How to choose the supplier to import goods from ?
If you are starting or managing an import company, or, if you are a purchase responsible, a key aspect to the success of your import is finding the right supplier to work with.
Having a product conform to your need with the right sales conditions is your way to be trusted by your final customers.
If you supplier changes one condition on your agreement, that would directly affect your customers positively or negatively depending on the situation.
You have to carefully follow certain ways to evaluate the potential suppliers and choose the fit one to your goals and customers. There are almost five steps to consider.
How to choose the supplier to import goods from?
You will see the answer through the following 7 answers.
1. Insure the quality of imported product:
The supplier should be able to offer you a product that fits your requirements quality wise. They should consider and meet your company’s standards.
If you have the possibility, check the history of the company to make sure that they are used to delivered a good product in the agreed delays.
2. How to make sure of the supplier performance ?
Before starting business with the company, visiting them and/or searching them is important to have the closest evaluation possible on them.
When making an order, putting the important details about the product and the sales conditions on writing is the best way to avoid misunderstandings.
After the order, keep a regular communication with your supplier.
Check periodically the state of the production, ask for feedbacks and monitor their performance.
Before the delivery, if you are not sure, you can rely on a local sourcing company like Turkevo or on a specialized inspection company to check the conformity of the product before shipping.
3. Balance the price according to the quality requested
The supplier should be able to present you a solution or product that is cost effective.
The price depends on the quality and on the quantity requested.
Study your market and your product and make sure to not negotiate with your supplier the best deal possible for both of you.
4. How to make sure that the price is appropriate?
Before committing with your supplier, have a list of competitors and a target price.
Ask for offers from different suppliers every time you are going to make a purchase.
This will help you negotiate.
But, most importantly, this will help you know your options.
5. How to evaluate the offers I receive?
Before starting, make a list of your criteria.
Select a supplier that has competitive prices, quality products and open clear communication.
If you need more information, make sure to visiting the companies or request support from a sourcing company like Turkevo.
- Prioritize in time delivery and reliability
The supplier should be able to deliver the product in the agreed delivery time.
Make sure you insist on that when making an order.
A lot of companies agree on your requested delivery terms just to get the order but do not commit to it later.
This affects directly your own customers especially if you have small stocks.
6. How to make sure the supplier will deliver in time?
You have to keep close and clear communication with your supplier.
Ask frequently for updates. The suppliers can break their agreements about delivery.
Be prepared to that by ordering before your stock in completely out.
Your supply chain should not brake to keep your customers trust. If you face such a situation, make sure to be able to adapt and make adjustments.
- Check the financial situation of your supplier
The continuity of the product is the key to most businesses.
Make sure that your supplier is financially strong enough and stable.
The supplier should be able to provide you even during economical crises.
7. How can know the financial situation of a company?
It is sometimes hard to discover that a company is in difficulties financially especially if they are based in a different country.
What we propose is to search for indicators.
Having debts, being on sale or suddenly changing policies about payments are some red flags.
You can always search on the internet to check if these details are shown is a website.
If you are sure, please do not take a risk and contact a local partner or even friend that can you enough information to base your decision on.
- Search for a healthy communication
A supplier-customer relationship should be based on trust.
Your supplier should have an open and clear communication.
Before the order, the pricing, the technical details, the procedures should be communicated in all transparency.
You have to keep the same level of communication and be open with your supplier.
Assumptions are the first enemy in a commercial cooperation.
Keep in touch often with the supplier.
A mutual understanding and trust should be what you search for.
