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Starting an Amazon business? A common question is, “Where can I source affordable products to sell?”
Many experienced Amazon sellers use Alibaba – a massive business-to-business marketplace connecting manufacturers and suppliers globally, mainly in China. You can find quality products at low prices that sell profitably on Amazon.
In this guide, we’ll walk through the end-to-end process of using Alibaba to launch your Amazon business. Let’s get started!
Table of Contents
TL;DR - How to Sell on Amazon From Alibaba
The key steps for selling Alibaba products on Amazon include:
- Research profitable niches and products on Amazon.
- Find suppliers on Alibaba and assess their reliability.
- Order samples to evaluate product quality firsthand.
- Negotiate pricing and place a bulk order.
- Prepare shipping from China to Amazon FBA warehouses.
- Create Amazon product listings for the sourced inventory.
- Leverage Amazon’s fulfillment and distribution network.
We will explore this process in detail throughout this guide.
However, before diving in, as an Amazon seller, you know that recovering lost profits from Amazon for things like damaged goods or FBA fee discrepancies can be extremely complex and time-consuming.
At Getida, we help you handle these audits and claims so you can focus on growing your business! We’re offering to recover up to $400 in reimbursements without any service charge. Sign up now to maximize your profits!
Is it Profitable to Buy from Alibaba and Sell On Amazon?
Short answer – yes! Sourcing inventory from Alibaba to sell on Amazon can be crazy lucrative.
Let’s break down the key money-making advantages:
- Super Cheap Prices: Manufacturers in China offer rock-bottom costs compared to Western suppliers. Bulk buying directly from factories on Alibaba can get you wholesale pricing!
- Massive Selection: With thousands of suppliers offering every product under the sun, you can source almost anything to sell on Amazon. Jackpot!
- Custom Branding: Many Alibaba suppliers let you customize packaging and designs. This allows you to create unique, private-label products and build your own store.
- Hot Demand: Amazon attracts millions of buyers searching for your products. Tap into their built-in customer base for easy sales.
- Targeted Marketing: Amazon’s platform and data enable targeted sales campaigns.
As long as your profit margin remains healthy after Amazon fees and other costs, this model is scalable and profitable. Proper product selection and marketing are key.
Is Alibaba Legit?
Yes. Alibaba is a legitimate way for you to connect with manufacturers and traders globally.
However, some precautions are advised, like:
- Vet Suppliers Thoroughly: Check reviews, company profiles, and certification badges. Only work with “Verified Suppliers” where possible.
- Avoid Branded Products: Counterfeits are common, so only source unbranded or custom products.
- Order Samples: Inspect product quality before placing bulk orders.
- Use Trade Assurance: Trade Assurance acts as an escrow service to protect your payments until orders are fulfilled.
- Pay Through Alibaba: Don’t wire money directly to supplier accounts. Use Alibaba’s secure payment system.
- Review Sales Terms: Confirm authenticity guarantees, refund policies, minimum order quantities, etc.
So, you can absolutely source authentic, quality products through Alibaba to sell profitably on Amazon. Just be careful and selective.
How Long Does Alibaba Take to Ship?
Shipping times when ordering from Alibaba suppliers depend on:
- Shipping Method: Sea freight takes 1-2 months, air takes 1-2 weeks, express 3-5 days.
- Shipment Origin: Production and export times vary between regions.
- Destination: Time in transit will depend on where you’re located in relation to suppliers.
- Order Volume: Large orders often have longer manufacturing lead times.
- Suppliers’ Production Capacity: Some can produce quicker than others based on staff, equipment, expertise, efficiency, etc.
- Seasons: Festivals like Chinese New Year cause production/shipping delays. Plan accordingly.
Suppliers’ time estimates are the most accurate measure. Discuss timeframes as part of order negotiations.
How Does Alibaba Work with Amazon?
There are a few options you have for selling Alibaba products through Amazon:
Private Labeling
Source custom unbranded products and create your private label on Amazon with unique branding and packaging. Then, sell under your own listings.
This allows full control over the brand and products.
Wholesale/Retail Arbitrage
Source bulk inventory of unbranded or generics and then resell under existing product listings on Amazon.
The key is buying at wholesale prices and selling at retail. This type of retail arbitrage is extremely competitive.
Dropshipping
Have suppliers ship products directly to customers after orders come in, so you don’t have to hold inventory.
When a customer buys your Amazon listing, the order gets sent straight to your Alibaba supplier. The supplier ships the product directly to the buyer for you.
This is called dropshipping on Amazon and involves higher logistics coordination.
