Sharing my lifetime experience in export/import. Product sourcing specialist.

[RisingStars]

Hello,

Today I got my first sample package
I ordered from my supplier 10 samples of type A and 10 samples of type B.
So I made a quality check and opened every package and everything looks really good and works except one model of type B. (the cheaper type)
It has a little display and the display is totally broken.
I cant sell it thats for sure.
Somewhere I think it was Ecom man adviced that if something doesnt work anymore in the factory warrenty time he will eat the cost to not annoy his supplier.
I have no problem with eating the cost, cause the product is only 6$ but 1 of 20 samples isnt sellable. Should I tell my supplier and show them pictures of the broken product? It arrived at my place like that I didnt do anything with it.

Since I plan to let a fulfillment center sent my products out I will have a problem with quality control. When I ship it to myself I have to open and check 1000 packages (for the bigger order). Is this normal?

Its really important that NOT ONE of the products is already destroyed when I sent it to the customer. Ebay customers are pretty fast with opening a case at ebay or writing a bad review (amazon customers of cause too). When this happens my top seller status is gone and one of my advantages against my competition with it.

What would you do in my situation? Sorry if the question already got asked didnt yet read all of your and Ecom mans threads.

Thanks a lot.

 

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[Walter Hay]

Hello,

Today I got my first sample package
I ordered from my supplier 10 samples of type A and 10 samples of type B.
So I made a quality check and opened every package and everything looks really good and works except one model of type B. (the cheaper type)
It has a little display and the display is totally broken.
I cant sell it thats for sure.
Somewhere I think it was Ecom man adviced that if something doesnt work anymore in the factory warrenty time he will eat the cost to not annoy his supplier.
I have no problem with eating the cost, cause the product is only 6$ but 1 of 20 samples isnt sellable. Should I tell my supplier and show them pictures of the broken product? It arrived at my place like that I didnt do anything with it.

Since I plan to let a fulfillment center sent my products out I will have a problem with quality control. When I ship it to myself I have to open and check 1000 packages (for the bigger order). Is this normal?

Its really important that NOT ONE of the products is already destroyed when I sent it to the customer. Ebay customers are pretty fast with opening a case at ebay or writing a bad review (amazon customers of cause too). When this happens my top seller status is gone and one of my advantages against my competition with it.

What would you do in my situation? Sorry if the question already got asked didnt yet read all of your and Ecom mans threads.

Thanks a lot.

Hi,

All faulty products should at least be reported to the supplier. A photo is highly desirable. Reporting, without claiming a refund or replacement can improve the relationship and that is very important.

Your comments suggest that you are not using Amazon, in which case your fulfillment center will likely do quality checking, at least for damage. If not, I would look for one that does. If using FBA, I suggest sending goods first to a prepping service who will check, repack as necessary, label, etc. and send on to FBA.

An alternative is to pay for a quality inspection at the factory. This should be done by one of the bigger, old established inspection services. I published a list of them under the heading: Inspection Services here: Sharing my lifetime experience in export/import. Product sourcing specialist.

Cost for a simple inspection could be in the $250 to $350 range.

 

[RisingStars]

Hi,

All faulty products should at least be reported to the supplier. A photo is highly desirable. Reporting, without claiming a refund or replacement can improve the relationship and that is very important.

Your comments suggest that you are not using Amazon, in which case your fulfillment center will likely do quality checking, at least for damage. If not, I would look for one that does. If using FBA, I suggest sending goods first to a prepping service who will check, repack as necessary, label, etc. and send on to FBA.

An alternative is to pay for a quality inspection at the factory. This should be done by one of the bigger, old established inspection services. I published a list of them under the heading: Inspection Services here: Sharing my lifetime experience in export/import. Product sourcing specialist.

Cost for a simple inspection could be in the $250 to $350 range.

Thanks Walter, I messaged my supplier about the issue and sent him the photos.
Thanks for the hint with the inspection service. I will do that when I order a larger amount.
I listed my products and will see how the customers respond. If they like it I will order 100 and make the quality check myself. After that at 500-1000 I will hire a inspection service for sure.

Thanks again.

 

[TTG SS]

Walter,

I read through your book. Very informative and to the point, I liked it. Helped clear the air on some questions I had. It will be a great reference in the future as well.

Can I shoot you a message with any questions I may come up with? I am starting to look for a profitable product to import.

Thanks again for all of your help!

