Product sourcing companies are simply the middle who act foster the relationship between the manufacturer/supplier and buyer. Their job is to do the importation from the respective region of the world the goods are coming from on behalf of the buyer after they must have been able to do product sourcing. This mainly involves locating the best sources with the best prices which will save the buyer up to 50% or more when purchasing the products.

There are several product sourcing companies in China, where more than half of the products used in the world are produced. Of course, to have a pleasant China products sourcing experience, you need to get the right company to do that for you.

In this article, we shall look into how to select the best out of the several product sourcing companies in China for your product sourcing. But first, let us take a look at how it works and some other key points worthy to be noted.

Product sourcing: How does it work?

Product sourcing companies are responsible for sourcing goods and probably store these goods in their warehouses with the aim of providing a reliable, responsive and available service. Their duty lies within working with several wholesale suppliers and manufacturers with the aim of combining the needs of the buyers in one service. As usual, products are sourced from China where items are gotten at a fairly low cost.

Product sourcing companies: Who are they?

There are several names given to them depending on the function they perform for their clients. They are known as third party sourcing companies, trading companies, brokers, drop shippers or just importers. Their job is strictly to serve and represent the purchaser and not the supplier. They source for specific products at the best prices and oversee the whole import process. They also ensure that the right products are selected while looking out for counterfeit items so they are not included in products being purchased.

Their profit comes via leveraging group spend, bulk purchase and making a profit from selling. They also attach a commission to the purchase for the services rendered. The bottom line is that, however the deal goes, they go home with something at the end of the day.

The reasons for using middleman for China products sourcing

Product sourcing companies will save you costs and time. Of course, there's an old saying that time is money. You can use your time for other productive things while they take care of business for you. In terms of saving costs, they help you get the best prices which could be up to 50% less. Is that not a nice deal? There are even companies who also do product research for you and deliver samples to you for approval and pricing, as well.

Selecting the right product sourcing company

Now, this is where most purchasers find it difficult because there are so many companies out there and looking for the right one can be time-consuming and difficult. Of course, there are so many companies with a very bad reputation due to poor services rendered, negligence on their part, not taking responsibility for certain issues that come and much more.

There are a few ways to overcome these issues:

Beware of heavy sales pitches: Any product sourcing company that has catchy sales write-up and a hard sell approach without showing any evidence have something up its sleeves. Such company should be avoided as quickly as possible. They usually send spam emails to several unsuspecting buyers promising them everything but are likely to be dubious. The internet is a good place to start and you can search for companies with good reputation.

Search for their track records: This will show you the kind of service the company must have rendered in the past. If they can provide you with references from their past and present customers, then you have every reason to employ their services.

Get referrals: If you know anyone who is already in the business of importation around you, you can go ahead and find out which product sourcing company they use. There is a 95% chance of you getting good services since you already have someone there.

China products sourcing is fast becoming the best way to get items shipped to many countries and will do every buyer good in their business. There are companies like Gafound in China that handle this very well.