviews.

Ask questions whenever something seems unsettling about a supplier. For instance, you can request for product samples to be sent to your location or ask for pictures of the suppliers holding the product you wish to order.

Maintain consistent communication with the supplier, but if things begin to feel erratic, that would be an indication that is not the right company to work with.

If you do not have the time to travel to China or your budget is a bit limiting, find a sourcing agency like Bliss Sourcing to carry out pre-shipment inspections together with other important functions like assessing production, testing products, to ensure the components are produce in accordance with your requirements.

Bear in mind that Cost and quality go hand in hand

People often wonder why most businesses look to China for most of their products. The primary reason is that it is cheap to produce in China, even with shipping costs and duty included, which makes it economical to source products from China than anywhere else.

As you negotiate with your chosen manufacturer, remember that each factory works with a “Price floor”, which basically means the minimum amount it will cost to make the products you need.

If you did your research really well on your desired product, cost of raw materials as well as the product’s market you will have an inkling of what the price floor will be. Do not work with a supplier who promises you a price way below the average floor price. Additionally, buyers who want large orders, from the view point of a manufacturer, will want to lower the supplier’s price event further.

Please note that if your manufacturers goes below the standard threshold, the effect will trickle down your supply chain. The manufacturer may choose low quality materials, lower the worker’s wages or subject them to poor working conditions.

The supplier might also choose to bypass some steps in the quality control process. In the end, this will negatively impact not just the end product, but also the reputation of your business. Disgruntled customers might even take you to court.

Be concise in your communication

If you choose to source from the Asian market, you need to bear in mind language will always be an issue. Although some large product suppliers have English speaking customer support representatives, most s the issue that arise between buyers and supplier often stem from poor communication. Understanding what was implied is never the same as having understood exactly what was communicated.

Often, these issues are not deliberate, but if you know this beforehand, you will be able to protect your business from expensive mistakes. Such issues are the reason why requirements like product specifications, packaging, and quality requirements have to be in writing in a thorough and clear manner.  Basically, do not give the supplier the leeway to make assumptions, but encourage question so that you can iron out anything that is not clear.

Negotiate before you strike a deal

If there is something the Chinese do very well, it’s haggling. In the past, it was somewhat challenging for other countries to source from China, but nowadays, they understand the art of haggling and they enjoy bargaining for the best deals.  

Be sure to negotiate with your supplier and iron out issues like minimum orders as well as terms of payment. Have a an agent based in China like Bliss Sourcing handle negotiations on your behalf because prices may go up as soon as the supplier hears an overseas voice.  

Ask for Samples to be sent to you before you purchase

Do not make a large order before you assess quality of workmanship. Some suppliers may charge a small fee to have the sample shipped to you. You are entitled to a sample, even when you choose not to visit the site where the products will be made. Request from at least four supplier and be sure to note cost, shipping and delivery time.

Quality control inspection is important

Although establishing an agreement with your supplier is probably the best way to kick off a business relationship, it is important to conduct regular quality control inspections to ensure your products are always up to specification. This deters costly mistakes that might haunt you in later on.  

Engage a sourcing agent

Alternatively, you can reach out to professional and reputable sourcing firms like Bliss Sourcing. They will handling product sourcing for you, saving your business plenty of money and time with regards to inspecting samples and having your products mass produced. The benefits of working with a sourcing agency include:

· They will handle negotiations with suppliers in China on your behalf

· It’s very unlikely that you will be scammed

· If you have not been able to find a reliable supplier, have a sourcing agent locate one for you

Establish a business relationship with your supplier

Ordering products via web platforms should not restrict you from creating a business relationship with the supplier.

In this day and age, it is very easy to build a professional connection with people around the world via web applications like Skype and Facebook, which allow real time communication. So, it is possible for you to conduct business with people from other parts of the world without you traveling to their location.

If you are inexperience in sourcing products from China, the tips we have listed should point you in the right direction. However, should you want to engage a sourcing agent, Bliss Sourcing has a team based in China to guide your business through getting products quotes, assessing manufacturers and communicating with suppliers on your behalf.

We understand the sourcing business, we are constantly in touch with the best manufacturers in China, our reputation guarantees us the best rates on the market and we ensure that you products reach your destination within schedule.

Language barrier and cultural differences shouldn’t be the reason why you can’t source your products from one of the most cost friendly country in Asia. Give your margins a boost, build a name for your business by giving your customers quality products at a price that will put a smile on their faces. Get in touch with us today, and let us handle you sourcing needs. 

The thousands of success stories on Amazon serve as motivations for prospective online sellers to import goods from China and sell on online platforms such as Amazon. You may know of an entrepreneur whose first profitable online business was importing goods from the world’s largest manufacturer and sell them online in major shopping stores. However, the thought of staring this type of business can be scary, challenging and downright painful, thus the importance of planning and selecting the tools and strategies to make the process more efficient. This article helps to explain some of the things that an entrepreneur may need to consider when importing from China, starting from selecting the right products and tools.

Choosing the right product. In choosing your product, you will need to have a good understanding of the laws and regulations that may have an impact on the importing process. This is an important step as you will not want to go through the process of importing products that will turn out to be prohibited in your country. In this process, you need to gather relevant ideas and information prior to selecting products to import and sell. An important factor to consider is to know whether any special permits are needed to transport the product from China to your country. Moreover, the beginners who have no idea what to sell are advised to take the time to review some of the retailer websites to check the bestseller niches and lists.