 

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[Walter Hay]

Walter,

I read through your book. Very informative and to the point, I liked it. Helped clear the air on some questions I had. It will be a great reference in the future as well.

Can I shoot you a message with any questions I may come up with? I am starting to look for a profitable product to import.

Thanks again for all of your help!

I'm glad you have found my book helpful. I am always happy to help, but two suggestions in that regard: If it is not confidential, please post the questions here. If it is confidential you can get answers either through my support team (in the book), or via PM. Sometimes the support team route is quicker if I have a heavy case load in my PMs.

I must say that I am not the best person to help in choosing whcih product to import. @Vigilante's INSIDERS thread is the best I have seen for that.

Once you make your product choice that's where I come in with the directions in the book about safe sourcing and easy importing. (And answers to questions.)

 

[najz]

Simple Question, maybe someone know this

Whether it is possible to permanently mark on alibaba.com search filter?
For example : Trade Assurance the Gold Supplier, On Site Check, Assessed Supplier
Searching for information is crucial, and this option can really helped out in the long-term relationship with the suppliers.

 

[Walter Hay]

Simple Question, maybe someone know this

Whether it is possible to permanently mark on alibaba.com search filter?
For example : Trade Assurance the Gold Supplier, On Site Check, Assessed Supplier
Searching for information is crucial, and this option can really helped out in the long-term relationship with the suppliers.

Hi @najz. As far as I am aware this is not possible, but that answer may just be a reflection of my technical limitations.

Of those filters, there is only one that has any real merit, that is Assessed Supplier. Even with that one, you can't be sure they are real manufacturers until you read the entire report. Many traders are Assessed Suppliers, and as I have frequently pointed out, you need to deal direct with the manufacturer for best prices.

 

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[najz]

Walter, You dug it for me strong enough to the head that most of them are traders.
I am grateful so much for it, thanks.

Do You even use tools like terapeak.com?

 

[Walter Hay]

Walter, You dug it for me strong enough to the head that most of them are traders.
I am grateful so much for it, thanks.

Do You even use tools like terapeak.com?

I don't do online marketing so I am not well equipped to answer. I know that Terapeak gets a lot of recommendations, but there is one expert eBay marketer I respect who doesn't recommend it.

Maybe someone else can contribute.

 

[Walter Hay]

@caezlar's revival of the old thread "how-to-know-if-the-china-manufacturer-is-legit" led me to browse through it, and I saw again just how much is misunderstood about product sourcing. I have quoted below just a few points that could still be worth commenting upon. I know I have dealt with these issues in this AMA, but a lot of people don't read all the way through.

The OP wrote: Hi mates, well i want to find a legit electronic seller from alibaba. I am having a hard time since most of them are a scam. How can I find a legit seller ? What are some places you guys have bought without being scammed ?

Here are some of the answers, with my comments added: Everyone I have met on Alibaba is a legit seller. You may not like the price but they are a seller. Not true. There are huge numbers of sellers on Alibaba that are not legit.

click the "gold supplier" check box when doing searches. This should greatly reduce your chances of dealing with a scammer. Thousands of Gold Suppliers have scammed customers.

Yeah, Gold supplier+paypal pretty much tells you that you arent dealing with some fly-by-night operation. It is rare for genuine manufacturers to accept payment through PayPal. Not only that, but scammers have worked out how to make sure that buyers can't get protection from PayPal.

aren't there feedbacks? check for the feedback and get in touch with the person who provided the feedback? Fake feedback is endemic in China, and Alibaba have recently been called into question by China’s consumer watchdog for failing to properly deal with feedback. (and much more)

If you looking to spent really big money, you can hire inspection company which will check your supplier and your products before shipment or even during production. just google "inspection company China" in region where your contractor located, and you will found bunch of such companies. A Google search will provide a large list but it is indiscriminate and your choice could be like gambling blindfold with a pin on the list of horses in a race. Far better to use one of the old established European inspection services that I have referred to in previous posts. At least you know who they are.

 

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[ChrisLF]

I am wanting to get different prices on different products. For example I am in need of marketing materials such as Pens, T-shirt, and any other products. As of now I am getting quotes around $10 per shirt which I think is outrageous as that is the same price that I can find here in the U.S. How would I go about for finding the original manifacturer of each product so that I may get the best price? Also I would like to know how I can do this on my own for future purposes.

