How to shop in China: eight simple tips

Anyone who goes to China on an independent trip or tour is concerned about the question: what can you bring from China, how not to buy an exorbitantly expensive product and not run into a low-quality fake. In this article I will try to summarize our experience and talk about some of the features of how to shop in China (mainly using Beijing as an example).

♦ What products are worth buying: “What to buy in China - personal experience, prices, advice.”

Tanya store on Yabaolu Street in Beijing, they speak Russian here

Tip No. 2. Look for a replacement

There are dozens of sellers in the same niche on Taobao and 1688. Look for the product you need from different suppliers. Both sites have a convenient search button for similar offers.

The sites differ only in the location of this button. And its functionality is the same on both.

In the process of searching for a product, sooner or later you will come across your golden supplier with the ideal price-quality ratio. Many of our clients, being unfamiliar with each other, choose the same suppliers.

Don't forget - there are many offers on Taobao. But there are only a few good ones among them. So always compare.

Look for the product on all platforms - Taobao, 1688, the English version of Alibaba. However, most of the best offers are for 1688. Although not without exceptions. Therefore, compare - and compare again.

How to place an order on Aliexpress

registration on the site

To get started, you need to register in the online store .

• To pass it, you need to enter information about yourself, your email, indicate the delivery address and activate your account via letter.

This is a standard procedure that can be completed in a few minutes. The site has a video with step-by-step instructions.

Search for products in an online store

The most interesting stage is choosing what you want to buy on Aliexpress.

• The assortment here is huge: from underwear to trendy gadgets.

So, on the left is the “categories” drop-down list (1). We hover the mouse over it and select the product category.

To the right (2) you will see a filter and a search bar. They help reduce search time.

Seller's choice

It often happens that one product is sold by several sellers. Therefore, before buying a product on Aliexpress, it is useful to compare prices and at the same time check the seller’s rating .

To do this, you need to go through the list of products and check if there is anything further in it similar to what you have already selected and want to order.

On the product page itself on the right side there is information about the seller (3).

• The higher the rating and the percentage of good reviews, the better.

Product rating

• Be sure to look at the description and customer reviews (4).

If you scroll down the page, you'll likely see large photos, a size chart (for clothing), and purchase details.

Only after a critical assessment decide whether to buy this item or not.

Purchasing goods in the Aliexpress online store

Next, we place an order on Aliexpress .

• You need to select the size, color (if there are such options), delivery method and click “buy now” or “add to cart” (5) if you want to purchase something else.

When it comes time to pay, choose the most convenient option (fortunately, there are many of them).

Tip No. 3. Don’t be fooled by the store’s design

The design of the store doesn't matter. At all.

The best deals will most often be poorly presented. But there is no need to be afraid of this.

We've probably asked our varnish supplier dozens of times to design the display so that customers don't get scared. And every time he apologizes and says that he has no time. There are a lot of clients, so they don’t get around to it.

If a supplier has an established customer base, he can afford not to worry about things that he can already do without.

Another reason is the fear of delegating authority, which is common among small business owners around the world. But among the Chinese, this fear lingers for a long time. When a business has been thriving on the market for a long time, but the disease does not go away, this is a common case.

When you choose a product on Chinese websites late at night and chat with representatives of the supplier, your interlocutor may well be the owner or director of the company, or his relative, assistant, or right-hand man.

In China, it is common practice to minimize spending on advertising and design and make do on their own or with the help of relatives. But this allows them to keep prices to a minimum with adequate quality.

A striking example of the Chinese approach to design is a handmade ad. It says that the author is a tea farmer who doesn't understand anything about computers. But he knows everything about tea.

So if you come across a disgustingly designed store, do not rush to close the page. Make a test purchase and evaluate product samples. This may be the gold supplier you are looking for.

How to transfer money to China to a supplier

Let's take a closer look at the features of paying the Chinese side by bank transfer, cash and through an intermediary.

It is much easier for legal entities to complete a wholesale order transaction. This is because many suppliers require a legal invoice, as well as bank details and an account number. After this, you receive a payment document and pay for the goods.

For individuals, it is better to order small wholesale on Aliexpress.

An invoice, or in other words an invoice for payment, is a document that the supplier provides you with when you place an order. It details all the characteristics of the product, and is a kind of international agreement between the buyer and supplier.

When you have the invoice in your hands, we advise you to re-read it carefully and think about whether all the delivery conditions and product parameters suit you. If you miss something, it will be extremely difficult to present your claims to the supplier.

Tip No. 4. Choose products with cool promotions

Cool promotional materials are the key to future successful promotion of your product.

