It takes a while for your products to travel from China to FBA internationally, and that distance is not even the longest part of the procedure. Between having your products made at the point of origin and effectively importing them into FBA, there is a lot of time and work.
Unfortunately, there can be several mistakes in such activities. It needs careful planning, open communication, and a solid grasp of numerous rules, ranging from customs to FBA specifications, to avoid them.
The following stage is to browse supplier catalogues and choose which products to sell for your Amazon business before placing an order for product sourcing. This is done after locating a supplier and signing your wholesale account contracts.
This step is frequently skipped, and if done incorrectly, it could harm your company even before you make your first sale. These errors are typical, particularly among new merchants.
Some vendors might not be aware of these errors until after they have already encountered the issues or until it is too late. Sellers are suddenly in a turmoil to fix these problems that may have been avoided.
You may prevent these risks from occurring by reading this post, and you will also learn the ideal strategies for sourcing products for Amazon that will result in lower costs and larger profit margins.
We have listed the most frequent errors we have observed when sourcing from China for FBA, along with advice on how to avoid them, to help you avoid wasting time and money.
This article should provide sellers, both new and seasoned, with a checklist to utilise whenever they want to send things into FBA from abroad.
1. Lack of understanding about China
Often people of the western countries fail to understand the business culture prevalent in China. Not only it is difficult to communicate with most Chinese in English, but also their facial expression and body language can be quite different from the people of the west.
A better understanding of the culture of China will be highly beneficial.
2. No sufficient experience while dealing with Chinese vendors
As all can discover the best products to offer on Amazon, China products are appealing to Amazon FBA sellers. China is the source of many of the popular Amazon products.
However, it is difficult for foreign purchasers to directly order products from China. Dealing with Chinese suppliers without prior experience might be an expensive mistake.
3. Did not adapt yourself to the business environment of China
China is only an example; the scam may occur anyplace on Earth. It would be a grave mistake to only consider the negatives of conducting business in China.
The majority of Chinese suppliers are trustworthy and eager to work with you. China could not become the world's leading manufacturer otherwise.
4. Lack of experience about import and export
Starting a business of sourcing products for Amazon from China can be a lengthy and challenging process from beginning to end.
It could take months to implement, so you should have the needed import and export knowledge for your company before you start. Without any experience in such activity is sure recipe of failure.
5. Assuming everything will go as per your schedule
Always have backup plans ready in case your shipments are delayed. This can entail collaborating with many manufacturers or locating a nearby source as standby.
Reordering when you have a surplus of stock and preparing and keeping those things locally to act as a buffer might also be considered.
6. Not researching enough about a new manufacturer
It can be tempting to get directly into a new transaction and start selling. Or perhaps you have found a wonderful deal from a brand-new vendor and want to lock it in.
You should conduct sufficient due diligence on the business before entering a contract or placing your faith on that manufacturer.
7. Proceeding with an order despite the sample had a minor defect
The manufacturer will occasionally provide a sample to the seller that has a minor flaw or is not precisely what they wanted.
If this occurs, don't complete your order. Even if they have the best pricing, this supplier is probably unreliable and careless. Using Chinese sourcing company who can check products as they are being produced is preferable.
8. Not sure whether to go for direct or indirect shipping
One of the most crucial choices you need to make when sourcing your items is whether to use direct or indirect shipment to Amazon. Before starting this business, it is crucial to comprehend their distinctions before sourcing products for Amazon.
9. Manufacturing goods without total cost calculation
It is crucial to maintain your finances straight before choosing a manufacturing firm so that you can account for all anticipated costs and take any unforeseen ones into consideration.
Inquire about the price of product creation and delivery services such as packing, shipping, and manufacturing. Ineffective planning and inaccurate spending predictions may lead to lost revenue.
10. Not selecting the right shipping mode
When sourcing products for Amazon and shipping items to Amazon FBA, choosing a shipping option should be your first choice.
It will assist you in making international freight cost and transit time predictions. Air freight, fast shipping, and ocean freight are the three most popular shipping methods available.
11. Ignoring Amazon’s guidelines
When it comes to storing and fulfilling things with Amazon, there are rigid but reasonable rules. All weight, labelling, dimension, and packaging specifications must be met.
If you don't go by those rules, Amazon can reject your inventory or charge you a lot of money to correct any problems. Due to the additional process (or processes) required to have your things properly prepared and subsequently approved, this can be time- and money-consuming.
12. Not hiring any product sourcing agent
When delivering products from China to FBA, a trustworthy sourcing agency is essential. Your products will arrive at FBA on time with the assistance of a China-based sourcing agent who will guide you through the entire shipping procedure.
13. Having Amazon overstock
Many new sellers, as well as some seasoned ones, commit the error of purchasing excessive amounts of product and then overspending on inventory.
It is very simple to overestimate your sales, which could lead to you purchasing excessive amounts of merchandise and not enough customers.
14. Selling time-sensitive products
Be extremely cautious while creating your inventory when it comes to time-sensitive products. Products with a short shelf life fall into two primary categories:
Always keep in mind that seasonal products' sales figures are subject to quick fluctuations. Additionally, new vendors must avoid selling perishable products and goods.
15. Forgetting contract negotiations
Negotiate, whether you are attempting to secure a wholesale contract or strike a deal with another supplier. The art of negotiation usually appears a little intimidating, especially if you have never engaged in it before.
It is crucial to bargain everything while trying to source products at a fair price.
By hiring a merchandize sourcing companies in China and using a specific network in your country to take care of your operations until your items reach FBA, you may greatly reduce the workload and save money.
Additionally, double-check your calculations, conduct research, and collaborate with reputable partners while sourcing products for Amazon or exporting from China to FBA.