Alibaba is not just China’s but the world’s largest online retailer.
Is Alibaba Legit? is a frequently asked question concerning the company. Yes, despite popular opinion, it is entirely secure and protected.
To resolve your doubt of “is Alibaba legit”, Futurb (a China company for product sourcing and custom packaging) make a definitive guide as below for you to sourcing products from Alibaba Safely.
Step1. Is Alibaba Legit? Know What is Alibaba firstly
Harnessing the world of e-commerce has helped Alibaba develop from a commencement hiring of 18 individuals in 1999 to a global enterprise engaging 22,000 employees.
In China, it represents eighty percent of the overall online purchases.
The year before, the company’s web pages processed 248 billion dollars in transactions.
Alibaba raised 25 billion dollars in its initial public offering in the United States, putting it among the most valuable digital organizations worldwide.
It has become one of China’s most valued public firms, currently ranked among the nation’s state-owned businesses.
Its three primary sites include:
- Taobao
- Tmall
- Alibaba.com
Each of these sites has a huge following and active users. They possess millions of retailers and enterprises and hold the title of the largest global e-commerce corporation. Over time it became the most prominent online shopping place.
Alibaba’s most significant retail platform is Taobao. Seven million vendors offer almost everything there. Customers are allowed to use it for free, but vendors can pay for adverts to be highlighted.
Is Alibaba a legit site?
As mentioned earlier, purchasing from Alibaba is absolutely safe despite the popular opinion because it is a legitimate and reputable enterprise. They have regulations and restrictions that ensure secure transactions on the system with no personal information breaches.
It should be noted that being conned on your orders and gaining nothing for the money is an entirely distinct situation that requires attention. Let’s say that you are still skeptical regarding security. In that situation, it would be a good idea to look over the screening procedure of the providers you wish to purchase from.
Step2. How to Avoid Fraud When Buying from Alibaba?
It may be time-consuming, but reviewing the merchant profiles of the suppliers you are purchasing from will assist in determining the authenticity of the supplier. Although safety and security are ensured, it is recommended to put safeguards and keep scammers at bay to avoid scams.
How can you tell a vendor’s legitimacy? Consider the following aspects and bear in mind the suggestions mentioned below to check the supplier’s authenticity.
1. Alibaba Trade Assurance Facility
Using the Alibaba Trade Assurance facility is legal. It is the safest choice when purchasing anything from Alibaba.
Alibaba strives to give its customers a secure purchasing experience. The guarantee of reimbursement in case of not receiving a parcel is among the key reasons why Alibaba is entirely safe and legitimate.
A preferable method is to purchase from companies that have a trade assurance mark on their website. Although the ordering procedure would be the same as for a regular supplier at Alibaba, you will have the added benefit of Alibaba insuring your purchase.
2. Selecting Gold Supplier
A decent percentage of consumers tend to believe that a gold star rating indicates the highest product quality. However, a gold star rating guarantees that the provider you are dealing with is not a con artist. Since this is a paid feature of the system, many con artists will avoid acquiring it.
They are more likely to register a free supplier profile. This way they will earn as much profit as feasible by providing a wide range of products in a brief period. A suggestion to avoid all possible scams would be to buy from merchants who have been in business for three years at least.
This is attributable as any account that receives unsatisfactory feedback does not last for more than a year or two.
3. Alibaba’s On-site Check
On-site check allows the authenticity evaluation of a factory. Alibaba deploys agents on the consumer’s behalf to confirm a company’s legal and physical presence.
Is putting an on-site verification emblem legitimate for Alibaba? As manufacturers on Alibaba cannot add these icons to their profiles, they require physical examination and certification to be operational. Checking if it is a legitimate business and not a ruse set up by someone is necessary.
4. Checking the Supplier’s Assessment
Another available option for verification is the supplier assessments. Which is essentially a third-party organization inspecting the manufacturers on your behalf. This is a better objective and thorough examination of a company’s policies and practices.
You will be provided with the company’s photographs and videos. These will be representing the company’s current state, enabling you to decide whether to purchase from them or not. Companies with validation by several inspection agencies make the customers feel comfortable when purchasing from them.
5. Obtaining Business Information
Diverse resources and enterprises are clustered in different parts of the country. The scenario is similar in China, where most businesses rely on support industries. Enterprises established in a concentration of companies are more inclined to be authentic providers and efficient.
Otherwise, you will need to search Alibaba for different types of vendors. There are three types:
- Manufactures: The products sold are most likely to be original and made by the manufacturer. Instead of a substantial range of items, products are usually specialized and precisely targeted.
- Trading Companies: Generally, trading firms are self-contained. However, some companies may be affiliated with a manufacturing firm. Multiple intermediaries typically want a piece of the action, and manufacturing organizations are confused about delivering value to the goods.
- Manufacturers and Trading Companies: These are businesses that sell their products and those made by others. It’s often impossible to tell whether these firms sell their original products or resale someone else’s, making it tough to assess if they are legitimate.
6. Certification Verification
Frequent certification is required for imported goods before they can enter the country. When importing products from China, many nations aim for quality assurance, which is a severe concern and danger.
Low-quality items are the most common reasons businesses lose money. A responsible producer would constantly focus on the continuous improvement of their products.
