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How To Make Money On Amazon: 7 Ridiculously Easy Ways

How To Make Money On Amazon: 7 Ridiculously Easy Ways

The digital age has revolutionized the way we do life.

Getting goods and services has become a cakewalk. All you need do is click a few links on a website and your new toy (or tool) will be delivered right to your doorstep. And this model has opened up a lot of opportunities for entrepreneurs to cash in on the global e-commerce boom. According to Statista, global retail e-commerce sales are expected to be way over $3.5 billion.

Perhaps you’re such a one and are wondering how you can get yourself a piece of this juicy pie. Why not? After all, all you need is an internet connection.

While there are many ways of making money online, this post will show you how to make money on Amazon.

3 Reasons You Should Consider Amazon as Your E-commerce Marketplace of Choice

While there are many e-commerce marketplaces you can leverage to make money online, Amazon is one of the best. This is especially true if you’re just starting out.

What makes Amazon such a great choice?

Let me give you 3 reasons.

1. Global Reach

This is one of the biggest advantages Amazon has in its favor. While the company started off peddling second-hand books, it has grown to become the biggest online market place – spanning the entire globe. For you, this means you can serve customers from all over the world – from the comfort of your home.

2. Brand Recognition

One of the biggest challenges of starting a new business is getting people to trust you. However, conducting your business on Amazon allows you to “borrow” the company’s brand name. Sure, people know that you’re an individual seller, but they trust Amazon and thus you benefit from being under the Amazon umbrella.

3. Ready Market

Another great advantage of using Amazon is that you have a ready market to sell to. Especially considering that most patrons of the marketplace usually search for a particular product and not a specific brand.

If you’re looking to get into the world of e-commerce, Amazon is a good place to start. Sure, competition may be stiff and you may be a bit restricted by the rules of the marketplace but with the right product, you’ll get a good revenue stream.

You must register as a seller on Amazon before you get started.

How to Make Money on Amazon Even If You’ve Never Sold Anything In Your Life Before

Amazon has great opportunities for you to make money even if you are a newbie. While several ways involve selling, some don’t. So whether you’re a seller or looking to do some work, the Amazon marketplace provides many opportunities for you to earn. Here are the 7 top you can make money on Amazon:

 1. Retail Arbitrage

Retail arbitrage simply means scouring local stores for bargain items that you’ll then sell at a profit. To make it easier, you can sign up for websites that alert you of bargains. You can also use apps that scan items and show you how much they are going for on Amazon.

Retail arbitrage is one of the easiest ways to get started selling on Amazon as it requires the least investment. This model is also good for newbies as it’s easy to manage your inventory. Good as it sounds, however, retail arbitrage has its disadvantages with the 3 main ones being that it:

  • Has low margins
  • Requires time and effort
  • Difficult to scale

To succeed with this model, you must be very good at researching products that move fast on Amazon and know where to get them at a low price. You must also be willing to drive to pick up your inventory.

2. Become a Retailer

Another selling model that’s easy to pull off on Amazon is buying products in bulk from the manufacturer or a wholesaler then selling them as single units. The biggest advantage of this is that you buy your products at a lower price than you would at a retail store and get higher profit margins. Compared to retail arbitrage, it also saves you a lot of time and energy.

On the flip side, this model has a few drawbacks that include:

  • Large investment needed
  • Higher risk of loss (if the product doesn’t sell well)

The key to succeeding with bulk buying is to be sure the product you’re investing in will move fast. You also need to know how many units to buy so as to satisfy your orders without overstocking.

3. Sell White Label Products

One of the best ways to make money on Amazon is by selling white label products. These are products that a manufacturer makes and you place your own branding on them. While this model may seem difficult and complicated, it isn’t. To succeed with white label products, you need to:

  • Research the market and find a product that moves in large volumes
  • Have a good supplier.

White label products are a great way to go since they are products people are already buying. That’s if you pick the right ones.

4. Create and Sell Your Own Private Label Products

Private label products are products that you have created and have the exclusive rights to sell. Again, the concept may sound difficult, but in reality, it’s quite easy to pull off. Creating private label products involves either modifying an existing product or creating one from scratch.

What’s so easy about that?

