1688.com is China’s leading online B2B marketplace for businesses dealing with wholesale orders and sourcing. With over 10 million suppliers across 1700 categories, 1688 caters to businesses of all sizes. Established businesses can leverage 1688 to increase their SKUs, and new businesses can gain a stronger foothold in the market.
However, many overseas buyers face the same challenge when trying to outsource products from 1688 – The marketplace does not support international payments. Buyers need a local Chinese bank account to pay suppliers.
To streamline international payments on 1688, WorldFirst offers a cross-border payment solution for international buyers outside of China. By signing up with WorldFirst, businesses in Australia can quickly and securely pay 1688 suppliers without dealing with complicated payment processes or worrying about excessive conversion fees.
Let’s take a closer look at the 1688 marketplace. This in-depth guide covers everything buyers need to know for effectively sourcing products from 1688.
Table of Contents
What is 1688?
1688 is a B2B wholesale marketplace in China that is a part of the Alibaba Group. Established in 1999, it is a popular marketplace for global businesses wanting to source products directly from China.
When comparing prices on other B2B platforms in the Chinese market, the products on 1688.com could be anywhere from 4% to 15%* lower in most instances and up to 40% in other cases. One of the biggest advantages of the platform is its ability to take small orders of as little as two pieces.
*Numbers provided by 1688
Why source products from 1688?
Cost-effective and transparent pricing
Since most suppliers on 1688.com are factory owners and wholesalers, buyers can access products at competitive prices. Furthermore, strong competition and tiered pricing mean the more units you purchase, the cheaper the unit price becomes.
Low minimum order quantity
On 1688, many sellers allow buyers to purchase one or two pieces per order and the minimum order quantities are generally low. It helps businesses evaluate product quality before placing a large order. At the same time, it can help smaller businesses that may not have big budgets to purchase limited product quantities as they slow scale their operations.
Reliable suppliers
Suppliers on 1688.com are required to have a Chinese business license to showcase their reliability in the Chinese market. Each supplier provides details about their company’s date of incorporation, registered capital, and company address on their store page. Buyers can also procure from 1688.com’s cross-border site, global.1688.com, which exclusively promotes reliable suppliers selling trending products in the global marketplace.
Vast variety of products
As the largest local wholesale platform in China with dozens of categories listed, 1688.com offers countless options for products and suppliers. Most factories in China are listed on 1688.com, giving buyers various choices.
Original sources
Buyers get direct access to manufacturers and suppliers based in China. They can contact sellers directly, communicate their exact requirements, discuss the possibility of customizing orders, and even negotiate prices. All of this directly leads to stronger business relationships based on trust. Moreover, directly working with manufacturers without any middlemen ensures businesses get the best prices for the products they are sourcing.
Types of sellers on 1688
Wholesalers
Wholesalers make up the bulk of shops on 1688.com. Most wholesalers have a minimum order quantity of only a few pieces, and there is also a low minimum spending amount. Wholesalers usually hold more inventory and stock than factories.
Factories and manufacturers
Factories specialize in receiving production orders, with the minimum order quantity starting at 1,000 pieces in some cases. There is a ‘Find a Factory’ option in the 1688 app, which buyers can use to find factories in different categories. Factories do not keep much inventory but make products based on orders.
The biggest benefit of working with factory owners and manufacturers directly is bypassing the middleman and talking directly with them. You can also save costs since you will be placing bulk orders.
Brand owners
Similar to wholesalers, brand owners also offer a low minimum order quantity. However, while wholesalers often sell white-label goods, branded stores on 1688.com operate a storefront with their brand name and logo.
Sourcing agents or virtual factories
Similar to a middleman, sourcing agents help buyers find a reliable supplier, negotiate the best price, assist with documentation, coordinate with the factory, or oversee the production to ensure it aligns with the required specifications. As sourcing agents, they don’t hold stock. Instead, they help secure products within the promised lead time.
For those with little cross-border business experience or who are overwhelmed by the language barrier, sourcing agents can assist with language translations, timely delivery of your products, and quality control. Agents generally charge a commission between one and three percent.
Some disadvantages of using a sourcing agent include not having a direct line to your supplier and creating communication lags, especially if your agent becomes unavailable. You also don’t have any direct business relationship with your supplier.
Getting started on 1688
1. Opening an account on 1688
Step 1: To register on 1688, you must first create an account. There are two ways to do that:
- Via Taobao mobile app: To register for an account on a mobile device, you must sign up via Taobao. As both 1688 and AliExpress are subsidiaries of the Alibaba Group, Taobao and 1688 accounts can share the same login details. If you already have a Taobao account, you can use those details to log in to 1688.
Via 1688.com on PC: To register via the website, visit www.1688.com and click the 免费注册 tab, which means ‘Sign up for free.’
Note: If you can’t read Chinese, use Google Translate to convert the page into English. If you’re using Chrome as your browser, right-click and select ‘Translate into English.’
Step 2: A pop-up will appear for a user agreement. Please select to register as an individual and open a 1688 personal account. (Again, use Google Translate to change the text into English if necessary.)
