Procurement is the act of obtaining and purchasing goods, services or any form of works from an external source mostly through tendering or bidding processes. The goods, services or works have to be of high quality and procured at a very good cost that optimizes the needs of the company or firm.
L A T E S T P O S T S
Penetrating the import business in China
Tips on How to Build Your Own Profitable Online Business via EBay with Physical Products
How to wholesale and sell products to retailers
Must know when starting a wholesale distribution business
Best Guide For How to Wholesale Products
How To Sell On Amazon
Steps to Ensure a Successful Procurement Process
Chinese Manufacturer Business Guide
China is one of the biggest countries around the world and it is a land with a lot of business opportunities. A lot of businesses tend to lean on importing from this nation since labour is cheap and there are a lot of factories present. That is why a lot of the shoes, bags, clothes and other items being sold around the market have tags on that says “Made in China.” The country’s influence in the business and manufacturing sector is also blooming.
There are massive business opportunities in China, but there is a strategy you need to follow for importing success. Whether you are an already established business or a start-up looking to import goods from China to be able to sell them, you have to be careful especially if you do not know anyone who could help you find the right supplier and the right product.
First off, one must know that there are risks involved in this type of business. There is a risk in any case, and on the off chance that you get caught up to speed with the wrong suppliers it can make for headaches and considerably more cost over the long haul. In case you’re after less hazard, you can employ a agency company to go about as the agent, and they’ll help you speak with the industrial facilities, and may even have associations with specific production lines to get you up and running quicker. The drawback, is that they regularly get commissions from suppliers, and they may not prescribe the best suppliers for your specific needs, including a margin on top of the suppliers cost – so you pay more for less risk.
Second, research is vital to your business. Spending time learning and studying about what would work for your business model is crucial to the development of the business. Without proper research and study, you could end up making the wrong business decisions, pouring money down the drain and wasting precious time that could have been for making profits had proper research been done.
This is because dealing with organisations in China is altogether different to dealing with organisations in America or the western world. If you don’t have a clear comprehension of what you’re doing, you can do without much of a stretch wind up with a carport loaded with useless items that you will never have the capacity to sell.
To guarantee your prosperity importing from China, make sure you:
- Pick a tolerable item. It’s not hard to discover a targeted niche, so do your research and you’ll rapidly discover opportunities
- Assemble a relationship with a decent supplier. You will most likely deal with the many terrible suppliers and locate the best in your corner.
- Sell your item. When you have your item accessible, get it out selling on each stage accessible. Influence existing channels like Amazon, eBay, and even corner stages like Etsy and put your own particular store up to catch other people.
Third, you’ll have to watch out for an incredible supplier, in light of the fact that your definitive objective is to find a fantasy supplier that permits you to not handle the items, so you can simply concentrate on developing your business figures. You’re searching for quality suppliers that guarantee modest specimens, PayPal for instalments, and exhibit a capacity to react to your request and inquiries – quick.
Presently it comes to taking a gander at your alternatives for items. Think little and light, since you would prefer not to weaken your edges with huge delivery costs moving couches everywhere throughout the world. You likewise need to consider the nature of the item and pick a thing that doesn’t need to be 100% great. By this, attempt to stay away from things in the most focused classifications. Gadgets, garments, nourishment and different essentials are all exceptionally immersed and while there are benefits to be made; it can be extremely troublesome – particularly for somebody simply beginning.
When you begin being effective, you can utilise this position to arrange better terms with your supplier, whether it’s price drops or the choice to drop-ship and authorising your time from being spent at the mail station for quite a long time each day. This arranges for quite a bit of your time and permits you to deal with your business in just a couple of hours for each week – one of the keys to an automated revenue system.
You can sell products as a full-time business or as a side hustle. You may be having great products that can generate good income but fail to have a market for selling the merchandise. EBay is a great platform for increasing your income flow. The majority of people have downloaded the eBay app on their devices and every second thousand of people visit eBay online store to seek a product to buy. Now that you have found a platform for selling your product, it is important you get to know the tips of making your merchandise marketable and make as much profit as possible. Following are proven tips on how to sell on Ebay that may help you build your own profitable online business with physical products.
1. Look for good products to sell
Of course, every product is worth being presented in the market as merchandise, but as far as selling via this amazing selling machine is concerned, there are a few things you may need to put into consideration to avoid making losses instead of profit. Avoid choosing products that are fragile since they demand perfect shipping procedures. This is not only a nightmare but also expensive and time-consuming.
2. Think out of the box
Never make the mistake of choosing a product that is being sold by a large percentage of sellers. Beating that competition on this amazing selling machine may prove to be impossible, and you may end up giving up even before starting the business. Instead, go for a product that sells consistently yet are owned by a small percentage of sellers. Coming up with a less common product that is still marketable gives you a high chance of making good money on Ebay. Before jumping into starting the business, think smartly on what product will make you shine. Moreover, clear and sharp pictures may help you turn your items into cash. Therefore, make sure you take great pictures of your products. It is the pictures that give the seller a glimpse of what you are offering.
3. Stay away from trademarked products
If you don’t want to be on the wrong side of the law, then do not try to sell anything that is trademarked. You may end up facing a lawsuit. Importing business comes with lots of benefits but if wrongly handled, can lead to breaking some rules which may land you a lawsuit. If you are looking to compete with other products on this amazing selling machine, stay away from counterfeit items such as wallets and purses.
EBay is tested and proven to be the best platform for making lots of money selling physical products. However, you need the right tips to sell rightly. Selling on eBay is not just about capturing images of your products, describing your commodities, setting the price and waiting for buyers to contact. You need to have the right strategy of driving high traffic to your advertised products. Building your own profitable online business with physical products has never been this easy. Thanks to this guide.
