Market for a product but.....

Tecking Fypo

I have recently imported a product from China that I believed there was a market for. I advertised the product at a reasonable mark up and immediately sold the product. By doing this I was hoping to gauge the interest in the product and whether my price was attractive or not. What I found was that the interest in the product was way beyond what I expected and months later am receiving enquiries about when I'll be getting more stock.

So I know there is a market for it, I know that customers are willing to purchase the product at the advertised price level, however importing the product at scale (small scale) is not a viable option for me due to delivery costs from China and the financial outlay required to make it succeed is currently beyond my capabilities.

My question is, has anyone successfully found a supplier within the EU that matches Chinese suppliers for both cost and quality for a product? I understand that it depends entirely on the product. Where would go about sourcing suppliers in the EU ? I have spent plenty of time searching for a manufacturer or supplier but am unable to find a platform such as Alibaba that might have European suppliers.

I can find separate suppliers of different products that would need to be assembled in order to make the finished product but again the cost of the finished product would not be attractive when going this route.

From my research there are very few of these products available for sale and any that are, are in the US or UK at a price level that is much higher than what I was offering (maybe there is a v good reason for this).

So just putting it out there for any advice that anyone might have in this area. I feel that it would be a great shame not to pursue this idea based on the level of interest in it and the fac that there isn't another product available in Ireland like this.

The product is a sports item, manufactured primarily by a plastics company.

pedronomix

You have kinda answered your own question! You have a product that has a market, but at a pricepoint that does not offer you a proper worthwhile margin. if you scale up the purchases to get the benefit of larger shipments, is the market there to support such levels? could you wholesale onwards some of your stock at a lower margin?

Tecking Fypo

pedronomix wrote: »

You have kinda answered your own question! You have a product that has a market, but at a pricepoint that does not offer you a proper worthwhile margin. if you scale up the purchases to get the benefit of larger shipments, is the market there to support such levels? could you wholesale onwards some of your stock at a lower margin?

Ya I guess I'm answering my own question, but my fear is not scaling up and bringing in larger shipments, my fear is scaling up orders for a product such as this from China and all the potential pitfalls that go with that. I guess what would suit me is perhaps sharing shipping costs from China with an already established importer who is in the business of bringing in goods from this region, piggybacking as such.

pedronomix

Being an entrepreneur entails taking risks and backing your own judgement using your own resources/debt. Risk for reward, if it was easy every clown would be doing it.

meeeeh

What would stop established importer important the same stuff by themselves if they knew it sells. Then it's the complications with customs.

How many quotes for transport did you get? You would be surprised how much it differs. Calculate the transport cost, insurance, wages, electricity, profit and so on and then see how much you have to charge. And that should be the price you test the market with.

ishotjr2

Wild suggestion: Have you checked if the manufacturer would be interested in a drop shipping arrangement
https://en.wikipedia.org/wiki/Drop_shipping

flyingfisher

I am working within the sports industry in Finland and have imported items from China (also plastic based) and everything has been very smooth.

I'd be more than happy to answer any questions you may have about the process.

If there's something the Europeans and Americans cannot compete with China on, it is plastic

Like one of the above posters mentioned, you need to take a bit of a risk but if you can build a solid relationship you are on to a winner.

If you think the product would be successful in other countries, I could probably provide you with some good opportunities (especially in Finland).