Well, thankfully, unlike in the past when you had to hire a team of product developers, you can easily have your concept developed and manufactured in China. This way, you save tons of cash. And if you’re wondering, here are the advantages of selling your own private label products on Amazon:

  • Low competition
  • Very high margins
  • More control over your product and its price

Sound too good to be true?

Well, it is true. However, you also need to know about the disadvantages of this model. The main ones are:

  • Relatively high investment costs
  • High risks of dead stock

Overall, however, private label products are a great way to distinguish yourself in the Amazon marketplace. As a result, you’ll be able to make more sales and generate more revenue.

5. Amazon Associates

You’ve probably come across the term “affiliate marketing” as you’ve looked for ways to make money online.

So what is it?

Affiliate marketing is a business model whereby you sell someone else’s products on your website.

This is where Amazon Associates comes in. With Amazon Associates, you can sell some products from Amazon on your blog or website for a commission (anything from 4% – 8.5%). To increase the chances of selling, make sure the products you promote are in line with your blog’s message.

The biggest challenge with earning as an Amazon Associate is that your website needs to generate a good number of visitors. However, the advantages are:

  • You can generate passive income
  • If a visitor clicks into Amazon through a product you’re promoting and purchases something else instead, you still get a commission on that item
  • Amazon follows up on abandoned carts

If you have a niche website with a decent amount of traffic, use Amazon Affiliates to make money.

6. Merch by Amazon

Fancy yourself a good designer?

Then put your skills to work and sell your T-shirt designs on Merch by Amazon. This is a new initiative by Amazon but it’s growing so fast as individual designers and big brands alike (like Marvel and Fortnite) are already leveraging this channel. All you need to get started are your design skills as there are no upfront costs involved. To ensure that your designs sell like hotcakes:

  • Have a knack for anticipating trends
  • Create seasonal designs

As of this writing, Merch is by invite only. To apply, fill in the form on the landing page and Amazon will get back to you. Once approved, you’ll be able to upload your designs. If someone orders a T-shirt with your design, Amazon takes care of the printing and shipping and gives you a royalty.

7. Sell Your Skills and Services

While Amazon is primarily a marketplace for selling physical and digital products, you can also make money on Amazon by selling your skills and services. There are several programs where you can do this. However, the main ones are:

  • Mechanical Turk. This is where you are paid to do various tasks that range from simple data entry to recommending product images to transcribe audio and everything in-between.
  • Amazon Services. Are you good with your hands? If so, Amazon services can connect you to locals who need the services you provide. This can be anything including, but not limited to, plumbing, landscaping, and house cleaning.
  • Amazon Flex. With Amazon Flex, you help fulfill Amazon’s deliveries as a driver. You choose when you want to work and can earn $12-$15 an hour.
  • CamperForce. Love life on the road? Amazon’s CamperForce can help you earn money while enjoying life on the road mainly by picking, packing, stowing, or receiving goods on behalf of Amazon and its clientele. Besides the hourly pay, one of the biggest advantages of this program is that it also offers a 401(k).

As you can well see, Amazon is not just a marketplace for sellers. You can also earn money by offering your skills on the platform.

How to Make Money on Amazon – It’s Easy As Pie

Amazon offers a wealth of opportunities to make good money. Whether you want to sell or offer your services, Amazon offers you the flexibility to do so at your own time.

So what are you waiting for?

Go ahead and sign up for any of their money-making channels and get started.

Sourcing From China- Everything You Need To Know

Sourcing From China- Everything You Need To Know

As we hurtle into the 4th industrial revolution, technological advancements are making it easier for ordinary folk to start and grow profitable businesses.

One such lucrative business is sourcing goods from China and selling them online or in a brick-and-mortar store. Don’t worry, you won’t even have to step foot in China. Unless, of course, you want to.

So how will you pull it off?

Well, my friend, you’ve come to the right place as I’ll be showing you everything you need to know about sourcing from China.

But first, let’s clear a few things off the table.

Sourcing from China – The Advantages

Traditional business models advocate for buying from local wholesalers if you want to be in retail. Another strategy they encourage is retail arbitrage or buying products that are highly discounted from retail shops and reselling them for a profit. While these are all good, there’s another way you can make good money as a retailer.

You can source your products from China.

China’s economy has been exploding over the past decade. And one of the main driving forces of that explosive growth is its fast-growing manufacturing sector. Let’s quickly look at some pros and cons of sourcing your products from China.

