Importing from China isn’t just about cheaper prices.

China is the focus of businesses around the world right now. Due to numerous developments in China’s economy, its national income has grown. Through foreign trade, customers of the global market can be properly serviced across geographical boundaries.

If you want to grow your e-commerce business, importing from China is a great option. By starting an e-commerce business, you can boost business growth and provide customers with everything they need.

Is China the best place to import? Why should you import from China for your e-commerce business? Ultimately, businesses aim to achieve profits and boost business growth. If you import from China, your e-commerce business will probably be more profitable. Is there a reason for that? This article will show you how imports from China can be profitable for your e-commerce business. The obvious benefit of importing from China is cost savings, but there are a lot more reasons. Find out what they are.

  • Prices will be cheaper

Obviously, low prices are the biggest reason for importing from China, so this shouldn’t surprise anyone. Importing may seem like it would increase the price of the product, but that’s not true. Including all overhead costs, importing from China will actually be cheaper than local production.

You will be able to access suppliers and get a price quote that is far less than what you would have to otherwise pay. You’ll save money for your e-commerce business because the products are cheaper.

You should be aware of these additional importing costs:

  1. Costs of transportation
  2. Fees for customs brokers
  3. Fees for warehouses, inspections, and ports of entry
  4. Fees for agents
  5. Taxes on imports

Despite these costs, importing from China is still more likely to save you money. Don’t be scared when you see those expenses. See for yourself by calculating the total cost.

  • Unique quality goods can boost your e-commerce business

If you are planning to import from China for your e-commerce business, you will have a variety of options to choose from. You can get access to unique goods that aren’t easily available in the market, which can grow your business.

The range of options available on Chinese imports will most likely impress you no matter what type of product you need. Comparatively, similar products are often priced exorbitantly when produced domestically because of higher costs.

Chinese products are popular around the world, and you can bring them to your local market by importing them. It will no longer be about sticking to what can be produced on home ground. If you’re an e-commerce business, importing from China can make it happen.

  • Profit margin will increase

Profitability is a key driving factor for businesses. In the long run, a business that doesn’t make money will shut down. By importing from China, you can get high-quality goods at miniscule prices. By doing this, you’ll save on production costs and total landed costs.

By reducing costs, you’ll be able to increase profit margins. E-commerce businesses make money by selling products for a profit, which is determined by the selling prices.

Your business will succeed if you have higher profit margins. Customers will be attracted by high-quality products. Due to the relatively low investment, you’ll be able to increase the gap between the cost price and the selling price, thereby boosting your e-commerce business.

  • High quality goods become available

You don’t have to sacrifice quality for cheaper prices with Chinese products. Importing from China doesn’t compromise product quality for your e-commerce business. Importing from China is a common misconception that you’ll get low-quality stuff. It’s not true at all.

Consumers can benefit from high quality products produced by Chinese suppliers. Also, they have to meet standards. Whether it’s licenses, quality guidelines, tariff details, or more, your e-commerce business will get high quality goods.

With stringent inspections being carried out pre-shipment and at other points, you can be confident that the quality of the goods will receive special attention.

  • Easy product customization is possible

If you’re an e-commerce business that doesn’t do standards, don’t worry. If you import from China, you can customize and specify it to your exact specifications. The cost of some of these customizations might make them unpractical when done domestically. Meanwhile, importing from China gives you access to products that are specifically tailored to your business’s needs at a great price. There’s no need to settle. Make sure you give your customers what they want without blowing your budget. It’s so much fun to do business because of the ease of customization.

  • Bigger the quantity, the less trouble you’ll have

As an e-commerce business, you have to be able to handle big orders. When you work with larger quantities, you need to make sure your suppliers can deliver. This isn’t just for the big order, but also for the time constraints of business. Because of the many advantages it offers global businesses, China is considered the world’s factory. Compared to other countries, it has significantly lower labor costs, and the operating business system makes it possible for suppliers to meet big orders on time. You won’t have to worry about delays affecting your bottom line.

  • Better distribution control for your e-commerce business

One thing that is very important for any business is control over your business’ distribution. Importing goods from China is subject to strict guidelines. Agreements are also in place with suppliers. While you may be importing products from China, you’ll have more control over the distribution function. By controlling things better, you’ll know what’s going on and can make improvements as needed. Business operations will be more efficient.

Conclusion

If you import products from China, you’ll give local consumers more choices and boost business growth. Having a variety of products can help customers make better decisions. Besides saving them time, it’s a convenient and safe way to shop for products.

In addition to lowering your costs, it will make scaling up your e-commerce business easier. Using customer data and inferences from it can also help you personalize products imported from China.

When you’re importing, you need to know the difference between a trading company and a sourcing company. Many businesses don’t realize the difference between the two and end up working with a trading company. Choosing the right sourcing company in China to meet your business needs will protect you from more risk. Besides paying attention to this difference, you also need a written agreement with your Chinese supplier stating the nature of your business relationship. Make sure you know the laws that apply to such international operations and protect yourself in case problems arise.

Inspections and even visiting the supplier’s facility in China can give you peace of mind. Despite being the world’s factory in many ways, there are still some risks involved that require you to enter into an agreement prepared to protect yourself. It’s always good to have someone who understands the local language on your team so you can overcome the language barrier. It’ll prevent misunderstandings and help you communicate better.

Importing goods from China has so many benefits, it’s no wonder businesses are going down this path. Any e-commerce business that wants to stay competitive and grow should consider this.

AROOM GLOBAL is an expert China sourcing agency that has helped customers manufacture and source products from the world’s factory. Contact us at info@aroomglobal.com or visit our website to learn more about China sourcing and manufacturing services.

China Sourcing Insights

We publish weekly articles on China sourcing and manufacturing by our sourcing experts. Sign up for our monthly newsletter to stay up-to-date

Table of content
Related articles