- HoneyHat

What’s Alibaba?

Alibaba Group is the largest online ecommerce company worldwide and owns several Chinese online marketplaces including Alibaba.com and AliExpress.

Alibaba.com, which we will refer to as Alibaba’ here, is a great place to source products from overseas. Why? The platform is huge, so it’s possible to source almost any product through the platform.

What is the difference between AliExpress and Alibaba?

Dropshipping is a topic that you will find lots of information about. But what about Alibaba dropshipping?

It is important to know that AliExpress and Alibaba are two different platforms with different approaches to ecommerce. Here’s what the difference is:

Alibaba is an online marketplace for business-to-business (B2B).
AliExpress – A retail marketplace

Alibaba is used primarily by businesses who need to source large quantities from wholesalers, manufacturers, and traders. Alibaba is a great place to find a manufacturer who can produce bespoke designs or source private label products. This is where you add your branding to existing product.

AliExpress can be used by small businesses and consumers to buy existing products in small quantities. Many sellers also offer ePacket shipping, which is fast international shipping. Dropshippers love it as the “go-to” platform.

The picture below highlights some of the key differences among AliExpress and Alibaba:

Dropshipping with AliExpress is a great way to get started. Modalyst allows you to use an app such as Modalyst to start dropshipping. Modalyst makes dropshipping easy by allowing you to quickly find the best products for dropshipping and then add them to your Shopify store.

Is Alibaba Dropshipping?

What do you mean? Dropshipping can be done with Alibaba

It is a bit more difficult to find dropshipping partners on Alibaba than AliExpress. Because most Alibaba suppliers are set up to sell large quantities to wholesalers or retailers, many aren’t interested in selling individual items to customers abroad.

Dropshipping from Alibaba is more difficult than using dropshipping tools to source products .

Alibaba can help you find products and suppliers that aren’t already on AliExpress. Dropshipping on Alibaba can help you stand out from your competitors.

Is Alibaba Dropshipping safe? Five Ways to Vet Suppliers

There are many quality suppliers, but there are also some unscrupulous onesspan styling=”font-weight 400 ;”>. Do your research before you hand over any hard-earned cash.

These Dropshipping Tips will help you to vet suppliers before placing your order:

Trade Assurance is a service offered by Verified Sellers that protect your orders with Alibaba’s payment protection.
Request to see valid documentation such as a business licence, compliance certificates and photos of the factory or warehouse
Get a business address, phone number and a map. Then use Google Earth for verification. Call the number to verify it’s a legitimate
Read reviews of suppliers and request references from customers.
Avoid deals that sound too good to be true, and don’t buy anything if it doesn’t feel right

Step-by-Step Dropshipping with Alibaba

Dropshipping on Alibaba is something you might be interested in. Here’s a step by step guide on how to safely source products with Alibaba.

Step 1. Step 1.

Go to Alibaba to search for the product that you wish to sell. You can then use the left sidebar of the site to find a suitable supplier.

Trade Assurance is a great way to filter suppliers, even if the service is not used by you. You can also check “Ready to Ship”, and “Fast Dispatch”, as these are good indicators that suppliers are likely to dropship products.

Step 2. Step 2.

After you have found a listing potential, go to the product page and take note of the minimum order quantity (also known as MOQ).

The supplier allows buyers to buy 1 unit at once in the following example:

Sometimes, the MOQ of a product is clearly visible. Other times, it will be hidden behind the fold. In these cases, you will need to scroll the page in order to locate it. You can speed up the process by hitting “Control” and then “F” on the keyboard. Next, type “MOQ,” minimum, or order to search the page’s content. ”

The unit price is another important consideration. As you can see, the unit price is $25 for 1-18 units. This price drops significantly as you place more products. This price does not include shipping costs, which are “To be Negotiated”. ”

Step 3. Step 3.

Most suppliers you contact won’t work out for any reason. They might, for example:

Unable to fulfill your verification requirements
Insufficient stock or capacity
Refuse to negotiate and offer unacceptable terms for payment.

It’s a good idea to make a list of possible suppliers, and then to reach out to as many people as possible. This will make it easier to find a supplier quickly.

