How to build a reselling business with Aliexpress?

Reselling goods with aliexpress as a business is a hot topic for many aspiring and more experienced entrepreneurs. Everything from the fact that the idea does not require large financial investments, as well as specialist knowledge and skills. You can set up a small resale business from the comfort of your home. Of course, confident users have long learned to purchase goods from China on their own, but the market situation suggests that such a business is still able to bring a stable income to an entrepreneur. Most of the items in stores are labeled “Made in China”. It follows from this that trade in such a product still brings a fairly stable income. In order to start selling such products, you still need to study several nuances, which will be discussed in the article.

Business relevance and benefits

According to experienced entrepreneurs, the relevance of a business in trade in goods from China is gradually losing its relevance. This is due to the fall in consumer demand – people are massively learning to use large trading floors on their own, there is no longer a need for intermediaries.

But according to statistics, a larger percentage of purchases still occur from small online stores that resell products from China. Undoubtedly, demand for some categories of goods has decreased in comparison with previous years, but if we consider the situation as a whole, business is able to bring a stable income.

Also, the relevance of the business began to be influenced by the rise in prices for products – sellers felt an increase in retail demand and began to raise the cost of goods. But even with such a situation, with the correct mark-up on the product, you can safely conduct business and receive income.

The indisputable advantages of Aliexpress are:

1. The marketplace provides a huge selection of sellers for the same category.
2. Most of the sellers are direct manufacturers of the product they offer.
3. A wide range of methods and payment for delivery – on average, delivery of products takes from 2 weeks to 2 months (maximum period). Some sellers offer free shipping, but it takes quite a long time.
4. Chinese manufacturers gladly agree to permanent cooperation and wholesale supply of products.
5. Various payment methods are provided – from ordinary bank cards to electronic wallets.
6. Aliexpress monitors deliveries and in disputable situations, often takes the side of the buyer.

Of course, the Chinese platform also has a number of disadvantages:

1. Aliexpress does not accept payment upon delivery or dispatch of goods, all sellers work on 100% prepayment of the order.
2. You can only cooperate with Chinese suppliers, at the moment companies from other countries of the world are not represented on the site.
3. It is also possible to meet scammers, but this is quite rare. Aliexpress monitors its sellers and punishes severely in case of fraudulent activities.

But, despite the small disadvantages, the advantages of purchasing goods from Chinese suppliers are much greater. Negative points are not so critical, in most cases, the online store monitors the quality of products, sellers and delivery – service support is always ready to help deal with any situation.

How to start a reselling business

It is quite simple to build a business on goods from aliexpress – you can study the work of the site, the ratings of the sellers and the categories in a few hours spent on the site. Do not forget to look through the articles, help sections on the site, they will help you understand all the intricacies.

Pay attention to articles about fraudulent and deceiving buyers, so you are more likely to not fall on the hook of an unscrupulous seller.

First of all, it is necessary to determine the size of the business, the method of selling products and the category of goods that are in the greatest demand, to study the offered assortment and manufacturers. Then check out the shipping options – very often sellers offer free shipping by popular Chinese companies. Choosing one of the free companies is the best option for business, of course, the parcel will take longer, but there will be no additional costs.

Determining the method of selling goods

The next important step in starting a business is choosing a way to sell goods. You can sell goods from China through:

• Online auctions.
• Internet shops.
• Shop page on social networks.
• Delivery to a retail store.

The further action plan, purchase of assortment, paperwork, and so on will depend on this choice.

Selling goods at online auctions

Sales through online auctions are available to every user who registers on the site. The following auctions are especially popular:

• Avito.
• Ebay.
• Tiu.
• Joom.

Of course, there are many more auctions, each entrepreneur can choose a site to his liking.

The main feature of the auction is the constant expansion of the client base, because such sites are visited every day by a large flow of people who are looking for a wide variety of goods. Of course, you will have to discuss each purchase individually, but you can set up a mediation system. That is, you will not buy a product until a customer orders it from you.

After confirming and paying for the order, you contact a Chinese supplier and he sends the package to the buyer’s address. The markup at which you sell a product remains on your account. Plus, such a scheme will help reduce the risk of not selling purchased products.

Sale of goods through the online store

A business that generates a stable income on aliexpress products is often opened in its own online store. But this method of implementation requires financial investments and time from the entrepreneur. It is not difficult to create your own website, the difficulties will lie in its promotion and filling, as well as in gaining the trust of buyers.

Also, when creating an online store, you need to take care of solving all paper issues.

Selling goods through a page on a social network

Pages on social networks that sell certain goods have long since regained their place and occupied a fairly large niche in entrepreneurial activity. And all because this option for selling products is very profitable both in terms of income and initial additions. A mini-business on a page in Vkontakte or Odnoklassniki can be run by the most inexperienced entrepreneur who decides to try himself in the field of business.

Using a social network as a platform for business, it is easy to determine the target audience, order advertising and promote a small store. In this way of implementation, the main thing is that the price matches the quality of the product, if everything is adjusted in this regard, then the community’s advertising will happen without your intervention.

Is it profitable to buy goods on aliexpress?

The market situation indicates that reselling with aliexpress as a business remains a profitable option, but the income received will be less than it was 2 years ago. The thing is that Chinese suppliers, realizing that their products are gaining more and more popularity, began to massively raise prices for all categories.

