“WARNING: Don’t Source Philippine Products Until You’ve Asked These 10 Critical Questions – One Misstep Could Cost You Thousands! 💸😱”
Here are the common questions that I ask the suppliers and the reason why when sourcing any product from the Philippines:
1. What are the product specifications?
- Why: Knowing the detailed product specifications, including ingredients, flavors, textures, shelf life, and packaging sizes, will help ensure the product meets the expectations of the target market and complies with U.S. regulations.
2. What are the minimum order quantities (MOQs)?
- Why: Understanding MOQs is critical for budgeting and planning inventory levels. MOQs can affect initial investment costs and storage requirements, especially if the buyer is testing the product in the U.S. market.
3. What is the lead time for production and shipping?
- Why: It’s important to know how long it takes to produce and ship the goods, especially if the buyer needs a consistent supply. Long lead times could impact stock levels and customer satisfaction, so knowing this helps in planning inventory.
4. What are the payment terms?
- Why: Clarifying payment terms (e.g., deposits, payment on shipment, or upon delivery) helps manage cash flow effectively. Understanding payment terms will also allow the buyer to assess financial risks and create a structured payment plan.
5. Can you provide product samples?
- Why: Requesting samples allows the buyer to check the product’s quality, taste, and packaging before committing to a larger purchase. Samples ensure the product aligns with market demands and standards.
6. What certifications or regulatory approvals do you have?
- Why: For import compliance, especially with food products, certifications like HACCP, FDA approval, and organic or vegan certifications are often required. This ensures the product is safe, complies with U.S. regulations, and builds trust with consumers.
7. What is the shelf life of the product, and how should it be stored?
- Why: Shelf life affects distribution and storage planning. Knowing storage requirements (e.g., temperature, humidity) ensures product quality and reduces waste due to spoilage.
8. Are there any special import requirements or documentation needed?
- Why: Some countries have specific documentation for food imports, including certificates of origin, health certificates, and ingredient lists. Ensuring proper documentation can prevent delays or legal issues at customs.
9. What is the estimated cost per unit, including shipping and handling?
- Why: Calculating the total landed cost is essential to determine pricing strategies, profit margins, and whether the product will be affordable in the U.S. market. This helps in making informed pricing and financial decisions.
10. Do you offer any marketing or branding support?
- Why: Some suppliers provide promotional materials, co-branding opportunities, or support for building brand awareness. This can help the buyer market the product more effectively in the U.S. and differentiate it from competitors.
0 Comments