When it comes to sourcing products, thousands of business owners are discovering the benefits of manufacturing in China. As one of the world’s most populated countries, cheap labor costs make outsourcing production to Chinese factories very attractive.
With a population of almost over 1 billion people, low-cost living conditions mean that workers’ wages remain relatively low while productivity remains high.
China has risen to become the world’s largest exporter of manufactured goods, meaning companies can benefit from supplying their product to both domestic and international markets.
In this article, we will share our experience with sourcing products in China, explaining the reason why we recommend you to choose a reliable sourcing agent to help you.
The blog will include the following content:
What are the benefits of sourcing products in China
Step by Step Guide: How to Source Products from China?
How to choose a reliable sourcing agency?
Why choose Pangea?
What are the benefits of sourcing products in China?
First of all, the pricing policy of Chinese manufacturers tends to be very aggressive and they will often come to you with much lower prices than the market average.
Another advantage is that once your business starts making money, thanks to the fact that their prices are much lower, you can start thinking about using them as a supplier for raw materials and other products.
One advantage of importing goods from China that many people do not take into consideration is the number of logistical advantages.
For example, it is much easier to use ocean freight when transporting goods from China to your country as their location makes it very easy to reach European and American ports.
Furthermore, China is located in one of the biggest and most populated areas on Earth which mean that it has a very big market itself and many companies are willing to sell discounted products, helping you save even more money compared to buying from your local suppliers.
As for the advantage of setting up your business in your country, you should remember that the Chinese economy is growing exponentially and even though the cost of living there is very low, it will be easier for your business to expand if you keep in close contact with local manufacturers.
Step by Step Guide: How to Source Products from China?
1. Decide on a product category
Before you can source products from China, you first need to decide what type of product you want to source.
This will largely depend on your business niche and what you’re comfortable importing.
Some popular product categories that can be sourced from China include:
– Home goods
2. Research Chinese product suppliers
Once you’ve decided on a product category, it’s time to start researching Chinese suppliers. The best way to do this is by browsing online supplier directories such as Alibaba.
When browsing supplier directories, be sure to pay attention to the following:
– The supplier’s ratings and reviews
– The supplier’s shipping times and costs
– The quality of the products they offer
3. Contact potential product suppliers
Once you’ve found a few suppliers you’re interested in working with, it’s time to contact them!
Most Chinese suppliers will have an English-speaking representative who can help you through the sourcing process.
Be sure to ask the following questions when contacting suppliers:
– What type of payment methods do they accept?
– What is their minimum order quantity?
– What is their delivery time?
4. Place your order
Once you’ve confirmed all the details with your supplier and payment has been processed, it’s time to wait for your order to arrive!
Most Chinese suppliers will ship products via air freight, so you can expect to receive your order within 2-3 weeks.
If you’re happy with the quality of the products and the supplier’s service, be sure to keep them in mind for future orders!
That’s it! By following these simple steps, you can source high-quality products from China with ease. Happy sourcing!
5. Establish quality control procedures
Quality is of utmost importance when sourcing products from China. One way to ensure that you’re getting high-quality products is to establish quality control procedures and standards.
These should include inspections of the factory and finished products, as well as requirements for testing and certifications.
By setting these standards upfront, you’ll help ensure that the products you source are of the highest quality.
6. Prepare for potential delays
Sourcing products from China can often be a slow process, so it’s important to be patient and allow plenty of time for negotiations and production.
Delays are common when dealing with Chinese suppliers, so be prepared for them and have backup plans in place.
If possible, try to visit the factory in person to speed up the process.
Follow these simple steps to make the process as smooth as possible. During the process, the most difficult one is how to find a reliable Chinese product supplier.
This is the key point which makes a great contribution to your importing business. So in the following part of the content, we will share some information about how to find a reliable Chinese product supplier.
Where to Find Chinese product suppliers？
There are a few ways to find Chinese product suppliers.
One way is to search online directories, such as Made-in-China.com. This website is an online directory of Chinese manufacturers and exporters. These directories contain information on thousands of Chinese manufacturers and exporters. You can browse the directory by product category, company name, product type, or keywords.
Using online directories or search engines is a quick and easy way to find suppliers. However, the information in these directories may not be up-to-date, and you may not be able to contact the suppliers directly.
Another way to find suppliers is to contact trade associations in China. Trade associations can provide you with a list of qualified suppliers for your product. A good tradeshow is a great opportunity to meet potential suppliers face-to-face and see their products firsthand. You can also negotiate prices and place orders at trade shows.
A third way is to go through a sourcing agent.
Contacting a sourcing agency can be more expensive, but the sourcing consultants will have up-to-date information and contacts with reliable suppliers.
One of the greatest benefits of cooperating with sourcing agencies is saving your time and energy so that you can focus more on the marketing of your business. All things about products can be covered by the sourcing agencies.
These three channels are the most common-use and efficient ways to find product suppliers from China.
How to Choose a Reliable Product Supplier/Sourcing agency
After finding some potential Product suppliers, we need to choose the most reliable one. This is very significant for sourcing products from China.
It’s the same when it comes to sourcing agencies.
When you choose to outsource, it is important to choose a reliable agency.
The choice of an outsourcing company always begins with finding the best one that should be able to meet your project’s requirements.
It is also vital that the partner you choose is capable of providing services without delay which produces quality results within deadlines.
What follows are some tips on how to choose a reputable outsourcing agent for your business needs.
1. Do Your Homework
Start by doing some research on sourcing agencies in your area or in an area where you plan to do business. Learn the difference between “sourcing” and “procurement.”
Sourcing is when you pay a company to find suppliers for you, while procurement is when you negotiate with third-party suppliers directly.