Finding a trusted supplier. After deciding on a product to sell, the next step is to source these products from trusted suppliers. Many companies have already established good business relationships with suppliers across China, which makes it easier to find, negotiate and manage the importation arrangements. Nevertheless, it remains critical to plan and spend sufficient time to identify the suppliers, and most experienced importers suggest listing about 10 suppliers with whom to communicate directly. Having this list helps in reducing the feeling of not knowing what to do next, as it gets you the opportunity to build relationships and negotiate with trusted and reliable manufacturers.  

Requesting for a sample. One of the downsides of trading with Chinese suppliers is communication barriers. While Mainland China has Mandarin as its official language, other languages such as Tibetan, Mongolian and Cantonese also share official status. Importers who choose to engage the services of a translator may need to check the expertise and experience of the person in the regional dialects. Even with the introduction and use of the English language in China, the cultural difference may result in miscommunication. This requires the need to be extremely specific with sample requests from suppliers.

In requesting a sample, it is also important to note that the chain of command in the majority of manufacturing companies in China is not always direct. There is the possibility that your instruction will not be adhered to in detail, especially when there are two or more people who receive and relay your instructions before it gets to the person who is in charge of making the sample. This can be prevented by asking to speak directly to the factory’s line manager and to avoid redundant stages as this can pose challenges in communication, given the language barriers.

Selling the samples. As an entrepreneur, you may want to test the viability of the product, before ordering larger amounts. This serves as a validation stage, as the product samples are considered as essential in the importation process, not only in China but also elsewhere. You want to know whether the product sells before you order for a larger production. In addition, ordering product samples is a way to test, not only the profitability of the product, but also to test the reliability of the supplier. In fact, this is one of the key reasons for requesting product samples, as you need to prove that they can deliver quality products before you place larger orders.

Placing orders. This is the stage when you decide to scale up your business. After validating the acceptability and viability of the product for your online business, you may feel secure in bulking up your order. In placing your order, you may want to consider the different ways by which to channel your payments. Some of the most popular methods of paying for your imports from China include international Wire Transfer, Open Account, Letter of Credit, Online Escrow, Cash Advance, and Documentary Collection. 

Product Delivery. Importers from China and other countries can benefit from familiarizing themselves with Incoterms, otherwise known as International Commercial Terms. Knowing about the different shipping, freight and trade terms is essential for anyone who is engaged in international trade. Transporting the products from China to its destination is an intricate process that involves many parties. It is necessary that both the shipper and the consignee are aware of who prepares the documents, who manages customs requirements and who is responsible for the freight costs.

Design for packaging and labeling. Another integral part of international trade is the packaging and labeling process. In October 2019, China imposed changes in its regulations on the management and supervision of both imported and exported products. The exporters of prepacked foods are required to meet the standards of the importing country, as well as the requirements of the commercial contract. 

Some countries, such as the US require its customers to require that imported products are labeled with their country of origin. Marking the product with its country of origin is necessary, and for many obvious reasons, such as in making clear that the product can be legally imported and that it can clear the customs without unnecessary delay.

Product container. The size of the product container is another important factor to consider in transporting from China. It is important to calculate the dimensions of the imported load before choosing the container. Most importers suggest the use of full container load (FCL) when planning to ship in bulk, although there are other options available to importers with lesser cargoes.

Other factors. There are other critical factors in the importation process, such as choosing the delivery and documenting for customers’ clearance. 

Marketing and Selling the products on Amazon. With an efficiently selected and transported product, you are now ready to optimize your product lists on Amazon. 

The elements discussed previously can help entrepreneurs in their journey towards importing and selling goods from China. However, both beginners and experienced entrepreneurs may want to concentrate on the selling and marketing part of their business, and may not want to go through the step-by-step process of importing.

The realization of the difficulties associated with purchasing from China and selling the products in Amazon paved a way for the establishment of Bliss Sourcing. Entrepreneurs can source their products with Bliss Sourcing, a trading company in China that specializes in product sourcing. The company is dedicated to helping small businesses and Amazon entrepreneurs to import products from China. Using Bliss Sourcing expedites the importation process, given that the company is well experienced in China manufacturing and the Chinese culture as a whole. Another factor that differentiates Bliss Sourcing from other sourcing companies is that it does not charge a commission from suppliers, which means purchasing products at their lowest price possible.

Advantages and Disadvantages of Importing from China

The need for businesses to remain competitive in the globalized environment calls for a need to adopt strategies to sustain a healthy business operation amidst the competition. This is especially with the expansion of digital marketing and the rise of businesses on a global scale. For one, the importation of goods is one way to increase profits, a factor that allows businesses to enjoy a competitive advantage. Consequently, with the majority of the world’s goods being obtained from China, it makes sense for businesses to import from the world’s largest manufacturer. However, entrepreneurs are advised to consider some of the advantages and disadvantages of importing from China.

