Introduction
Product sourcing is a necessary step for a business owner who would like to expand his business.
But we know, many business owners are worried about the barriers of Product sourcing, from language to product quality.
We understand, that’s why we choose to make this blog. This blog will show you a very simple guide to product sourcing. Only 8 steps, you can source the product you need!
We are sure that the information this blog provides will make a great contribution to solving your problem. Do not miss it!
This blog will include the following content
The first step- Doing product research
The second step- selecting product suppliers
The third step: Product Inspection
The fourth step: Factory Inspection Product
The fifth step- Asking for Product Sample
The sixth step-Sample Product Test
The seventh step – final negotiation
The eighth step – product shipping
Why do we choose Sourcing companies?
Reliable Sourcing Agencies for reference
The First Step- Doing Product Research
Product research is what it sounds like, researching products that are already on the market or close to being on the market.
Product research allows you to see how similar products to yours have done in your target country and industry as well as providing valuable insight into consumer preferences and behavior.
Product research allows you to save money before going into full production.
Product research may seem like a waste of time and money, but many businesses have gone bankrupt due to their products not being successful or being too costly to produce.
The product research will provide you with valuable knowledge, allowing you to make business decisions based on information instead of assumptions.
Product Research can also help you find potential competitors if your product is unique enough. Product research provides a wide range of information from potential market share to competitor product, helping you determine whether or not to proceed with product development and manufacturing
Product research is the backbone of product sourcing so take your time and do it right early on before making any major business decisions
The second step- selecting product suppliers
– Product Quality –
Product quality is the ultimate standard to judge whether a product supplier is reliable or not. Product quality directly influences the company’s reputation, customer experience, and sales volume. Product inspections are conducted at every production stage by the importing companies Product managers in order to ensure products’ conformance to product quality standards. Product managers are also responsible for sample inspection before products’ shipment, thus they require detailed information about the product supplier’s production capacity and logistics support system.
– Product service –
Product service refers to the product supplier’s after-sales services. Product suppliers should provide customers with a quick response during product problems occurred, smooth communication channels for the Product Manager with the Product supplier’s management team, detailed product costing information, and flexible customization.
– Product price –
Product suppliers usually have different prices among products of the same quality. Many companies due to product quality differences chose a high price product supplier while some others would consider a lower-priced product supplier in order to reduce product cost. Product managers are recommended to find product suppliers with better price-performance when they have a tight budget for purchasing products.
The third step: Product Inspection
Make sure you understand the product characteristics during this process，and learn about any special requirements/notes before sending them to the factory inspection team. Focus on material, size, style, color…etc detailed information of the product.
The fourth step: Factory Inspection Product
Inform supplier which inspector will visit a factory for quality control （in case if supplier doesn’t know which inspector will come，please inform clearly so they can prepare relevant information for product inspection）. Product Sourcing is not so difficult. Product sourcing can be used to find suppliers for your own company or for manufacturing on behalf of someone else. Product Sourcing is an all-encompassing term that includes prototypes, order processing, testing, and customs clearance.
The fifth step- Asking for Product Sample
Ask the supplier to show some samples for you . You need to pay more attention to both quantity and quality (quantity refers to the size, color, material…etc while quality refers to function capability). Do not be satisfied with one sample only which neglects important things like weight, temperature…etc. It shouldn’t experience any problem after several times testing under the same condition (for instance: the hardness of the product can be tested by hammering gently). The product sample will test the capability of the finished product. Product Sourcing is not just Product Inspection but also Product Sample Product and Product Review Product.
The sixth step-Sample Product Test
Make sure product quality meets your requirement after receiving the sample. If you need to make improvements on the product, please inform the supplier what part should be improved and provide detailed instruction of improvement，which may help them to make a new mold or modify present mold to meet new requirements (in case of custom-made products). Sampling involves comparing how a certain aspect of a proposed design differs from the original concept. For example: if you won’t change the color，size，weight…etc, please consider all these factors in the Product Review Product.
