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How to find the best source of business goods for beginner shop owners

Reading this article means that you have taken the first successful step of starting an online business. Business resources are the foundation for your business, directing your daily work. In this chapter, we learn about sourcing options, the online sourcing pitfalls you may encounter, and the steps to successful online sales.

warehouse management app 2

1. What is the source of business goods?

Most sellers use a combination of methods including: dropshipping, wholesale, selling, and on-demand manufacturing to source their business. You have 3 main ways of sourcing products:

  • Do-it-yourself product or service.
  • Associate with manufacturers or wholesalers.
  • Dropshipping.

It’s hard to judge which way of sourcing products is better than the other two, but there are many factors to judge which is the best fit for your business.

warehouse management app 2
How to effectively manage the source of goods, prevent radical loss for shop owners


2. Do-it-yourself products or services

Today, thanks to the Internet, you have a broader horizon for selling handmade goods. But if you are thinking of creating your own product, there are several factors to consider.

With a do-it-yourself product or service you have complete control over your brand. Homemade products or services often start out in small quantities to test the market, but you need to sacrifice a lot of time for it.

You will always need to think about how to expand when the number of orders skyrockets? How to develop new product lines to remain competitive and bring value and new things to customers.

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Start the task of producing the product:

  • Source of raw materials – materials to produce the product: It can start from the local market, craft stores, retailers, even family or friends. Determine the source of the materials, where you will buy them in bulk, and how much it will cost.
  • Determine the method of delivery – receive the goods: Do you want to use the traditional post office, or hire a shipping service like Fast Delivery or Economic Delivery on delivery?
  • How to get the goods ready to ship: You should pack the product before you start shipping and calculate the cost of roll-up, if any.
  • Calculating production time: You should know exactly how long it takes to make a product.
  • Consider choosing a warehouse where: Anywhere with space, convenient for packing and transporting goods, can also become a warehouse. You can remodel your home convert a room into a warehouse, rent a place or use a 3PL (contracted shipping – the way you are working with carriers).
  • Expanding production scale: Assuming that when you grow too much, you need to hire a more professional processing unit for large production orders, will the factory you are processing immediately meet that need?

For exampleBomba juice is a great brand of handmade drinks. In the midst of countless refreshing drinks such as C2, Green Tea 0 degrees, Sting, … Bomba juice nutritious drink from fresh fruit – a good idea for a niche product that can attract many potential customers , self-produced and sold.

source of business goods

Bomba Juice – a nutritious, homemade, pure, sugar-free beverage product

3. Associate with manufacturers or wholesalers – wholesalers

The form of importing goods from manufacturers or agents and then retailing is extremely popular in Vietnam. That means you don’t make your own products, but “commercially sell” for a profit. This is great when you don’t have your own product. Items to consider:

  • Sourcing: You need to expand your network of business relationships with agents, distributors of products for brands or those with factories or large markets. In Vietnam, the richest source of goods is still located in the traditional market system throughout the South – North.
  • Setting up a company: No matter what industry you are in, once you have decided to work directly with a manufacturer or dealer, you need a contract and legal status. Of course, a home-based grocery retailer would not need a business license. But when the business is so small, the chances of you getting a good import policy are not high. Should consider!
  • Consider agents: This takes the acumen of a business person. Did you know that in the market the same product, but the wholesale input prices are very different. Make sure you’re working with a tier 1 agent.
  • Carefully consider the value and terms of the contract: When sourcing goods for online business from manufacturers and agents, you should carefully consider shipping costs, shipping time, and return and exchange regulations, if any. , sample order is received in advance or not?
  • Cooperation contract needs attention: Time to start and end the contract; What is the minimum order quantity, do you support merchandising, marketing?
  • Consider the above considerations and start working with the manufacturer or dealer.
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Wholesalers in Vietnam:

4. Dropshipping

Dropshipping is a very popular form of becoming a business reseller. You are seen as an agent for the manufacturer. They will return the discount to you when they sell products using a marketing and marketing system made by you.

Dropshipping you don’t need to worry about warehouse management, inventory, packaging or shipping. But the rate of competition is very high. Because of the same product, there are too many people working together dropshipper.

This form is not profitable, so if you want to achieve a stable and high revenue stream, you must sell more products. The steps to becoming a dropshipper go through the same steps as when you manufacture a product:

  • Item selection.
  • Check terms and agreements with the manufacturer.
  • Evaluate the selling ability of the item.
  • Choose an e-commerce platform selling channel and get started.
  • Continually refine customer files and marketing campaigns.

Software sales

Software sales – Biên dịch & Biên soạn Lại


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