It is not always easier or more advantageous to sell a product to a customer than to sell it to a vendor. Depending on your requirements, sometimes selling to some vendors is better and more advantageous that selling to the final customer.
Many people sell to the last customer and are unsatisfied with their returns; perhaps you can’t get as many clients as you hoped for, or perhaps you can’t get the kinds of profits you would be happy with. In this case, you may want to consider moving up a rung and wholesaling rather than retailing.
Wholesaling is a good way to grow your profits as you will now be vending a higher volume of goods at a faster rate. However, it is not as simple as saying, “I will be a wholesaler now,” and simply starting. It is a bit of a specialized business that requires some learning.
There are various advantages to switching to wholesaling. One is that, if you are wholesaling your products, you are opening up the marketing of your goods to other businesses. You will be killing two birds with one stone. If you are wholesaling other people’s goods, you will still gain as you will increase your revenue stream.
One problem, though, is that you will not be able to control how your goods are marketed by the businesses you wholesale them to. They are the retailers, so they will determine how they’ll market your goods.
Once you are a wholesaler, you have two types of customers: retailers and consumers.
If you want to keep business flowing, you have to make your retailers feel special. This means, simply, that when you set the price of your products, firstly think about what your clients would be willing to pay for them. Then, take out a fraction of that cost and charge the difference to your retailer. As a result, the retailer will make a profit on the goods. It may look like you’re taking a loss but consider the fact that your retailer buys goods in bulk and that he/she will keep coming back to you.
So, if you make a product that you want the consumer to pay $30 for, you can sell it to the retailer for $15.
It would also be smart not to go to your retailers. For instance, do not announce a big sale that you know your retailers will not like. Again, make your retailers feel special.
Since you will be selling your products (essentially) at a loss to your retailers, you will want to sell lots of them to ensure you make a profit. To do this, you should probably consider coming up with a rule where your retailers can order no less than a particular minimum amount of goods or minimum value of goods. This way, you can at least ensure that your goods are always bought in bulk, and you will, as a result, make a profit.
Here are some examples of how you could offer your goods’ pricing:
- $15 per unit if you purchase 100 units
- $10 per unit if you purchase 500 units
- $5 per unit if you purchase 1000 units
This way, you will encourage your retailers to purchase goods in bulk as they would save more money by buying more.
We all have that dream of running our own business and being successful. However, it is not that simple to start your own business as this process is hard at the beginning. I’m not want to tell you that this process of simple if you follow these tips. However, I am going to tell you what you expect to face when you are starting your distribution business. Now you will be able to avoid some challenges and know how to deal with when they come.
Understand your position. Your role as a distributor will be to buy goods from the manufacturers and selling them to other distributors or retailers at a profit. Choose a product which you are comfortable selling and is profitable. You can either decide to sell durable or non-durable goods. This is a business-to-business kind of operation. You will need to network with other companies so that you can get loyal companies to buy your products mostly when you are dealing with nondurable goods.
How to sell the credits. You are in the center here linking the manufacturers with customers or retailers. This is a tricky position as some retailers may take goods on credit while the manufacturer is demanding their pay on the other end. You can deal with this by setting credit limit of how much a customer can take on loan. Also, remind your clients when they need to pay their credit and avoid keeping your manufacturer waiting.
Dealing with delays. One of the challenges that wholesaler distributor faces is not getting products from the suppliers on the right time. When this happens, you will have a deal with angry and dissatisfied customers. You need these customers very much, so you need to convince them politely and make sure they don’t waste your time
Keep on learning. In this business, you will be expected to know almost everything. To keep your business competitive, you must know your customers likes and preferences. This keeps on changing, so you have to observe trends of what they are buying and the quantities. Also, know the market trends to know which goods are in demand today and what is about to change. Know your strengths and weaknesses such that you can offer services that you are well talented with and outsource the others. Keep your competitors close so that you can know what you need to improve your business.
As a New business Owner, your idea is great to Source the product wholesale; it seems to be very simple, and it simply means that you can find products wholesale and sell them at retail price. It doesn’t matter what business you are starting as a wholesale source, but just keep in mind that your business needs to be steady and reliable. When sourcing products for business, you might be confused how to source wholesale products and what are some of the key points that one should know before starting the business.
Key Points that will explain to you How to Source Wholesale Products
- Suppliers are aware of how much money every square foot of their warehouse space cost him, as the wholesalers would be getting very low profits with a high volume density.
- Warehouse suppliers would only keep the products with the brand awareness that the customers are aware of, and they make money by selling quickly.
- If you’re directly connected with the small manufacturer as a retailer than be aware as they are indeed facing the stock issue, and their tendency is they run very smoothly out of stock specially during the holidays season.
- If you’re going to start your business online then be careful there are particular manufacturer and retailer that do not want to do their business online.
- So if you need to start up nicely in the industry, then it’s very important to get the business profit margin set before it starts and work directly with the factory as you could be sure that you’re working with a genuine wholesaler. As the fake Wholesaler you’ll get online that looks very genuine but cross check it and verify the information is genuine or not.
Fake wholesaler signs that you should know
They will charge a signup fee for a month, their site does not show any contact details, they will not ask you about the Sales Tax ID, they ask directly how much you can give, and also they’ll make sure that the service provided by them sounds very true and genuine.
Prevention to be taken for fake wholesaler.
Call to that wholesaler if they say “Hello” then you are not speaking to the real man, go to their site and check out every single detail about them, search company name on the internet and where it stands this how the fake wholesaler can be caught.
Methods for how to source wholesale products
- Trade shows: Go to the trade shows and talk to general public
- Drop shipping: Start your small business with the drop shipping service
- Client Reference: you can also try client reference methods to have a direct contact with the suppliers.