Here are some of the key advantages of importing from China

Importing allows the sourcing of goods at lower prices. One of the many advantages of importing goods and raw materials from China is the lower costs. The low labor costs in China allows the manufacturing companies to sell their products at a cost that is way lower than that of the products manufactured locally. This is highly related to the concept of comparative advantage, where the conditions in China such as low labor costs and tax schemes facilitates production at much cheaper costs.

 

High-quality products. It’s erroneous to think that factories in China churn out cheap and low-quality products. The country’s manufacturing sector has changed drastically over time, and many manufacturers are capable of manufacturing goods of high quality. The success of many entrepreneurs who obtained their products from China reflects the quality of products sourced from the country.

 

The Chinese government support trade relations. The Chinese government affirms its commitment to support trade relations, which allows entrepreneurs to proceed with their business with peace of mind. Moreover, trade relations agreement includes an agreement that offers the importers with unique benefits that can make the importation process much easier and cost-effective.

 

Increased effort for better quality control. The realization of the importance of producing and exporting high-quality products resulted in the heightened quality control among China’s manufacturing companies.

 

China is home to top product designers. China holds a dominant position in global manufacturing, and this is attributed to its unique product designs. The manufacturers have good process knowledge that allows for the introduction of features and components that make a product stand out.

 

Established manufacturing infrastructures. Many importers favor sourcing goods from China because of its advanced infrastructures that are critical in the manufacture of products of world-class quality.

 

Despite the advantages, importers are cautioned about some of the pitfalls associated with importing from China. Here are some of the factors that importers, especially the beginners, may need to consider when deciding to import from China in order to side-step some of the costly mistakes that one may experience when importing.

Difficulty in choosing the supplier. There are challenges in selecting whether to go with a third-party supplier or a manufacturer. There are pros and cons of these two options, and the importer may need to consider the system that goes well with the product’s development and supply chain process. It is important for importers to find as much information about the potential supplier.

 

Risks of miscommunication. The risks of miscommunication are very high, especially when purchasing from other countries. This calls for a need for the importer to send accurate details and specifications to reduce the risks of mistakes. The importer may need to call the manufacturer on the phone, and order samples as needed. While this may take some time, it is better than going through the costly mistake of ordering and receiving an item that is different from who you intend to have.

 

Challenges in communicating online. Vetting for potential suppliers requires the need to find as much information about them. While communication through the phone and other forms of interaction is possible, importers may need to travel to China to know more about the companies.

 

Transportation and import duties. Despite the cheaper costs of goods, the importer may need to consider the landing costs which is the sum of all the transport costs, import duties, cost of service providers and other fees associated with importation. There are also hidden fees that the import company may need to pay in the process.

 

Longer time of delivery. Shipping is quite slow, and the time required to transport the products is affected by factors such as documentation, customs clearance, inland travels and port handling processes.

Nevertheless, importing from China is a highly promising endeavor for many businesses. Products such as clothes, shoes, electronics, home furnishings that are imported from China have made their way in many offshore stores. While it is not an easy task, given the complex and costly processes, importing from the world’s largest manufacturer helps in scaling a company’s competitive advantage. Importers may only need to plan and consider factors that may affect their processes to make the process of importation more efficient. 

Import means bringing goods or services from an outside country to your home country.

Worldwide, importing is a mammoth industry in itself. As per World Bank Data on Import, the United States imported goods worth $ 2248 Billion dollars during the year 2016.

When we talk about import, the one country that comes to our mind is China. Out of the aforesaid $2248 billion dollars of the US imports, China imports accounted for $462 billion dollars (almost 21%).

Researching for profitable products to import from China, buying them & then selling on B2C e-commerce platforms (or on wholesale) is a common strategy being followed by many online sellers. The drop-shipping model is another form of this strategy.

Over the years, China has successfully designated itself as the ultimate global manufacturing hub. So, in this post, we will be talking only about best-selling products that you can import from China.

From the manufacturing point of view, a few advantages enjoyed by China over other countries are:

· Cheap manual labor

· Skilled labor

· Strong government support

· Good capital base

· Adequate reserves of rare earth metals

· Great supply chain ecosystem

I started my business journey with importing products from China. During the course, I learned about various intricacies of international trading like manufacturing, private labeling, import regulations, product quality, certifications etc.

As an importer, I found that shortlisting & selecting products/suppliers is the most difficult part of the importing process.

I prefer using Alibaba for shortlisting & communicating with suppliers. The platform has verified profiles, trust badges & transaction level indicators to ensure that you don’t get scammed.

How do I select products? Well, I follow a checklist. Following the main ingredients of the product selection checklist:

· Simple

· Convenient to use

· Innovative

· Low cost

· High demand

· High-profit margin

· High sales frequency

Be careful with products like medicines, alcohol, tobacco, e-cigarettes etc. These are banned products (for import) in most countries.

From the earnings point of view, importing & reselling is a very successful business model. If done correctly, it can help you not only earn a comfortable living but also build your brand.