 

[Walter Hay]

I am wanting to get different prices on different products. For example I am in need of marketing materials such as Pens, T-shirt, and any other products. As of now I am getting quotes around $10 per shirt which I think is outrageous as that is the same price that I can find here in the U.S. How would I go about for finding the original manifacturer of each product so that I may get the best price? Also I would like to know how I can do this on my own for future purposes.

Hi Chris,

If you are looking for marketing materials (promotional products), it is not easy to find the actual manufacturers because very few companies will make all the products in their range. There are a few that produce a very wide range of products, but they would not also manufacture T-Shirts. I can help you with a contact in Taiwan. The company makes a huge range of products in their own factories in China where they employ thousands of workers. Their MOQ for most items is 300pcs per product. If you could handle that quantity I will send you a private message with the details.

The world has thousands of manufacturers of T-Shirts, but finding them by searching on places like Alibaba is not easy. You need to search via different methods that I outline in my book. The process is not simple enough to post all the details here. I suggest you consider Latin American companies as potential suppliers.

Walter

 

[ChrisLF]

Link to book please.

 

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[Walter Hay]

Link to book please.

The link in blue in my signature is live.

 

[ChrisLF]

I can't see it for some reason maybe because I am on Tapatalk. I see it in your BIO. Someone just referred me to your book yesterday what a coincidence.

 

[Walter Hay]

I can't see it for some reason maybe because I am on Tapatalk. I see it in your BIO. Someone just referred me to your book yesterday what a coincidence.

Proven Global Sourcing - Proven Global Sourcing.
Pleased to learn that someone thinks highly enough of my book to recommend it.

Also see your PMs. Contact in Taiwan sent.

 

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[TKDTyler]

@Walter Hay is the real deal. Just finished my order with a manufacturer I have been going back and forth on, but was not quite sure of the authenticity. Walter addressed my concerns and verified the manufactuer.

Can't wait to build my own wealth of knowledge and give back to people. Thanks!

 

[Jym]

Hi Walter,
I had read your book, it's simple and easy understand for a newbie like me. I have a few questions regarding on the tricks of dealing with suppliers. Should I ask it here or send you a PM? Thank you

 

[snappyhappy]

I don't do online marketing so I am not well equipped to answer. I know that Terapeak gets a lot of recommendations, but there is one expert eBay marketer I respect who doesn't recommend it.

Maybe someone else can contribute.

@najz

Terapeak is useful for researching STR's and trends on eBay when doing initial product research, however I don't think it is essential. I use JungleScout to analyze sales data on Amazon and this is how I do the bulk of my early research.

 

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[Walter Hay]

Hi Walter,
I had read your book, it's simple and easy understand for a newbie like me. I have a few questions regarding on the tricks of dealing with suppliers. Should I ask it here or send you a PM? Thank you

Please ask here unless there is confidential information involved. You shouldn't give details of your suppliers, niche, or product type for example.

If confidential, PM me. If my answers might contain confidential information I will PM those answers to you.

 

[Jym]

thanks for your reply. I want to ask about the MOQ on apparel related matters before I apply your techniques to negotiate with the suppliers. e.g the supplier mentioned that 5000 qty is mean for one design or combination of many designs and size as long as the MOQ is achieved?

 

[Walter Hay]

MO

thanks for your reply. I want to ask about the MOQ on apparel related matters before I apply your techniques to negotiate with the suppliers. e.g the supplier mentioned that 5000 qty is mean for one design or combination of many designs and size as long as the MOQ is achieved?

MOQs usually relate to only one design, but it is always worth asking for a trial order of assorted designs. You should nominate which designs out of their range that you want to buy. Some designs might be more available than others.

Clothing manufacturers will often have to buy in fabric when they receive an order, and if an order does not use up a complete bolt of fabric, they will be left with fabric that they might never sell. For that reason MOQs are harder to negotiate in the garment industry than in some others.

 

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[Jym]

thank you for your prompt reply because some MOQs required by the manufacturers are too high. I will try to approach the manufacturers and negotiate with them. thank you once again. by the way, do you recommend on doing garment businesses for a small and new starter like me. thank you

 

[Walter Hay]

thank you for your prompt reply because some MOQs required by the manufacturers are too high. I will try to approach the manufacturers and negotiate with them. thank you once again. by the way, do you recommend on doing garment businesses for a small and new starter like me. thank you

Although I am not an online marketing expert, I would not recommend the garment industry for a newbie. Not only is there a huge amount of competition, but there are many problems including getting sizes right.

