After thoroughly vetting suppliers, you often find yourself with a few candidates that all look promising on paper. The critical next step is to make the final selection. This article outlines the five essential aspects you must compare among your final supplier choices to confidently place your order.
1. Low Price Often Comes with Reasons (Total Cost Analysis)
While price is undoubtedly the first thing you look at, never simply choose the lowest bidder. An invitingly low price, significantly below the market average, is often a red flag.
Common Reasons for Low Prices:
- Substandard Materials: They might be using thinner, lower-quality materials.
- Smaller Size/Specifications: The actual product size or specifications may be reduced, which isn’t obvious from photos alone.
- Overstock/Clearance: The quote might be for old overstock items. The price for future reorders will likely be much higher.
Key takeaway: You get what you pay for. A 10% to 30% difference in quotes among original manufacturers is normal due to variations in management and manufacturing costs. Understand why the price is different and decide if you are willing to accept the trade-off (e.g., paying more for a larger, more reliable manufacturer).
2. Get Samples to Evaluate Production Quality
Regardless of a supplier’s reputation or promises, you must assess their actual production quality by obtaining a physical sample.
- Standard Samples: If you’re satisfied with a quote, request a sample from their previous bulk production. Be prepared to pay for the sample and international express shipping (e.g., FedEx/DHL).
- Cost Management: Sampling expenses can add up quickly. If you plan to compare 3-4 suppliers, consider using a sourcing agent in China. They can collect, check the quality, and consolidate samples from multiple suppliers into a single, cost-saving shipment.
- New Product Development Samples:
- Situation 1 (Handmade/Soft Goods): For items like plush toys or apparel, customization usually costs $100-$200. Start with 1-2 suppliers and switch if you aren’t satisfied with the results.
- Situation 2 (Molds Required): For plastic or molded products, creating a mold and sample is expensive (thousands of dollars) and time-consuming (30+ days). Evaluate suppliers on all other aspects first before committing to this significant sampling investment.
3. Good Communication Saves You Energy and Costs
Communication quality is as vital as the price. It reflects a supplier’s professionalism and sense of responsibility. Poor communication can lead to costly mistakes, missed specifications, and lengthy arguments over refunds or reworks.
Features of Good Supplier Communication:
- Clarity and Comprehension: The supplier should understand your requirements without excessive repetition, providing the result you need.
- Industry Professionalism and Suggestion: The supplier should be knowledgeable enough about their industry to not only quote but also offer technical advice and suggestions. This expertise can often lead to cost reductions or product improvements (e.g., suggesting better electronic components or structural redesigns).
Consejo: Test your supplier by sending a detailed inquiry covering price, customization, and shipping. A good supplier will address all your points clearly, while a poor one will send generic company introductions.
4. Time is Gold for Trending Products (Lead Time)
En lead time—the time from order placement to product readiness for shipping—is your fourth checkpoint.
- Typical Lead Time: Most production runs require 20 to 30 days. Specialized products like apparel (due to dyeing/sourcing) may take 40-60 days. Products requiring new molds add an extra 20-30 days just for mold creation.
- Comparison Strategy: If prices are similar, choose the supplier with a shorter lead time. This may indicate greater production capacity or a less congested schedule.
- The Trend Factor: For highly trending products (like the fidget spinner or hoverboard of the past), a faster delivery time—even at a slightly higher price—is paramount. Speed to market is the key to maximizing profit on these items.
5. Shipping Solution & Shipping Cost (Logistics Expertise)
If you rely on the supplier to manage logistics, you must compare their shipping solutions and costs alongside the product price.
- Beware of Hidden Costs: Some suppliers offer very low product prices but then attempt to recoup the difference by charging significantly more for shipping.
- Total Cost Comparison: Always compare the combined product cost and shipping cost to determine the actual best value.
- Logistics Capability: For challenging markets (e.g., Africa, Latin America, Eastern Europe) where reliable door-to-door delivery and customs handling are scarce, prioritize suppliers who can demonstrate they already have proven shipping solutions for your region.
Summary of 5 Checkpoints
| Checkpoint | Focus Area | Goal |
| Price | Total Cost | Determine if the price difference is justified by quality/service. |
| Samples | Production Quality | Confirm the supplier can physically produce good quality. |
| Communication | Professionalism/Clarity | Minimize costly errors and production delays. |
| Plazos de entrega | Speed/Capacity | Choose the fastest turnaround for comparable products. |
| Envío | Total Landed Cost | Compare the combined product and logistics price. |
