Is importing small quantities from China worth it? Many businesses hesitate, but it’s easier than you think.
You can source high-quality products in small quantities with the right approach. It doesn’t matter which niche you are interested in. You can get it done just as you would with bulk importing.
So, how do you begin? I will show you how to get started alongside tips to ensure a seamless sourcing process. Read on!
What Is Small-Quantity Importing?
Small-quantity importing is bringing a couple of products into your country from overseas. This process has become popular thanks to easier importing and logistics. Also, e-commerce platforms have bridged the geographical gap.
This way, small-scale importers can access several international markets, including China. You can buy small quantities when ready to commit to larger orders.
For example, we recently worked with an entrepreneur in the United States. He decided to test the demand for LED lighting. So, he imported 10 units of energy-efficient LED desk lamps from a supplier in China. His goals were to:
- Find reliable Chinese manufacturers of LED lights
- Assess the product’s quality
- Test the market demand by listing the lamps on his e-commerce store
The initial batch sold out within two weeks, generating valuable customer feedback. The entrepreneur placed a bulk order of 500 units based on this success.
Of course, our team helped him import LED lights from China. We negotiate better pricing with the supplier. It also expanded its product line to include additional innovative lighting solutions.
So, this is how small-quantity importing works. It basically gives you a low-risk way to evaluate products.
The Difference Between Small and Bulk Importing
Small and bulk importing are two sides of the same coin. Knowing the difference is crucial. Knowing where to draw the line, you can better navigate small-quantity importing.
Here is a table that highlights the differences between both forms of importing:
Features | Small Importing | Bulk Importing |
Order Size | Small, usually 100 units or less | Large, up to thousands of units |
Unit Cost | Higher due to its limited economies | Less because of the discounts that come with bulk purchases. |
Target audience | Small business and individual reseller | Better for big retailers and wholesalers |
Lead Time | Faster thanks to smaller units | Longer due to the size of the orders |
Risk | Less risk due to less investment and stocks. | Higher risk as more capital is tied to inventory. |
Shipping cost | Higher since smaller quantities hardly qualify for discounts | Lower thanks to bulk shipping discounts |
Initial Investment | Less due to less number of units | Required a bulkier upfront cost |
Knowing these differences exposes some of the things to expect from small-quantity importing. For example, the customs process is much more simplified than bulk importing.
Also, you get higher shipping costs on top wholesale websites for bulk purchasing.
How to Calculate Total Costs for Small Imports
As an importer, knowing the total cost helps you set pricing and understand the profit margin. Remember this general formula:
Total Cost = Product Price + Shipping Fee + Import Duty + Customs + Miscellaneous Expenses
We can assume the below prices for better understanding.
Product Cost | $10 per unit × 10 units = $100 |
Shipping Cost (courier shipping) | $50 |
Import Duty | 10% × $100 = $10 |
Customs Fees | $5 |
Miscellaneous Charges, like quality inspection | $15 |
So, our total cost for importing 10 reusable water bottles from China becomes $180.
We can divide this cost by the number of units to get the per-unit price. So, our per-unit cost is $18.
This means that the cost of each reusable water bottle, including all expenses, is $18. The cost per unit can be high during low-quantity imports.
Popular Product Categories for Small Imports
If you’re starting with small imports, picking the right products is key. Importing small amounts lets you test the market without risking too much money. Let’s look at some popular product ideas for small-scale importers.
1) Electronics and Gadgets
You can import electronics from China in small quantities. Electronics and gadgets are a thriving niche for both small and large-scale importing.
I have already mentioned in one of my old posts – the Top Guangzhou Electronics Wholesale Market Guide.
This industry has several products, from phone accessories to smart home gadgets. These products are usually small, so shipping from China isn’t too expensive. Moreover, the niche is in high demand, making it easier to promote and sell.
2) Fashion and Apparel
Your next option is importing clothing and textiles from China.
You can import different kinds of clothing based on the seasons. Also, fashion changes often. So, importing small amounts means you won’t get stuck with unwanted stuff.
Things people can customize, like T-shirts with cool designs, are especially popular. It lets you offer something unique that people will notice.
3) Home and Kitchen
You can think about small quantities when importing kitchen utensils from China.
Valuable and affordable home and kitchen items are perfect for importing. Home and kitchen items are typically products that enable easier organization. As previously mentioned, these products are easy to ship thanks to their weight.
People love products that make their lives simpler, and homes look nicer. More people are focusing on home improvement and getting organized. Hence, it is an ideal area for small importers.
4) Beauty and Wellness
Many people import cosmetics & personal care products from China in small quantities.
The beauty and wellness world is constantly growing, so it’s a good place to look for importing ideas. People always look for good, affordable ways to look and feel better. Importing small amounts lets you try out new products.
Also, you can include a new line of products like vegan options, among other popular choices. You can find suitable options on Alibaba and its alternatives.
5) Sustainable Products
People care about the environment more now than at any time in history. That makes environmental-friendly products a good choice.
These products are suitable for the planet and also let you show that your business cares. They’re often small and easy to ship, perfect for small-scale importing.
Also, the products cut across several industries, from custom packaging to clothing. Suitable packages are a popular choice for businesses. The environment-friendly trend has led businesses to incorporate suitable packages for their products.
