How To Import Products To Private Label On Amazon
Check out the full article here: http://www.amazingfreedom.com/import-products/
When you look to build a private label eCommerce business, you may decide that it makes sense to import products from overseas (China specifically). But, wait! Importing products from China sounds scary, right? Well, in this episode of The Amazon Seller Podcast, we will explain why this might make the most sense and might be easier than you think.
Importing Products From China Vs. USA
One of the most common questions that private label sellers ask when they get started is this. “Why import products from overseas instead of getting them made in the US?”. Here are our thoughts on why you might choose to import products from overseas or have them made locally:
Lower Minimum Order Quantities (MOQ): In our experience, many US suppliers require a high initial MOQ in order for you to purchase from them. In the show, Liran explains that one of the US suppliers he contacted wanted a minimum order of 5,000+ units. While in China, he can find suppliers to make the same product with MOQ’s as little as 500 or less. This may or may not be a concern to you.. but, many sellers don’t have the initial capital needed for larger orders.
Cheaper Prices: Many items (not all) are just cheaper to produce outside of the US. While price isn’t everything when it comes to making a product, it definitely plays an important role. If you are paying significantly more than your competitors, you may have a hard time competing with them. Because let’s be honest. While “buying American” is important to many people.. saving money or getting a good price is often more important. Now, on this subject, you need to make sure that your quality is up to standards. It isn’t very helpful to get a product made cheap if it is going to result in unhappy customers, negative reviews and short-term success. Get samples. Put an emphasis on quality. Hire an inspection company to review your goods before you submit your final payment to a supplier.
Why get your products made in the US: When does a US supplier make sense? Well, there are several cases really, but one reason might be because it is extra important to your target customers. Some products just make sense to be made in America (think patriotic related items). Other items, such as indigestible or beauty products, might make sense to be made locally for liability/regulation reasons. Other times, you may just find a local supplier who can make your product at a similar or lower price than you could in China and at a MOQ that works for you. In that case, go for it! You can even emphasis the fact that your product is made in the US.
Should I Import Products By Air or Boat?
Once you find a potential supplier and are pricing out what it is going to cost to have your products made, you will also need to decide if you are going to import by air or by boat.
Importing by air: Most new private label sellers import their first product by air. Why? Because it is easy. Most Chinese suppliers will be able to ship your products to you by air very quickly (Often in less than a week! Wow!). This is easy because the supplier will handle the needed paperwork and your products will get to you quickly. If you do this, however, you will want to make sure that your supplier is using a company like DHL Express or FedEx Express and not a Chinese shipping company. This is very important if you don’t want your goods to get stuck at a nearby airport. However, shipping by air isn’t always cost effective. You should price out the difference of importing products by air or boat and see what makes more sense.
Importing by boat: Importing by boat is a little more involved than importing products by air, but it doesn’t have to be difficult. If you are importing heavy or large items, it will usually only make sense to import them by boat. So what do you need to do if you are looking to import products by boat? Well, we highly recommend that you hire a customs broker. A customs broker will help you complete all necessary paperwork. They also help you pay the necessary fees to get your products through customs. We also recommend that you hire a freight forwarder. A freight forwarder can handle the actual freight and logistics of getting your products from your supplier to their final destination. Many freight forwarder companies will also have a customs broker on staff which means you can have the same company handle both jobs for you. The nice thing about hiring the right people is that they can pretty much take care of the work for you. We will often CC our freight forwarders in emails with a supplier and just tell them to work out the shipping details.
Join us at: http://amazingfreedom.com