September 19, 2019
How To Plan An Inventory Around Chinese New Year For Your Amazon FBA Product | Sourcing Warrior

How To Plan An Inventory Around Chinese New Year For Your Amazon FBA Product | Sourcing Warrior


what’s up sourcing warriors I hope
you’re having a great day I am so excited to talk about today’s subject
and that is Chinese New Year to the 1.3 billion Chinese people this holiday is
the most important the most elaborated the most celebrated holiday lots of food
lots of gifts lots of entertainment but to you the Amazon FBA seller the small
business owner dealing with the Chinese New Year could be the pain in the butt if
you don’t know how to plan inventory around the Chinese New Year hmm you
might as well not to deal with the Chinese suppliers because the impact is
huge so today I’m gonna give you some expert advice on how to plan inventory
around the Chinese New Year let’s get started if you’re new to the channel my name is
Yuping Wang I appreciate you checking in if you appreciate the content be sure
to leave a comment and the subscribe the channel
this is the place to be if you wanted to learn the best sourcing knowledge let me
begin by sharing a little background about the Chinese New Year Chinese New
Year never falls on the same day of our calendar because it follows a lunar
calendar by observing the moon phases the Chinese New Year’s Day always start
at the beginning of the new moon so the Chinese New Year’s Eve is always a dark
dark night the story goes that on this dark night a fierce evil animal is going
to come out and attack people so Chinese people use a lot of fireworks to scare
away this fierce animal and that is called Nian crossing the Chinese New
Year’s Eve is called Guo-nian so if you take the Chinese New Year’s Eve as the
baseline for business before the Chinese New Year’s Eve like seven to ten days
and after the Chinese New Year’s Eve and that is 10 2 to 15 days and that is the
entire break after the Chinese New Year’s Eve people traditionally don’t
even work until the 15th day based on the lunar calendar and that is the full
moon so for 2019 the Chinese New Year’s Day falls on the Tuesday of February 5
pause this video if you wanted to pull out a calendar and start to follow what
I’m saying I’m gonna do some quick math so February 5 is the Chinese New Year’s
Day if you subtract 10 days you’re gonna find January 26 that’s a Saturday
realistic speaking a lot of Chinese business are going to lose a lot of
workers because these people from inland city they need to they need to go home
to clean house decorate the house prepare food and start to celebrate the
Chinese New Year and a February 5 + 10 to 15 days you’re
gonna find February 18th that is a Monday most business will
return business so that is the two days you need to remember January 26 being
the last day and February 18th being the first day returning to work what does
that mean to you for you to plan the inventory this means you have to have
your shipment ready before January 26 not on january 26 because there nobody
is going to take care of it it’s before January 26 I strongly suggest you give
what we’re two weeks buffer into this planning meaning by January 10 to
January 15 is the last days you have your shipment produced inspected ready
to be picked up to take a step further what does that mean for you for you to
place the purchase water if your supplier early time is 30 days I
strongly suggest you add at least 10 days 10 days to your lead time because
the factories are going to be jammed by many people’s orders and they’re rushing
together orders or orders out so if you want it your order to be ready by
January tens to 15 and if you subtract 40 days from the finishing date that
means you need to get your purchase order in by December 1 that’s the last
day you need to give that order to your supplier in order for them to finish by
January 10 in order for this shipment to be shipped out safe and sound before the
Chinese New Year now you know when to put the purchase order in before Chinese
New Year in order to get the shipment out before the Chinese New Year that is
December 1 to get the shipment out before January 26 don’t relax yet
because you may have made a mistake this is the critical part please pay
attention guys remember there are two days January 26 is the last day
everybody is going to go home and if I 18 is the first day everybody it’s gonna
come back factory start to start the production assuming your supplier lead
time is 30 days if you put the new purchase order after the Chinese New
Year on February 18 the first day they return to work you’ll order most likely
won’t be ready until March 30s because most of the time after the Chinese New
Year the factory continued to run on a very jammed condition so they are
running on East and 8ly time if your shipment is ready finished by March 30th
that means your shipment is not going to arrive into Amazon warehouse until April
30 the first week of May so what does that mean to you if you own an Amazon I
fearlessness this means money because if you know after the Chinese New Year your
first shipment getting back to Amazon warehouse is not going to arrive until
the end of April 1st week of May that means when you cut your purchase water
on December 1 to your Chinese supplier you need to commit more quantity in
order to cover this long spell of Ali time it’s going to have a lot of cash
tied into this purchase order you cut in December but running out of stock after
the ties Chinese New Year there’s no way to backfill there’s no way to expedite
it could be even more costly to redirect your product I hope this is helpful guys
if you run an Amazon affair business you know how critical this is because
there’s so much cash tied in to the inventory in the sourcing to explain in
much greater detail on how to do the inventory planning this is just a quick
video to give you some good advice on how to plan around the Chinese New Year
if you appreciate the content leave a comment subscribe the channel
and I appreciate your support and I’ll see you soon have a brilliant day

20 thoughts on “How To Plan An Inventory Around Chinese New Year For Your Amazon FBA Product | Sourcing Warrior

  1. A breath of fresh air! Without a doubt, the most valuable compressed comprehensive strategies for sourcing! Please keep it up! We LOVE the content!

  2. I still dont understand why i keep getting wholesale american prices from manufacture in china either they give me a wholesale us price or they just lower it a few dollara

  3. Thanks for the great info! Definitely looking into your tool package.

    I was wondering, since I'm new yo fba is it best to start after Chinese new year? Dec coming up quick and I wouldn't be able to even make an order until second week of December. Thanks!!

  4. I am very grateful for your videos!! I am just starting the amz fba business and your tips are very useful! Thank you so much !!

  5. How do I go about finding an organic feminine pad supplier in China when all of the have the word “organic” in their titles but when I message them to confirm, they tell me that their products aren’t 100% organic and chemical free. I’ve contacted over 20 companies

  6. Hello sourcing queen 😊 Do you recommend getting your order in before the 26th to try to get a few days in advance. Instead of ordering after Feb 18th? If so, what is the best way to go about the payment?

  7. I haven’t even started product research, and I’m still learning the basics of FBA. I’m guessing I will need to wait until February 18th for first contact with suppliers if I don’t finish product research before January 15th.

  8. Hello, i’m negotiating at the moment with different suppliers .(21.02.2019). Should I continue negotiating as normal or should I wait after the Chinese New Year ? Could be that the quote ( product price and shipping price ) are lower after the new year ?

Leave a Reply

Your email address will not be published. Required fields are marked *