To help you get started, following is my curated list of cheap & most profitable products to import from China:

 

BEST & PROFITABLE PRODUCTS TO IMPORT FROM CHINA

 

1. Garlic Grater & Cutter

Peeling, cutting & grating garlic can be time-consuming & messy. Wouldn’t it be awesome if there is a tool to help you ease the process? This is where this high-value product steps in. Following are the business stats for this product:

Estimated cost price (excluding duty & logistics) = $ 0.30

Estimated retail price = $ 8

Gross profit margin (excluding duty & logistics) = 2500%

 

2. Printed T-Shirts For Kids

While printed t-shirts are already quite popular, its printed t-shirts for kids that is still an untapped market. Go get it & resell before your competitor does. Following are the business stats for this product:

Estimated cost price (excluding duty) = $ 1.5

Estimated retail price = $ 20

Gross profit margin (excluding duty & logistics) = 1200 %

 

3. Elastic Jeans Buttons

Sometimes your favorite jeans may not fit your waist. As such, you would want to have a product to solve this problem. Well, you got the new elastic jeans buttons for it. Following are the business stats for this product:

Estimated cost price of a set (excluding duty & logistics) = $ 0.05

Estimated retail price = $ 1.50

Gross profit margin (excluding duty & logistics) = 2900 %

 

4. Nail Art Stamper

This is an awesome nail polish art designer. Due to its nature, it’s going to be in huge demand among young women. Following are the business stats:

Estimated cost price (excluding duty & logistics) = $ 0.80

Estimated retail price = $ 7

Gross profit margin (excluding duty & logistics) = 775 %

 

5. Cutlery Set For Kids

From a business perspective, kid products are always one of the cheapest & most profitable. And, this cutlery set for kids is no different. Following are the business stats:

Estimated cost price (excluding duty & logistics) = $ 1.6

Estimated retail price = $ 10

Gross profit margin (excluding duty & logistics) = 500 %

 

6. Portable USB Desk Lamp

Lighting products enjoy an evergreen demand from household customers. This innovative product ensures lighting without a wire & a switch. To operate this light, all you need to do is plug (into a USB slot) & play. Indeed a perfect product for camping & other outdoor activities. Following are the business stats for this product:

Estimated cost price (excluding duty & logistics) = $ 0.59

Estimated retail price = $ 5

Gross profit margin (excluding duty & logistics) = 900 %

 

7. 3 in 1 Mini Survival Tool

What all do you need when you are stuck somewhere (like a desert or a forest)? A compass, a thermometer & a whistle? This product has all three of them embedded into one key ring. Following are the business stats for this product:

Estimated cost price (excluding duty & logistics) = $ 1.65

Estimated retail price = $ 10

Gross profit margin (excluding duty & logistics) = 500 %

 

8. Mobile Phone Holder

Since past few years, mobile phone accessories have been one of the hottest selling categories of products. With the rise in the use of smartphones, sales of accessories have also risen. Mobile phone holder is one such latest mobile phone accessory. It can be mounted on any exterior support. Following are the business stats for this product:

Estimated cost price (excluding duty & logistics) = $ 1

Estimated retail price = $ 15

Gross profit margin (excluding duty & logistics) = 1400 %

 

9. Universal IR Remote

Can you convert your smartphone into a remote that controls all your electronic devices? Yes, you can do that with this innovative IR remote plug. Simply plug it into your smartphone, download the app & you are good to go. Following are the business stats of this product:

Estimated cost price (excluding duty & logistics) = $ 3

Estimated retail price = $ 12

Gross profit margin (excluding duty & logistics) = 300 %

 

10. Virtual Reality Glasses Box

Most technology leaders have started to invest in the technology of future called Virtual Reality. There will be a huge demand in future for these VR supported products as VR related content, apps & platform take off. Following are the business stats for this product:

Estimated cost price (excluding duty & logistics) = $ 2.95

Estimated retail price = $ 10

Gross profit margin (excluding duty & logistics) = 200 %

 

So we have our curated list of most profitable products to import from China completed.

To succeed at importing ( & subsequent trading) of products, it’s important that you select the right product & work with the right supplier, Bliss Sourcing can help you sourcing in China.

 

When searching for a China sourcing agent, trust and confidentiality are the peak influencers. This sourcing sector has recorded high levels of unfair deeds, with either party recording injustice against each other. However, there are tips for searching a reliable partner. In this case, reliability covers the following factors:

Quality and pricing- All the products sourced should be the best quality and at the right prices. Some agencies compromise on quality, raise the price to unrealistic ranges or even both.

Access to Markets and the goods- A reliable Agent should understand all the markets in China and should provide genuine information when you need it. It is also their responsibility to have reliable channels, through which you can purchase the goods.

With the many agencies in China, it requires a clever move when choosing any of the firms to procure goods for you. The following tips should act as guiding tips to finding a reliable sourcing agent in China:

1. Years of Experience

The number of years the agency has been in the market determines the scope of markets and products they have helpful information and resources. A decade in the sourcing business is enough guarantee that the firm can deliver, although the firm should indicate a realistic growth throughout the years. This entails the number of frequent clients on record for the specific company.

2. Terms of Payment

In case you want the agency to procure goods and ship them for you, then the payment terms are equally important. Any agency requesting for over 50% advance payment may show lack of enough capital for running the business, a worrying factor in the financial worlds. With a realistic advance payment of 30% of the total cost and paying the rest after you receive and confirm the goods, is a fair deal where both parties have room for commitment and trust.

3. Market and Product Information

Sometimes you may want a certain product but you do not understand the packaging and their prices. In most cases, this is where the question of How can I find a reliable sourcing agent in China comes in. the sourcing agent should have the right information of the brands, their distinctive qualities and pricing criteria for wholesale and retails. This helps you to make an informed decision between the brands, depending on your intentions and preferences.

