Efficiently Sourcing From China: Accelerate Success

The Chinese wholesale market is where all the action is at. LUCKILY for you, in this blog, we INTRODUCE you to sourcing from China. 

Don’t let the thousands of manufacturers leave you CONFUSED like a deer in headlights. We KNOW how annoying that can be. That’s why we’ll show you just how to navigate the Chinese sourcing game. 

We’ve been a China sourcing agent for over a DECADE! That’s right! We know our way around the Chinese wholesale market and sourcing in general. This, plus our in-depth research on the matter. You get the SKILLS to GROW your business. 

We’ll begin by telling you why you should source products from China with some steps on how to do it and 4 choices you should Consider. Then, we’ll top everything off with things to consider in sourcing from China.

So kick back, relax, and get ready to learn.

Why Sourcing Products From China?

1. Omkostningsbesparelser:

The Chinese production market is unparalleled in COST-EFFECTIVENESS. They have some of the most skilled yet AFFORDABLE labor in the world. Plus, they have effective access to cheap raw materials, tooling, packaging, and mold production. That allows them to give any manufacturing process unimaginable economies of scale. COMPETITIVE prices per unit.

2. No middlemen: 

Normal sourcing involves intermediaries who mark up UNNECESSARY costs to your product. MOST Chinese manufacturers deal with the Kina sourcing agenter that they are working with. That results in SIGNIFICANT cost reductions. 

Working with an ESTABLISHED sourcing selskab såsom Leeline sourcing Guarantees cost savings. They work directly with the manufacturer eliminating costs for your business. Plus, they know How to Get Cheap Products fra landet.

3. Unmatched supply chain: 

China has one of the most RENOWNED leverandør bases in the world. They get components from all over the world and use them in the production process. This well-established infrastructure ensures that the BEST COMPONENTS reach manufacturers at low cost. So, the finished high-quality products Come at AFFORDABLE prices.

Our team EASES the load of running your business by managing a forsyningskæde. We handle component sourcing to supplier management and production inspections.

Ekspert tip: Consider DIVERSIFYING a supply base in China. Doing so helps you work around risk and allows you to leverage competitive advantages.

Sherry Huang, Kina indkøbsagent

4. Low risk of scams/fraud: 

It’s easy to get scammed in ANY industry. But, sourcing from China gives you a lot of CONTROL over the entire process. It allows you to minimize fraud. You are typically working directly with a sourcing company. 

If you get POOR QUALITY goods, delayed delivery, or scammy transactions, you nip them in the bud. You are WELL-INFORMED on what is going on during the sourcing process.

The Leeline Sourcing team helps you MITIGATE RISKS associated With sourcing. We do supplier screaming, kvalitetskontrol, secure payment processing, and safe logistics. By giving you the services and more we ensure that your business transactions are SAFE.

Sådan henter du fra Kina?

1. Do Your Market Research

Setting up a successful business is not easy. That is why you need to position yourself for success in the market with proper RESEARCH. You need to know everything there is about your business and niche. That could include competitors prissætning, branding, marketing, and regulations. It will be EASIER for you to get your business to the top.

2. Find en leverandør

It’s time to get you a supplier. This is a confusing step for a lot of buyers, but we will CLEAR things up for you. There are basically THREE types of businesses you can deal with when ordering from China. More about this later!

If it is your FIRST time doing this, consider online sourcing platforms Such as Alibaba og Made in China. These sites usually have a rating system that you can EXPLOIT to find your desired supplier. That’s one of the best methods to verify a supplier.

3. Find a Manufacturer 

Contact Vendors with your requirements. However, it is worth noting that some people DO NOT like to contact suppliers. That is mostly because of the confusion On how to go about it. Before you do, make sure you UNDERSTAND the following about Chinese suppliers. 

Types of Sourcing Products from China Suppliers

THREE main types of product suppliers exist in the Chinese market. These are manufacturers, small trading companies, and sourcing companies. Here is how to KNOW which one works for you:

• Do you have deep pockets and want to make big orders? Consider dealing with the factory DIRECTLY. You will likely meet the minimum order quantity.
• Trade companies are best if you want a large variety of related products but in SMALL QUANTITIES.
• A sourcing selskab handles everything on your behalf. That is from finding the supplier to arranging shipping logistics. These sourcing service providers work for MOST BUSINESSES or individuals. You just have to know how to find a SOURCING AGENT.