Start with one of these popular categories. It is a good way to start your importing business without taking significant risks. Just remember to be flexible and keep an eye on what’s becoming popular to stay ahead of the game.
I previously wrote an article titled ‘How to Find Sustainable and Biodegradable Material Products from China,’ which I highly recommend reading for more in-depth insights.
Steps to Import Products from China in a Small Quantity
You must take a systematic approach when importing products from China. Below are five crucial steps to start importing products in smaller quantities.
Step 1: Identify the Product Category and Research Market Demand
Determine the product category you want to focus on and analyze the demand in the target market. For this, you can use tools like Google Trends, social media, and market reports.
Step 2: Shortlist Potential Suppliers
Compile a list of China suppliers using platforms like Alibaba or Global Sources. You can also do it by working with an experienced sourcing agent.
Step 3: Calculate Total Costs
You must determine the complete cost of sourcing your product from China. This step ensures you have a clear understanding of profit margins. I have already discussed this part above.
Step 4: Request Samples for Quality Verification
You must evaluate the samples for quality. So, contact your shortlisted suppliers to request product samples.
Step 5: Place a Small Test Order
Don’t commit to bulk purchases in the first go. Instead, you can place a small test order to verify the Chinese supplier’s legitimacy.
Where to Find Trusted Low MOQ Suppliers for Small Imports
So, where are these low MOQ suppliers? It is one thing to know you can partake in small-quantity importing. However, where do you find low MOQ suppliers to partner with? Here is how to go about China sourcing:
1) Contact A China Sourcing Agent
Sourcing agents in China are super helpful. They have connections with factories and are good at getting the best deals. A sourcing agent can find China suppliers who allow small orders (low MOQs).
They can also check if the suppliers are genuine and ensure product quality.
They can help talk to the suppliers since language problems might exist. Hiring an agent costs extra, but they can save you time and trouble.
There are several benefits of working with China sourcing agents. It is even better if you don’t know how to buy from China.
2) Use Online Marketplaces
Some Chinese wholesale websites like Alibaba, 1688, and Global Sources are great for finding low MOQ suppliers. You can search for suppliers who do small orders. Search for “low MOQ” or “small orders.”
Other sites like Alibaba to source include AliExpress and DHgate. They are even better for small orders. They have products ready to ship in small amounts. Always check reviews and ratings of the suppliers when product sourcing. Talk to them directly to make sure you understand everything.
3) Go to Trade Fairs in China
China has many trade shows. You can find a top China import company there and discuss your MOQ needs. Some big trade fairs in China include the Canton Fair and the Yiwu Market Fair. They are home to all kinds of products.
Also, you can find suppliers who are happy to do small orders. Meeting people face-to-face helps build trust, and you see the products upfront. If you can’t go in person, many shows have online versions. You get to buy directly from China.
Top Challenges in Small-Scale Importing and How to Overcome Them
Starting a business by importing small amounts is a good idea. It’s less risky and doesn’t cost as much to start. But it also has its problems. These problems can affect potential profits and how your business runs.
Knowing these problems helps you find solutions. It helps your small importing business succeed. Let’s look at some common problems and potential solutions for a well-rounded idea:
1) Higher Per-unit Costs
When you import a small amount, each item costs more. Big importers get discounts because they buy in bulk. That’s because they earn more from big purchases.
The opposite applies to smaller orders. Suppliers charge more for small orders because they make less money.
Shipping from China can also be costly for small shipments. That makes it harder to make a profit. You should try to negotiate prices or find low MOQ suppliers. Besides, you can also try hiring a reliable China shipping service.
2) Limited Customization Options
Suppliers often customize big orders over smaller ones. If you’re importing a small amount, it can be challenging to get customization services. Factories want big orders, so they are open to making them custom products.
You might have to choose products that already fit what you want. Alternatively, find suppliers who do small customizations. They come with a price tag, but it is the best option for custom small orders.
3) Shipping Delays for Small Orders
Most wholesale suppliers and shipping companies don’t prioritize small orders. Hence, it can cause delays. Suppliers might wait to ship your order with other small orders to save costs. It lengthens the potential arrival time.
Shipping small packages can also take longer and cost more than shipping big amounts. Delays can mess up your plans and make customers unhappy. You should talk to suppliers about timelines. Also, consider paying for faster shipping if you need something urgently.
4) Risk of Bad Quality
Ensuring the products are good can be tough when importing small amounts. Suppliers might not check the quality as carefully. You might get broken or bad-quality items.
Hire a third-party quality inspection in China if you can’t check the factories yourself. Bad quality can hurt your business in the form of unhappy customers. To avoid this, ask for samples before you order.
You can also hire someone to check the quality before it ships. Building good relationships with trusted suppliers is also essential.
Read More:
- How to Source Products From China?
- How to Find Low MOQ Alibaba Supplier?
- How to Find the Best Toy Manufacturers in China?
Final Thoughts!
Importing products from China is simple. However, one wrong step is all it takes to cause all sourcing steps to crash down. Of course, you can handle the sourcing process alone. However, we recommend that you hire a sourcing agent.
The right partner can act as the bridge between your wants and the appropriate supplier. Contact us today to further discuss the ways to handle small-quantity imports.