4. Shipment Procedures

Finally, a good agent understands China’s customs and duty rules better than you as the buyer do. This means that the agency should give a clear procedure on how the goods will reach you, with the least of efforts. The fees should always be fair and realistic.

 

Many people is importing from China and meet so many problems that want to find a sourcing agent to process everything. This article we will help you list the best TOP 10 China sourcing agent review, to help analyze their services and tell you how to choose.

1. Run Sourcing

Run Sourcing is a China purchasing agent located in Dongguan, China. If you want to find the China agent in this field.

RunSourcing is a technology company, they have In-depth cooperation with big-data companies like Aliyun, Taobao data analyses system, Alibaba-sourcing center. And use the Amazon cloud service to find and process the products.

2. Lazpanda Sourcing

Lazpanda is a good purchasing agent located in Shenzhen, China. If you want to find Shenzhen purchasing agent, you can consider them.

They have a young sourcing team to help their clients source different products in China. They are developing very fast.

Their services include sourcing best products, professional support, production & inspection, packaging & label, shipping to FBA and Amazon photography.

3. Bliss Sourcing

Bliss Sourcing is a professional sourcing agent in China, dedicated to help small business and Amazon seller to source products from China, to ensure the best quality, regulatory complied and at the lowest cost. Our sourcing services include: product sourcing, price negotiation, supplier verification, factory audit, production monitoring, lab testing, order follow-up, quality control, quality inspection, logistics support etc. 

They provide complete service for Amazon Sellers, including customized packaging, Amazon label, FBA Shipping, etc.

4. Fami Sourcing

If you want to find purchasing agent in Guangzhou, please contact Fami sourcing. Fami Sourcing designs customized supply chain solutions for startup companies. They source, oversee production and deliver goods in demand from consumers around the world.

Their services include product Sourcing, Manufacturer Verification, Production Follow-Up, Order Consolidation, custom packaging, and local business guide.

5. Jing Sourcing

Jingsourcing is a very professional purchasing agent located in Yiwu, China. They aim to help small business import products from China with good price & quality when facing 1,000+ suppliers for the same product in Alibaba.

They have around 40 professional local Chinese employees to handle your projects. So if you are looking for sourcing agent in Yiwu, Jing will definitely help you out.

6. Dragon Sourcing

Dragon sourcing is a global procurement service provider, with offices in Europe, America, Asia, Africa and the Gulf. It was established in 2004, and this giant sourcing agent has an eye in, packaging, industrial items, laboratory items, chemical, and food ingredients and finished products.

Dragon Sourcing offers services: procurement intelligence, product sourcing, procurement outsourcing, warehousing, and shipping.

7. Foshan Sourcing

Foshan Sourcing is a China purchasing agent in Foshan, China. They have been in this field about 10 years with a good reputation, especially for sourcing building materials.

Their team comes from different cities where are famous for the industrial clusters such as Chenghai (toys), Chaoyang (under wares), Zhongshan (lights), Foshan (tiles, furniture, windows, and doors), Chaozhou (sanitary wares) and so on.

8. Sourcing Bro

Sourcing Bro is a China purchasing agent located in Shenzhen, China. Their company is the heart of global trade and provide high-volume goods to clients around the globe.

Their sourcing products types from handmade gifts to electronics.

Sourcing Bro services include product sourcing, quality inspection, warehousing, quality control, and all shipping procedures to the last bit of receiving your consignment safely.

9. Baysource Global

If you want to find a purchasing agent in Shanghai, you can contact Baysource Global.

If you cooperate with them, they will thoroughly review each new project focusing on material specifications, dimensional drawings and all levers that affect Fit and Function–all with a key emphasis on the lowest total cost.

10. B2C Sourcing

If you are looking for a Ningbo purchasing agent, then B2C sourcing is right for you.

B2C sourcing was started in 2015 by Zhisheng Gao. He had over 10 years of experience in client and business relations from Shenzhen to Shanghai.

B2C sourcing services include product sourcing, sample forwarding, quality inspection, supplier audit, and high-standard international shipping. It has a choice for all importers/ exporters, and it is entirely e-commerce friendly.

 

China is an ever-growing power and most importantly the buying power of its middle class is increasing. Consumers are willing to spend their money and can you guess what is their favorite place to shop?

Yep, you are right: Taobao, T-mall and JD.

If you are looking forward to developing your e-commerce business in China, you've probably already done some researches and read about this 3, but do you know in what aspects they differ?

Let's get into it.

WHAT YOU SHOULD KNOW ABOUT TAOBAO

Taobao is the biggest e-commerce platform based in China, is owned by Alibaba and was launched in May 2003. The Taobao Marketplace is China's largest C2C shopping destination. Merchants on Taobao are primarily individuals and small businesses, they are more than 10 million of them.

You'll literally find anything you need but you should know the app is only available in Chinese. You can get clothes, accessories, gadgets, computer hardware at very low prices, you can even buy pets and second hands stuff. There is around 800 Million products listed and in June 2017 there were more than 189 million daily active users on taobao's app and the numbers are still growing.

It is worth mentioning, it is relatively easy to create a seller account on Tabao even for small businesses.