Leeline Sourcing is the BEST agent in the game. They handle your product specifications with CARE to get you the goods you need at the best price. They verify suppliers, package goods, brand them, and transport your products. They also get you private label produkter.

4. Conduct Supplier Negotiation Focusing on Quality

It’s time to hit up your potential suppliers with negotiations. But hold your horses. Make sure to have all the information you need BEFOREHAND. That gives you a good idea of your supplier’s minimum order cost and reasonable pricing.

How to negotiate with suppliers? Understand that the negotiation process is NOT a race to the bottom. So, you have to find that sweet spot where your supplier feels ADEQUATELY compensated.

They are in business, after all, right? Offering REASONABLE PRICING also ensures you get quality products.

Leeline Sourcing tilbyder the BEST China factory audit. They EVALUATE SUPPLIERS for you to get you the quality that you desire. That is from the beginning of the production process. They keep an eye on the potential supplier EVERY STEP afterward till you get the goods.

5. Bring in Your Order Samples

When you’ve gotten the quotes from the producent, du skal vide How to get free samples. Ask the supplier for one. Once the sample arrives:

• CHECK the units to ensure that they are up to standard.
• INSPECT for defects or low-quality components.
• Ask for MULTIPLE ROUNDS of samples if unsatisfied. Alternatively, consider moving on to another supplier.

With Leeline sourcing, you get the best China inspection services. We go above and beyond to ensure the supplier’s claim on quality is VALID.

Ekspert tip: Business in China is determined by WHO you know and NOT WHAT you know. So, cultivating strong relationships is key to success.

Fowler Wang, Kapacitetsindkøbsekspert

6. Make Your Bulk in Order

Have you followed the best product sourcing methods above to the tee? Good! Now, you can order in BULK. Be mindful when sending payments to China to AVOID being scammed. 

Standard Sourcing Products from China Payment Methods

A lot of supplies need you to send them at least a 30% deposit. This is done BEFORE production begins. So, you have to bear the deposit risk.  

Du betaler the remaining amount before shipment. Pay the remainder after your goods PASS the quality control process and lab testing.

7. Do Periodic Quality Control Inspections

Communicating your product specifications clearly and having a GOOD PRODUCTION agreement Is great. It ensures a wonderful start to your production. However, always perform regular QUALITY CONTROL INSPECTIONS. 

This will help ensure that the goods meet your standards. And you’ll be able to REDUCE costly mistakes in the entire manufacturing process. Last-minute or late-stage blunders can be extremely COSTLY for you.

At stole på bedste kvalitetskontrol and inspection agent can help. Leeline Sourcing is one such agent. They give you the best 100% inspection in China to reduce UNNECESSARY MISTAKES.

8. Organize Your Logistics 

It’s time to get those goods to you. But hold your horses! Don’t jump at the first offer your supplier gives you. Most suppliers BUNDLE TRANSPORTATION services as part of their overall service package. However, these services are often SUBPAR, and you should skip them.

Go with Leeline Sourcing, the Bedste one-stop Kina speditør. These folks give you straightforward, affordable, and efficient shipping across the world.

4 Choices For You To Source From China

1. Go To a Chinese Supplier Directly

Over 80% of businesses buying from China go DIRECTLY to a supplier. That’s because this GIVES them an immeasurable amount of control. Plus it reduces the PREMIUMS added on by intermediaries.

So, take up this proven sound product sourcing strategy. Be warned, though, that you will need enough ORGANIZATIONAL MUSCLE to handle suppliers. It all boils down to having the ability to handle their MOQ requirements.

Ekspert tip: Use local trade fairs To find potential suppliers and products. This gives you FIRST-HAND experience with products and abilities.  – Emily Wong, Trade Show Coordinator

Ali Tamoor, Produkt Sourcing Expert

2. Use a China Sourcing Agent

There are thousands of Chinese Sourcing agenter out there. These people or businesses have a UNIQUE VIEW and access to the Kinesisk marked. You can LEVERAGE them for better product sourcing.