It would seem that this advice fundamentally contradicts the previous one. But everything is fine. We take the goods from one supplier, whose design will probably be different. But the promotional materials are from someone else.

This approach will save you time. And the money comes from the services of photographers and designers.

We do this too. And we save.

Types of payment for orders from China

Cashless payment to the account of the supplier company in Hong Kong

Often, it is not manufacturers, but intermediaries, who have accounts in Hong Kong. This is explained by the fact that the city does not have a tax on export transactions.

Using this criterion, it is easy to determine who you are communicating with - a manufacturer or an intermediary. When the invoice indicates a bank account in Hong Kong, it appears that you have contacted the latter.

Payment can be made in different currencies: yuan, dollars, rubles.

However, remember: when transferring money to Hong Kong, the risks for you as a buyer increase; fraudulent transactions are often detected when making payments to Hong Kong. This city is offshore, so information about the owners of the company is closed, and it will be almost impossible to return the money.

Sending money to the Chinese mainland is much safer than offshore. This is explained by the fact that the state is guaranteed to return taxes to the manufacturer. But only if he can prove that he sent the goods to the buyer.

Another way is to pay in cash directly in China

This method is more risky. Be sure to ask for a document confirming the acceptance of funds; do not give money just like that, citing mutual trust.

When paying in cash, you need to take a receipt from the owner of the supplier company, as well as copies of the necessary documents. The supplier must pay all taxes and complete official export documents.

As a rule, when paying from hand to hand, you will not be provided with either a contract or an invoice, just a piece of paper with the order. Therefore, it will be better if you entrust this matter to a professional intermediary: he knows better about fraud schemes, how to play it safe and request all the necessary documents from the supplier.

Prepayment (as a percentage of the total order amount)

Depending on the size of the order and your personal relationship with the supplier, the prepayment will be more or less interest. If the order is not very large, for example, several thousand dollars, it is better to pay the entire amount at once.

If you ordered a product with a volume of one container or more, it will most likely take some time for production (for example, a month). In such cases, the advance payment is often thirty percent, the rest of the amount is paid before receiving the goods, when they are completely ready.

Prepayment of interest is a very good incentive for the supplier to comply with all requirements for the quality of the product and its delivery time. The remaining amount of the order is paid after the finished batch of goods has passed quality control and has been loaded into the container.

Tip No. 5. Use photo reviews from the Chinese for the test

You know how important product photos and product reviews with real photos are.

When you already have a supply of a product and there is demand for it, real customer reviews are not a problem. But what to do when you are just testing potential demand or you don’t even have the product itself yet? The solution is to use real reviews from Taobao.

On the page of each product there are links to reviews about it. Just click on it. And then - filter only reviews with photos.

In China, it is customary to use various incentives to motivate customers to leave reviews with photos. Therefore, finding such reviews is not a problem.

But you shouldn’t really trust reviews when choosing a product. Among them are many purchased or written by the suppliers themselves. Often, when shipping a product, suppliers include a piece of paper in the package promising 5 yuan for a positive review of it.

The myth about the poor quality of Chinese goods

In our country, Chinese goods have long had a bad reputation. This is largely due to the fact that in the hungry 90s, many “shuttle traders” traveled to the Celestial Empire, who, in order to maximize profits, purchased low-quality goods from small shops and semi-underground factories and resold them here. On the other hand, older people may remember Chinese thermoses and various crafts that were distinguished by their beauty and grace and served for many years.

Now China is the fastest growing country in the world. New shopping centers and factories are being built in all cities, where tourists are actively taken on organized tours. And here the first danger awaits you. On such trips, when time is limited, a huge amount of goods is offered, the view “blurs” and the person buys everything that is offered to him. Under no circumstances should this be done.

So, how can you shop in China so that you don’t regret spending money later and don’t look with sadness at a low-quality product? Our eight tips will help you with this.

Tip No. 6. Purchase from one supplier to the maximum

The more you buy from one supplier, the more loyal he is to you. Problems are resolved in your favor. The supplier will help you find a profitable way to deliver goods across China. Perhaps he will offer an additional price for the product, which will increase over time.

We built one of our businesses, a wholesale store of manicure and beauty products, precisely on this principle. We found three cool suppliers in this niche and simply added their products to our website. Now these suppliers send us gifts and congratulate us on all the holidays. If there is any problem with the work, without any questions asked, we return the money and replace the product.

Important nuances and useful tips when purchasing

Shopping on Taobao has several characteristic features:

• prices are linked not to the dollar exchange rate, as on most trading platforms, but to the yuan exchange rate;
• possibility of bargaining directly with the seller of the goods;
• no cashback;
• difficulties with delivery to Russia, which often make it unprofitable to purchase small quantities of goods.