I understand also that there is a very high return rate as a result of change of mind, unhappy with the actual color, sleeves not quite right etc.

There are some good courses available that can guide you in relation to selecting which product to sell and then how to sell them. I could suggest one or two if you like. Whatever you do, don't pay thousands for such a course.

 

[najz]

If I could warmly ask you, currently I am just seeking something like that - Walter,
since we have quite a lot of chosen products, however we also need information how to choose exclusively a few of them and to have an idea how to sell that products. Can u suggest something?

 

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[Jym]

Although I am not an online marketing expert, I would not recommend the garment industry for a newbie. Not only is there a huge amount of competition, but there are many problems including getting sizes right.

I understand also that there is a very high return rate as a result of change of mind, unhappy with the actual color, sleeves not quite right etc.

There are some good courses available that can guide you in relation to selecting which product to sell and then how to sell them. I could suggest one or two if you like. Whatever you do, don't pay thousands for such a course.

thanks for your advices. Yes sure, please suggest some.

 

[ddall]

Walter,

I've been shipping via both DHL, Air Freight and also Sea Freight.

Am I being over charged by my customs broker? Or perhaps undercharged by DHL for customs fees? To ship 660 units air courier cost me $3300K and only $200 duty.

Shipping via sea 600 units the import package was almost $2K
And previously 1000 units of similar product was $3000K.

It just does not seem that Sea freight is a mega cost saver vs the time. Mind you my units orders are somewhat low. Any suggestions to lower the 'import package'? I am going to set up a continuous bond for one given the multiple shipments coming in. I have at least another 5-6 shipments coming before Christmas.

 

[BigBrianC]

What Payment methods do you use? Is it only PayPal, or do you use stuff like WU/MoneyGram/etc

 

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[Walter Hay]

Walter,

I've been shipping via both DHL, Air Freight and also Sea Freight.

Am I being over charged by my customs broker? Or perhaps undercharged by DHL for customs fees? To ship 660 units air courier cost me $3300K and only $200 duty.

Shipping via sea 600 units the import package was almost $2K
And previously 1000 units of similar product was $3000K.

It just does not seem that Sea freight is a mega cost saver vs the time. Mind you my units orders are somewhat low. Any suggestions to lower the 'import package'? I am going to set up a continuous bond for one given the multiple shipments coming in. I have at least another 5-6 shipments coming before Christmas.

Variations are common but those that you have encountered seem extreme. Different customs brokers do tend to sometimes apply different tariff numbers and that could be the explanation. It might pay you to get a ruling as explained by @Vigilante here: Addicted to Passive Income Deposits That way you will know for sure what duty you will have to pay.

I would also get quotes from several freight forwarders for door to door shipment by the most economical method they can offer, but with preference for air freight (not air courier). Air freight can take a few days to a week longer, but it's usually a lot cheaper than air couriers and a lot quicker than sea freight. The quote should include all charges so that your only extra outlay will be to pay duty and tax.

Sometimes air freight can be cheaper than sea freight even on sizable shipments. It depends on how much freight your forwarder ships by air and what is available at the time. If you find a good freight forwarder who will actually do the best they can for you, the costs can be very low. If you are making frequent shipments they will want your business.

Freight cost is not the only consideration, as you are obviously aware. There is also opportunity cost. That is the cost of having your money tied up while your goods are at sea, compared to the opportunity to make money or pay less interest when your goods arrive sooner.

 

[Walter Hay]

What Payment methods do you use? Is it only PayPal, or do you use stuff like WU/MoneyGram/etc

You should never use WU or MoneyGram unless you have a long standing relationship with a supplier that you know from experience to be trustworthy.

PayPal is rarely accepted by genuine manufacturers, so if suppliers offer to accept it, chances are that they are traders. That is often the case with suppliers on Alibaba, DHGate, Tradekey and other sites where thousands of suppliers falsely claim to be manufacturers.

Payment by T/T is not foolproof, but is safer than WU or MoneyGram provided you take care. Don't send payment to an account that is not in the company name unless the account is in the name of the proprietor and you have been able to confirm that he/she really is the business owner.

Before sending any payments, always be sure that the business is genuine. Do your own research. Don't rely on B2B site ratings such as Verified, Four Star, Premium, Gold Supplier, etc.