How to Ship Goods from China to Amazon FBA

Tuesday, 27 March 2018

How to Ship Goods from China to Amazon FBA

Posted by Rahul Gupta
Amazon has always played the role of revolutionizing businesses, giving new sellers and entrepreneurs an opportunity to start selling and make money. The company took yet another step in this direction by creating Fulfillment by Amazon (FBA) centres. These dedicated centres are created with an aim to prepare, pack and ship the products on behalf of the sellers. The facility takes a lot of burden off the sellers allowing them to make more money and focus on other business areas. 
Ship Goods from China to Amazon FBA
When it comes to selling on Amazon, one of the most common trends that have emerged among western sellers is to import goods from China and sell them on Amazon.  China is the strongest economy in Asia at the moment and has emerged as one of the fastest growing economies in the world in the recent past. Ever since China transitioned away from communism, it has successfully tapped on its large population and natural resources resulting in lower costs of production and a competitive advantage that is close to impossible for any other country to beat. This has made China a favorite source origin for most sellers. That being said, importing goods from China can be very complicated.

If you are a potential Amazon seller that intends to import goods from China to Amazon FBA, you can either ask the supplier to ship the goods directly to an Amazon FBA facility or you can hire an intermediary to do so. Both the methods have their own benefits and disadvantages, 

Shipping from China to Amazon FBA

If you are a new seller on Amazon, you need to do a bit of homework to figure out which are the best selling products and what type of product will earn you more revenues. Furthermore, you need to work out a pricing strategy that makes you competitive with other sellers selling similar products and makes you eligible to win the Buy Box. Since you will be dealing with Chinese suppliers, in this case, it is always better to find the suppliers who not only give you the best price but also become your long-term strategic partners. This will help you remain competitive and eliminate risks in future.

Shipping Directly to Amazon FBA 

With the internet providing free and easy access to marketplaces such as Alibaba, which allows one to look for suppliers remotely, you might be tempted to eliminate the middlemen and get the product shipped directly to an FBA warehouse from your supplier in China. This sounds lucrative deal because it will eliminate the cost of middleman and will make the transit times much quicker. However, on the downside, you will have to rely on your Chinese supplier to ensure that goods are prepped and packaged such that they meet the specs provided by FBA. Moreover, you will be required to pay all freight costs in advance and you will not be allowed to inspect the product. This means that a product that fails to meet Amazon standards or your quality standards at a later stage would mean you will end up with a huge loss.

Shipping via a Middlemen

One of the biggest problem when dealing with Chinese suppliers is that there are a huge language and cultural barriers that make communication difficult. It becomes difficult to make them understand that they are required to comply with certain standards and regulations with consistency. In this case, a wiser option is to hire a sourcing company such as LeelineSourcing agent. These sourcing agents are based in China and they are not only well versed with local language and culture but are also aware of how Amazon FBA works. 

A sourcing company can not only help you find the right supplier and negotiate terms with the supplier based on your requirements but will also prep and package the goods after a thorough inspection on your behalf and will dispatch it to Amazon FBA in a consolidated form. While this will involve a bit of an extra cost, however, it will eliminate huge risks that are involved in direct shipment to FBA.

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