Do I need a certificate for goods from Taobao?

Many people are concerned about the question of whether it is possible to buy goods on Taobao without having them certified. If products from the site are purchased for personal use and not for sale, then certificates are not needed for them.

If small quantities are sold, it is worth checking on the Rospromtest website which products are subject to mandatory certification. If certification is necessary, you can contact the intermediary through whom the purchase was made on Taobao - for a fee, he will help you obtain certificates and declarations of conformity.

It is not profitable to purchase certificates of conformity for small quantities of goods, so you can find suppliers from China on Taobao in Russia who have the necessary documents and purchase from them.

Tip No. 7. Save on delivery of goods to China

When it comes to organizing the delivery of your goods to an intermediary or cargo company, do not act at random. First, clearly decide what is more important to you - price or timing. Faster, but more expensive or cheaper, but longer.

Cargo within China can be sent by courier service or transport company. In Russia - by plane, train or road transport. Delivery times will vary by approximately 10-15 days. But the delivery cost will also be reduced by two to three times.

You can send goods across Russia and China with the cheapest transport company. The cargo will take two to three weeks longer. But you will save a lot on delivery.

Clearly indicate to your reseller or representative in China which products you have on fire and which ones you are willing to wait for the sake of lower shipping costs.

Chinese transport companies SF Express, YT Express and Deppon are the most expensive Chinese companies that I would not recommend. They deliver cargo across the country at most two to three days faster than their competitors. At the same time, their price is comparable to the requests of courier services. Suppliers will most likely try to push Deppon on you. For some reason they love her very much. But it’s up to you to pay for her services.

When choosing an intermediary, also pay attention to where his office is located. Most likely, some of your suppliers will be from the south of China, from the Guangzhou province. It is logical when the intermediary is also located either in the south of China or on the border with Russia.

When ordering goods in Guangzhou, your parcel will be sent either to a neighboring city or across the country to the border with the Russian Federation.

Prices for delivery in China are as follows: in courier companies - 8-10 yuan per 1 kg for delivery to the border with the Russian Federation, transport - 4-6 yuan, you can also find lower prices for cargo that is not voluminous and not very heavy. If your intermediary or cargo company is located in the same city as the supplier, delivery to them will cost 1-2 yuan.

Intermediary for purchasing goods in China: why you need it and how to choose a reliable one

Anyone who decides to purchase goods from China on their own faces problems. Maybe some newbies are lucky, but we haven’t met anyone like that.

And this is normal, because it is a different country, new rules and documents, customs, an incomprehensible language, a foreign culture. Over time, you will figure it out and be able to do everything yourself, but first it is better to find an assistant - an intermediary. We tell you how to choose a reliable one.

Risks of independent procurement in China

Here is the standard set:

• They send products of poor quality . On a scale from “something not very good” to “not good at all.” Making a claim is often futile.
• Delivery times are delayed . For example, your shipment was shipped to another buyer at a higher price. They will send it to you, but later. Or they will return the advance payment, but minus the penalty for the broken deal. Have you read the contract carefully? Shortcomings and discrepancies in contract versions are another problem.
• The goods are packaged poorly , which is why at least the presentation suffers.
• They forget to apply markings , mark goods incorrectly or incompletely, and this is fraught with serious problems during customs clearance. Failure to comply with the requirements of technical regulations is an administrative offense, the fine for which sometimes exceeds the value of the cargo itself.
• The weights, quantities, composition or components are incorrectly indicated in the documents . Sometimes what’s inside the package is not at all what’s on the order and invoice. For example, pens instead of flashlights. Then prove to Russian customs that you are not guilty.
• Disappears after receiving advance payment . The deceived Russian buyer will also have to pay a fine to the state for violating currency control rules.

Experienced buyers who work with a permanent base of trusted suppliers have a minimum of problems, and most often they are easily solved. For beginners and those who want to expand their range, it is much safer to purchase through a good intermediary at the initial stage. This is also a chance to get quality goods at a lower price or with deferred payment.

How to find an intermediary for purchasing in China

For the queries “delivery of goods from China”, “deliver goods from China”, “transportation of goods from China”, Yandex or Google will give lists of companies that deliver from China. The selection will have to be done manually.

Immediately discard the top and bottom 4-5 positions marked “advertising” and sequentially look through the lists of the remaining ones. Repeat the search on the next 2-3 pages - not all good carriers and agents make it into the TOP 10. You need a generalist - someone who can find, buy, deliver and clear goods through customs himself or with minimal participation from you.

