Network with people who’ve done it before

Word of mouth referrals are the easiest and safest avenue when looking for reliable results. These referrals are advocates due to the service they received and you’re likely to receive the same experience. It’s always good to ask your professional and personal network for any supplier recommendations they may have. 

If you’ve reached out to your network with no luck, other great referral avenues include private groups on social media platforms such as Facebook and LinkedIn, online forums or local meetups. While other sellers may not want to divulge their trade secrets or contact lists with you, most are willing to share tips on how to source from China, any setbacks you might encounter and how to manage the supplier relationship.

Visit trade shows & webinars

If you prefer face-to-face interactions with prospective manufacturers and suppliers, this is an excellent way to do so both in China and locally. Attending trade shows and fairs can give you a better understanding of the large scale and exhaustive products that help cement China’s reputation as the world’s top manufacturing country.

As you can expect, there are plenty of trade fairs in China both small and large. Many were crippled by COVID-19 but are slowly rebuilding its visitor base and exhibitor list. While you’ll likely find trade fairs for every niche, there are a few that are better-known globally for connecting buyers and sellers around the world.

Canton Fair (China Import & Export Fair)

The Canton Fair is held twice a year in Guangzhou, China in April and October. Beginning in 1957 and with over 100 events since, the fair is the oldest and largest of its kind in the country. It brings nearly 26,000 exhibitors and over 200,000 buyers from 210 countries. The extensive range of categories will provide a greater understanding of the market as well as the latest trends you may want to add to your product line. As the Canton Fair is predominantly for international buyers, there is a key focus on ensuring multiple language assistance for the variety of different country attendees.

In 2020, the 127th Canton Fair pivoted to a virtual format from 15 – 24 June. This set forth a new path for international trade, with 26,000 exhibitors displaying their products and negotiating with buyers virtually.

Local trade shows

Those not wishing to embark on international travel can explore local options that gather Chinese suppliers under one roof.  Local trade show fairs are beneficial for local buyers as it allows you to begin building relationships with potential suppliers and inspect products, albeit on a much smaller scale. Post-Covid, there are fewer options to choose from, so it’s a good idea to stay up-to-date with organisations such as the Australia China Business Council and Alibaba ANZ, which previously hosted an annual Alibaba Ecosystem Expo and now runs regular webinars and networking events.

Once it resumes, the Alibaba Ecosystem Expo will allow ample opportunity to grow your network with potential suppliers within the ecosystem. The last event was held in Sydney, bringing together over 147 exhibitors at ICC Sydney.

You’ve done your research and picked a shortlist of suppliers but there are a few more steps before you can start selling in your e-commerce store. Below are a few considerations to run through with your selected suppliers to see if they can meet your business requirements.

Request samples

Sampling is an extremely important part of the process once you’ve shortlisted your suppliers. Items may look good in images or at exhibition stands at trade shows, but sampling offers a broader idea of the supplier’s ability to deliver acceptable quality, design and functionality before putting in an order for mass production.

Enquire about production times

Production times are typically dependent on the supplier’s capacity. This is an important factor to consider, as it gives you a better understanding of the supplier’s turnaround times for your products and allows you to plan your supply chain management and logistics.

Check minimum order quantities

Minimum order quantities (MOQ) refer to minimum order requirements from the supplier. Often mistaken as a firm figure provided by the supplier, it’s actually a negotiable amount. Understandably, reducing your minimum order quantity will result in an increase in production costs per unit. Therefore, it’s important to calculate the optimal amount of stock required at any given time, to avoid holding excess stock or selling out of popular products.

Pay your suppliers

WorldFirst’s World Account allows you to do businesses like a local and pay suppliers in over 40 currencies, including USD and RMB. Same-day payments are available for major currencies, while sellers can open local currency accounts in 10 currencies to collect from global marketplaces and payment gateways, hold funds or convert back to their local bank account.