Looking into Taobao's future

According to its chief marketing officer Chris Tung,  Taobao is becoming the Chinese millennial platform to pursue success "The trend we are observing is that for the younger generation, Taobao has become a platform that they identify with, can pursue their dreams […]  over the last few years, those in the post 90s generation and even generation Z, have taken strides to open stores on Taobao and become owners and CEO of their own companies, growing their own brands."

In short, there is a willingness to change the image of the platform, Taobao does not want to have its reputation linked to counterfeit product anymore and is, therefore, putting the accent on its young generation of passionate merchants looking forward to making a name with their creations.

Taobao has successfully embraced its new "making" culture and seduced a younger audience looking for unique products and is even promoting its new philosophy trough festival such as Taobao Makers Festival.

If Taobao customers come from everywhere in the country and are from all ages, it seems clear that the company marketing effort is focused on a younger generation of both sellers and consumers. They are engaging their customers into communities and offering them a personalized experience with the help of their huge database.

TMALL & JD.COM: POWERFUL CHINESE E-COMMERCE PLATFORMS

Looking at the numbers, this two marketplace really are giant but if they are both e-commerce platform their models differs on a fundamental basis.

TMALL

What is the difference between the 2 Alibaba Platforms?

Tmall and Taobao, after all, are both operated by Alibaba. Tmall or Tian-mao was launched in 2008

As the two apps are linked to each other it can be very confusing to distinct them at first. To be fair when shopping on Taobao you are likely to be sent to a T-Mall store, but never the opposite and that is because the main difference lies on who sells on each of these platforms. T-mall is the biggest B2C e-commerce platform in China (it owns more 55% of China's b2c e-commerce market shares) and counts as much as 18 000 international brands with an incredible percentage of 80% of them have never done business in China before using T-mall.

When shopping on Taobao customers tends to look for best deals and unique products, while on t-mall customers are looking for brands, this is a place where they can buy with their eyes closed.

Interesting fact: 70% of T-mall customers are between 24 and 32 and have an increasing purchasing power with a taste for imported products.

What are your options when opening the Tmall Store?

First of all, as we just mentioned, Tmall is a marketplace for trusted brands and products in demand with Chinese consumers, you will need to match some criteria to be able to open a tmall store as well as pay storage fees.

There must be a business entity located in Mainland China holding a Chinese retail business license.

The product should also be located within Mainland China to quickly fulfill and ship orders when placed.

On Tmall as a seller you'll have the option:

To manage your own store and while it may feel troublesome you also have the possibility to personalized your storefront as you would like to.

To work as a wholesaler, meaning that your product will be displayed by Tmall Store and have high visibility.

It is up to you to decide which option fit your business objective the most but keep in mind in both case your product will have to match the quality standard of the marketplace.

JD.COM

Not as Famous as Tmall and Yet

JD or Jing Dong is the largest self-operated e-commerce enterprise in China. As for Tmall and Taobao you can find about everything on JD with a strong focus on electronic devices.

What is setting it apart from Alibaba's Taobao and Tmall is its fulfillment service. JD has the most advanced fulfillment infrastructure among all Chinese e-commerce companies allowing same day delivery. This is largely due to JD buying and storing goods which according to Dennis Hong, the investor at JD.com in an interview with Forbes, could be beneficial to the company growth: "JD takes on inventory risk, it could achieve procurement scale over time and guarantee product quality in a country rampant with fake goods."

Why should you consider JD?

In 2013 JD and Tencent announced the launched of a "Jingteng" plan. In other words, the two Chinese giants basically merged their database offering a considerable advantage to JD's merchants in terms of marketing. Targeting consumers have never been that efficient.

Not only being present on JD is a door to Chinese e-commerce world but the platform also allows the international company to sell to Chinese consumers without the necessity of a physical presence in China.

Since 2017, JD.com has opened in South East Asia and is planning to go global in the near future.

The company with its focus on technology is always on top when it comes to using it at its advantage. For instance, JD is currently working on developing a more performant drone system to ensure an even faster fulfillment service.

TMALL VS JD: INTERESTING FACTS

In 2016 Tmall made up a little more than 55% of the sales while JD was around 25%

It is impossible to miss that if JD is a clear second, it stills hold more stakes than the rest of its competitors all together (25% vs 18% for the rest) .

Different Focus We have mentioned it quickly earlier, JD's focus is on technology. Meaning that the tow target different markets. Buyers will generally go to Tmall for clothes, cosmetics and F&B purchases, while JD.com will be the number one choice for purchases of home appliances and electronic equipment.

Management fees are pretty similar, however T-mall is cheaper (For a year ~ $1000 US vs ~ 1 to $10 000 Us on JD.)

The payment method differs. You'll pay with Alipay and Bank Card on T-Mall and use Wechat Pay, JD Pay or Bankcard on JD.

Both Tmall and JD.com have their own cross-border platforms enabling foreign businesses to sell directly to China: Tmall Global and JD Worldwide.

 

WHY YOU SHOULD SERIOUSLY THINK OF ONE OF THIS OPTION?

If you are still not sure whether or not you as an e-commerce company you should join one of this marketplace let us reminds you that we are talking about daily visits of millions of users, with an average conversion rate close to 30%. Some well-optimized store can even reach an insane 50%.