The most convenient intermediaries are logistics operators who work in Russia and China themselves, and not through “reliable partners.”

Why is a Russian-Chinese mediator needed?

The actual presence of intermediary offices on both sides of the border reduces the risks associated with the quality of its services:

• The company conducts legal activities in both countries and works under a contract. Employees are available for contacts and personal meetings.
• Business reputation in two countries depends on the result of a foreign trade transaction. Therefore, departments take a responsible approach to their obligations under the transaction and to their work in general.
• After the goods arrive in Russia, the “double agent” does not delegate the work to a third-party organization, but transfers it under the responsibility of the local representative office.

Article on the topic: How to find a reliable supplier in China

How to recognize a suitable intermediary and check reliability

It doesn't have to be a big company with a big name, but there are several signs that can help you find the right sales agents:

1. Own representative office in China

The intermediary must have an office in one or more major cities in China, a staff of well-trained specialists, and business connections throughout the country. As a rule, the intermediary indicates office addresses and communication contacts on its website. If there is no contact information or, for example, only an email is indicated, but no address and phone number, this is a reason to be wary and doubt the veracity of the information.

2. Certificate of foreign trade participant

Search the website or request a certificate issued by the Ministry of Commerce of the People's Republic of China (MOFCOM) confirming the company's right to import and export activities.

Example of a foreign trade participant certificate

3. Employees of the Chinese branch with excellent command of Russian and Chinese languages

They can be local or immigrants from the Russian Federation. To get feedback, just call the number indicated in your contacts:

• If the phone number does not answer or the opponent speaks only in Chinese, and there are no Russian-speaking colleagues nearby, this should alert you.
• If an opponent from the PRC offers to communicate in English, this is not necessarily bad, but it is not always convenient and creates additional barriers. Especially if you plan to supply goods under a direct contract, that is, you yourself act as a buyer in a foreign trade transaction, and the exporter is an intermediary (for example, the manufacturer does not have the right to conduct foreign trade activities). In this case, free communication with the Chinese division greatly simplifies and speeds up the execution of the transaction. Please note that to purchase goods under a direct contract, you will need at least a foreign currency account.

4. Registered branch in Russia

Employees of such a unit will take care of the cargo after crossing the border. Contact the Russian branch:

• request a contract for transport and forwarding services - it must contain the details of the Russian company with which you will work.
• specify how long the representative office has existed in Russia, how many full-time employees it has, and what part of the logistics tasks the branch solves on its own. The more services a company provides independently (transportation, declaration, warehousing), the less often there are “overlaps” due to inconsistency in the actions of co-executors. And the surcharges on delivery costs are lower.

And the advantage of interacting with compatriots is that it is easier for representatives of the same mentality to find a common language when discussing the terms of cooperation.

How to choose an intermediary based on price and quality of services

Do not consider price as the only criterion for selecting a commercial agent. Intermediaries are primarily businessmen; it is not profitable for them to work for free or below cost. Collecting information takes a lot of time, searching for direct manufacturers, checking sellers, agreeing on prices in China most often requires the personal presence of the agent’s employees. Although for regular customers with a large volume of orders, flexible rates are provided.

• On average, for the purchase of a small batch of goods from a Chinese supplier, intermediaries take 7-10% of the delivery cost. If you place an order over $2000, the rate for intermediary services drops to 5%. For orders over $2,500, the commission will almost certainly drop to 3%.
• Searching for products on online trading platforms costs from $100 (up to 10 items). For 20 articles they will ask you $150, for 30 - $200. Prices are not final and depend on the product category and additional buyer requirements.
• Selecting a product range or searching for a supplier offline on a large or local wholesale market will cost the customer $100-200 per day, plus travel and accommodation costs for a field agent if the intermediary does not have an office in the desired city.
• A short information about the seller costs an average of $250. Intermediaries estimate a detailed comprehensive analysis of the counterparty (when planning long-term relationships or large deliveries for a large amount) at $1,500-2,000.

Bids that are too low may turn out to be a commercial ploy designed for an inexperienced entrepreneur. In this case, the intermediary compensates for the low commission with additional surcharges and high transportation costs.

Overpriced services are simply not profitable. Inflated prices are an indirect sign that you are dealing with a 2nd or 3rd order intermediary.

