The difference between vape factory and trade companies! The analysis is penetrating and comprehensive!
What is the difference between the work of the salesmen of the vape trade company and the factory? And how does the trade company salesman handle the question that his own quotation will always be higher than the factory directly on the quotation?
Whether it is the trade company salesman of the vape factory or the salesman of the foreign trade company, we must master two core groups: products and customers. So answering this question, in essence, we can first answer the difference between the foreign trade company and the factory in terms of products and customers.
A China Vape Wholesale Trade Company Recommendation: Elego
Single products & Diversified products
Mastering supply chain resources from the source, the factory only needs to focus on one or a limited number of products and produce more products per unit of time. The singleness of product means high bargaining power of the product.
Factory trade: low prices do not mean a variety of orders, but the attraction to big customers is very obvious.
Trade company: The big customer’s big order is destined to be unable to pick up, don’t look jealous.
It is also subject to the positioning of the factory itself. It is impossible for the factory to develop and produce a new product, and it is even more impossible to do products outside the industry.
Factory foreign trade: Due to the influence of environmental factors, the factory foreign trade salesman is familiar with the small product cycle and is quick to get started. When you communicate with customers, you only need to understand the products of the factory. But the feedback from products and markets is limited.
Foreign trade companies: Poor use of information and resources. To provide customers with a more complete solution, it requires business to understand more products. Product knowledge is more abundant in terms of breadth. On the other hand, because the salespersons of foreign trade companies receive more customers, the needs of market and customer are different, and it is necessary to communicate with customers for products and markets for a long time, and more feedback will be obtained. For a long time, there is more real-time feedback on the selling direction of the product and the demand of the market.
Large customer circle & small and medium customer groups
Big customer circle
The number of orders is large, the purchasing price is low, the order period is long, the process is complex, and cross-departmental collaboration is required.
Factory foreign trade: The resource advantage of the factory and the bargaining power determine that the factory business can serve large customers to receive some large orders. As the jargon says, “Have not turned on the factory machine for three years, but work for three years once got a single order.” However, under the trend of the Internet, there are fewer and fewer large orders. Foreign small and medium-sized purchasers or retailers are directly purchasing from China. Due to the rising cost of raw materials, rent and labor. The problem of the cumbersome order process and low efficiency of interdepartmental communication is often shown. Then its price advantage is lost.
On the other hand, too much dependence on big customers will put the entire factory at high risk. Large customers will also make the factory’s foreign trade business easier, without a sense of crisis. Do not pay attention to the changes in the market, maybe one day customers will leave, this business will return to the poor days. Most of the factory foreign trade salesman I know is more like a foreign trade assistant.
Foreign trade companies: Because of the diversity of products, it is more suitable for small and medium-sized buyers and retailers. For customers, they don’t have more time to filter suppliers for all products. Customers are more interested in product quality and the speed and professionalism of replying to emails and information.
From the perspective of quality inspection, foreign trade companies have sufficient time to conduct a full inspection of all the goods issued (not sampling), and the rate of non-performing loans can be greatly reduced. For example, if there is a 10% defect rate (appearance defect and quality defect) for every 100 shipments, and 5 problematic vapes are found through the full inspection, the defect rate will drop by 50% directly!
From the perspective of brand premium. The advantage of foreign trade companies lies in the integration of resources and marketing. Deeply cultivate a vertical category with brand ideas to operate. Not only can you OEM for customers, but you can also find a distribution agent abroad. Foreign trade companies fight from the idea of price, it is a dead end. Experts know what the cost of the product, but how to catch such a customer, it depends on your overall strength is or not strong. In fact, foreign trade companies can also have big customers.