How To Buy Products From China And Sell In India - Profitable Insights
Source: DHgate, Tag: E-Commerce Tips
Find out how to buy products from China and sell in India. Get profitable insight and shop the latest wholesale items from DHgate.com.
Importing goods from China to India is easy for those trading online because of the major presence of Indian online shoppers. It is also a good business for those who are owning retail shops in India because the country has a very large population, thus providing a ready market for goods.
The best thing about this business is that it doesn’t require much investment or experience. All one needs is some knowledge about the market and good business planning. In other words, it doesn’t require much to get to know how to buy products from China and sell in India. Armed with a few insights, everyone can make money while buying products from China and selling in India.
Chinese products are known for their superior quality and cheap price. They are in great demand in the Indian market. As a result, these products can be really profitable to sell. There are numerous products that you can buy from China and sell in India. The only thing is that you need to find a reliable vendor. If you too are looking for the same, then do not worry! Here is the article that explains all the basics regarding how to buy products from China and sell in India.Basic Game Plan
The Indian market is full of opportunities, but doing business there takes an understanding of the cultural and political environment, as well as what Indians are looking to buy.
India has a huge population with a large middle class, which is getting wealthier. The country is also strikingly young, with 60% of people under 30 years of age. These factors make India an attractive market for selling products. What’s more, doing business in India is no longer challenging because the country has opened up to foreign companies. Now, the import regulations are not as strict as they used to be.
Since the country opened up to foreign goods, goods from China have found their way into almost every industry in India. As an entrepreneur, you can take the advantage of low-priced China-made goods, which are selling well in India, to make a fortune.
You don’t need to be a rocket scientist to how to buy products from China and sell them in India. With a simple game plan, you will be good to go. Here is the simple basic plan for anyone who wishes to start the business of selling China products in India:Find Products to import
Choose your business model
Find a supplier for this product in China
Negotiate with Chinese Suppliers
Get samples made and test them with your customers
Market and sell the samples
Scale your business
Find a Product that is currently in High Demand in India and stocked in China
This is the first part of a series of tutorials that will teach you how to buy products from China and sell in India. There is a countless number of China products available for importation to India and other countries. The reason why many people prefer the Indian market is because the population is massive and there are many buyers. Before doing anything else, let us first help you understand how you can find products to import from China.
First and foremost, conduct market research to determine what items have high demand and sell well in India. The easiest way to do this is by visiting online retailers like Amazon that already sell products in India. Look for reviews and ratings given to these products. This will tell you what products consumers like most, and which ones need improvement. A product could be termed as having high demand if there are a lot many people searching for it online. Of course, this is not a fool-proof method but it should give you an idea about the search interest for that particular product. You can opt for a product with high demand in India that is manufactured in China but is not sold in India currently, or if it is, there should be a deficit in supply.
Secondly, find out if India allows for the importation of such a product from China into the country. Also, find out what customs and duties are needed for the product to be imported into the local market.
Lastly, assess your ability to deal with the product that you have found to be in high demand, and can legally be imported for sale to Indians. For example, if you have found that China-made motorbikes are in high demand, don’t jump into starting the importation before assessing your financial abilities to run that kind of business successfully.
Choose your Business Model
If you want to buy products from China and sell in India, you should have a clear idea about your business model. You can either choose to be an importer or a domestic distributor. If you can find a trusted wholesaler, then being an importer would be the best option for you. You will only need to worry about your sales and marketing activities.
If you want to choose the second option, it is recommended that you visit China yourself and find a reliable supplier who can offer you the products at a reasonable price. You should also negotiate with the supplier regarding quality control issues (for example, ensuring that there are no defects in the products).
Find a Supplier for this Product in China
Once you’ve found the perfect product, find a supplier for it by searching on DHgate.com or contacting manufacturers directly. DHgate is a leading B2B website based in China. It is a marketplace that exists to connect Chinese suppliers with traders and buyers in India and other countries. It's the biggest and by far the most used platform for this kind of business. It has millions of suppliers and over 100 million products listed on its website. You can find all sorts of products there including electronics, machinery, clothing and fashion accessories, furniture, health and beauty products, toys, home appliances, and much more. When you get to the site, you can start by searching for the product that you want to import to India. You will find hundreds, if not thousands, of suppliers and manufacturers offering the same product.
If you have the resources, you can also travel to China and attend China trade shows where you will have the chance to meet suppliers face-to-face, and also get to see, touch, and feel the products they offer.
The third option is to search the Internet. Google is the fastest and largest search engine globally. You can use Google to find China suppliers for your product or niche by searching keywords like “China + product name” or “product name + manufacturer”.
