What you need to know about China Dropshipping

POSTED ON September 29, 2021

Dropshipping is a method of order fulfilment that does not require a business to keep goods in stock. The store sime product to the customer. It is a great business model that can potentially save businesses a lot of time and money. In fact, it works great for both buyers and sellers. The global dropshipping market is poised to toply sells the product, and then passes on the order to a third-party supplier. The supplier then ships thuch USD 557.9 billion by 2025, which translates to a CAGR of 28.8% over the said period.

In the last few years, China has emerged as the world’s largest exporter and the dropshipping center of the world. There are several advantages of Chinese dropshipping, some of them include:

Huge product portfolio

In China, you will find a supplier for every kind of product. From toys to garments and smart watches, you will find a supplier for everything in China. The phenomenal rise of ecommerce in China is further fuelling the growth of dropshipping industry.

Price advantage

There is a significant difference between product prices in China and in other countries such as the US and Canada. The primary reason for the price disparity is that in China there are several manufacturers producing the same products, so the prices tend to be low.

Efficient shipping

Shipping from China is pretty streamlines as there are many shipping companies, each specializing in something or the other. You can easily find a shipping company that can ship your products at a reasonable cost and in reasonable time. You can enjoy the benefits of dropshipping only if the cost of shipping does not drive up the prices so much that there is no real economic benefit left. In this regard, China has an advantage as there are several shipping methods available and delivery to the final customers can be easily done within the time and cost constraints.

Customization

Chinese dropshippers can also customize the product or packaging as per the requirements. You can have the product designed in a different color or have some branding done. This can help you create your own brand without having to bother about manufacturing, packaging or even shipping.

Quality products

For quite some time, China was known only for producing the lowest price products, and little was said about quality. However, over the years, China has established its credibility as a producer of quality goods. In fact, depending on the supplier you choose and the price you pay for the product, you can get the best quality products in China. Chinese products can compete with any international products in terms of quality standards.

Favorable location

China shares international borders with 14 countries. It is strategically located to carry out easy international trade with Asian and European markets. Also, China has very well-developed logistical networks across land, sea and air. So, they can easily provide immediate shipping to any location cross the world.

Reliable suppliers

Being the dropshipping hub of the world, suppliers in China are fully aware of what it takes to be a great dropshipper. They have processes in place to ensure that you receive the best products and services, and that your end customer also receives the order in time. Businesses can stay assured that working with a Chinese dropshipper is completely hassle-free.

While there are several benefits of Chinese dropshipping, there are some challenges too. The biggest is communication problems. Due to language differences, clear and efficient communication can be a little difficult, especially when you are sitting miles away. Also, due to long distances, there is always an uncertainty about shipping time. There are many factors that are beyond the control of suppliers so delays cannot be completely ruled out.

Most of these challenges can be overcome by having a local sourcing agent or project manager steering your project. The sourcing agent will not only help you find the right dropshipper for your requirements, but they will also make sure that you get the best deal. They will help you with the entire process and have your project up and running. If you are looking for a Chinese dropshipper for your ecommerce business, get in touch with our team now.

Leave a Reply