There is a boom in small home businesses that rely on Chinese imports. There are three reasons:
- The cost is very attractive, which makes for a large profit margin.
- There are many reliable suppliers.
- You can run a business from your home or your garage with minimal overhead, no matter where you live.
For those who are new to importing, there are several important factors to take into consideration before you start importing from China. Finding trustworthy suppliers with good prices is the first step. We like Alibaba.com.
Why?
Alibaba is a very popular Asian marketplace connecting international online sellers with suppliers and manufacturers. Many eBay, Shopify, and Amazon sellers source their goods on Alibaba. Gold members have been legally registered and vetted, so if you’re looking to eliminate hassles, we recommend searching only gold members.
Now that you’re ready to consider your importing options, remember the number one rule in any kind of entrepreneurial endeavor.
And that is:
Know your market. Who are you selling to? Will there be a buyer for your product? Do some comparative shopping online. Know your customer, and know your competition.
If this is your first rodeo, we suggest you start small, like under 250 CAD. This will keep your risk low, and also allow for less-expensive shipping. Remember, higher-ticket items are usually more difficult and more costly to ship.
Don’t opt for seasonal items that you might get stuck with for the rest of the year.
To learn more about local or global trends among online shoppers, check out these tools which can be helpful on this quest: Google Trends, Alexa, and Ahrefs.
So, which products are the best to import from China? We compiled this list of basic products with a good potential market and a very decent mark-up:
1. Garlic Grater & Cutter
These neon garlic graters are not only handy and practical in the messy handling of garlic, but they also add a fun pop of color to your kitchen. And with profit margins like this, they’re looking even better!
Estimated cost price (excluding duty & shipping) = .40 CAD
Estimated retail price = 10.69
Gross profit margin (excluding duty & shipping) = 2500%
2. Wireless Phone Charger
Estimated Cost: approximately (excluding duty & shipping) 6.00
Estimated Retail 12.38
Gross profit margin (excluding duty & shipping) = 206%
3. Printed T-Shirts For Kids
Printed t-shirts are a good selling category, and printed t-shirts for kids is a strong niche. These are the profit stats:
Estimated cost price (excluding duty & shipping) = 2.00
Estimated retail price = 26.73
Gross profit margin (excluding duty & shipping) = 1200 %
4. Nail Art Stamper
These home manicure novelty items are flying off the shelves at Amazon and Walmart. They are popular with kids and adults as well, and the demand seems to be on the rise. These are the profit margin stats:
Estimated cost price (excluding duty & shipping) = 1.07
Estimated retail price = 9.35
Gross profit margin (excluding duty & shipping) = 775 %
5. No Touch Germ Keychain Hand Brass Door Opener/Closer
With a novel coronavirus come new gadgets people are seeking out online. This door-opening gadget helps people avoid touching dirty public surfaces, reducing point-of-contact area by over 99%.
Estimated cost price (excluding duty) = 1.34
Estimated retail price = 13.00
Gross profit margin (excluding duty & shipping) = 1,000%
6. 3-in-1 Mini Survival Tool
This very cool and tiny multifunctional tool has a compass, whistle, and thermometer all in one, in case you are stuck in an emergency situation and you are lost.
Estimated cost price (excluding duty & shipping) = 2.21
Estimated retail price = 13.36
Gross profit margin (excluding duty & shipping) = 601 %
7. Dog Selfie Stick
Hey, dogs like selfies too! Well, at least humans who own dogs like photographing them, and these gizmos have squeaking dog toys to get Spot’s attention so you can get the perfect shot.
Estimated cost price (excluding duty & shipping) = 3.21
Estimated retail price = 17.36
Gross profit margin (excluding duty & shipping) = 540%
8. Simple White Modern Owl Ceramic Plant Pot
Home goods are a hot category, and these minimalist, Jonathan-Adleresque owl planters are modern and useful with a hint of whimsy to add interest to your end table or cheer up your bathroom.
Estimated cost price (excluding duty & shipping) = 7.61
Estimated retail price = 26.71
Gross profit margin (excluding duty & shipping) = 351%
The bottom line?
The more research you do, the more in tune you will be with what products are wanted and needed out there. Read the news and pay attention to trends. When you find your sweet spot you will know what your customers’ comfort zone is for price, and you can work with suppliers you find to order larger quantities, which will increase your profit margin.
Because the internet opens up so many possibilities, it’s an exciting time to expand beyond borders in a business where you can set your own hours, and reach millions of customers overnight.