What is the benefice

The platforms already exist and have consumers trust.

The payment method is already set up and thanks to Wechat payment and Alipay it has never been so easy for a customer to place an order.

High visibility and easy targeting thanks to the huge customer database of these platforms.

Assistance 24/24.

To sum up, these companies have made shopping online an ultra easy process and being present on such a platform can offer better visibility to a confident customer ready to convert.

That said, being present on 1 of these marketplaces is not always enough to succeed in China, in short, your success is going to depend on how well you understand the Chinese consumers and how you apply this knowledge into your marketing strategy.

BLISS SOURCING

You still aren't sure and would like personalized expertise on your e-commerce project in China? Contact Bliss Sourcing and meet with our Chinese e-commerce specialists.

 

1688.com is just like Alibaba.com, but all in Chinese, and for the domestic market in China.

Some believe that they can find better deals, by going directly to suppliers on 1688.com, instead of Alibaba.com.

But is that really true?

Keep reading, and learn if 1688.com suppliers are really offering lower prices, how to pay them and if they even have export licenses.

What is 1688.com?

1688.com is a B2B supplier directory owned by Alibaba Group. Just like Alibaba.com, 1688.com is portal were you can find factories, wholesalers and trading companies, in virtually any industry.

So why is it called 1688.com, and not Alibaba.cn? In Chinese, 1688 reads as “Yao Liu Ba Ba”, which (kind of) sounds like Alibaba.

Substituting words for similar sounding numbers is common in China and all over Asia.

What is the difference between 1688.com and Alibaba.com?

The difference between the two is that 1688.com is exclusively for domestic trade. Alibaba.com has been export focused since day 1.

This is why 1688.com is in Chinese, while Alibaba.com is in English, and has translations in French, Spanish and other major languages.

Are 1688.com for wholesalers or factories?

Both 1688.com is not limited to wholesalers or factories. Instead, you can find the same types of suppliers here, as you find on Alibaba.com.

Many suppliers actually have company pages on both Alibaba.com and 1688.com.

One for international buyers, and one for domestic ones.

Can I find cheaper products on 1688.com?

Many importers believe that Chinese suppliers offer lower prices to domestic buyers. This is often true, but not for the reasons you might think.

Suppliers tend to quote higher prices to European and American customers, for quality reasons.

Chinese suppliers know they can’t sell the same quality overseas, as they can to some local customers.

If you submit the same product specification to suppliers on Alibaba.com, as you do on 1688.com, you will not necessarily be quoted a higher price on the former.

As such, you should not assume that you’ll get lower quotes from 1688.com suppliers.

How do I communicate with the suppliers?

Suppliers go to 1688.com because they want to sell products on the domestic market. Domestic manufacturers and wholesalers rarely have English speaking employees operating their 1688 account.

If you want to contact 1688 suppliers, you either need an agent, or learn mandarin.

Alibaba.com suppliers, on the other hand, almost always have English speaking sales reps operating their accounts.

That’s kind of the whole point with Alibaba.com.

How do I pay suppliers?

One can say that China’s financial system is still in ‘Beta mode’. The standard company bank account in China is only for holding the local currency, Renminbi (RMB).

RMB accounts can receive USD, but this makes it count as a ‘domestic transaction’. Hence, no export rebate, which can deduct 17% to the factory price.

Instead, export focused companies need to open a separate bank account for receiving US dollars. This is the bank account you pay when sending money to your supplier.

But what if the supplier never exported products before?

If so, they likely don’t even have a USD bank account, and can therefore not receive USD.

Do 1688.com listed suppliers have export licenses?

In China, a company must obtain an export license before they can ship goods overseas. The license is not obtained on an order to order basis, but is valid for several years.

Many suppliers, especially the larger ones, tend to operate both on the domestic market in China, and export to other countries. These suppliers, naturally, have export licenses.

However, these suppliers also tend to be listed on Alibaba.com.

1688.com suppliers that are only focused on the domestic market don’t have the need to apply for, and maintain, export licenses.

There are ways to go around the need for an export license.

For example, the 1688 supplier can use an export agent. But I doubt that many ‘domestic suppliers’ are willing to bother with all the extra paperwork for one customer.

Are there 1688.com buying agents?

If you really want to buy products from 1688, there’s help to get.

There are several ‘1688.com buying agents’ that can help you with the following:

· Coordinate shipments

· Manage payments (from USD to RMB)

· Manage export procedures

Most charge a commission, ranging from 1 to 3%.

However, keep in mind that you should follow up with quality inspections, and make sure you don’t pay everything upfront.

Conclusion

Many Importers are under the impressions that 1688.com suppliers offer lower prices than everyone else.

And sometimes they do, but not for the same quality.

Further, 1688.com suppliers are rarely ‘export ready. Without a USD bank account and an export license, the products will not leave the country.

There are workarounds, but most ‘local suppliers’ don’t want to bother with that.

So, if it’s not cheaper and so much more hassle, why go to 1688.com?

There are very few scenarios I think of when 1688.com makes sense for importers outside of China. So if you want to buy goods from 1688.com, you better have Chinese sourcing agent, they can help you find best supplier and get cheaper price. Bliss Sourcing is a professional sourcing agency in China, welcome contact.

