28 Apr

Sourcing in China can be tricky but well worth the effort. Here is some techiques that helps you source in China 2024, and you’ll get high-quality products at the right price consistently from China

Online or retail businesses outside China can benefit greatly from sourcing products from China. Contrary to the popular belief that China is the home to cheap and low-quality products, many manufacturing units in China produce high-quality products that are competitive in any market. When starting your business, you have the option of manufacturing the product yourself, buying locally, or sourcing from a foreign country. Product sourcing from China may seem more daunting than the other two alternatives, but it is also the one with the potential for maximum profit. But dealing with the complex system of Chinese business needs some preparatory steps and strategies. You can navigate through the complexity and grow your business with a sound product sourcing strategy.

Before we delve into how to source high-quality products from China, let’s have a look at why China has become the primary country of choice when it comes to sourcing products.

Why source in China 2024?

You will find numerous opinions on why China is the hotbed of product sourcing. These opinions are often laced with personal biases. From a strategic and economic point of view, China offers numerous benefits that no other economy can at this moment.

Cost: Cost is the main reason so many businesses rely on China for their products. China has a huge, low-cost labor pool. The cost-effectiveness of this labor force is unparalleled. Other aspects where you can save money by sourcing products from China are tooling and molds, unit costs, packaging, design, and engineering functions. While sourcing products from China, you must also be cautious about the quality of the product you are getting. The Chinese market is flooded with poorly designed products with low-quality materials. However, a little knowledge and understanding of your niche will give you access to high-quality products manufactured at a fraction of the cost than they would if produced anywhere else.

Elimination of middlemen: A safe way to boost revenue is to deliver products to customers at a low price without compromising the quality. One of the ways to achieve this is to cut out the middlemen as much as possible. Chinese manufacturers recognize this and deal directly with the business they are sourcing to. Chinese sourcing agents eliminate the role of middlemen and deal directly with your business. Apart from the huge cost saving that benefits you, you also develop a better understanding of how the seller works and how to get the best products from them.

Chinese supplier base: It is a known fact that the Chinese supplier base is one of the best in the world, if not the best. China imports subcomponents and materials from other countries and does all the assembly in China. No matter which industry you are dealing in – textile, electronic, automobile, plastic, toys – you will find numerous suppliers in China. The factories in China are also well connected to a robust infrastructure that facilitates the production and transportation of goods, both finished products and raw materials. China’s booming economy is the reason such a vibrant supplier base exists there.

Reduced risk of fraud: Sourcing products from China is done through a well-managed process. It reduces the risk of fraud happening over business transactions. Since you will be directly in touch with the supplier, you will know what’s going on at every step of the process. You can deal with problems of untimely delivery, poor quality, and fraudulent transactions directly without any middleman. You are much more aware of what’s going on behind the scenes when you source your products from china.

Scaling capabilities: The efficient Chinese infrastructure coupled with manufacturers with in-depth knowledge and understanding of the global supply chain makes it possible to scale up production significantly with no additional hassle. You can scale up production from hundreds to thousands in just about a week’s time. On top of that, Chinese manufacturers allow a low Minimum Order Quantity (MOQ). If you have a startup or small business, it will greatly benefit you to be able to place small orders at a time, and then scale it up as and when your business grows. The time needed to scale up production will depend on the availability of raw materials and production time, but it would be better in China than anywhere else in the world.

No wonder China is often the first choice for businesses when it comes to product sourcing. The benefits listed above can boost your business to a different level. If you are looking for growth and boosted revenue, product sourcing from China is a reliable option. However, you should always be vigilant about the quality of the product you are getting. If the quality does not live up to expectations, you will lose customers no matter at what price you sell your products.

How to source in China 2024 for high quality products?

Sourcing in China 2024 for high-quality products is definitely beneficial for your business, but this does not mean that it is easy. You will want a steady supply chain of high-quality products. To get the best value out of sourcing products from China, you will need a robust business strategy before you engage in business deals. Since the Chinese economy, culture, and people are often alien to us, it is very easy to make mistakes and bad deals. With just a few pointers in mind, you can greatly reduce any chance of making wrong business deals with Chinese manufacturers.