Here are 3 profitable reasons you should seriously consider sourcing from China.

1. Low Production Costs

One of China’s biggest economic advantages is the large workforce. Coupled with advanced technology in the manufacturing sector, these 2 make it very affordable to manufacture goods of any kind. It’s no wonder many companies have either sourced or moved their manufacturing divisions to China.

Low manufacturing costs mean:

  • Higher profit margins
  • Enough supply to help you maintain competitiveness, especially if you’re sourcing and supplying mass-market products

Another reason Chinese manufacturers are cheaper than domestic ones is the fact that everyone is turning to China to produce their products for them. Because of this, the stiff competition has helped drive manufacturing costs lower.

2. High Volumes in Less Time

For efficiency, few manufacturers can compare to Chinese manufacturers. If you’re dealing with high-volume products, then this one is definitely for you. Because China has become the manufacturing hub for the world, it has developed systems that help increase output. That and their aggressive turnaround times ensure that your order is ready in the shortest time possible.

3. Easy to Become a Global Player

Having your products manufactured in China is a great way to position yourself as a global player. For one, with a population of over 1.3 billion. The country itself is a huge market for your products. Apart from that, once you expand into other countries, it is usually easier and more cost-effective for you to ship your products to those countries straight from China.

Sourcing from China – The Challenges

While sourcing from China is one of the best routes to take as an aspiring (or veteran) entrepreneur, there are a few challenges you need to know. A wrong step on any of them could lead you to lose your investment. So what are the challenges?

1. Stigma

One of the biggest challenges you’ll encounter as you source and supply products from China is the stigma associated with Chinese products. This is usually because of the supposedly inferior quality of Chinese products. While this has been the case most times, it is also possible to get high-quality products from China. It all depends on your requirements and who you deal with.

On the flip side, other people would just rather buy local products as they prefer to support local businesses.

2. Shipping

If there’s one thing many dread with sourcing from China, it’s shipping – and rightly so. Because you must ship your product from the other end of the earth, this results in:

  • Longer lead times
  • Increased shipping and handling costs

Another disadvantage of shipping your products from across the ocean includes a more complicated inventory control system. Failure to keep adequate stock on hand while waiting for your next shipment could cause you to lose some customers. More on this in a later section.

3. Steep Minimum Order Quantities

Most Chinese manufacturers have rather high minimum order quantities you have to meet before they agree to do business with you. And if you’re just starting out, these minimum order quantities can be quite the stumbling block. However, a bit of investigation can help you find factories that have relatively lower minimum order quantities. And this is where having a contact on the ground comes in handy.

4. Language and Cultural Differences


The Chinese are very cultured people. Doing business with them requires that you have a basic understanding of their language and culture. This is important as some things acceptable in other cultures can be an offense in Chinese culture. And, an offense is not taken lightly in China. It could cost you a great business opportunity.

Another aspect of Chinese culture that you need to be wary off as you consider sourcing from China is the fact that they take their holidays seriously. This is particularly true for the Chinese new year – a holiday that causes the entire country to shut down for up to a month. Expect these holidays and order more stock in anticipation of these shutdowns.

How to Source Products from China Successfully

Now that you’ve seen the pros and cons of sourcing from China you’re ready to take the plunge, right?

Well, before you do, let’s quickly look at a few ways you can make your China sourcing venture a success.

1. Find a Reliable Supplier

Building relationships with reliable suppliers is crucial to succeeding in sourcing products from China. One thing the Chinese strongly believe in is building strong relationships – even in business. And this is a good thing as it is a great way to minimize the risks of being ripped off.

So how do you find reliable suppliers in China?

Two of the easiest ways are:

  • Searching online directories
  • Attending trade shows

However, these 2 ways also pose a problem if you’re thousands of miles away – you can’t physically meet your supplier and inspect their facilities.

Again, this is why you need a partner on the ground. A company that has been doing business with various Chinese manufacturers and suppliers.

2. Master the Art of Negotiation

Negotiation.

Don’t you just hate it?

While negotiation is something most people in western cultures aren’t particularly fond of, it is a part of Chinese culture. In fact, it is used to forge stronger relationships. Therefore, when sourcing from China, you must master the art of negotiation.