All these models are permitted as long as you follow Amazon’s rules, source authentic goods, and fulfill orders properly.
Benefits of Dropshipping from Alibaba to Amazon
Dropshipping from Alibaba to Amazon means you don’t have to buy any inventory upfront. This saves you from having to stock any items yourself before getting paid.
The major upsides of dropshipping from Alibaba include:
- Low Startup Costs: No need to buy inventory upfront. You can order a small sample quantity from suppliers to test product quality and market viability first. You don’t need to over-invest in large unknown inventory purchases early on. Once your listings gain traction, you can confidently scale up your inventory orders.
- Convenience: The supplier handles inventory, shipping, and returns — less hassle for you.
- Flexibility: Easy to pivot or test new products based on demand. Add/remove items from your catalog instantly.
- Scalability: You can grow your product listings without worrying about warehouse space or stock limitations.
- Cash flow: Customers pay you upon ordering. You pay suppliers only after the sale, so cash is not tied up in inventory.
However, the main downside of dropshipping is longer shipping times. Also, Amazon has shipment restrictions, such as approved supplier enrollment criteria for direct shipments.
As an alternative, FBA or another fulfillment method may be preferable.
How to Connect Alibaba To Amazon
You don’t need any special software to connect Alibaba and Amazon.
Here are the steps for listing Alibaba products on Amazon:
- Source Inventory: Research and order salable products at wholesale rates on Alibaba.
- Prep for FBA: Label products to Amazon’s specifications for their fulfillment centers.
- Ship to Amazon: Send product shipment from an Alibaba supplier or your location.
- Create Listings: Draft Amazon listings with A+ content for the products.
- Manage Inventory: Track and replenish stock via Seller Central as items sell.
How to Ship from Alibaba to Amazon FBA
If you’re using Fulfillment By Amazon, arranging shipping from Alibaba suppliers involves:
- Choose a Shipping Method: Express air transport like DHL or FedEx is the fastest for smaller orders, while sea freight suits larger shipments.
- Select a Freight Forwarder: They handle customs, documentation, container loading, tracking, etc.
- Inspect and Pack Goods: Ensure proper packaging, labeling, and bundling based on Amazon’s requirements.
- Book Shipment: Confirm details like dates, costs, destination, and Amazon fulfillment center address.
- Obtain Docs: Gather required export/import papers, such as commercial invoices, packing lists, etc., from suppliers.
- Clear Customs: Freight forwarders facilitate customs clearance in origin and destination countries.
- Track Shipping: Closely monitor transit until delivery at the Amazon warehouse is confirmed.
- Inspect Upon Arrival: Request an inbound shipment inspection to catch any labeling or other issues.
How to Sell on Amazon from Alibaba
Once you have sourced quality products from Alibaba suppliers and shipped them to Amazon FBA, it is time to launch your store.
Here are some steps for long-term success.
1. Create Your Listings
Start creating your Amazon listings while your order is in production and shipping. This will prepare you to “flip the switch” and go live immediately when stock arrives.
To create a listing:
- Go to Catalog > Add Products
- Select “I’m adding a product not sold on Amazon”
- Choose the product category
- Enter details like:
- Product name
- Brand
- Description
- Features
- Images
If you don’t have a UPC (Universal Product Code), you can apply for a GTIN exemption to list without one.
Once your listing is fully optimized, submit it for review. Amazon will evaluate it for policy compliance. If you closely follow the requirements, it should be approved within 24 hours.
2. Plan for Reorders and Expansion
Once you start selling, you need to stay on top of inventory levels and plan for scaling up:
- Set reorder points in Seller Central based on sales velocity and lead times.
- Renegotiate prices for larger orders.
- Find additional suppliers to diversify sources.
- Develop new products to expand your catalog.
Here are some inventory management tips:
- Optimize FBA Storage Fees: Send in only enough inventory to meet 30-90 days of sales.
- Prevent Stockouts: Set reorder points at 1.5-2x your lead time.
- Get Better Terms: Offer increased volumes in exchange for lower costs per unit and faster shipping.
3. Promote Your Products
It takes consistent effort to gain organic visibility on Amazon.
Move up the ranks with promotions:
- Amazon ads
- Lightning deals
- Coupons
- Improved content
Monitor your Sponsored Products campaign closely. Set an initial budget and tweak bids and targets for better conversion rates and lower costs per click (CPC). Additionally, Amazon metrics like “Late Shipment Rate” impact visibility and sales. Stay on top of your account daily.