China has an abundance of raw materials, labour, and infrastructure. In 2016, China was ranked as the world's second-largest manufacturing country after the US. It is a paradise for retailers and wholesalers who want to buy cheap products in bulk from China to sell in India or anywhere else. So, finding a supplier should not be hard. You will be spoilt for choice.
Negotiate with China Suppliers
Since you have already done your pre-work, you should have a good idea of the types and volume of the products you want to buy, as well as an idea of what the prices should be. Get the suppliers’ contacts so you can talk to them directly. All suppliers on DHgate.com have their contact information listed on the site to make it easier for their potential customers to contact them. Every supplier has a website, email address, physical address, and phone number.
Send your inquiry email to at least five suppliers and try to get in contact with them through instant messengers like WeChat and Skype. Also, look for their company profiles on websites DHgate.com and other websites like MFG.com or Global Sources to see if they are who they say they are.
As soon as the suppliers receive your message, they will get back to you for negotiation. Calling them directly is also another great option.
Before you start negotiating with your supplier, know your product well. Be knowledgeable about the specifications of your product and the market price for that product in China as well as in India. The more research you do on the market, the better equipped you will be to negotiate a good deal from your suppliers.
Negotiating with Chinese suppliers is very important to get the best profit margin. Negotiation is an art. If you want to negotiate with Chinese suppliers, then you must learn the art of negotiation. If you are successful in negotiating with your supplier, you can get higher profit margins. To get the best out of your negotiation, always use the following tips:Send them an inquiry about their product, terms and conditions, and prices. This is called RFQ (Request For Quotation). It is basically a request for a quotation from the supplier.
Provide as much information as possible about your requirements in the RFQ so that you get accurate quotes from them
Contact more than one supplier for a particular product and compare their prices, terms, conditions, etc., before purchasing anything from them.
Always ask them for discounts on bulk purchases because they offer better prices as the quantity ordered increases.
Have a Place for Selling your Product
After successful negotiation with your supplier, you can go ahead and set up a local store in India where you will be selling your products.
Also, set up an online store or website. With a website or an online store, all you need to do is find a shipping company that will help you ship your goods to India safely and get them delivered to your customers.
An online store is important as it is where you will process all your orders from. You can choose from an array of options including Shopify, Woocommerce, and Magento to start your online store. These platforms are easy to use and will help you get started very quickly.
Validate Demand
Once you have negotiated with the supplier, the next step is to place some small sample order to test if the demand is real. Get your supplier to make some samples and test them with your customers.
This will also help you to test the quality of the product, confirm that you have got everything right, and also be used for marketing purposes to test the market demand.
This step is necessary as it allows you to test things out and make sure that everything works seamlessly.
Use the samples to market your product in India locally and online. You can have your own website where you market and sell your products. You can also market the products on Amazon, eBay, or any other marketplace or eCommerce store of your choice. If you receive a positive response, you can place an order for bulk quantities and start selling in large volumes by creating your own brand name and label on the products.
Scale your Business
If the samples are received well, and the profit margin is impressive, you can now scale up your business and start doing real business. Send bulk orders to your manufacturer, who ships directly to your local store. You can also sign a contract with a shipping company that will be shipping goods from china directly to your customers in India if you are selling China products online.
Frequently Asked Questions
Do we need to go to China for importing Products?
No, there is no need to go to China for importing products from China to India. All the dealings can be done online through the DHgate website and your product will be delivered as agreed.
What is the Procedure for Buying Products from China?
To buy goods from China to India, you can create a free account on DHgate.com and browse through millions of products available in the market. You can contact the supplier directly and discuss the product details, product quality, payment terms, and delivery time.
Why Should I Import?
Importing products can give you a competitive edge in your domestic market and open the door to new customers or suppliers. It can also help you manage risk if your sales are dependent on one market or customer.
What are the Best Platforms to Source Products Directly from China?
The best platform to source products directly from China is DHgate.com because this platform has millions of sellers and all of them wholesalers so you can buy products at low prices even if you buy a single piece of product.
How will I know if the Product is Profitable?
The best way to know if your product idea is profitable is to do some research on its current market value, how much profit potential it has, and how much are people willing to pay for it. It also helps if other sellers are already making money out of selling the same product.
Conclusion
We hope this guide has helped you learn about how to buy products from China and sell in India. China, with its lower production costs and a vast supply of skilled labour, has allowed entrepreneurs to create goods less expensively. And India, with its 1.3 billion population and rising middle class, has allowed entrepreneurs to sell more goods at higher prices since the people are willing and able to pay them. It is no wonder then that so many companies are making deals with suppliers in China to sell goods in India. This kind of business is worth a try.