China importing advice: Challenges and solutions for new importers

Q: What are some of the challenges in sourcing products from Asia? What are some of the key things that people should look out for?

A: Product quality is one of the most important things. Like I said, most factories will build a product to whatever specification you want, but along the way it goes through so many people - a sales person, engineering, then when it actually gets down to the production floor - that you can run into "It's good enough." But good enough for one doesn't mean it's good enough for you. So, you really need to have either your own people here to check your product before it leaves the factory, or have contracted with an inspection company to check what you want. Of course, they need to understand the specification of what you're looking for so that when it arrives to whatever country it's arriving to, you're not surprised. Because there's a thing called Deming's Law that says it costs $1 to fix it in the factory, it costs $10 to fix it in the warehouse, and it costs $100 to fix it once the customer has it. -- Joel Guskin, Jasco Products, United States

A: First of all you have to understand the mentality. There are some differences, and of course it's very important to understand each other. For the suppliers, it's very important to understand what the buyers are looking for, and also for the buyers it is important to understand the potential of the suppliers and find the best ways to cooperate with the companies from China. Personally, I've had a lot of work to do improving their products. I had to work a lot on quality. I found in the end that it's very important to understand their [capabilities] because for our company, the quality I very, very important. Israeli buyer

A: Quality is the most important factor. The sample is one thing, but what is shipped to you has to be the same as the sample that you've approved. That is critical. And changing trends. If you're not on top of things, it can really cause you big headaches, if you buy a product and it doesn't sell because the market has changed. And this business is a fashion business - new trends, new technology. You have to be extremely careful. -- Connoisseur Electronics, South Africa

Q: What is the single most valuable piece of advice you could give new importers?

A: The word "Yes" doesn't mean they agree. Over the years - it's an old axiom - "yes" typically means they heard you. Then you have to look at people's faces, just like you would anywhere else, and make sure what you said is what they heard, and you're going to get what you want and not an interpretation of what they think you want. --Joel Guskin, Jasco Products, United States

A: First of all, they mustn't do electronics is all. They must look at something that is a safer line, like a bracket or a safe, where there's no name brand attached to it. I started off like that, and that's where I made some money. Eventually, once you become bigger, you can start taking on an LCD brand or a TV or something much more difficult to market. Once you get into electronics, there are repairs to be done. Once you're in a market like South Africa, you have repair stations all through South Africa, so it's a much bigger ballgame you're looking at than just importing the brand. So, some smaller stuff - tripods, bags - that are not electronic. Customers are also easier in accepting if it breaks they will buy another one. Once it's a TV or a camera, customers are very brand conscious and it's much more difficult with much more work involved with that brand or making your OEM brand and bringing that into the market. -- Wynant Van Niekerk, South Africa

A: My experience has been that it is a relationship thing. You have to have a one-one-one relationship by the pit of your stomach. Because in Asia, I can get the accredited information that I can in the US. It's a matter of understanding the product. Having had manufacturing experience myself, I'm qualified to judge the factory. Of course, when I look at the factory and see what they're doing, then I can evaluate whether it's good or bad. But it's basically the people that are running the factory. -- Leonard Solomon, Sonnet Industries, United States

A: The main thing is to attend the exhibitions in Hong Kong and Guangzhou. Be brave enough to come to Asia. -- Russian buyer

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