However, when negotiating, know that not only are you negotiating a lower price but you’re also negotiating on:

  • The quality of the product
  • Delivery terms

That’s why, as you negotiate, don’t push your supplier into a corner. They’ll only end up taking shortcuts when producing your product, leading to an inferior quality product. Instead, research the average price of similar products from other manufacturers and use that as your guide.

3. Get Some Samples

Before finalizing any deal with a supplier, always get samples of the product first. This is a good way to avoid nasty surprises when you get your consignment.

Once you know the quality of the product you’ll be getting, it’s also wise to do a bit of quality control at each stage of production. Communicate with your supplier, right from the start, and let them know the quality you need require in your product. Make everything clear especially concerning:

  • Type of material used
  • Dimensions
  • Packaging

Doing this will help you, not only create a good product, but it will to also meet product requirements, both legal and from your customers.

All this takes time. Most westerners rush when importing goods from China. As a result, they make costly mistakes and crash.

Shipping and Logistics – How to Ensure Your Product is Delivered on Time and Cheaply

One of the biggest reasons many people shy away from sourcing products from China and reselling them is that they are deterred by the logistics behind it all – particularly shipping. Choosing your shipping method is crucial to you making a profit when you sell your products as shipping can account for a large portion of your total expenses. Hence it is wise to know the cheapest options available for you.

While each consignment will have its own different costs, here are 3 main shipping methods you need to know – plus their advantages.

Sea Freight

Shipping by sea is your best option when shipping in bulk, especially if your product is on the heavier side.

How heavy is heavy?

If you’re shipping anything above 500 kilos, the shipping by sea is definitely the cheapest option. Sadly, lead times are the longest with this option as you can expect your stock to arrive in 30 – 40 days.

Air Freight

Another shipping mode to consider when sourcing from China is standard air freight. Yes, air freight is expensive but it can be your best shipping option sometimes. For instance, if you’re shipping a consignment that’s between 150-500 kilos, shipping by air will be your best option as you’ll only pay something around $3/kilo. You also get the added advantage of getting your stock faster – within 10 days.

Courier Shipping

Shipping via courier services is another good option if you’re shipping products with a low volume, like rings, for example. It’s also best for shipping samples and important documents as it is the fastest shipping method. Lead times are usually within 4 days.

Cutting down shipping costs requires that you do your due diligence, not only in researching the best shipping methods but also the most reliable and affordable freight forwarders.

Sourcing from China – Not a Walk in the Park But Well Worth It

Sourcing from China may not be easy the first few times but once you get the hang of it, it becomes rather easy. Besides, no good thing comes on a silver platter – including a thriving business. No matter how challenging sourcing from China may be, one thing is certain – the profits are worth it.

So get started today. And if you need help at any stage – from product development to shipping – GlobalTQM is here to walk you through.

 

 

How to Develop an Entrepreneurial Mindset in 5 Simple Steps

How to Develop an Entrepreneurial Mindset in 5 Simple Steps

Starting a business has never been as easy as it is in this fast-paced digital world. Technology has turned the world into one small marketplace where entrepreneurs can easily develop and market their products to anyone anywhere in the world. However, the flip side is that competition has also become stiff – especially for startups and small businesses.

So it’s important that you develop an entrepreneurial mindset – a success mindset.

Success Mindset – What Does it Even Mean?

What is a success mindset and why is it important?

A success mindset is a mentality that drives one to succeed despite the challenges and obstacles in the way. Having this kind of mentality is important as the path of entrepreneurship is a minefield of challenges and setbacks.

Having a success mindset is crucial to the success of every entrepreneurial endeavor.

3 Reasons You Need to Develop an Entrepreneurial Mindset

You’ve got the knowledge, skills, and connections to make it a successful entrepreneur. That should be enough to ensure you become the next big thing in your industry, right?

Wrong!

Success is more a matter of your mindset than anything else.

One aspect of the entrepreneurial journey that is set in stone is the fact that the journey will always be fraught with challenges. And when they come, it’s not a fat bank account or your connections that will ensure that you make it out victoriously. Sure, they are good to have and will certainly be helpful but your biggest asset in times like this is your mindset.