 

For importers that are serious about finding a high-quality supplier and controlling their product quality, sourcing agent could be the easiest answer.

If you’re importing from China and researching around the topic, you’ll have likely heard of sourcing agents. In this post, we will be exploring the use of sourcing agents and helping you to determine whether using a sourcing agent would benefit your business.

Finding a high quality manufacturer is the often one of the first steps for starting up your importing business — and it’s definitely one of the most important. Your manufacturer is the foundation of your business; they control your stock, which controls how customers view and interact with you. A good supplier means: high-quality goods, happy (and hopefully repeat!) customers, good reviews and more purchases. A bad supplier? Low-quality goods, dissatisfied customers, negative reviews, returns, a bad reputation and an unsuccessful business.

Sourcing agents are a shortcut to finding your ideal supplier. They cut out all the leg-work that you would have to do and negate a lot of the risk involved in trying a new factory.

What is sourcing agent or buying agent?

Sourcing agents are third party services that you can hire to find high quality suppliers in their native country on your behalf. They speak the language and are familiar with the customs. They liaise with the supplier — and they’re able to visit the factories and complete onsite verification. This means that you do not have to find a supplier yourself and it’s a way for you to minimize the risk of importing low quality goods.

Why should I use a sourcing agent?

There are many reasons to use a sourcing agent but the main one is that you are more likely to find a high quality product quickly and efficiently.

When sourcing from Asia, the reputation for producing low quality goods and prospect of the uncertainty that comes with having a supplier on the other side of the planet can be enough to put first time importers off. A large part of ensuring that the goods you receive are of a high standard and able to be resold in the country is finding a high-quality supplier. Sourcing agents are able to do this on your behalf and a lot more efficiently than you will often be able to.

What are the benefits of sourcing agents?

The main benefits of using a sourcing agent to find a supplier for you to use all center around the fact that sourcing agents live in your supplier’s native country. They are from your supplier’s country — and they know how to navigate it far better than you will.

· Finding new products and suppliers.

· Audit existing suppliers.

· Manage negotiations and draft agreements.

· Perform factory inspections and quality control.

· Manage shipping and logistics.

What can go wrong without a sourcing agent?

Many businesses are in need of a helping hand when importing from China. This is when the purchasing agent (or sourcing agent, procurement agent etc.) becomes relevant. He, she, or the company, that acts as a purchasing agent shall be your right hand and an incorruptible ally on the front line in China.
However, It’s not a protected professional title and anyone can call him or herself a purchasing agent. If you don’t make an informed decision when selecting a purchasing agent you might end up losing a lot more than the commission or service fee.

Are there any pitfalls to using a sourcing agent?

Although using a sourcing agent can be a great way to ensure you’re sourcing from a trust-worthy supplier, there are a few drawbacks.

· Blind mark-up. Sourcing agents are a middleman. This means that you have no contact with the supplier — which essentially turns your sourcing agent into your supplier. All prices you get are what they’ve given you (probably with a commission thrown in) and you have no idea if you’re paying a good price or not.

· Sourcing agents can, on occasion, slow shipping. Your chosen shipping company will normally liaise directly with your supplier to sort out delivery dates and times — but, when using a sourcing agent, we/they have to go through them who then liaise with the supplier. Typically, sourcing agents won’t have the right knowledge to chase the supplier as effectively and this can lead to a lot of back and forth to get the right information.

· Your agent doesn’t have to tell you who your supplier is. Your sourcing agent’s job is to get you the best quality product that they can find — end of. Sometimes, they might just tell you the price and the product details and that’s it. This means that you aren’t aware of who your supplier is — which is part of the reason it makes the shipping companies job harder!

Importance of finding a Good Purchasing Agent.

The responsibility of a purchasing agent is to look for quality products and reputable suppliers and handle everything you need in China on your behalf while looking after your every interest in it. Below are some of the duties of a reliable purchasing agent.

It is his role to keep an organization’s inventory of either finished goods, raw materials, or important services at a satisfactory level in order to keep business tasks at minimum possible price or cost.

He should verify purchase requisitions and compare items requested to master list, clarify unclear items and recommend alternatives. It is the duty of the Purchasing Agent to forward available inventory items by verifying stock and scheduling delivery and also verify price and specifications in order to prepare purchase orders and obtain recommendations from suppliers for substitute items.

His duty also includes obtaining purchased items by forwarding orders to suppliers, monitoring as well as expediting orders. He should be able to verify complete receipt of items by comparing items ordered to items received and resolving shipments in error with suppliers. It is their duty to accomplish purchasing and organization mission by completing related results as needed.

A good agent company from China will act as your eyes, ears and nose.They would visit the factory, run background checks and insure that what you receive what you expect.Furthermore even the best factory can have delay or make mistakes. Then your sourcing agent in china should keep effective contact with vendors frequently to ensure your goals will be met.

The right sourcing agent in China can release your load up to 80%. You only need to follow the process by communicating with one or 2 people who can communicate with you via the languages you are familiar with, instead of talking to numberous of factories with some changlish you dont understand.

It is impossilbe to implant your design ideas into the workers’mind. You need to have someone with technical knowledge then inform you the process and result after every communication with the vendors.

So, You can read another post of How to Find Best Sourcing Agency?