Every online business owner deals with similar Product Sourcing issues. From finding reliable sources to figuring out what will sell, online retailers all face these same challenges. Due to retailers having these same struggles; the following are the five most common questions we get from online retailers about Product Sourcing.
Product Sourcing Questions
Question 1: Isn’t drop shipping risky—if a supplier turns out to be unreliable, I could have missed deliveries and angry customers?
Answer: No matter where you get your products, running short is always a possibility. So you can easily minimize your risks by following some simple steps:
1.) Place at least one test order with any drop shipper you’re planning to use. That way you get to see what your customers will experience in respect to product delivery.
2.) Identify your best-selling items, and buy some in bulk. That way you’ll always have a few on hand, in case your drop shipper runs out of product and can’t fill your order.
Question 2: How do I decide what to sell?
Answer: There’s no short cut—you have to do your market research. Look at the demand for a product, the competition you’ll have, and whether or not you can be profitable. SellNiches.com provides a great eBook and other resources to help you choose a successful product line.
Question 3: Should I attend wholesale trade shows?
Answer: Trade shows are a good idea, but be careful which ones you attend. Some trade shows are simply glorified flea markets. If you want to do that level of product-sourcing research on your own, we highly recommend going to the bigger shows in and around the major cities. To find links to popular upcoming wholesale tradeshows subscribe to our newsletter (SIGN UP BOTTOM RIGHT!) Remember, you’ll typically need your tax ID to register for these shows & sometimes they require a business card.
Question 4: What is a “light bulk wholesaler”?
Answer: A light bulk wholesaler is a term for any wholesaler that will sell in bulk with low minimum orders, under $500, as opposed to carrying minimums of $1500+ and $25,000+.
“Light bulk” is a term that we coined here at Worldwide Brands. So anyone else that uses it is a copycat!
Question 5: Why is importing so complicated and expensive?
Answer: The process is intricate and costly for several reasons:
Your products aren’t made until you order them. So you have to allow 25-30 days just for the goods to be manufactured. On top of that, you can expect to wait 2-3 weeks for shipping, if everything goes smoothly.
There are numerous expenses and paperwork involved with overseas shipping, customs clearances, and warehouse space.
The More You Know
As an internet retailer, product sourcing will always be an area of concern. This is the most common point of failure for online businesses, since so many aren’t aware how important research is. Understanding your market is key to your online selling success. So ask all the questions and seek out the right answers. You’ll be much better prepared to prosper.