The seventh step – final negotiation
The product sourcing process is complete as you have got a confirmed quotation. At this point, you can negotiate with your supplier based on price，quantity…etc, and specify the product requirements (such as special package requirements for food products).
The eighth step – product shipping
Shipping Product After signing the contract and receiving your down payment (usually 30% deposit or according to the different situation), suppliers will start production and provide regular updates. Once the goods are ready, suppliers send them by container or bulk cargo （shipment methods depend on quantities of products）to appointed port/ place which will be also mentioned in the contract; then forwarder will receive a shipment from the factory and transport it to warehouse. The product shipping process is complete when goods arrive in your warehouse.
From the eight steps, we listed above if you still feel the process of product sourcing is a little bit complex. Do not worry, we still have an alternatives-sourcing company, which can save you more money and time.
Sourcing companies
About sourcing companies
What is Product Sourcing? Product sourcing, also known as product finding or product discovery, is the process of selecting and contracting with vendors who provide products for one’s company. Product sourcing can include construction materials, agriculture products, food items, legal services and more. Product sourcing companies are responsible for making sure that all contracted vendors meet quality requirements.
Product sourcing companies also negotiate pricing to ensure that the bottom line is met. Product sourcing companies are best for those who are not able to do it themselves because of a lack of time or expertise
. Product sourcing companies typically offer assisting services as well, which can include entering purchases into accounting systems or providing marketing support. Product sourcing companies may be located near you or maybe willing to travel. Product sourcing companies have a wide range of price points for services, ranging from several hundred dollars to tens of thousands or even more. Product sourcing companies can save you time and money if implemented correctly.
Sourcing companies for reference
Pangea Souce
Pangea is a sustainable and ethical sourcing company that offers great prices for Australian businesses. They have partnerships with factories in China, United Kingdom, Hong Koncg as well other markets so you know where your product comes from!
Panga’s mission statement says they want put their customers’ needs first by providing high-quality products at affordable prices; while achieving these goals through sustainability initiatives such as eco-friendly materials used on production lines or recycling programs within the supply chain framework
S Sourcing
S Sourcing is a sourcing company that has been in operation since 2019, specializing on the acquisition of fashionable clothing from China. We work with our clients to help them achieve goals such as increasing sales and profitability through cost-effective sourcing strategies
Souring was founded by Sherry Smith who realized how important it had become for companies like hers (a large international buyer)to connect directly with factories so they can purchase products at competitive prices without middlemen adding unnecessary costs onto product purchases while also ensuring high-quality standards all around; Although other businesses may not specialize solely on fashion apparel but rather focus more broadly
Yiwu BRILL Import & Export Co., Ltd.,
Yiwu BRILL Import & Export Co., Ltd., is a professional import and export trade company from China. We have been focusing on the South American market for almost 10 years, we have a sales team of 15 people who speak Spanish English, and Portuguese, you can communicate with us without any barriers.
Yiwu international trade city was awarded the national tourism administration of China’s first AAAA shopping tourist area honorary title. “Commodity ocean, a shopper’s paradise” has become prosperity, the civilization of the pronoun of Yiwu city. It has been named as the banner of China’s market economy and with a large variety of quality but cheaper commodities, the market has become a shopping paradise for tourists.
Conclusion
By 2021, most companies only hire Product Sourcing veterans with 5+ years of Product Sourcing experience who have been promoted from Product Inspection Veteran and Product Sample Veteran.In order to save your time and cost, please ask the product sourcing company to help you check their Product Sourcing VETERANS’ work records.
A good Product Source Company will also provide a realistic Product Price without any hidden fees so that you can control the budget more effectively.
The product inspection team has the responsibility to check the products in accordance with standards/requirements that you have set out before or with your suppliers’ own standards.
In a word, a trustable souring company can help you solve a lot of problems, or if you want to save the commission, you can follow the simple guide to make it yourself. Both are up to you!
If you have other questions, please feel free to contact us!
Hope this information can help you, thanks for your reading!