Despite the ongoing pandemic and downturn in the global economy, many businesses took the risk and expanded their market globally. A survey from the CFO reveals that 45% of business owners have plans to expand their market within the next few years or so.
Even though the said research is regarding a larger market share, you could also see businesses have other interests, such as global resources. You should know that this option means a lot to them since they can acquire better and more products or talents overseas.
That is why if you also have plans to expand the market of your ecommerce, now is your chance. With Alibaba’s global resources, you can better manage your ecommerce business without travelling and the costs. Watch this video and learn how Alibaba.com helped Chelsea Taylor reshape their business with their global resources.
To further convince you why your ecommerce should rely on Alibaba’s global resources, we prepared its pros and cons that you need to know. Listed below is the information that can help you make the right choice for the next step of your ecommerce journey.
The Pros And Cons of Alibaba’s Global Resources For Ecommerce
For the past years, global resources have become a buzzword in the business world since its goal is to take advantage of global efficiencies for delivering quality and affordable goods and services.
However, if we take the ethics of global resources for a while and look at how this approach affects the bottom line of your ecommerce, do you think it is worth relying on for its benefits? Let’s weigh the pros and cons to find out the answer.
The Pros Of Alibaba’s Global Resources For Ecommerce
PRO#1: Wide Selection of Products
The best thing about Alibaba’s global resources is that you can choose from various products based on your needs and budget. Since there are hundreds to thousands of reliable suppliers across more than 200 countries and regions, your options are endless.
Just make sure to find the most suitable one for your preference so your business can maximise the benefit of global resources.
PRO#2: Cheaper Production Costs
When you start sourcing from Alibaba, you gain the power to source the most affordable products and materials that can help maximise your profits. Also, you should know that the labour costs from overseas are relatively cheaper.
That is why if you reach out to a particular supplier, let’s say from China, and ask them to produce your blueprint (your plans for your new product), you can expect the overall production cost to be cheaper than in the US due to the currency exchange rate.
PRO#3: Get In Touch With Expert In the Field
Another great thing about Alibaba’s global resources for your ecommerce business is that you can access experts in any field. For example, If your niche is like Chelsea Taylor and you are looking for someone who can produce your newest collection, you can get in touch with a supplier who is an expert in this field.
PRO#4: Increase Manufacturing Productivity
Your ecommerce business can also save time once you start sourcing from Alibaba since you have better access to raw materials for your products.
Let’s say you need to produce 50,000 quantities of a particular item you sell—but instead of importing it and doing the production where your headquarter is, you can ask the supplier to do reproduction on your behalf. Plus, you can use your budget for importation to produce more quantities of the said particular item.
PRO#5: Suppliers Come To You
Another advantage your ecommerce business can gain from Alibaba is that you don’t look for suppliers since they will come to you. After all, with the Request for Quotation (RFQ) marketplace, you will get a list of quotations from all suppliers that meet your requirements within a few hours.
That means you do not have to spend days looking for the right supplier and ask them one by one about their price list and services. Just fill out the RFQ form and click submit to let suppliers of your choice come to you!
The Cons Of Alibaba’s Global Resources For Ecommerce
CON#1: Lack of Quality Control
With hundreds to thousands of suppliers to choose from, there are going to be ones that would not meet the quality standard of your ecommerce business. However, that is different if you start sourcing from Alibaba since they have Trade Assurance that can guarantee the quality of your products.
You should know that Alibaba’s Trade Assurance will check everything from producing, loading to shopping. That is why you can rest assured that your customers will receive their orders in good condition and on time.
CON#2: Communication Issues
Working with a supplier from another side of the globe means there will be a language barrier that is going to happen. But that is not the case for Alibaba’s global resources since they automatically translate everything, word by word and even convert the overall production cost to the currency that you use.
In other words, when your ecommerce business relies on Alibaba’s global resources, you can expect there will be little to no communication issues that are going to happen. Even if there will be one, Alibaba’s real-time customer service can lend you a hand.
The choice is for yours to decide. If you cannot still choose by reading the pros and cons of Alibaba’s Global Resources, that is okay. Being uncertain is normal since you are about to try something new that you have not tried before.
Therefore, take your time and think these things through, so you can weigh your choices whether your ecommerce should rely on Alibaba’s Global Resources.
If you need to learn from an ecommerce seller’s point of view, go to Alibaba’s YouTube channel. There, you will know why they trust Alibaba’s Global Resources and why you should do that, too!