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fulfin - financing ecommerce March 5, 2020 2 Minutes
Categories: Ecommerce | Logistics and fullfilment
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Once the first step has been taken and it is clear which products are to be sold on Amazon, the second step is to search for a suitable manufacturer for the respective product - the so-called sourcing. However, finding a trustworthy supplier who enables effective communication is not an easy task. Therefore, we have summarized the best methods for Amazon product sourcing. 

Independent sourcing vs. sourcing via a sourcing agent

While some sellers rely on independent sourcing in the context of product sourcing, others prefer to work with a sourcing agent. The advantages of working with a sourcing agent are shorter sourcing times, (often) lower purchase prices and, in many cases, on-site product quality checks at the manufacturer. However, working with a sourcing agent often involves the risk of hidden commissions (often in cooperation with the manufacturer) and a lack of direct contact with the manufacturer. Which method is the right one depends on your own needs and framework conditions. In order not to be dependent on a third party (sourcing agent), it is advisable in many cases to start with your own sourcing. 

Local Sourcing vs. Global Sourcing for Amazon Product Sourcing

In independent sourcing, a basic distinction can be made between two methods: Local and global sourcing. If the products come from the local environment (local sourcing), one benefits above all from the possibility of a personal view of the goods as well as from short delivery times. The advantages of global sourcing, on the other hand, are a larger and more diverse product range and the possibility of (often) lower prices.

Local sourcing (within the EU)

Sellers who prefer local sourcing should start on trading platforms that list wholesalers and manufacturers from the EU. Alternatively, you can often find what you are looking for at factory outlets or on websites that sell remaining stock. If the costs of overseas shipping and customs are eliminated, it is sometimes possible to find products locally at competitive prices. However, one should invest time in obtaining various quotes and compare the cost of certain products in both local and global sourcing to get a good price.  

Global sourcing

B2B websites are particularly suitable for global sourcing, e.g. or direct global sourcing on site. Typical countries for global sourcing are China, India but also Bangladesh, Cambodia or Pakistan. In addition, it is advisable to visit trade fairs abroad. Because there you can negotiate directly with local dealers.

For products from China: Canton Fair

If you want to source products that are mainly made in China, a visit to the Canton Import and Export Fair is also recommended. With over 15,000 exhibitors and around 70 billion USD in trade deals, it is China's largest import and export goods fair. Those who focus on Chinese products can establish trade relations here, talk to insurance and logistics companies, or examine a wide variety of products at one of the countless stands.

Amazon product sourcing via platforms 

If you are searching for products on platforms such as Jungle Scout, Sellics and ASINspector has additionally the possibility to search for suitable suppliers for his researched products on the platform's own databases. The platforms provide databases with verified suppliers. This saves the seller the time-consuming process of checking potential suppliers for seriousness and reliability. If a search term is entered for a specific product, the platform's system ranks the results in order of percentage match to the term entered. In this way, sellers can find a suitable supplier with little effort and conduct Amazon product sourcing.

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