Just make sure that they’re from the right industry, and they will act as a REPRESENTATIVE in the country. 

Leeline Sourcing is a RESPECTABLE industry juggernaut that offers sourcing services in China. With these folks, you get what you need. They give you supplier management, product development, inspection, and so much more.

3. Use a Trading Company

Not everyone can work with suppliers directly because of their COSTLY requirements. That’s Where trade companies come in HANDY. They allow small retail businesses or startups, too. 

These businesses allow you to place small orders that are below most suppliers’ MOQ. Unless you really need to, I wouldn’t recommend working with such COMPANIES.

Ekspert tip: Have and communicate your specifications and expectations clearly from the start. This way, you AVOID a lot of misunderstandings later on.

Morgan Huang, Senior Sourcing Expert

4. Utilize a Service Company

Også selvom du ved det how to find Chinese suppliers and work directly with them, you might need a SERVICE COMPANY. These are businesses that give you follow-up services on your production. And they act as your boots on the ground. 

Ensure that they keep EVERYTHING TRANSPARENT. We are talking supplier names, factory registration records, processes followed, and so on. It might be an investment for your company, so evaluate to see if you need it.

Things To Consider When Sourcing In China

1. Don’t be afraid to Negotiate 

As stated earlier the price your supplier quotes you is NOT FINAL. Get ready to exercise your negotiating muscle to get a deal that is good for you. INFORMATION is key when making your case.

The goal is to get to a figure that works for both parties. When negotiating:

• Move with CONFIDENCE to inspire faith in your business.
• It’s absolutely okay to say NO.
• More suppliers exist out there that can meet YOUR NEEDS. 

2. Spørg efter prøver

GET your hands on a sample product BEFORE sinking your money into a project. You need to write this statement in a word somewhere, as I CANNOT insist on it enough.

The goal is to check if it meets your specifications. You can always order MULTIPLE ROUNDS of a sample until you are satisfied.

Here, consider the location of the factory, payment methods, and delivery time.

3. Grow Professional Relationships 

Du skal forstå how to establish good business relationships with your supplier. This move will earn you MASSIVE DISCOUNTS and better deals. Well-developed professional relationships with Chinese suppliers also translate to trustable recommendations. 

In case you need a new supplier or something SIMILAR, your supplier can make the introduction. You inadvertently get access to their network.

For communication, use PLATFORMS that are available in China, such as WeChat, QQ, and Momo.

How To Reduce The Purchase Cost?

1) Tal med kinesiske leverandører

Sørg for, at leverandørerne tilbyder en reduceret pris i en årlig eller kvartalsvis ramme.

You can do it through negotiation and signing a strategic cooperation agreement. If this is not possible, ask them to at least keep the price unchanged for a certain period of time.

2) Know Production cost evaluation criteria

A. Udgifter til råvarer: Køb råvarer direkte fra fabrikken for at spare indkøbsomkostninger.

B. Interne produktionsomkostninger: I tilfælde af kvalitet og nøjagtighed, prøv at anvende billigt produktionsudstyr. Lave omkostninger til hjælpematerialer (f.eks. områder med lav nytte eller energirige områder).

C. Ledelsesstrukturen er mere strømlinet, og der er færre ledende udenlandske ledere.

D. Gode logistiske forhold og geografisk placering (hjælp til at reducere transportomkostninger).

E. Lave marginkrav (indenlandske fabrikker er relativt gode).

People Also Ask About Sourcing From China

Hvad er næste

We told you why sourcing products from China is good. Then, we gave you eight detailed steps on how to achieve this. As an icing on the cake, we added 4 choices for you when sourcing from China. Lastly, we sprinkled some things to consider in your endeavors.

With this information you can source from China easily! 

Now you have an itch to learn more! Worry not! Our seasoned professionals have put together a collection of Sourcing Knowledge. 

Pass by our website if you have additional questions or want to learn more.

kilder:

tradecommissioner.gc.ca– Sourcing Road Map

IESE Business School– Sourcing from China

diva-portal.org– In the middle: on sourcing from China