Display your promotions prominently on the listing and drive traffic to your deals from external marketing efforts.
4. Customer Service
Your priority should be providing amazing customer service. Monitor buyer feedback closely and resolve any issues quickly and professionally. Respond to buyers within 24 hours.
Here are some tips for excellent customer service:
What to do:
- Resolve issues quickly, even if they are not your fault
- Offer refunds or replacements at your expense
- Thank buyers for the feedback
- Ask for feedback on resolved issues
What to avoid:
- Letting issues sit without a response
- Placing blame or fault on Amazon
- Arguing over neutral/negative feedback
The key is developing long-term, loyal customers who trust your name on Amazon. That comes from consistently over-delivering on service recovery.
Bonus: Maximize Your Profits and Reinvest with Getida
When selling on Amazon, issues like unaccounted/damaged inventory and FBA fee discrepancies can eat into your bottom line. Recovering these lost profits involves complex audits and claims.
Fortunately, Getida handles this tedious process for you. Our dashboard thoroughly and continuously audits your seller account, and our expert team files claims to Amazon on your behalf.
We also keep you updated on the status of everything through real-time alerts and notifications.
This frees you to focus on growing your business and reinvesting the recovered funds into expanded marketing and new product development.
So, sign up today to get started with Getida! Remember, our special offer gives you the first $400 in FBA reimbursements free of service charges.
Risks of Selling on Amazon from Alibaba
While highly rewarding, there are also risks to manage:
- Long shipping times reduce inventory flexibility
- Long transit times mean having cash tied up
- Potential infringements of Amazon restrictions
- Inferior product quality slipping through quality checks
- Listing hijackers copying product listings
- Account suspensions from customer complaints
- Financial deficits from customs seizures
Best Products to Buy on Alibaba and Sell on Amazon
While you can source almost any item through Alibaba, some especially promising products include:
Electronics accessories:
- Phone cases, chargers, cables
- Laptop bags, sleeves
- Smart home devices
- Wireless earbuds, headphones
- Smartwatch bands
- Gaming accessories
Home and kitchen:
- Kitchen tools and gadgets
- Decorative accent pieces
- Furnishings like curtains, rugs
- Dinnerware sets
- Personalized and customized items
Clothing and jewelry:
- Activewear and athleisure apparel
- Trendy costume jewelry
- Undergarments and intimate apparel
- Yoga pants, leggings
- Scarves, shawls, and wraps
Sports and fitness:
- Resistance bands
- Dumbbells and portable gym equipment
- Yoga mats
- Ab wheels and core trainers
- Boxing equipment like gloves, hand wraps
Toys and games:
- Fidget toys and anti-stress items
- Customizable board games
- Outdoor recreational toys
- Novelty toys and figurines
The best products are small, non-perishable, and not too heavy or fragile to ship cost-effectively from China to Amazon warehouses.
Frequently Asked Questions (FAQs)
Let’s look at some common questions that often come up related to buying from Alibaba and selling on Amazon:
Is AliExpress the Same as Alibaba?
Not really. AliExpress focuses more on small quantity orders from wholesalers to consumers compared to Alibaba’s business-to-business wholesale model.
However, both platforms enable sourcing products from manufacturers in China.
Does Amazon Accept Alibaba Invoices?
Amazon does not accept direct Alibaba order confirmation forms as valid “invoices.”
To sell on Amazon, you need:
- Commercial invoices from the manufacturer listing the product details, units purchased, per-unit cost, and total purchase amount
- Packing slips describing what’s inside each parcel
- Bill of lading listing what was shipped.
Suppliers should provide these authentic export documents. You can use freight forwarders to produce invoices, too.
Can I Use Alibaba Pictures on Amazon?
Legally, you cannot use Alibaba supplier images on an Amazon listing without permission, as doing so would infringe on licensing terms.
You should take original, high-quality, custom images.
Conclusion - How to Sell Alibaba Products on Amazon
Having the right mindset is key to selling Alibaba products on Amazon. Don’t think of it as a get-rich-quick scheme. This is a real business that requires research, planning, and commitment to succeed in the long-term.
While you focus on building a sustainable Amazon business, rely on Getida to maximize your profit margins. Our team of experts handles the complex process of recovering reimbursements for lost inventory, fee overcharges, and various FBA discrepancies.
We have a track record of securing reimbursements on over 90% of the claims filed. On average, you can recover 166% more reimbursements than going it alone. Take advantage of our special offer covering your service fees for the first $400 reimbursements.
Getting started is easy – simply sign up for an audit review now!