In order not to make a mistake when choosing a partner, rely on reliability and reputation :

• Chat with representatives of the Russian and Chinese branches, ask questions that interest you: for example, about delivery times and customs clearance, about the cost of services for preparing a contract or purchasing goods for an intermediary trading company.
• Look for “traces” of a trade and logistics enterprise on the Internet: registration data, mentions in the press, lists of participants in thematic exhibitions, conferences. Reviews with contacts of real customers will also be useful - you can make inquiries.
• Read the terms of cooperation, the list of services (specified in the Contract, Agreement and appendices thereto). Legally operating companies provide official information without any questions and answer questions about terms, guarantees, payment terms, and costs.
• Order a trial delivery - for example, samples of goods from a manufacturer you found yourself on the Internet.

How the Chinese branch of the intermediary can help

Employees of the Chinese division are able to solve almost any problem in organizing the most secure foreign trade transaction and delivery from China:

• They will check the registration and actual address of your counterparty , his financial condition. They will personally visit the factory, inspect the level of production equipment, inventory, and storage conditions of finished products. They will prepare a report and photographs for the client.
• They will evaluate the quality of raw materials, materials and the final product - external, actual, as well as performance characteristics. They will compare the documentation with the sample, order an examination, laboratory testing, and testing of the product.
• They will translate technical documents and order the necessary evidence, conclusions, and certificates. Properly executed papers simplify product certification in Russia.
• They will personally meet with the seller , agree on prices, terms, complaints and other important delivery conditions. For example, a discount for volume, a lower prepayment percentage, and even payment in installments.
• They will organize business events for you in China better, faster and cheaper than any agency: meetings with potential partners, visits to exhibitions, factories, showrooms. They will provide a translator and arrange for the transfer of samples (including free ones).
• They will prepare a competent bilingual contract , which will provide for all agreements and clauses that are significant for the client. For example, penalties for missed delivery deadlines, costs of transporting defective products.
• They will recommend a reliable manufacturer of high-quality and reasonably inexpensive goods and act as an intermediary in the transaction.
• They will help you place an individual production order at the factory: from printing a logo on finished products to a full production cycle according to your technical instructions.
• They will instruct the supplier on packaging, labeling, configuration, documents, and monitor compliance with requirements. The main thing is to correctly formulate the instructions in Russian; the rest will be taken care of by the staff of the Chinese office.
• They will act as an exporter if the Chinese enterprise does not have a foreign trade license. The documents will indicate: “company B on behalf of A.”
• They will monitor production and shipment times . They will check the contents and weight of the cargo before shipping.
• They organize international transportation of private orders , samples, commercial batches of any size. They will prepare documents for the export of goods from China.

How the Russian branch of the intermediary can help

Having your own division in Russia is also a very significant advantage for a reseller. The domestic office is responsible for preparing the shipment for import, processing the cargo upon arrival:

• Checks documents for compliance with Russian legislation and customs requirements.
• Takes care of compliance with prohibitions, restrictions, and intellectual property rights. Helps obtain licenses, permits, certify and register products in Rosreestr.
• Organizes the escort of goods to the ZC, presentation for control at the border, customs declaration.
• Resolves issues of responsible storage and distribution of goods to their destination after release.
• On behalf of the client, the Russian representative office of the reseller will purchase goods in China for its contract, bring them, clear customs and hand them over to the customer with an official package of documents.

Some of the trade and logistics operators work not only with legal entities and individual entrepreneurs, but also with private buyers. Such companies organize large wholesale deliveries and small wholesale purchases, including from Chinese trading platforms Taobao, Alibaba, Tmall, 1688.

Article on the topic: How to find and choose a supplier for your online store

Why do you need an intermediary if you want to sell your goods to China?

For Russian entrepreneurs who want to sell their products to China, an intermediary is also useful:

1. It will help to assess the demand for goods in the Chinese market , the presence of competitive advantages in the form of price, quality, and consumer properties. It will also check the absence of anti-dumping barriers in the form of duties or other restrictions.
2. Will find a profitable buyer . Doing this on your own in an unfamiliar country is also not an easy task. And the Chinese office of the intermediary will help to cope with it: it will draw up a list of suitable companies, provide contacts, act as a translator in correspondence, and organize a meeting at the management level.
3. Helps you understand local laws and regulations . The PRC has very specific and complex procedures for registering foreign suppliers, certifying products, trade names and labels. Import specialists will tell the seller from Russia about the procedures for checking various goods, help prepare documents and information for passing control, obtaining approval, permits, and certificates.

***

Over time, you will learn everything yourself: look for reliable suppliers, carriers, brokers, communicate with government agencies of both countries, overcome bureaucratic and customs obstacles, promote your own goods on the Chinese market. But at the very beginning of trade relations with China, it is worth finding an assistant to avoid serious mistakes and save time and money.