Registering for a company account on 1688.com is meant for domestic suppliers and sellers only. Foreign companies or non-local individuals are required to register as individuals, even if they are doing so on behalf of a company.
Step 3: Fill in your information on the registration page and click 同意并注册, which means ‘Agree and register.’
Step 4: To activate your 1688 account, tick the check box to accept the agreement and click ‘Confirm.’ 1688.com will request that you complete your account profile on the following page, but this step is optional.
2. Verifying your account
After registering for your 1688 account, you can choose to verify your account. While this is not mandatory, international buyers must verify their accounts to be able to make cross-border payments with the 1688 World Pay solution.
The 1688 World Pay solution is the official cross-border payment method provided by Alipay and 1688.com that allows foreign companies to pay suppliers on the platform. The solution also guarantees the security of your 1688 account and prevents your accounts from being frozen.
Now, how do you verify your 1688 account?
As an international buyer, you must create a personal Alipay account and link it to your 1688 account for verification and seamless international payments.
3. How to open a personal Alipay account
On mobile
1- Open Alipay mobile app (iOS and Android) and click ‘Register’
2- Select your country code and your mobile number
3- Enter the verification code sent to your mobile number
On desktop
1- Log in to www.alipay.com and select ‘Register’
2- Next, click ‘Personal Account’ and select your nationality/region
3- Fill in your mobile number and enter the verification code sent to your mobile number
4. Verify your 1688 account with Alipay personal
Step 1: Make sure you have a verified personal Alipay account.
Step 2: Click on your account name and navigate to 账⼾管理 (account management) Under 我的认证 (my verification), go to 我要认证 under 个⼈认证 (verify using personal details)
Step 3: You will be redirected to the quick verification page. Enter your Alipay login ID and password, then click the orange button ‘link to Alipay account.’
You are now verified, and your Alipay account is connected to your 1688.com account.
Setting up payments on 1688
Currently, 1688.com only allows payments through local payment methods like WeChat, Alipay, and direct bank transfers through Mainland bank accounts. Also, Chinese suppliers only accept CNH.
A cost-effective and secure way to pay cross-border suppliers is by using WorldFirst’s World Pay solution, which allows registered companies in select countries to authorize and automate payments using WorldFirst. The exchange rate is generally more competitive than bank transfers with minimal fees.
- Open 10+ local currency accounts with local account details
- Direct CNH payments to 1688.com
- Pay suppliers, partners and staff in 40+ currencies and 130+ destinations
- Collect secure payments from 100+ marketplaces and payment gateways, including Amazon, AliExpress, Paypal and Shopify
- Lock in currency conversion rates for up to 24 months
Even if your business is set up in Australia, you can pay Chinese suppliers in AUD, and they will receive the payments in CNH through WorldFirst’s World Pay service.
Here are some of the many benefits of registering with WorldFirst to pay suppliers on 1688
- Easy & seamless: Frictionless procurement experience without worries of Alipay account suspension
- 100% safe: The one-and-only fully compliant flow of funds to make 1688.com supplier payments
- No annual limits: No threshold limits for yearly foreign exchange payments
- Lower your costs: Competitive exchange rate for conversions to CNH
How to pay on 1688 with WorldFirst
1- Register on WorldFirst and create an account.
2- After signing up, go to your account dashboard → Payments → World Pay.
3- Click on ‘Activate’ to authorize cross-border payments.
4- Authorize your 1688 account by adding your 1688 ID.
5- Read and agree with the agreement shared on the page and click ‘Next.’
6- You will get a 6-digit verification on your mobile number to authenticate your account.
7- You have now successfully activated World Pay. To make payments on 1688, select World Pay as your payment method and ensure you have sufficient CNH balance in your WorldFirst account. You can also convert other available currency balances to CNH currency account.
Finding products and suppliers on 1688
1. Searching products
Searching for products on 1688 can seem daunting with the marketplace encompassing over 50 industries and 1700 subcategories. There’s no lack of products to search for. Top categories include fashion, accessories, sports equipment, home decoration, office supplies, automobile supplies, food & beverage, and raw materials.
Since the entire 1688 website is in Chinese, there are two ways to search for your desired products.
1. Use Google Translate
You can use Google Translate to convert the desired product name from English to Chinese and copy/paste the Chinese word into the search bar to find similar product listings. Alternatively, you can also use Google Translate to convert the entire website into English and then search into the categories available in 1688.
2. Search by image
A quick way to find the products on 1688 is by conducting an image search. If you have images of the products you want to source, you can use the image search feature on the website. Start by clicking on the camera icon visible on the right side of the search bar and upload the product images.
The website will then display all the product listings that match the uploaded image.
2. Finding reliable suppliers
The product quality you receive will depend significantly on the suppliers you choose, so it is very important to find reliable suppliers.
To ensure the reliability of a new supplier, consider the following factors:
- Years of operation: You can check how many years the supplier has listed products on 1688.
- Response rate: It indicates how quickly you can expect the supplier to respond to your queries.