This distinction avoids confusion when it comes to knowing who has what authority in negotiations. You can also learn more about the costs involved with each process.
2. Reference Reliable Sources
If you’re looking on the Internet for leads, make sure your sources are reliable. Asking around on forums can help you get connected with experts in the industry.
Sites like LinkedIn are also great resources.
If you can’t find a connection on LinkedIn, try searching for experts or companies that may be able to point you in the right direction. Once you’ve established some good lead generation platforms, it’s time to start actually building lists of potential candidates.
3. Look Out For Good Customer Service
One of the most important things you should look for in any online or offline company whose services you want to use is good customer service.
Through word-of-mouth and reviews from other clients, companies gain popularity while others become infamous for poor customer service leading prospective clients to choose another company with better support.
You can choose an outsourcing partner by personally investigating and asking for references from previous customers of the firm you are considering working with.
Look for companies that provide excellent communication with their partners; also keep an eye out for those that ensure positive customer service as this is a sign that they really care about your satisfaction as a client and the quality of services they render.
4. Check Their Capabilities And Expertise
Knowing how much experience your prospective outsourcing partner has in providing the kind of service you need will help you choose between two or more companies offering similar services and rates.
You can inquire on how long they have been providing such services, ask them to show samples of their past projects and find out from their other clients how satisfied they are with the work done by their outsourcing partners.
You can choose a company that has been in business for at least three years and ask them to show samples of the kind of work they have handled.
This will give you an idea on whether or not such companies possess the capabilities to provide what your business requires based on the services they offer and how far these deliveries went regarding success even if there were some errors made during the process.
5. Know How To Find Company Information And Backgrounds
It is important that you choose an outsourcing partner who is transparent and sincere about their backgrounds and overall information pertaining to ownership, location, and contact numbers among other things. The more transparent a company appears, the better.
Choosing a company with a transparent background gives a sense of security knowing that a firm is committed to being honest and truthful, which builds trust between the two parties involved in the business transaction.
This is because these companies choose to be accountable for their location, contact numbers, licenses, and registration details among others.
In addition, choose an outsourcing partner who has been inactive service for at least five years or more since they have been proven reputable during this time frame through success stories from former clients.
6. Get A Free Quote And Ask For References
Inquire from your prospective outsourcing partners regarding what kind of fees will be charged per hour and how much they would charge if you choose them as your business partner so you can choose a company that offers competitive rates.
You can choose one with a free quote or choose those who offer fixed prices and discount rates to make the process of choosing easier and less time-consuming.
The success of your project greatly depends on the expertise, skills, and knowledge your outsourcing partner has for doing the job successfully so choose someone who is well-versed in similar projects they have worked on in the past so you are sure about what to expect from them at all times.
Also, choose an outsourcing firm that provides references from former clients they have worked with before so you may contact them personally to inquire about their level of satisfaction with regards to quality service rendered by your prospective partners.
7. Trustworthy And With A History Of Good Deeds
You may choose an outsourcing partner who has been in the business industry for a number of years, but if you find out they have done some bad deeds in the past, choose another company.
There are instances when you choose to work with an outsourcing firm due to their competitive rates or excellent customer service, but when it comes to payment issues and other disputes arising at the middle part of your project towards its completion, choose someone else.
Established companies with considerable expertise and skills offer not just good customer service but also show incredible professionalism in every undertaking involving their client in order for them to aim for nothing less than complete satisfaction in that particular job.
They know all too well that poor performance will only reflect poorly on their overall track record, which is why choose an outsourcing partner who has been in this line of business for at least three years because they have gained, if not perfected their skills during that time frame.
8. Beware Of Bait And Switch Tactics
A bait and switch tactic is used by some companies to attract new customers by offering attractive offers initially, but when it comes to the final part of the agreement where contracts are signed, changes are done or prices skyrocket beyond what was originally promised earlier.
Choose an outsourcing firm that does not use such tactics since they do not reflect well on them as a whole.
There are enough ways for you to find out about their reliability through positive reviews from old and current clients alike;
Choose someone who has no legal cases filed against them, no negative reviews or complaints from their past clients. choose someone who has not been part of any reputable organization because they have proven themselves trustworthy enough to be in good, working standing with these organizations.
When it comes to outsourcing, choose an experienced partner that will provide the business assistance you need in order for you to achieve your goals and improve your bottom line by providing quality customer service at all times.
Choose a reliable sourcing agency that is willing to work with you through thick and thin so you can land on the right path towards success knowing full well that there are no hidden charges involved since all fees are discussed prior to signing official documents.
A reliable outsourcing firm will give you access to the previous client list you may contact them personally before making your decision as to which company you choose as your partner. choose someone who has a good track record and an excellent reputation that is beyond reproach, choose a reliable sourcing agency today!
Why choose Pangea
Pangea is your No.1 choice for product sourcing in Australia. With factory partners in China, the United Kingdom, Hong Kong, and other markets you can be sure your products are sourced from the right place.
Let Pangea be your No.1 sourcing provider and join our 1000+ of satisfied customers
Pangea’s mission is to be a sustainable, ethical sourcing provider who helps our customers save over 20% on their orders
Pangea’s vision is to help Australian businesses by providing sustainable, high-quality products at the best possible price
No matter what your industry is, it can be difficult to find the right suppliers for your products. By following these steps and considering all of the benefits that China has to offer, you should be able to choose a supplier who will help grow your business in an exciting way.
The next time you are looking into trade shows or sourcing products from China, consider how this blog may have helped make those decisions easier! We want our customers to succeed; let us know if we can do anything else today.