Types of manufacturers in China

Trade companies: Trade companies are large factories that offer a huge range of products. They would put an additional cost over the manufacturing cost for profit. If you need a low minimum order quantity, it would be better to deal with manufacturers themselves instead of trade companies. It is worth noting that when trading with trade companies, you will not be directly familiar with what is going on in the factories. For huge orders in a diverse range of products, they can be your top choice.

Wholesalers: Wholesalers typically deal in standardized products, and you do not have the option of customizing according to your needs. Wholesalers often have warehouses in foreign locations, which saves shipping and storage costs. To make a profit, wholesalers add a margin on top of the manufacturing costs. For new eCommerce businesses, wholesalers can be a good option.

Manufacturers: Dealing with manufacturers directly is the most cost-effective option out there. The profit margin is higher than what you would get from trade companies or wholesalers. The difficulty lies in effective communication with manufacturers because many of them do not have English-speaking front desk staff. Many manufacturers are also already acquired by big companies like Alibaba, so it will be difficult to find what you are looking for.

Now that we have distinguished between the three avenues from where you can get your products, it is important to know exactly how to prepare for product sourcing from China, and what are the things to keep in mind.

Search for suppliers on the internet

Alibaba, Global Sources, and Made-in-China.com are among the most popular product sourcing platforms in China. In these platforms, you will find various suppliers labeled “gold member”, “verified supplier”, “onsite supplier”, “accredited supplier”, etc. These tags, however, do not guarantee the quality of the products they produce. It simply means that these companies’ existence has been verified. Platforms like Global Sources will give additional protection to buyers. Global Sources also publishes a report called China Sourcing Reports (CSRs). These reports are a good source of gathering information about product suppliers in your niche, their reviews, performance, etc.

Visit personally

If the option of visiting China physically is open to you, you can gain a great deal by talking to manufacturers directly. Visiting would cost you time and money, but often you will get the best deals at some trade show or by negotiating with the supplier after seeing the samples yourself. Be mindful of how social exchanges happen in China and maintain the necessary etiquette if you are planning to visit. Use an experienced China sourcing agent can be wise. They can guide you through the process and also manage the daily tasks on the supply side.

China has emerged as a giant in the world economy. Source in China 2024 is a great way to make optimum use of this booming economy. Maintaining a business relationship with Chinese suppliers is a matter of time and patience. With strong interpersonal bonds, your business contacts will also strengthen. Trading with Chinese suppliers requires overcoming a language and geographic barrier, but the results will be well worth it. Competition in the market is going up every day. Once you have decided that you want to grow your business, you should waste no time and start your research. Good research and strong connections with the right suppliers, combined with the Chinese market, will boost your business in no time. 【End】

Wholesale Shenzhen, aim to provide best quality and in trends consumer electronics products wholesale in the markets, to help Chinese manufacturers to export the quality products to all over the world.

We want to make all our products to wholesale with the best price and quality, and we could stand alone for a win-win business.

Our team mates are professional manufacturers experts, with good knowledge of product quality control methodlogies & lean productions, have deep cooperate for the factories in the Guangdong districts for brands like JBL/Harman Kardon/Skullcandy/Marshalls/Bissell, etc. Check my Linkedin and talk to us.

Our mission

Our final aimbition is to provide all of our customers with the best customer experience and the highest quality products, to help you success in the market.

  1. ODM/OEM service: We have our R&D engineering team & mold factory, could provide you the best OEM/ODM service, saving your cost. We help your design, or could provide suggestions for your products, we long for a win-win cooperations.
  2. FBA Service: With professional support team familiar with the whole FBA services, we could provide FBA labeling service directly from China for you, save much effort on the business.
  3. Product Compliance Service: We have cooperated most of the Shenzhen 3rd party labs, to provide you the best electronics certifications service in the markets, including the RoHS/Reach/CE/FCC, etc.
  4. Product Packaging Design: we cooperated with local packing test, we could help for the customized packing for you; we stand alone for the eco-friendly packaging.
  5. Logistics Service: Cooperated with the professional freight logistics company, we could provide you the various logistics solutions, including the express delivery, air freight, sea cargo delivery .etc

You can find thousands of sourcing agents in mainland China. But we’re sure we’re the best to help you wholesale the consumer electronics products in China. Our company consists of a team of knowledgeable and expert people who understand the international market & consumers company quality well.

Leave a comment