5 Key Importing Secrets That Can Change Your Business
What are the main differences between successful and unsuccessful importers?
Let me share with you some essential secrets of importing. Strategic thinking and planning are necessary for your business’ success and to make a substantial profit. Your business must be different from other women and men in the industry. If you are creative and can come up with a strategy, there is a good chance that your business plan will be successful. These five secrets to importing are the key to your “resource bank.”
Select the right niche
Many importers will choose to import a product based on its popularity online. An importer might see drones as a hot topic and order drones from overseas. Importing an item that you don’t have a good knowledge of is a high-risk venture. How can you verify the product’s quality at the port of entry if you don’t know the outcome? How do you establish competitive rates for customers? How can you negotiate a low fair price with your supplier? How can you answer questions from your customers about your product? Understanding your niche is crucial for importing. It can also help you avoid unexpected situations.
Find a need in the market.
Avoid making any decisions that could lead to future problems. You will not be able to make a profit if you import a product currently being offered by large retailers in your local area, such as Target, Home Depot, and Walmart. These retailers often order bulk products (usually from China) and can offer products at a fraction of the cost that you would. These major brands have developed relationships abroad and can get products manufactured and imported at rock-bottom prices. Customers will choose to buy the lowest-priced products if you both import and sell the same product. You can still find products that are not offered by these major retailers. For example, various farming products, car parts, etc. These items are not available from these retailers, so it is possible to import and sell them.
Pick Low-Risk Products
Importing a product that can seriously injure anyone could lead to severe liability. You could be sued and lose all your assets. This is a genuine risk when you import. Protecting your business and yourself from potential injury, I recommend that you avoid importing any items that could cause damages to your customers. There are risks associated with importing toys that have small parts, potentially dangerous machines (like lawnmowers), and knives. These products are dangerous in today’s world.
Partner with Your Supplier to Innovate
It may be worthwhile to attempt to make your own product, depending on the supplier. You can reach out to your supplier if you have an idea for improving or changing a product that is currently being offered. Your innovation may only require a minor change to the manufacturing process. This may make it possible, but the price may be slightly higher. If your idea involves a significant shift in the manufacturing process, such as a new mold or additional sequences of manufacturing steps, it may not be feasible or cost more. Be aware that your supplier may sell your idea to others if they feel your modification is an improvement to the product. Although you can ask them not to share your modification, it is likely that they will not honor this request.
Try Your Product
Most importers suggest that you only order a small quantity of the product before you place bulk orders. This allows you to test the product and make sure it meets your requirements. You can also try to sell the product and gauge the market demand. You can sell some of the products on Amazon or e-bay and experiment with the selling prices.