Ways to improve import benefits

There exists a variety of reasons for importing goods, one of which is the global economy. Medical equipment, smart phones, agro products are just a few products that everyone rely on every day that wouldn’t be possible without imports. In international trading both imports and exports plays an important role as these are just like the two faces of the coins. No export can exist without import and vice versa. So along with exporters, importers also have to attain benefits to keep running their businesses efficiently.

Following are some benefits of importing:

• Extends your profit margins

• Better quality

• Introducing new products to the market

Extends your profit margins:

Businesses all over the world choose to import, so that they can extend their profit margin. Existence of high taxes, wage minimums, and material costs in certain countries results in the import of products from a country where fees, wages, and material costs are considerably lower. Thus, importing products from overseas nations at lower prices and then selling them within the domestic markets helps to gain high profit margins.

Better quality:

Sometimes the products available within the market don’t have good quality as they are not native to the region. Thus, importing such products becomes important to make people available with better quality products. It may happen that products found in your area aren’t meant for here because of the quality and there is a market demand for better quality of products. Then, it would be better to import products from the manufacturing and producing countries to get the best quality.

Introducing new products to the market:

Some countries are rich in particular products whereas, some countries lack in the same products. So, importing such products and introducing new products in the market is helpful. Importing goods from one nation to make them available in other nation is beneficial. It helps people to take the benefits of the new products that are not manufactured and produced within the country but are imported from overseas nations.

After knowing few benefits of exporting, let’s go through ways to improve import benefits.

• Analyze supply chain

• Obtain a third party risk assessment

• Invest in good software

• Join a local trade association

• Set a goal

• Work with a government regulated trading program

• Increase your order quantity

• Develop a niche

• Research local areas to understand potential corners

• Establish clear written expectations

Invest in good software:

Participating in international trade, involves working with different cultures, currencies, laws, and languages and can make staying on top of payments, customs regulations and guidelines. Thus, it becomes essential to invest in good software program for managing invoicing, accounting, and payments, as well as document deadlines and communications with the customs officials and business partners to ensure that nothing falls through the cracks. For managing all tasks efficiently, it becomes important to have software that manages everything in an appropriate manner.

Set a goal:

One of the best ways for improving your import business and achieve success is to set a goal. Goal can be set to reduce import costs up to a certain percentage or to increase the amount of your import without increasing the budget. Many businesses fear to set a goal as sometimes outside factors reduces or can even eliminate the chances of achieving a goal, especially in trading. Even if you don’t reach your goal, setting goals provides you a way for evaluating the business practices and create strategies to reduce trade barriers in the future. So set goals, work as per them and try to achieve them. This will help you to improve the overall business activities.

Increase your order quantity:

Bulk ordering reduces the cost associated with repeated transactions which includes payment, shipping, and customs charges. After developing trust with a buyer, renegotiating must be taken into consideration to import more products at reduced cost. Bulk ordering of products in off-season can also reduce rates as there is no need of particular products in the off season. Moreover, this will eliminate the need for ordering products during the time of high demands, and the goods will be sold at higher prices. It can be more cost effective to make large orders than frequent small orders.

Develop a niche:

You can import one product at a time, but importing certain forms of the product may sell better than another. Find opportunities to eliminate the products that are costly and low-volume sellers. Focus on products having low prices and bring in the highest revenue for you. It’s important to look over previous year data, as prices get fluctuated throughout the year and can also change over time as the global supply and demand vary. It is important to do so, to attain certain benefits from importing.

Join a local trade association:

Joining a local trade organization in the country where your business operates, or the country where you are importing products can help to significantly increase the import benefits by providing relevant news, security tips, and general information about foreign trade. Joining a local trade organization can be seen as a great way to secure new business and also gain trusted exporters and referrals from other contacts

Connect2India is a B2B platform for trading. Benefits of working with Connect2India include working with verified suppliers and finding the best suppliers and buyers as per the budget. If you are new to trade and have no idea about where to start with, you can connect to this platform to research products and rates before making a transaction. It does the work for you, so you can increase your profit margin and extend your import benefits.

We are a one stop source for Indian SME to export from India or Import to India. We provide end to end export import services right from arranging export order to executing the order successfully.