Besides being your anchor in stormy seasons, here are 3 other reasons to develop an entrepreneurial mindset:

1. Fuels Innovation

A couple of years ago, success in business depended on a good idea and good market research. Today, business success comes through innovation. The ever-changing landscape (and people’s needs) demand that you be able to adapt quickly. And that’s where developing the mindset of an entrepreneur will help you.

Entrepreneurial minds are always a step ahead of the trend. This helps successful entrepreneurs ride the waves of success – they always anticipate a need before it arises. Developing an entrepreneurial mindset fuels innovation, leading you to start, grow, and run a successful business.

2. Keeps You in Motion

As an entrepreneur, your vision is the map that directs you to the pot of gold at the end of the rainbow. However, that map has some gaps – it doesn’t show you the parts of the journey that will be filled with discouragement. Or the times when you’ll seem to be hitting against the wall.

This is where the entrepreneurial mindset comes in.

Developing the mindset of an entrepreneur will help you keep moving despite all the surrounding negativity. Because entrepreneurs, like Dory from Finding Nemo, know the ultimate secret to success – just keep moving.

3. Gives You an Edge

Let’s be honest here. We’re living in times when the business environment is highly competitive. A dog eat dog world. One of the biggest elements of an entrepreneurial mindset is not just how to run a business – it’s more about how to discover opportunities in the amid a problem. Take Netflix, for example. They saw a storm brewing in the entertainment sector (people’s discontent with traditional TV and movie rental). Instead of seeing the dark clouds, they saw a silver lining. And boy did they capitalize on it, leading to a multi-billion dollar empire.

Having an entrepreneurial mindset gives you an edge that helps you intuitively carve out solutions out of what many would term problems.

Now that you know why it’s crucial for you to develop an entrepreneurial mindset, let’s look at how you can do so.

5 Ways to Develop an Entrepreneurial Mindset

So how can you develop a steely mindset that will help you weather all the storms you’ll face on your journey to success?

1. Believe in Yourself

One of the key ingredients to developing a success mindset is believing in yourself. Self-belief is the foundation for success in every arena of life. For a tough venture like entrepreneurship, it is vital.

Fear of failure is one of the biggest reasons many people never take the leap to be their own boss. After all, there are so many uncertainties involved in starting and growing a business. The best way to overcome the fear of failure is to build up self-confidence – the belief in oneself. Here are a few ways you can do just that:

  • Realize that failure is not final. Failure is never final. If anything, it should be embraced as a learning curve of how to better execute your plan. Coming to this realization is a great way to help you overcome self-doubt and build up your confidence.
  • Read inspirational stories. Nothing builds confidence as much as reading the stories of others who have gone ahead of you. This is especially true if you can find motivation from someone in the same industry or niche.
  • Remember your past victories. No matter how small, always remind yourself of past victories. Use them to boost your self-confidence as they are signs that you are well able to tackle any challenge – and overcome.

Belief in self is one of the biggest assets you can have as an entrepreneur. Never allow self-doubt to rob you of your destiny.

2. Have Faith in Your Vision

Next to believing in yourself, faith in your vision and mission is the next most important ingredient to developing a success mindset. The spirit of entrepreneurship is a visionary spirit. Simply put, entrepreneurs don’t view the world the same way everyone else does – they see solutions where others see problems.

Many times people scorn visionaries for their out-of-this-world thinking, resulting in them being discouraged – yes, even by their peers. Take Steve Jobs, for example, who’s idea of the iPhone was mocked by Steve Ballmer (then CEO of Microsoft) in 2007. Fast forward a couple of months later and the iPhone was a hit (and it remains one of the best-selling smartphones).

While it’s important to get feedback on your idea, never let other people direct your vision. Believe in your vision enough to fight for it. And if you’re wondering, here are the hallmarks of a good vision:

  • Value-driven. Your core values should drive your entrepreneurial vision. In other words, your entrepreneurial journey must be based on what you truly believe in. This will give you the resolve to stand for your business when faced with challenges.
  • Purpose-centered. Purpose is the reason for the existence of something. A good vision encapsulates the purpose of the existence of your business.
  • Goal-oriented. A good vision is goal-oriented. In other words, you should be able to break down your vision into bite-sized goals that you can achieve.

Developing the mindset of an entrepreneur will help you clearly define, develop, and doggedly pursue your vision.