A promising supplier will be:

You can sell the product that you want
Minimum Order Quantity 1
List at reasonable prices
Offer Trade Assurance
Get good reviews

After you have a list with at least 5-10 suppliers, it is time to get in touch with them.

Step 4. Step 4.

Each product page may not list unit prices or MOQs. You will need to get in touch with many suppliers in order to determine if they are open to dropshipping products in any country you intend to sell.

The messaging service on Alibaba is perhaps the best way to reach suppliers. Some suppliers prefer to be contacted by phone, email or WeChat, China’s most popular messaging app.

Remember that the majority of suppliers on Alibaba are located in China. This means you may be in a different time zone.

Communication can be difficult if you don’t speak Mandarin fluently.

Google Translate is a popular tool that many suppliers use to translate your messages. Avoid misunderstandings by using short sentences and simple words. Also, make sure to check for spelling mistakes. To make it easier for suppliers to respond to each question individually, bullet points are a great idea.

Use this template to inquire about dropshipping.

Hi,

I’m Jane and I work for ABC Company.

Dropshipping Product XYZ is what we are looking for. Customers are located in the United States.

Could you please answer some questions:

What’s your minimum order quantity?

How much is it?

What time will it take for orders to arrive in the United States of America?

How do you charge new customers?

Also, I’d like to request a sample. Please let me know the cost for a sample to be sent to:

Jane Smith

100 Beverly Hills

Los Angeles

California

90210

United States

We are grateful.

Jane

ABC Company

www.abc.com

+1-213-111-1111

Step 5. Step 5.

Understanding the most popular payment methods on Alibaba is important so that you can find a supplier who’s open to your preferred method.

We’ll give you a quick overview of the four most common terms for payment:

1. Bank Transfer

Payments to Chinese suppliers can be made by Telegraphic Transfer or ‘T/T’ paymentsspan styling=”font-weight 400 ;”>. This payment method will usually require the supplier to pay the entire amount before they can start production. Dropshipping is not possible with a bank transfer. It’s slow and cumbersome to send money by bank transfer. It comes with high risks, especially when dealing to unknown suppliers.

2. Alibaba Trade Assurance (ESCROW).

Escrow Services are third-parties who hold money from buyers and pay it to suppliers only after the buyer has confirmed that they have received their order.

It’s therefore a safe way to send money. It is not, however, the fastest way of sending money. Dropshipping is not possible with this method of sending money.

3. Credit and debit card payments

Alibaba accepts debit and credit card payments from all major processors including American Express, MasterCard, Visa and Visa. The transaction fees can be costly for buyers and affect your margins.

3. PayPal

Alibaba sellers also offer PayPal as a payment option. It’s simple to use and provides good buyer protection. Suppliers will avoid it because of the fees and difficulties of withdrawing funds. There is also the risk of being charged back by unscrupulous buyers.

Overall, PayPal is the best choice for new buyers.

Step 6. Step 6.

Now it’s time to sort the wheat from the chaff, and choose a few Alibaba dropshipping suppliers who seem to be a good match. You may have to go through the above process several times until you find the right suppliers.

Consider the following things when shortlisting suppliers:

The unit price
Terms and conditions for payment
How well does each supplier communicate
How long does it take for the supplier to fulfill orders

After you have a list of reliable suppliers, it is time to order samples. Compare the samples of each supplier and make sure you test them thoroughly.

Select an Alibaba dropshipping provider!

Look for more opportunities to profit from your relationships with suppliers

Perhaps one of your suppliers offers private labeling. This supplier may be the best option for you because it will allow you to develop and expand your brand.

Next, you will need to create your online store and optimize your product pages. Finally, you will need to drive sales.

Source Products With Alibaba Dropshipping Today

Buying products from Alibaba can be difficult and time-consuming, especially when compared with dropshipping. Although Alibaba is known for its bulk B2B sales, dropshipping can be a profitable option.

Before placing an order with any dropshipping supplier from Alibaba, verify their legitimacy. If you don’t like something, find another supplier.

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Author: Thomas J Law

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