12 Tips To Get Lower Pricing From Factories In China

[et_bloom_inline optin_id=optin_3]

The Trade Wars

  • Current status: negotiations ongoing
  • How it affects imports: Tax in UK 2.67% versus US 17%before but now at 42%
  • What to do: Shippings are on hold for China suppliers
  • Alternative route, find other suppliers in Asia: Vietnam, Myanmar.
  • Issues: Customs may question the costing, if you decide to change cost or go that route.
  • What China manufacturers are doing: Set-up factories in other countries in Asia
  • Other countries are becoming more strict on goods coming from China: Ex. Myanmar and their customs fees may go up
  • Things may change any moment so stay in touch with your suppliers.
  • Talk to your manufacturers – they have inside news.

Lower Pricing Strategies

  • Make sure to maintain quality despite the low pricing
  • Strategy #1: Imitate and Innovate – find out what products your manufacturer is really good at and innovate on that product.
  • Note: if you develop a product from scratch – you are paying factories development cost and development time. 
  • Lesson: Take an item that is already working. Change color/ dimension/ improve
  • Strategy #2: Compare apples with apples Get the specifications of the product that you want to import and send it to four different manufacturers and compare their pricing.
  • Note: Once you get the pricing back then go to the highest priced manufacturer and say you have a lower bid from another, and ask if they will match the pricing.
  • Strategy#3: The favorite supplier when you choose a supplier, you choose them for the long term.Make sure it is someone that you get along with. Build that relationship through WeChat or actual visits. 
  • Strategy#4: Let them know if you supply internationally. Chinese manufacturers can adapt to your pricing request if you let them know why you need a lower pricing. Ex: I am supplying Europe, Japan etc.
  • IMPORTANT: Don’t go too hard on price because China will give you any price you want. They will take shortcuts on quality if you drive a hard bargain to reach your price.
  • Educate yourself on the market price so you know the correct price they should be offering you
  • Strategy#5: Upsell quantity – Let them know if you are planning to work with them long term. State that when getting your first order, they might be willing to lower the price for a lower MOQ.
  • Strategy#6: Create good credit – You can let them know of the deal you have with a big client but that you are financing that order for 90 days or so, you can also ask them to lend you credit for landing big customers.
  • Strategy#7: Overstock – Ask your customer what they are holding in stock like a previous customer cancelled an order and they have that in stock.They can give you half price for that material or stock.
  • Strategy#8: Monitor the exchange rate
  • Strategy#9: Location equals rebates 
  • Strategy#10: Build Relationships Visit them! You get better deals, exclusive offers, discounts, credits, information and orders are prioritized. Listen to why relationships are important on this previous podcast HERE
  • Strategy#11:Learn the process When you visit the factory: check the manufacturing process from start to finish. You might be paying for excess material which can be saved from being wasted and reused for other products.
  • Strategy#12: Compliment your staff in front of others. Praise in public goes a long way.
  • Connect with Kian Golzari
    Facebook: Sourcing with Kian
    Website: www.ChinaMagicTrip.com
    Instagram: @Kian_jg

    Connect with Danny in HongKong on the 27th-28th!
    AMZ Masters event coming up on August 25- 28!

    • If you are struggling or doing just OK then you are in luck. Join this bootcamp and scale up your business.
    • AMZ Masters is the A to Z of Amazon selling and will cover topics like:How Ranking Works & Launching, Shipping, PPC – doing it yourself; and Sourcing
    • Speakers in this event will help you gain insights on starting it right or how to improve your Amazon account performance .

    Find out more and see if AMZ Masters is the right fit for you! Join the AMZ Masters HERE!


Agency Red Flags Seller Sessions
Amazon Frequently Bought Together Feature
Amazon Boxes
happy amazon seller
Unlocking Click Bias Secrets Seller Sessions A9
Colin Raja Seller Sessions Podcast (1)
Shopping queries dataset Seller Sessions
Seller Sessions Podcast Elizabeth Greene
1 2 3 99
databrill logo

Looking for a Better Agency?

Are you a 7 or 8-figure Amazon seller who is…

Table of Contents

Latest Podcasts:

Databrill Logo

Looking for a Better Agency?

Are you a 7 or 8-figure Amazon seller who is…