3. Develop a Growth Mindset

We are all meant to be growing and developing ourselves in every area of life. Failure to do so results in you being stuck at the same level.

That’s why you must develop a growth mindset as an entrepreneur.

What is a growth mindset?

To fully understand what a growth mindset is, let’s first look at what a fixed mindset is.  A fixed mindset (the opposite of a growth mindset) is the limiting belief and attitude that your current skill set, talents, and intelligence are enough to help you succeed as an entrepreneur.

A growth mindset, on the other hand, is the belief and attitude that you can develop your natural talents and skills can be developed by putting in the required work. No matter how good you may be at something, even running your business, there’s always room for improvement. Having this kind of mentality will help you remain relevant when your customers and industry change. It will help you have a success mindset.

How do you develop a growth mindset?

Here are a few ways you can do that:

  • Dwell on the lessons learned, not the mistakes you make. The biggest factor that cripples many people in life, especially those on the entrepreneurial journey, is that they give up when they make a mistake. Embrace your mistakes and use them as learning curves.
  • Savor the journey. Many times people are hung up on results they forget to enjoy the journey that gets them there. A growth mindset values the process over the end result.
  • Stop seeking other people’s approval. While acceptance is a basic human need, don’t let it control you to the point of needing people to approve of everything you do. One thing that sets entrepreneurs apart from other people is that they think (and act) out of the box. The average human being won’t understand what you plan to do, let alone approve it.

The key to developing a growth mindset is to give yourself the room to explore life – and allow yourself to fail gracefully.

4. Step Out of Your Comfort Zone

Running a business, glamorous as it may seem, is fraught with challenges. One of the best ways to help you mentally prepare for those unexpected challenges is to deliberately push yourself beyond your limits by stepping out of your comfort zone. Start with small personal challenges like trying a new sport or project.

Why is this important to your entrepreneurial journey?

Simple.

No matter how small the victories may be, they help you develop a “can do” attitude and mindset. And when life throws a wrench in your business plans, you’ll be able to navigate through the storms successfully. Need ideas on how to push yourself out of your comfort zone? Consider these 3:

  • Take risks. One of the best ways to venture out of your comfort zone is by taking risks. Succeed or fail, the experience will help you develop your character and make you wiser.
  • Break your routine – deliberately. More often than not, our routines are a safety net that keeps us in our comfort zone. Once in a while, break your routine and do something spontaneous.
  • Face your fears. What are some of your biggest fears? Make a list of them and challenge yourself to face and overcome them one at a time. Doing this will expand you in ways you never thought possible. As a result, you’ll have an indomitable entrepreneurial mindset.

If you only do things you’re comfortable doing, you’ll only go so far on your entrepreneurial journey. By stepping out of your comfort zone, you develop the mindset of a successful entrepreneur.

5. Find a Coach

For most entrepreneurs, the path to running a successful business is a new territory. With so many unfamiliar challenges and opportunities, your success depends on making the right decisions at each corner. One way to ensure you’re always on the right track is to find a business coach.

Getting a business coach is one of the best investments you can make in yourself and your business. Here are a few reasons:

  • Tap into their wealth of experience. This is vital as a coach can point out pitfalls and help you identify opportunities.
  • Hold you accountable. While being your own boss has a lot of perks, it has one big danger – lack of accountability. This is where a business coach comes in handy. Because they hold you accountable, you are better positioned to succeed.
  • Expand your network. Because of their (usually) long time working in business circles, coaches have built a large network of contacts that you, as a mentee, become privy to.

Apart from these (and other) benefits of having a business coach, your business coach will also help you develop a success mindset.

Entrepreneurial Success – It’s More of a Mindset

Your success as an entrepreneur depends more on your mindset than anything else.

It’s for this very reason that you must constantly develop a success mindset as an entrepreneur. While the 5 tips above are just scraping the surface, they are more than enough to help you succeed on your journey. So go ahead and develop a winning mindset – and you’ll definitely win in business.

