As everyone can see, e-commerce is the main trend in the world today. From the very early beginning, e-commerce sprang up within domestic, and nowadays, it has become border-free. China, a large developing country, a major exporter. Not to mention B2B, B2C takes a large share of e-commerce market. More and more China overseas people buying from China through various of online shopping platform.
However, there are many difficulties for foreigners making transaction from another countries. First of all, the language problem. It is not all the Chinese know English well, actually most of the Chinese sellers know few English. Foreigners need to communicate with sellers and confirm details, thus language problem should be the biggest issue. Secondly, shipping problem. As the transaction is not made in domestic, international shipping would be more complicated, you need to face the tariffs relevance, customs clearance, etc. These two issues would be the most serious problems.
As a foreigner, you have the advantage that Chinese don’t have, such as your fluent English speaking skill, your being familiar with shopping habits of non-Chinese, you can easily get close to your customers.
So here are the points for you making money in Drop shipping from China. Before getting tips of this area, you have to review drop shipping, at least for you to know what exactly drop shipping is, and how does it work.
Click through this article to review: How drop shipping business make money?
3 steps of setting up drop shipping in China
The first step to do drop shipping business is to open an online store on Chinese platform, or other B2C platforms like Ebay. But why do I suggest you own an online store on Chinese platform? Because it will make you more competitive. Since buying cross-nationally is the main trend of the global e-economic, and you can run your English website well, while other Chinese sellers just running their Chinese website. Then your English online store must be more attractive and clearer than Chinese store, most foreigners are using translation tools to overcome the language problem, however, those tools still not so helpful, the words after translated would probably loose the original meaning and misdirect information. Thus Chinese online platform is the place where you play advantage. Of course, it is beneficial and harmless to set up stores on Ebay and other common platform in the meantime, only if you have enough time and energy to dedicate, by doing these you will have more channel to get your customers.
The second step is to find reliable suppliers, this step requires you find ways to solve language problem, just like customers finding Chinese sellers on Taobao. You could find a Chinese partner if possible, or using translation tools, sometimes you may luckily find a supplier who know English well. A good supplier should be patient to you, if he really want to make transaction with you, language problem is not a issue, he may find someone translate for him or use translation tools as well. A good supplier also can solve the shipping problem, they may provides various shipping method for you, in order to satisfy your customers.
However, if the products are attractive and their prices is good, but only the issue is that the supplier cannot offer international shipping, that does not mean the supplier is not good enough, as most of his business is in domestic, he doesn’t know too much about how to ship from China. Even if he try to find courier for you, he cannot ensure things go well as he’s not familiar with this area. So the third step is to find a courier if supplier doesn’t provide shipping. It is usually cost a lot on international shipping, sometimes the shipping fee would be higher than the products themselves. Therefore, reducing the shipping cost is very important, it will directly impact the purchase willing of your customers. In this case, it is the best choice to find a freight forwarder, also say cargo agent. A cargo agent undertake courier business from major express companies, such as DHL, EMS, USPS, FEDEX, DPEX. If you directly call for an international express order, it belong individual business, it cost a lot, and it may generates high tariffs. Sometime you don’t know the customs policy, your packages will probably be detained or even be confiscated. The main difference between a major express company and a cargo agent, is the shipping orders belong to cooperated business, which enjoy big discount from major express companies, normally the price is 70%50% off from original price.
How to find a reliable freight forwarder
There are 3 major standards for a reliable freight forwarder
1, Safe warehouse: This can ensure the safety of your goods, prevent from being damaged or losing. A safe warehouse should have comprehensive video monitoring and standard goods management procedure.
2, Long storage period : As sometimes you need to get products from different suppliers and wait until all what you want are available to ship to your customers. A long storage period could allow you have more time to finish all the procedure.
3, Consolidation, repack and remove service: Just like we mention above, the items your customer ordered may require you to order from different suppliers. That means you need someone to repack the items for you, it is impossible to ship those original packages to your customers, what would your customers think about when they receive several boxes but they just place one order from you, SO, removing redundant packing is also important. Finally, a good freight forwarder can help you consolidate your goods, pack various items into one shipment then send to your customer.
Other added value services: Solutions for avoid or reduce tariffs, goods compression, helpful respond, etc.
Finally, slightly mention that TaobaoGuides have 8+ years China-International express experience, we are always here for giving help for you: TaobaoGuides-JunFeng International Express
Drop shipping seems be very easy, but still require you spend more time to prepare, opportunities always come to the person who has prepare well.
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