Alibaba vs a Sourcing Company: Which Is Right for Your Business?
Alibaba has transformed the way businesses find suppliers.
Within minutes, you can search thousands of products and communicate directly with suppliers around the world. So why would a business use a sourcing company instead?
The answer largely depends on what you're buying, your experience and how much of the sourcing process you want to manage yourself.
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Buying Through an Online Marketplace
For straightforward products and experienced importers, online marketplaces can work extremely well.
They allow buyers to:
Search large numbers of suppliers
Compare products
Request quotations
Communicate directly
Order samples
Find manufacturers in different regions
But finding a supplier is only the beginning of the process.
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The Challenge Comes After Finding the Product
Once you've found a potential manufacturer, you still need to determine whether they're suitable.
Questions include:
Who are you actually dealing with?
Can they manufacture consistently?
Is the quotation based on the exact specification you requested?
Are the materials correct?
Who monitors production?
Who checks the finished goods?
What happens if something goes wrong?
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What Does a Sourcing Company Do?
A good sourcing company acts as the link between the buyer and manufacturer.
Depending on the service required, this can include:
Finding manufacturers
Comparing quotations
Communicating technical requirements
Organising samples
Negotiating
Monitoring production
Factory visits
Quality inspections
Packaging coordination
Shipping assistance
This can be particularly valuable for smaller businesses without their own purchasing team or staff in China.
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Is a Sourcing Company Always Necessary?
No.
For a simple, low-value product from an established supplier, managing the purchase yourself may make perfect sense.
However, as order values increase or products become customised, the consequences of mistakes become considerably greater.
The question isn't simply whether you can buy directly.
It's whether the additional support, oversight and local knowledge provide enough value to your business.
A More Personal Approach to Sourcing
East West Sourcing is a small company by design.
Rather than clients being passed between departments, we aim to provide personal, one-to-one support throughout the sourcing process.
With experience and resources in both the UK and China, we help bridge the gap between businesses and manufacturers.
Found something on Alibaba but aren't sure about the supplier? Talk to us before committing to a large order.