7. Use Verified Factory Footage
Check the verified videos to obtain an unbiased and raw look at the company. You will get a sense of the working atmosphere and circumstances without visiting the workplace.
Videos that come directly from Alibaba are reliable because they will be verified.
8. Is Alibaba Legit – Buying from Alibaba Summarized
| Search for a supplier | This involves looking for any provider that has the products you need. |
| Profile Check | Check their registered profiles for a gold star rating to verify their authenticity. |
| Make a list of suppliers | Collect all the desired suppliers you think are providing the product you want. |
| Filtration of suppliers | This step involves filtering out any supplier you think could be a scam or does not have a reliable verification. |
| Order sample | You can do a minimal sample order to check if the products are worth buying if you will purchase in bulk. However, if you will not purchase in bulk, then check for the sample pictures provided. If they seem reliable enough, then proceed with your order. Otherwise, skip to another supplier. |
| Place your order | Once you are satisfied and have settled down on a product you wish to buy, you can move ahead to placing your order and providing all the required details. |
| Pre-shipment inspection | PSI is a significant quality control strategy for monitoring the quality of items customers purchase from manufacturers and is a component of supply chain management. PSI assists in ensuring that manufacturing follows the specifications, contracts, or purchase orders in place. |
| Ship-out/Check-out | This is the final step of placing an order where you confirm your personal information, shipment address, and confirm your order. |
Buying from Alibaba Summarized
Step3. Safe and Secure Payments on Alibaba
Any order with payments through PayPal or credit cards would be more secured. Only legitimate sellers would accept reliable payment methods.
Following are some reliable payment methods to keep in mind;
- Alipay – rendered as moderately safe
- PayPal – rendered as mostly safe
- Credit card – rendered as moderately safe. Another benefit of credit card payment is that if you do not get the things you purchased, Alibaba will refund your entire amount.
Step4. Communication with Alibaba Suppliers – Ensure a Safe Deal
If you are thinking about buying things in bulk after filtering some sellers on Alibaba, you need to conduct your investigation and analysis first to be safe. You should now contact them and evaluate them to locate the right supplier.
Always remember these three essentials when communicating with a supplier to ensure a safe deal;
- Communicate to establish an association: When communicating, enquire about the company and ask for photographs, policies, and protocols for online purchases, among other things.
- Request for sample orders: It is imperative to obtain “small test orders” from a manufacturer so that you may examine the quality of products before placing a large purchase. Firms that refuse to let you make such purchases are usually suspect and scammers.
- Communication to-do catalog: Alibaba has a large number of vendors to choose from. You can move to another supplier if one does not appeal to you.
Initial Encounter
Concise and to-the-point emails without any typos will help in making a better first impression. This will also allow barrier-less communication with the suppliers. Chronologically share your queries so the supplier can respond to them as soon as possible.
Obtaining a Quote
Remember the following suggestions when obtaining a quote:
- Minimum Order Quantity (MOQ): Negotiate the minimum stock you need and ask for a complimentary piece or two from the seller.
- Sample Pricing: When collecting samples, enquire about the unit price, as this is frequently significantly greater than manufacturing costs.
- Manufacturing Budget: This tends to be lower depending on as great the order is.
- Payment Terms: It is recommended to approach and negotiate with another manufacturer if a refusal is seen in a payment method convenient to you from the current supplier you are dealing with.
Product Catalogue Examination
This step is a cherry on top when looking for a supplier on Alibaba. Look for manufacturers with a detailed product catalog providing information about the product and the manufacturer.
A product-focused supplier will typically have higher-quality products, which can benefit your company.
Final Checklist
To effectively manage the product quality and price, legitimate manufacturers will specialize in a particular item style. Prices are typically lower under such circumstances.
When you identify a supplier on Alibaba, use this checklist to complete your purchase.
- Is the merchandise you need accessible under the supplier’s company name?
- Is your item the provider’s primary source of revenue?
- Are the items in the list different than the ones you are looking for?
Step5. Product Inspection is Important
International Organization for Standardization compliance requires constant inspection of imported raw materials and check-ins during the manufacturing and after the products have been made.
Is Alibaba a reliable source for exporting from China?
Yes, Alibaba vendors can assist you with the shipment, but you must discover how to save money on Alibaba shipping in other aspects.
Alibaba offers three shipping options: air express, air freight, and ocean freight.
Buying on Alibaba without a Company
Whether you are an enterprise holder or an individual, you can purchase from Alibaba. If you wish to import from China, it is more recommended to buy directly from the manufacturers. The webpage is essentially a search engine where anyone can contact and purchase from the providers.
You might not get samples from suppliers who have significant minimum order amounts. When searching for a product, ensure it has a minimum order as low as 10 – 1000 pieces. This is an excellent indicator that they accept purchases from everyone.
And if you wanna sourcing products efficiently, you can also get a sourcing agent to help you get best prices from manufacturers.
Conclusion
Several buyers are unwittingly deceived on Alibaba because of low prices and quick responses. Is Alibaba a safe place to invest? Alibaba isn’t the issue.
Alibaba is a legitimate website where you may buy safely. The genuine criminals here are those who con people and steal their hard-earned income. You may avoid Alibaba fraudsters by following the procedures above and only buying products from legitimate sellers.