Three secrets to sourcing products in China
Sourcing and purchasing products from China is fast becoming a popular option with smaller businesses in the UK, who are trying to keep budgets low.
The language barrier can be tricky when buying from Chinese companies, and Westerners often fear getting scammed. Here are the top secrets to sourcing products from China.
Always do your research when sourcing products from China
The last thing a business wants to do is spend hundreds of pounds and then spend the next few weeks wondering if your supplier is the real deal. There’s no guarantee that a supplier won’t rip you off even if you choose one with badges like “Trade assurance”, “Golden Supplier,” or “Accessed Supplier.” When choosing a supplier, you should check a few things before you place an order.
Does the supplier have a proper company website and not just an About Us webpage? Google the company to check if there is a scam report or negative reviews about the company.
If you’re not sure about the company, ask a lot of questions to help you feel more comfortable with the supplier or the products. Ask for samples of products, or ask for clear photos of the products being held, for example.
Keep the conversations consistent and if they become inconsistent or stop replying, use your judgement to tell you they’re probably not the right supplier.
If you don’t have the time or the funds to go and visit the company in China, you could hire another company to do a pre-shipment inspection, which might include function testing, checking production, and making sure the products are made according to your requirements.
Negotiate when sourcing and purchasing products
The Chinese market is built on bartering. Western culture is less familiar with bargaining, but now that more businesses are catching on, merchants are putting up their prices, in order to turn a larger profit.
Make sure you negotiate with Chinese suppliers including minimum order numbers and payment terms. The smartest thing to do is to find a Chinese agency who can help you, as often when a Chinese company hears a foreign voice, they will put up their prices. Read Alibaba Private Label: Ultimate Guide to help decide how to best go about this.
Make sure that you ask for samples before you buy
Before you order in bulk, make sure you ask for samples. A lot of Chinese companies try to make you pay for samples and will charge postage on top too.
Remember that just because you aren’t visiting their factory or warehouse doesn’t mean that you aren’t entitled to see samples. Ask for samples from about five different suppliers to help you decide. Take a note of delivery times, import costs, and shipping times of the products.
Buying from China can be a good way to save money on your products, but it should be done carefully, and always with careful research to make sure you don’t get ripped off or overcharged by a disreputable company.