Considering that China is the biggest manufacturer in the world, you should consider sourcing from this country. It doesn’t matter if you are a reseller of various products or run an e-commerce store. This is the best way to maintain your business cost-effective.
However, more and more companies are choosing to rely on local Chinese agencies. These agents can be of great help, and their main job is to ensure you get the best price and close the deal. If you are interested in learning more about their work and why you should hire them, continue reading this article.
How do they work?
First thing first, let us tell you what a sourcing agent is. Basically, it is a person you hire to find the merchandise you need and purchase them for you. It is pretty simple. When you have a sourcing agent, all you have to do is provide them with details regarding the product you want and the requirements it needs to meet.
Then, they conduct thorough research and provide you with a list of suppliers that might be a good choice. Once you get this list, go over each of them until you pick one. At this moment, the agent becomes a mediator between you and the supplier of choice and helps you get the merchandise you envisioned at the desired price.
Naturally, there are other services a sourcing agent can offer. For example, they can arrange the shipping, negotiate the price, keep track of the manufacturing process and check the quality of goods you are about to purchase. Plus, they can easily introduce you to China’s largest wholesale markets, and if Yiwu product sourcing service is something you are interested in, check out justchinait.com to find the best agents.
Benefits of employing a sourcing agent
They know the market
The biggest benefit of collaboration with a sourcing agent from China is that they know the market like the back of their hand. In a nutshell, the moment you tell them about the merchandise you need, they will probably immediately think of a few suppliers.
Plus, if you go with an agent that has been in this line of work for quite some time, the chances are that they are already connected with multiple companies and know how they work, which is why setting an appointment will be quick and easy.
They can save you time
Running any kind of business can be time-consuming. There are so many things you need to take care of, and delegating the tasks is probably one of the best things you can do. Well, finding the right supplier from China is a task someone else can complete.
Could you even imagine how much time it would take you to merely compile a list of options, let alone investigate each of them? We are not even going to mention how difficult it would be to make a decision when you don’t have anyone who can steer you in the right direction.
As already said, these agents are familiar with the local companies on the market, and their insight can prove to be invaluable.
They can help with negotiation
Negotiation is an essential part of every business deal. When you decide to outsource your merchandise, your main goal is to get it at a lower price than what you would have to pay domestically.
However, negotiating with people from another country, or in this case, culture, can be quite challenging. This is another scenario when local sourcing agents come in handy. They know how everything works and, therefore, they will be able to ensure you get the best deal on the products you choose.
They will verify the manufacturer and goods
When it comes to the former, if you already have a supplier in mind, you need to have someone verify their business and the manufacturing process. Sure, a supplier can send you a bunch of documents and certificates, but it will mean nothing to you unless you can verify they are authentic.
In this instance, you would have to hire a translator for all the papers and then a professional to check if everything is in order. As already stated above, this is one of the services sourcing agents offer, and its benefit is quite obvious.
On the other hand, you also need to be confident that the merchandise is of the appropriate quality. Yes, your main goal is to get the lowest price possible, but sometimes, this means that the quality needs to be sacrificed. Naturally, this is the last thing you should do, which is why you need an agent to find the perfect balance between these two.
How to find the best sourcing agent?
Collaborate with a reputable agency
This is the most important requirement you need to have when looking for an agency. You cannot enjoy all the above mentioned benefits if you do not collaborate with professionals that have been in this line of work for quite some time.
Make sure to learn as much as you can about their business, the suppliers they usually work with, the type of product they source, etc. In addition, don’t forget to ask them about their license and certificates.
This is the only way to know you are making the right choice. Yes, finding the right company can take some time, but considering the advantage they can provide you, you will soon realize it is worth it.
Determine the type of the agency you want to work with
When it comes to this, you have three options. You can go with single agents that work independently, a sourcing agency that employs several professionals, and each has a field of expertise, or a sourcing and logistics company.
Each of these options has pros and cons, which is why you need to know what your requirements are first and then conduct research to understand which option can meet all of them.
Inquire about their customers
There are two reasons you should do this. Firstly, if they have worked with companies similar to yours, they know all the ins and outs of the entire process and can help you take your business to the next level.
Secondly, their previous customers can tell you everything you need to know about the way they conduct their business, and it is another way to learn how reputable they are.