How to Source Products for Your Online Store Like a Pro

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Looking to launch an e-commerce business? Learn how to stock your online storefront using platforms like Alibaba, eBay, and Craigslist. [[{“value”:”

I’ll begin with some background on e-commerce.

About a decade ago, I was a member of the board of an influential global think tank called the World Entrepreneurship Forum. We brought together entrepreneurs from all over the globe in order to share tips and tricks, ideas, and strategies.

It was exciting, but a bit disheartening too, as the barrier to entry for many of these entrepreneurs, especially the ones from the developing world, were numerous and onerous. Money issues, obtaining small business loans, and government regulations — it all added up.

But fortunately, since then, many countries have gotten the memo: International commerce generally, and e-commerce specifically, is good for business, good for the economy, and good for taxes.

As such, in many places, like here in the United States, an e-commerce business can be both unique and fairly simple to launch. For example, you could sell:

Mass manufactured productsCustomized niche productsHandmade productsDigital downloadsServices

The key is finding a product line that resonates with your target audience and sourcing the right products at the right prices to match. Once you do that, then it is simply a matter of marketing the heck out of that store. Market your business, then market it some more.

Alibaba: Your gateway to global product sourcing

Besides marketing your business, you’ll also need to find a good place to source the products you sell. One of the best places to source these products for your e-commerce business is Alibaba. If you don’t know it, Alibaba is a buyer’s paradise. Based in China, the behemoth of a company is a vast marketplace for just about anything you could want, and currently serves almost a billion active buyers worldwide yearly.

How big is Alibaba? According to Statista, “In 2022, Alibaba’s online retail properties took up almost a quarter of the global e-commerce market.” The platform connects you with millions of suppliers, particularly from China, offering everything from apparel to electronics at wholesale prices.

I recently attended Alibaba’s Co-Create event in Las Vegas and left impressed with how well Alibaba serves its small business customers. If you are looking to source products for your e-store, there are many options (and I list some below), but for my money, there are few better in the game these days than Alibaba.

Whether you are looking to purchase in bulk or you want to buy small quantities to test the market, Alibaba can match you with suppliers to fit your needs. Some of its key differentiators are:

Supplier ratings to ensure reliability.Trade assurance to protect your orders.Customizable options to create unique products for your brand.

Additionally, Alibaba provides educational resources and one-on-one assistance to help new business owners find the right suppliers and scale up effectively. It is truly a one-stop shop for e-commerce entrepreneurs.

Other creative sourcing options

Depending on your business’s niche and budget, you may want to source from a different supplier. Here are some additional supply chain options that may suit you and your circumstances better:

eBay, Amazon, Walmart.com: These American suppliers can help you locate wholesale, overstocked, bulk items, or second-hand products that you can flip for a profit.Garage sales, thrift stores, and estate sales: These local sales can be treasure troves for unique and vintage items. If you are skilled at spotting deals, you can turn low-cost purchases into valuable inventory.Craigslist and Facebook Marketplace: Peer-to-peer platforms like these are really great for sourcing cheap, used, second-hand items.

So no, unlike some of my friends from the World Entrepreneurship Forum who had a maze of regulations to get through before ever having the ability to buy or sell abroad, today, you have the world at your fingertips, literally. (By the way, if you need help setting up your e-commerce store, here are our recommendations for the best e-commerce software.)

And here’s the secret: I once had a client who owned a very successful antiques shop, where he sold his treasures both on and offline. When I asked Johnny how he did it and why he was so successful, he said, “It’s all in the buying, Stevie my boy, it’s all in the buying.”

Meaning: If you buy low, you can sell high.

Buy low.

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The Ascent does not cover all offers on the market. Editorial content from The Ascent is separate from The Motley Fool editorial content and is created by a different analyst team.John Mackey, former CEO of Whole Foods Market, an Amazon subsidiary, is a member of The Motley Fool’s board of directors. The Motley Fool has positions in and recommends Amazon, Target, and Walmart. The Motley Fool has a disclosure policy.

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