Should you be importing product from China?
With everyone talking about the massive advantages of importing, it can seem as if sourcing from China is the magical secret to eBay business success. But the truth of the matter is that importing is very risky and expensive; the costs versus benefits need to be weighed up very carefully. To help you decide whether importing is really a good option for your business, have a read through our questionnaire.
Do you wish to import a brand-name product?
Yes: You are better off sourcing brand name products in your own country so you can verify authenticity. It’s 99.9% certain you’ll end up with fakes if you import ‘brand-name’ products from China.
No: China is an excellent option if you wish to import generic products.
Have you compared prices from Chinese companies with dollar stores, Liquidation and clearance outlets closer to home?
Yes: If you can’t find the product you wish to sell in your own country and you’ve done your market research to establish a demand, importing is a good option.
No: You could be wasting a lot of money importing something you can already buy in your own country.
Is the price of importing still worthwhile even after you add on $2000 for shipping plus Customs duties and other charges?
Yes: Importing from China sounds like it will work for you.
No: It is often cheaper to pay a higher price per unit from your own country than import from China. The true cost of your product includes shipping, duties and any other miscellaneous costs involved in getting the product to your door.
Have you spent time researching and verifying your supplier?
Yes: If you know other people who have used that supplier before you, have checked how long the site has been running, made sure it doesn’t appear on blacklist records and use only secure payment methods, the risk of the import decreases significantly.
No: You could be getting yourself into a very risky situation. Find out all you can before you proceed. Always order a sample first and only place a very small order at first if the supplier can only accept insecure payment methods such as Western Union or wire transfer.
Will your product work when it is imported?
Some people have been caught out with electrical equipment that needs expensive adaptors before it can be used outside of the country of manufacture. Others end up with manuals and crucial instructions in Chinese only.
Have you considered how you will store the imported product and the costs/inconvenience involved in doing so?
Yes: A clean, organized and efficient storage facility is a must for large shipments.
No: Damage and dirt can seriously affect the salability of your product. Plus storage itself can be very expensive. If you can’t pass this cost onto your customer, you are dramatically reducing the practicality of importing.
Have you checked out compliance issues and whether you need any special licenses?
Yes: If compliance charges are unexpectedly large, you may find yourself reassessing the viability of importing.
No: Your customs broker or freight forwarder will be able to help you find out about these issues. If you don’t, you risk expensive delays at port while Customs does the paperwork and decides how much you owe.
