In the process of establishing your business on eCommerce marketplaces, the biggest challenge you can face is where to get products from. Searching for a reliable manufacturer can be a clumsy task for you. However, your problem can get resolved if you order products from Alibaba and then sell them on Amazon. The convenience factor and profit margins can become a favoured process.
eCommerce businesses from all over the world prefer to buy products from this giant manufacturer. It has become a highly coveted product sourcing option for brands and sellers. This venture provides you with a giant database to choose manufacturers and distributors that can fulfil your requirements within a quick time window. The primary function of this Alibaba is to bring buyers, manufacturers, and wholesalers altogether. Have you been unaware of this website and wondering how to execute this process? This blog is for you only; we have mentioned the whole process in this blog. So, folks, stay connected and continue reading.
What is Alibaba.com
Well, before going any further, it is essential to know about the OG as well. It’s a wholesale marketplace that Jack Ma founded on April 4, 1999. It is a great place for sellers and brands looking to purchase bulk products at the lowest price. This website allows you to negotiate directly with the manufacturers and create your custom products. Product sourcing from this website to Amazon can become one of the building blocks of your Amazon sales. It is because it involves high profits for sellers owing to the intensely low budget of items in the world’s marketplaces. You can become a brand or seller with an impressive product idea. Still, without a robust strategy, product sourcing can become difficult for you to take your business on Amazon.
At this point, Alibab.com enters the eCommerce game and allows you to choose products from various manufacturers of diversified price ranges.
The Process of Buying Products from Alibaba and selling them on Amazon
Research About the Product
Entering the eCommerce marketplace with the idea of selling the right products, it is vital to do research about your products. While selecting products to sell on Amazon, you need to focus on finding products with great potential to generate high-volume revenue. You need to source products at a lower cost and sell them on a higher profit margin. In this process, you can take advantage of Amazon’s best-seller product list to analyse your competitors’ products to gain more insights. With this step, you can take the help of some competitor tracking tool such as etraKY BS. It can provide you insight into your competitor’s listing. You can use their insights to select a robust product to buy from Alibaba and later sell on Amazon.
Product Buying Process from Alibaba
Once you decide what product you want to sell on Amazon, you can head to Alibaba and start looking for reliable manufacturers. At this step, you must decide what price range you want to set for your products. Then you can start looking for the quotes based on quotes and narrow down your search for suppliers who fit within your price range. This process involves the following essential steps.
- First of all, you will require to set up an Account on Alibaba.com with no charges included. Setting up your account on this website allows you to communicate with suitable suppliers easily.
- After setting up your account, you need to use the search bar to find the product you selected to sell on Amazon.
- This website provides you with similar product categories and manufacturer lists.
- Clicking on any product will provide you with all the necessary information regarding products, their manufacturers, their terms, etc.
- You can also execute this search by looking for suppliers instead of products if you are looking for a more expert or specialized manufacturer.
- The next step involves getting quotations and sample products from the manufacturers. You can connect with them by using the chat box and asking them questions regarding the products.
- Once you find suitable manufacturers, you must ensure all the necessary product details. Such as shipping authorizations, trade insurance, and, more importantly, whether they are aware of the FBA requirements or not.
How to Make Payments to Alibaba Manufacturers
Payment is the most crucial part of any business and should be sorted out quickly. While sourcing products from Alibaba manufacturers, you can pay them through various payment methods. On the other hand, you can even settle the payments outside of this website as well, depending on if your manufacturer agrees to that or not. You need to beware of the fact that you may get in contact with fake manufacturers also.
So it is best to keep the payment process according to Alibab.com. Do not pay the whole after placing your order; make the payments in two parts. Pay them one part of the whole amount at the time of placing the order and the second part after the shipment process. You can choose bank transfer, escrow account, PayPal, and Alibaba’s trade assurance for payment.
Risks Associated with Product Sourcing from Alibaba.com
Alibaba is undoubtedly the shark of manufacturers’ marketplace and carries a good reputation in terms of product sourcing. Even though there are some risks involved with it because of scammers, fake manufacturers, and payments frauds. That’s why you need to be double alert while selecting products. Avoid buying those who have poor quality. To avoid such risks, you can follow the following steps.
- While buying products from Alibaba, go for gold manufacturers because they tend to be more reliable than others. Check their reputation and association period with Alibaba.
- If you choose others, you must ask away questions related to products and the legitimacy of their business.
- The quality of products may vary from country to country. It is essential to request your manufacturers about product samples or testing. Skipping this step can leave you with poor-quality products or product that is way different than your expectations.
- You must verify the manufacturer’s bank account details before transferring money. Online transactions involve several hacking risks, so it is essential to verify the bank details.
- If you are dealing with manufacturers from other countries, there may appear to be risks regarding communication. So you have to take care of that in the process of conveying messages. Miscommunication can affect your purchasing.
Conclusion
Thus, several factors can help you in sourcing products from Alibaba.com and selling on Amazon. As a brand or seller, you need to sell high-quality products on Amazon to make a solid customer base and generate decent revenue. The above points can also help you avoid the risks involved with the product sourcing process. To establish your brand, you can source customizable products from this website and sell them under your brand’s name. Next, you need to list those products accurately on Amazon. However, a listing is not as easy as you think; it requires a lot to do so. You must add high-resolution images, descriptions, and product titles and keywords while listing your products. To make it a successful affair, you can take the help of listing quality analytics tools such as etraKY BS.