WORKING WITH QUALITY CONTROL NOTES

WORKING WITH QUALITY CONTROL NOTES

Quality control notes are the parameters provided by an importer and contain a list of items to explicitly define a defect or issue for a quality inspection. These notes are important for a quality control inspector to check during an inspection. Therefore, it becomes extremely important as an importer that you have clearly defined your defects and issues in the QC notes. But most of the people are not aware of what should be included in these notes. So let’s go through the different aspects of QC notes one by one: –

Defect Categories

There are a wide variety of variables to define a defect and all circumstances differ based on the product and the buyer. Hence, it becomes extremely vital that you correctly identify what you believe would be considered ‘okay’ and ‘not okay.’ This can be done based on defect categories as given below –
Minor: May not be a problem for most users. The product most likely won’t be returned.
Major: Not acceptable for most users in most cases. End-user may likely return the product.
Critical: Could even injure the user or cause death in some instances.

Types of defects

There could be hundreds of defects based on circumstances, manufacturer, product or the buyer preferences. Thus, it is really hard to define any specific types of defects. The best place to understand the defects in your products (or products you plan to sell) is to look for bad reviews in the similar products online. The bad reviews are most probably due to defects, and thus help you to narrow down on the checks that you need to consider for your products. Some examples of common defects are –

  • Low-quality logos printed
  • Logos printed incorrectly or not in the right location
  • Sewn seams misaligned or not stitched properly
  • Product color shade is not accurate
  • Product shape warping
  • Flash from injection molding not properly removed

Inspection criteria

The inspection goes down through certain well-defined criteria for testing and thus can be used to understand what parameters need to be defined in each of these criteria that could be helpful during the inspection.
Some of the common ones are given below:

  1. Materials and components
    1. Basically to check if the raw materials used in production are of high quality
    2. To check if the ratio of different raw materials is used in correct ratios.
    3. Any certifications with the manufacturer
  2. Assembly and Workmanship
    1. To check the quality of assembly, if needed.
    2. Any obvious signs of a poor craftsmanship/workmanship
  3. Colors and Finishing
    1. Check the Pantone color number (industry standard) provided by the importer
    2. If the finish is not as per the customer expectation
  4. Weights and Dimensions
    1. No two products are the same, but the tolerance level for the difference has to be defined and agreed on.
    2. Dimensions are an issue if the fabric or any textile product is manufactured
  5. Labeling, logo, tags, and stickers
    1. Very very very important part of the checking, as this criterion is often wrongly implemented or ignored.
    2. The importer needs to make sure that the exact location of the logos; labels etc are clearly explained to the manufacturer with pictures.
  6. Packaging
    1. Packaging is the very important aspect as it protects goods during shipment and influence consumer perception of the goods.
    2. Also, the online retailers such as Amazon have clear directions for different labels for the box, cartons as well as Pallets.
    3. Need to make sure that the right labels go at the right package, or else the wrong product might be delivered to the customer.
  7. Product Testing
    1. It is the buyer’s responsibility to identify and ask the factory what tests will be conducted during inspection
    2. Depending on the product the importer needs to come up with the right kind of tests that need to be conducted on the products.

Thus, QC notes can be as descriptive, and as short as per the product and requirements of the importer. But, you need to make sure that the supplier is aware of these notes even before the production starts. This helps them to prepare and deliver goods as per your expectations. Any inspector would love to have descriptive notes, but the more descriptive they become the more time consuming they are. Hence, you need to perfectly balance the description in QC notes to achieve the desired outcomes based on your product and your expectations. The other alternative is to team up with the right partners who can help you with quality control. Our company has been working with several partners and helping them to achieve quality products across the spectrum as per the requirements. We have a dedicated team of experienced Quality inspectors who are aware of the detailed requirements of our partners and help them to achieve their visions.

6 Screening Questions you should be asking Chinese Suppliers

6 Screening Questions you should be asking Chinese Suppliers

Sourcing your products from a different country with big cultural differences and impossible language barriers is scary and challenging, to say the least. We know you have questions like how to go through self-checks on your suppliers, handle email, phone and WeChat communications, benchmark product quotes and specs, and most importantly, how to get quality products.

With our 20+ years of experience and millions of dollars, we’ve learned a lot about how to create smooth, productive relationships with Chinese suppliers, and some best practices.

It starts with asking the right questions. If you’re screening a new potential supplier and you want to get started on the right foot (no surprises!), here are 6 screening questions you should be asking. Screening suppliers are important to establish a good fit for you and them.

1. What is the Minimum Order Quantity (MOQ)?

This establishes expectations upfront for buyers and factories, which is always helpful. As a buyer, you then know how to discuss orders, quantities & what the factory expects. ( Of course you can always negotiate lower MOQs and we will write a separate blog post about that.