- Delivery time: The metric indicates how fast the supplier can dispatch products based on past performance.
Some suppliers can dispatch within 24 hours of the order being placed. It is indicated by the label checkbox 24⼩时发货. However, it is not available for cross-border delivery.
- Trustworthiness: The label is only available to suppliers who have achieved a certain standard in quality and timely delivery (You can tick the checkbox 实⼒商家 to view suppliers that have the trustworthiness label)
- Location: You can filter suppliers based on their proximity to your logistics provider to save shipping costs and delivery time. (It is represented by the 所在地区 label)
- Repurchase rate: It is a very important metric that indicates how many buyers make repeat orders with the seller after their first purchase. Even if the supplier has many years of experience, a low repurchase rate could indicate issues with product quality.
- Minimum order quantity (MOQ): MOQ indicates the smallest number of products a supplier can make for any given order. Each supplier sets their MOQ based on their order capabilities. Setting an MOQ helps suppliers ensure they can earn profits even on small orders.
Small quantity orders can be expensive on 1688. If possible, consider larger orders to get the most value and save on shipping costs.
In-depth inspection: You can check on factory details of a supplier by going to their company profile and clicking on 工厂档案 label, which translates to factory files. You can find a lot of information on the supplier factory, including the number of employees, fulfillment rate, factory address, contact information, list of products manufactured in the factory, and pictures of the factory.
3. Communicating with suppliers
Communication with suppliers is one of the most important yet difficult aspects of purchasing products on 1688.
1688 allows you to communicate directly with factories and wholesalers. You can message suppliers through their shop profile using Aliwangwang, the official chat tool of 1688.com. The majority of suppliers will also provide the option of chatting via WeChat. Chinese suppliers on 1688 have a limited understanding of English or other languages, so it’s essential to keep communication simple, professional, and concise.
Alternatively, a sourcing agent can help with translations and requests. Without one, you will have to rely on digital translation tools or hire a trusted translator.
Some questions you can ask suppliers include:
- Can products be sent outside of China, or are they for domestic sale only?
- What is the return policy?
- What is the delivery timeframe?
- What is the inventory and/or manufacturing timeframe?
- Product certifications (if your product requires these)
Note: You can negotiate prices and terms with your supplier. It is a common practice and highly recommended.
Managing shipping
International shipping can be complex and often expensive. Your shipment costs can make or break your product margins. That is why taking your time when considering a shipping provider is important.
Here are some of the most common shipping solutions for product delivery from China to Australia:
You might also need the assistance of a freight forwarder who can handle customs clearance and delivery for your shipment. Freight forwarders are intermediaries specializing in international shipping. They take the headache out of getting your cargo from the factory to your warehouse with services that include documentation preparation, insurance, customs clearance, and storage options. They can also advise on the best international shipping method for your cargo.
Top tip: Learn how to reduce shipping costs with our handy guide.
Expand your business globally by sourcing products from 1688
1688 website features one of the biggest catalogs of wholesale products at competitive prices. By allowing you to contact sellers directly, 1688 helps expand your network of sellers and build long-term business relationships.
Australian businesses can easily source high-quality and affordable products from 1688 and confidently streamline international payments with WorldFirst.
FAQs
Is 1688 website for Chinese Only?
No. International buyers can purchase products from 1688 from around the world. Though the website is in Chinese, you will have to translate it into English. At the same time, you will also need a cross-border payment solution like WorldFirst to pay 1688 suppliers since the website doesn’t accept international payments directly.
Is it safe to buy from 1688?
Yes, 1688.com is one of China’s biggest online B2B marketplaces that connects suppliers, wholesalers, and factory owners directly with other businesses looking to source products.
How do I place an order on 1688 from Australia?
To place an order on 1688, start by shortlisting products and contacting suppliers. You should verify the product quality, payment terms, and delivery timings before placing an order. Buyers in Australia cannot directly make payments as the platform doesn’t accept international payment methods. Instead, they can use WorldFirst’s 1688 World Pay solution to quickly make payments in AUD while the Chinese suppliers get paid in CNH.
Do 1688.com suppliers speak English?
Since 1688 started as a B2B marketplace for domestic businesses, most suppliers on 1688 majorly speak Chinese and have a limited understanding of English.
How to make payments to 1688 from outside China?
You can use WorldFirst’s Cross-border Payment solution to make payments on 1688 from outside of China. Link your 1688 account with WorldFirst and pay 1688 suppliers quickly and securely.
Disclaimer: The information contained is general only and largely our views. Before acting on the information you should consider whether it is appropriate for you, in light of your objectives, financial situation or needs. Although information has been obtained from and is based upon multiple sources the author believes to be reliable, we do not guarantee its accuracy and it may be incomplete or condensed. All opinions, estimates, mentioned products/services and referenced material constitute the author’s own judgment as of the date of the briefing and are subject to change without notice. WorldFirst shall not be responsible for any losses or damages arising from your reliance of such information. Information on 1688 and its products/services are sourced from and can be found at 1688.com.
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