Source searching: Who can you trust?

In this age of information when everything is available and can be done online, a simple word search can yield a staggering amount of results, all within reach of a click. You’ll be amazed at the choices if you’re a buyer looking for products and how they can be sourced anywhere near or far. And if you’re a supplier receiving inquiries on your products, you’ll marvel at the number of instant opportunities these present. But there’s one tough question that needs an answer. Who can you trust?

Yes, the internet makes it convenient to access and gather information, but it does not say what comes back up is true or just being passed off as true or if something is hidden. Any industry expert will tell you the thing to do is to do due diligence and check for accuracy even if it will take a few more steps – or the cost will be greater.

In a survey conducted by Global Sources on importing from China, the majority of respondents say that verifying suppliers is the most daunting task. A number rely on requesting original certificates, while others say visiting the factory or talking with past clients is the best bet. Still, a few turn to third parties to conduct factory audits or product inspection. Whatever the vetting strategy, they all agree verification is a must because it helps minimize risks.

What about buyer verification? It seems suppliers get the short end of the stick based on the comparatively limited information available to them. “Each party is taking a chance on the other when they do business,” John Niggl of InTouch Manufacturing Services said. “So it stands to reason a buyer should be subject to verification at the same time that buyer is verifying a supplier.”

Building trust both ways

While there are platforms that have this two-way evaluation process, Niggl said it would be better if the practice is adopted industry-wide. “Perhaps this would even incentivize honest behavior from buyers and suppliers, leading to an overall brighter future for global trade.”

For B2B company Global Sources, this is the core mission as it operates a platform built on transparency and trust. Global Sources connects its community of more than 1.5 million buyers from around the world and its community of suppliers in Asia. It reinforces this with a verification system that applies to both parties.

Companies, including those that exhibit products in Global Sources shows, whose business registration details have been confirmed by independent parties are called verified suppliers. Suppliers who have government-issued licenses to produce goods are classified as verified manufacturers. In addition, Global Sources through its partnership with Bureau Veritas enables buyers to audit these suppliers.

“Providing buyers with access to suppliers’ company information, certifications, product listings and more is the most valuable resource on the site,” said Alia Hosch of Soul Amenities.

On the buyer side, the community distinguishes between active and verified types. The former’s status is based on recent activities as registered users, having attended a Global Sources trade show and made an inquiry to a supplier on GlobalSources.com. Active buyers also include those that received a digital or print sourcing magazine after subscribing, opting-in or downloading, and got a product alert mail after subscribing and double opting-in.

Verified buyers, on the other hand, are a subset of the active buyer community and have been qualified face-to-face when they attended a Global Sources sourcing fair.

“Buyers often search for exhibiting products before their sourcing trip and come directly to our booth when they arrive at the show,” said Bamboo Zhou of All Best Technology Ltd. “We met almost all our clients through both the online and offline platforms, which combined is the most effective marketing channel for us.”

“We have been attending the show since 2011 … The show only lasts four days, but the online promotion offers yearlong exposure,” said Jacky Kang of Shenzhen Golf & Feihuang Technology Co. Ltd. “The combination of online and offline channels addresses buyers’ sourcing habits and has generated excellent results for us.”

… & in other ways

Having established the first line of verification, Global Sources provides a few more vetting layers to help buyers and suppliers make business decisions.

There are the company’s biannual Hong Kong trade shows covering consumer electronics, mobile electronics, gifts and home products, and fashion that provide a venue for sourcing partners to come face-to-face and expand their network.

Private Sourcing Events or one-on-one meetings are also prearranged between buyers and short-listed suppliers, likewise done at the shows, all year-round in major cities in China and through video conferences for those who cannot travel to these locations.

For those ready for the next sourcing step, there is the request for quotations page that will help buyers get and compare multiple quotes from verified suppliers, and enable suppliers to prioritize their responses based on the details of requests.

There is yet another way to validate supplier capability or buyer credentials while scouting for the next big trends and best-sellers – product samples. To make sourcing them easy, Global Sources has come up with a sample order page, which offers speedy checkout, pricing that includes shipping and secure transactions.

So, if you are an importer or a supplier, look no further. Start your sourcing journey by choosing a verified community of trade partners. Sign up on GlobalSources.com.