2. Information about the size of the factory, number of workers, production lines, number of units produced every month, and the monthly capacity.

This provides useful insights into the capabilities of the factory. Asking this question makes you look experienced and therefore more likely to be taken seriously.

Utilization is the actual quantity produced monthly. Capacity is what a factory is capable of producing monthly. For example, the factory can produce 20,000 units per month but might only be utilizing half of production capacity and making 10,000 units per month. And it will help you establish of the supplier is a good fit for your size.

3. Which are the major countries and markets they supply?

The USA, European and Australian customers present much more complex markets compared to South East Asian markets like India, Sri Lanka etc. By establishing the historic customer base upfront, a buyer gets a good indication of whether they have the capabilities and experience to deal with sophisticated markets or customer, and what standards the supplier will be used. The same applies for larger Brands, they usually have higher demands on manufacturers, and manufacturers will usually have to follow stricter standards and controls.

4. Request a presentation with information about the company and background.

Experienced and larger manufacturers are usually ready with a good presentation. Many of your questions about a factory are answered in their presentations, and this can be very helpful in understanding more about your suppliers.

5. Ask about their factory accreditations and what regulatory standards they are familiar with for various markets.s. Request copies of the certificates and check when they were last approved.

For example, there are typically 3 different categories you want to consider, the first is quality management systems ( e.g ISO9001 etc.. ), the second is Social Ethical and Environmental standard the factory adheres to ( e.g Sedex 8000, BSCi, ISO140001 etc.. )and lastly product certifications ( e.g ROHS, CE, CB, IEC etc.. ) which demonstrate various compliance to countries regulatory standards for safety or other areas. These will need to be verified further down the line, but it’s a starting point.

6. What equipment and machinery do they have?

The answers provide additional information and understanding of production capabilities. A buyer can tell by the equipment and the investment made in the equipment whether a manufacturer is a large scale or a smaller operation. Factories with larger investments and the right tools/machinery can usually make better products. You can also ask for pictures of the factory and production lines along with company registration documentation. This offers visual insight to the manufacturer which is invaluable.

We have been helping numerous clients to source products in China. We aim to remove many of the insecurities of our clients and provide them with a support structure to ensure they get good quality products, well-vetted suppliers, and improved communications so our clients can relax and have peace of mind.

Click here to know more about supplier vetting service. or Schedule a consultation call here.

GLOBALTQM ANNUAL DINNER: 20-YEAR ANNIVERSARY HIGHLIGHTS

GLOBALTQM ANNUAL DINNER: 20-YEAR ANNIVERSARY HIGHLIGHTS

Recently, Our Company Global Regency, the parent company of GlobalTQM had its annual dinner in Shenzhen and we also celebrated our 20-year Anniversary. Every year this is the perfect occasion for employee recognition as deserving employees get rewarded for their efforts in front of the whole company, and the team gets to reflect on the successes and lessons of each year.

During the event, Our CEO – David Hoffmann’s speech uplifted the spirit of the employees for the coming year. Also, he distributed red envelopes to all the employees as it’s a most recognized tradition of Chinese New year. 2018 is the Year of Dog as per Chinese zodiac which begins on February 16th, 2018 and ends February 4th, 2019.

Red envelopes or hongbao in Mandarin and lai see in Cantonese are small red and gold packets containing money given to children, family members, friends and employees as a symbol of good luck. In Chinese culture, the color red is associated with energy, happiness, and good luck. In the modern world, the idea of offering ‘Lai See’ during Lunar New Year is similar to bestowing Christmas gifts in Western culture to family, friends, colleagues and support staff. Lai see is distributed during the first 15 days of Lunar New Year, and the ritual is brought to an end at the Lantern festival.

I personally enjoyed this yearly event and eagerly anticipated winning the lucky draws, one of our favorite part of the event. Many employees won price vouchers, electronics, hampers, Big screen TV’s etc.

The entire event was a complete success and all of us had enjoyed ourselves very much! We ended our night with many good pictures. Together, we took the opportunity to connect, had fun, and celebrated notable accomplishments of our people. We hope everyone in attendance had a great time, and we look forward to an even more successful 2018.