But, even in spite of this situation, it is still profitable to purchase products from aliexpress, since even the raised prices remain cheaper than from domestic suppliers.

The income will depend on how cheaply you can buy the assortment and at what mark-up you can sell.

What products are in the greatest demand

The Chinese marketplace offers a huge selection of products, but how not to get lost in a variety of offers and choose really worthwhile items? The answer is simple – follow the trends in the world of fashion, technology and entertainment, as well as purchase goods that are in demand in regular retail stores.

Suitable products for business with aliexpress:

1. High-quality leather products – it can be both women’s and men’s bags, wallets, business card holders.
2. Category for motorists – this can include items of daily necessity (polishes, brushes, special means for removing scratches, etc.) or goods designed for long-term use (rugs, films on glass, etc.).
3. Clothes and footwear for the whole family.
4. Products for the kitchen – from every little thing, such as dishes, cutting boards, towels, and ending with kitchen appliances and gift sets.
5. Products for children – from the smallest (diapers, clothes, bedding) to older ones (toys, accessories for the nursery).
6. Covers and accessories for gadgets – this category is in great demand, and the assortment just scatters.
7. Mechanical and electronic watches from Chinese brands – recently, this category has become increasingly popular in the market.
8. Electronics – pay your attention to power banks, chargers, screen protectors, glasses for smartphones, mini-speakers, etc.
9. A variety of jokes and gifts – this category never gets old, and Chinese manufacturers boast a wide variety of assortments.
10. Chinese branded cosmetics – you should be careful here and choose reliable suppliers.

As you can see, there are a lot of product categories that are in stable demand. A business can be started by focusing on one or two types of goods, and then gradually expand the range.

How to choose a seller for aliexpress

The choice of sellers must be approached responsibly. First of all, look at the statistics – user ratings, product reviews, delivery. The trading platform also gives sellers a rating in diamonds – pay attention to it.

Before wholesale purchases, contact the seller, you can do this in English through a translator, if the seller is often online, willingly communicates – this is a plus in his direction.

Also pay attention to the description of the goods, their photographs – a conscientious seller tries to show the goods from all sides, angles.

Business registration – registration, taxes, OKVED codes

To start your own business with aliexpress, you need to register as an individual entrepreneur – this will be enough.

Documents required for registration:

• Passport and its copy.
• INN.
• Receipt for payment of state duty.
• Statement.

To sell goods from China, you may need a certificate of quality. To get the paper, you need to submit documents to the appropriate company.

List of documents for certification:

• Personal data of the entrepreneur.
• Personal data of the manufacturer.
• Requisites.
• Product name, technical information about it.
• You will also need to provide a sample of the product.

The most suitable taxation system for this business will be a simplified system (STS) or a single tax on temporary income (UTII).

Also, to conduct trade, you will need to indicate the OKVED code at registration – 47.91.2 “Retail trade carried out on the Internet”.

A trade permit will be required if the product is sold through stores. In this case, you must obtain permission from the fire inspectorate and the sanitary and epidemiological station.

What is the required amount of starting additions

Initial investment in a business will completely depend on your choice of the form of product sales.

There is a way of doing business with zero investment – this is an intermediary between an auction or a page on a social network and aliexpress itself. In this case, the entrepreneur will not spend a dime.

Creating your own website will require minor investment. Necessary:

• Buy a website – from 20,000 rubles.
• Fill it with content – 20,000 rubles.
• Buy advertising – 30,000 rubles.

The most expensive way is to open your own store and a wholesale warehouse with products. When opening such an enterprise, you need to be ready to invest about 1 million rubles on wages, premises, purchase of goods, and so on.

The nuances of working with aliexpress

Starting to work with the service, you need to know all the features of sending goods, tracking them, what protection is and why it should be extended. Also an important issue is the customs clearance of goods.

Order protection and renewal

The site provides all buyers with the function of protecting the package that was sent by the seller and is in transit. There are times when the goods do not arrive on time – at one of the delivery points, for various reasons, it was delayed, did not arrive on time.

A few days before arrival, it is necessary to extend the protection time of the parcel. Decent sellers themselves are engaged in the renewal, but if they have not done this, write in private messages, ask for an increase in the term.

Package tracking

Aliexpress has provided for this issue. When sending a parcel, a tracking number is attached to it, which can be traced on the site itself in the “my orders” section.

You can also enter the tracking number on the Chinese delivery service websites – you will be given the location of the goods.

Customs clearance of goods

Required in cases of large-sized goods or large bulk quantities. If your parcel gets to customs clearance, you will have to pay a customs fee.

You can cheat – order products in small batches that will not exceed the permissible weight.

What is cashback service and why is it needed

Cashback service is a refund of a part of the money for a purchase made in online stores. The use of such a service will help to further reduce the initial cost of products, which will affect the final profit.

Also, with the help of such a service, you can provide constant promotions for future buyers, which will draw attention to you.

The express business remains a popular way of earning money for aspiring and experienced entrepreneurs. The peculiarity is that you can organize additional income without investing personal funds at all. The business itself does not require special knowledge, you only need to study the site itself, the options for working with it. But before starting, it is important to decide on the form of sale and assortment, because all your further business will be built on this.