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Common mistake with sourcing in China

2024-06-06 Visits:

Only reply on platform

90% importer reply on import platform, like Alibaba, Made-in-China ect. These platforms have high advertisement fee. The suppliers on these platforms have high quotation. As calculated, these platforms only cover China 25% manufactures. That means more factories do not have advertisement on these platforms. So your price should be higher than your competitors.

 

Only trust samples. Do not pay attention to bulk order QC

For example, in cosmetics industry, some factory sends you very good sample. But during the price negotiation, you press the price a lot because you do not know the product cost. So factory price is very low, even cannot cover the cost because you need high quality cosmetics products. Sample is good. But during the production, factory exchange some material, even important material during the production to save cost. The result is that you will get low quality products and hurt your brand. Find a sourcing expert to solve these problems.

 

Not vetting potential suppliers

Reply on your current suppliers will more money. Marketing is changing every year. Some material or market price has already reduced, but you only reply on your current suppliers. Your competitor has already reduced cost and get more profit. Save cost is reduce profit. We will find about 15-20 potential qualified factories to you.


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