Starting a new import business from scratch can be very confusing if you don’t have a clear direction of where to start from. The hassle of importing, not deciding what products to order and encountering fraud supply sources can be a few reasons why most businesses fail right after they take off.
The article below will guide you on how to establish a business that involves importing products from China and selling it on various other platforms later. It is always better to prepare a business strategy, which you can easily follow and implement on. Read on the steps below to get started:
1. FIND THE PRODUCT YOU WANT TO IMPORT
One of the most difficult tasks that most entrepreneurs dread doing is deciding that one product. If you don’t decide it now, you won’t be able to do it anytime later. In a Hong Kong B2B marketplace, where almost everyone is doing the same importing and selling business, you must think of something that is unique.
Find products that people love to buy and usually go high on demand. Instead of focusing on getting cheap products from China and Hong Kong B2B trade sites, pay attention to the products that you can sell at a great value. Besides, think of products that are easier to ship, fit in your budget range, and are not seasonal. Browse through famous trading sites in China like Alibaba, eBay, Amazon and Global Sources. When you decide that, slowly gain a grip into its niche and expand it into a full brand from there.
2. FIND A GOOD SUPPLIER
Now that we have decided a product, we need suppliers to import it from. The best way to verify reliable suppliers is through their rankings on top trading sites in China or any Hong Kong B2B platform. For instance, Alibaba. You can search for supplier ranking on Alibaba and have a look at their entire history of supplying to other B2B businesses and companies. Verify their contact information and contact the ones that seem promising to you. It is important to have a conversation to see if they are serious and ready for the trade transaction.
Also note that you pick suppliers that are ready to accept payments with Trade Assurance or PayPal, at least for the first three months. This minimizes risk.
3. ORDER SOME SAMPLES
In order to authenticate your suppliers, order samples in the form of small orders. Try to order from 4-5 suppliers so you can get an idea. Take note of each of their pricing, shipping time, damages and customer services. Compare them and pick your most suited supplier. Remember not to buy anything in bulk unless you have ordered their samples and loved them.
4. SELLING YOUR PRODUCT
Before you start selling, you will have to decide whether you want to start with small quantities or straightaway stock up your inventories. If you are new into this, we recommend doing it one at a time.
To sell products, pick a suitable sales channel – preferably two. Your options include Amazon, eBay and Craigslist etc. Now, set up a shop and get your products up. Once you get orders, ship out the products, keeping in mind the delivery time, packaging and costs.
After a month, you will observe the trends in your import and selling pattern from which you can decide if you are making money or not. If this is working out, move to scale up the current product else look for something else to sell.
5. SCALING YOUR PRODUCT
By the time you will come to this step, you would have tried, failed, attempted and succeeded at different products and suppliers. When you think your sales are steady and you have finally found the perfect supplier, it is time to grow your business. Start adding more products in the product line, send promotional samples with every shipment, start advertising and launch your own brand name.
Some other things that can work for you are promoting your brand through Amazon and eBay. You can also expand your shops to other channels like Google Shopping, Bing shopping and other accessible platforms.