People are so cheap, they dun even wanna spend money for their sample freight cost

Discussion in 'Growing and Managing a Business' started by shuzhi1234, May 30, 2010.

  1. shuzhi1234

    shuzhi1234
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    I'm selling toner cartridges and inkjets, I have factory in china. Bussiness is quite slow right now ,maybe it's the competions:confused:

    For HP 2612A ,I sell it only for 8 dollar US with all new compnents.

    But the freight cost to Iran cost about 41 US by EMS.
     
    #1 shuzhi1234, May 30, 2010
    Last edited by a moderator: May 30, 2010
  2. Kay

    Kay
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    Shuzhi34, why would you expect them to pay the shipping costs for samples? You're the one touting for business, not them. You should have included that in your calculations when setting your price point for your cartridges.

    I distinctly remember advising you to look into shipping costs before seeking out international business in your initial thread. It's not the customer's fault. I say again that it may be better to look for business closer to home.

    What's your local competition doing that you're not? How can you beat what they offer? Think about that.
     
  3. sigma

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    Transportation fee is one of the major cost for the export product. it shall be included to the cost before you can go for the business. Everyone is looking for the good product with low cost, and that's why all the manufacturing is always look for the cost down methodology.

    if the shipping is too high, you can actually look for other shipping company. And what transport you are using, the cost can be much lower if you use sea compare to air. and there are many other consideration you need to go through and find the solution. Complaint doesnt helps but action did.
    Finally, if you found it is impossible to earn money from this product through export to this country, reject the business
     
  4. Kay

    Kay
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    Sea can be cheaper definitely but it's also far slower. That's okay if you have customers that are happy to wait 6-8 weeks for a delivery or longer. What you could do shuzhi is offer a little discount if they're willing to take the slower (and cheaper) delivery option.
     
  5. Fergal

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    shuzhi1234 if you used an agent or distributor in your export markets you could ship to them in bulk, this would significantly reduce your per unit transportation costs.
     
  6. sigma

    sigma
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    I agree that sea is slower but it all depends on how the manufacturing company handling on the delivery time. Normally customer will provide the lead time requirement and forecast to the manufacturing company. And the manufacturing company can do adjustment based on the forecast and lead time.
     
  7. Kay

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    Right. That's what I said basically. It depends on how long the client is willing to wait and their own logistical challenges. Assuming it would cost them less, they can afford to give customers some slack to encourage that.
     
  8. MattConoll

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    You're business in my own idea may sound very challenging. And for the very moment what you need to weigh and really consider is the proper costing of all your marketing efforts. Have you tried all the possible SWOT analysis? I guess if you have a thorough analysis of your current situation, you may have also anticipated the freight cost issue.

    One thing also and because you mentioned you have a factory in China, I guess you may also try considering putting up sales offices/outlets with your prospect partners for different countries you're targeting. In this way, you can also have the chance to create your applicable marketing strategies in different places and create more demands for your product. Please try to understand what you're selling, It's a product which is somehow maybe impulsive on the part of your buyers, so better have a ready and reliable supply for them once your customers need it.
     
  9. DKeithD

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    You could find a partner in various areas around the globe to make it more cheaper.. I mean if you have a partner in SEA, which you can ship your stocks, they can deliver them much quicker. And customers will be much happier.
     

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