Finding a manufacturer overseas

[Nathan Jenkins]

Has any body got any suggestions on sourcing overseas manufacturers other than Alibaba, Global Sources and Google search?

Any negative / positive experiences worth sharing? Any other online directories you would recommend?

Thanks

 

[finleydesign]

Hi, to be honest if you can't find anyone who isn't on Alibaba or not appearing on Google, then your going to struggle

In another business, we have a lot of direct contact with manufacturers direct from all over, and that all started just by digging around and searching on Google etc

However, bare in mind Alibaba does offer better confidence in who you are dealing with

 

[The Byre]

Look up who is exhibiting at the relevant larger international trade fairs. Better still, go to those trade fairs and talk to potential suppliers.

 

[karmacomputing]

The Department for International Trade (DIT) which used to be called UKTI will offer you free support in sourcing overseas manufacturers.

For larger operations (or risking any money for that matter) there's a lot to think about; quality control, how do you guarantee they will send to you when they pay?

Banks offer services called "letters of credit" and can stand in the middle between you and the manufacturers to guarantee receipt of goods/payment between the two parties.

There's a lot of genuinely helpful face-to-dace advise on offer from the Department for International Trade, perhaps send them a message.

 

[WebshopMechanic]

I've used Alibaba and Global Sources in the past and they seem ok. You just need to be aware that you may be dealing with a middleman or a middleman's middleman. They all claim to have a factory but the photos are usually just factories who they order through. It's 'smoke and mirrors'. Getting to the direct source is very difficult unless you go to one of the Hong Kong fairs.

If you can get the direct source then you should be in a good position. My personal rules / advice from there are:

• Buy products that solve a problem - This makes them easier to sell at your end. Don't just buy drones because they are popular.
• White label your product or make some changes - You need to differentiate if you're going to be selling on Amazon
• Price - Whilst pricing is important, it's not everything. In China, you often get what you may for. It may look good but the quality won't be there if you go cheap, cheap. Also, if you screw your supplier down too much, they will cut corners. Be fair and say you want to build a long-term relationship so the quality needs to be good.
• Always request a sample before any shipment is made - I encountered the phrase 'Chinese whispers' on many occasions where they change a detail thinking it would be ok without asking. NEVER assume anything will arrive as you expect it to be.
• Talk to the factory on Skype - If they can't speak good English on Skype then you'll struggle to get any problems ironed out.
• Test, test and test that sample - We sold backpacks and the product looked amazing. Little did we know the stitching was poor and would caused major problems later on. Test, abuse and break otherwise you'll have a customer service nightmare.
• Instructions / Set-up Guides - If these are required then create these for the factory to print. Get a sample.
• Payment - Many vendors like wire transfer because they don't get hit with any fees. The problem with wiring money is that there is no comeback if anything goes wrong. PayPal covers you so it may be worth finding suppliers who accept it.

I hope this helps. It is a bit of a minefield but don't be put off. It will take time to get right but it can work wonders if you find the right suppliers.

Matt

 

[GlennMiddleton]

My experience of foreign suppliers is normally want all the money up front and tell you what you want to hear, not good at telling you they have a problem. Sorry for being blunt, but experience is they promise the earth and never deliver.

 

[GraemeL]

Hi, to be honest if you can't find anyone who isn't on Alibaba or not appearing on Google, then your going to struggle

No you are not. Just use an Agent. We buy in container loads from China and non of my suppliers sell through Ali Ba etc. Most of them do not have stands at trade shows. I always buy through an agent, though I have visited every factory with the agent.

I've used Alibaba and Global Sources in the past and they seem ok. You just need to be aware that you may be dealing with a middleman or a middleman's middleman. They all claim to have a factory but the photos are usually just factories who they order through. It's 'smoke and mirrors'. Getting to the direct source is very difficult unless you go to one of the Hong Kong fairs.

This is largely correct. However to repeat myself, the solution is to use an agent. Yes an agent will cost. My view of importing is that you have to spend money to reduce risk. There is a vast difference in business culture that you cannot grasp.

 

[The Byre]

My experience of foreign suppliers is normally want all the money up front and tell you what you want to hear, not good at telling you they have a problem. Sorry for being blunt, but experience is they promise the earth and never deliver.

Ah, those cheating, lying Johnny Foreigners! Breathing garlic all over their keyboards and insisting that staff come to work at seven or eight in the morning and refuse to let them fiddle with their smart-phones during the working day.

I am immediately reminded of hilarious story my wife told me, when she was a buyer for the German plant of a US company. She ordered some bearings from a Sheffield company (several hundred-thousand pounds worth and an order that would obviously lead to many more) and was told that a container would arrive on Wednesday of next week.

Wednesday came and went. So did Thursday. On Friday she called and had to call back, as that particular sales assistant only came in at ten (eleven German time).

"Where are my bearings? You told me that a container would be arriving on Wednesday. Today is Friday!"
"When I said Wednesday, I was merely giving you an example of the kind of day on which the shipment might arrive. Wednesday, Thursday and so on! Do you still want the bearings?"
"Are you trying to tell me that you haven't even sent them out yet?"
"We are processing that order."
"Forget it! The order is now cancelled!"

She then called Thyssen Stahl in Cologne and a container load of bearings arrived at the loading ramp at seven o'clock the next morning.