Private Label Podcast

Starting out in e-commerce? 🚀 Ali Rasool's journey is a tale of diligence & discovery from finding trustworthy suppliers to timing production around global holidays. 🌐

While Ali grappled with the fear of being scammed and the intricacies of supplier communication, he now emphasizes the platforms like Alibaba have safeguards in place to protect your transactions. Trust but verify! 🔍

For Amazon sellers, Chinese New Year can initially seem like a time to kick back and relax, the reality is far from it. The period poses a significant impact on the business operations ranging from production deadlines to shipping schedules. As factories shut down in China during this seasonal celebration, production comes to a halt, affecting supply chains globally. This disruption is not just about a clear-cut stop and start; various departments within the supply chain resume at different times. Sales teams might return before production lines are up and running, and the timelines for logistics can greatly vary depending on the freight forwarder. Therefore, sellers must navigate through this phase with foresight and strategic planning.

The key to managing the Chinese New Year disruption lies in the understanding that each aspect of the business will resume at its own pace. During this time, it is essential to reassess order projections and reorder schedules meticulously. Misconceptions that production stops abruptly or resumes instantly need to be addressed, keeping in mind that if a product has a 30-day production time, it will not be expedited simply due to the approaching holidays. Sellers who prepare well in advance can ensure their products are produced, shipped, and stocked, avoiding rush-related complications.

Anticipating and Planning for Post-CNY Resumption

The end of Chinese New Year marks the reengagement of business activities. As production lines switch back on, careful planning becomes integral to a smooth transition back to full operation. It's essential to appreciate that returning to business as usual after the break is a gradual process, conjuring complexities and backlogs. Every department within Chinese companies, from manufacturing to shipping, experiences a ramp-up period, and it's naïve to expect immediate attention from suppliers, especially for smaller orders.

Competing with larger enterprises for priority can be challenging, as bigger companies like Sony or Apple may have precedence in the production queue. This implies that preparation is indispensable, not just for private label sellers but for all businesses importing from China. A proactive approach means recognizing that others may be attempting to place last-minute orders as well. Planning ahead can prevent sellers from falling victim to the common bottleneck associated with this festive period.

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