Picking the right products and finding the right suppliers are two of the most important parts of running a smooth e-commerce business. But it’s also where a lot of sellers mess up especially in the early days. And when things go wrong here, it usually costs time, money, and a few too many headaches.
So before you jump into bulk orders or sign off on a deal that “sounds good,” here are five common mistakes you’ll want to steer clear of—and how to avoid them.
What Not to Do When Choosing Suppliers and Products
Choosing the wrong products or working with unreliable suppliers can seriously slow down your store’s growth. It’s not just about picking what looks good or what’s cheapest, there’s more to it. Knowing what to avoid early on can save you from delays, bad reviews, and lost money.
1. Choosing Products Nobody Wants
It’s easier than you think to fall into this one. A supplier shows you a product that’s cheap and easy to order, and it looks like a no-brainer. But here’s the problem: if no one’s searching for it or buying it, you’ll end up sitting on dead stock that just eats up space (and cash).
Some of the most common signs you’re ignoring demand:
- Products barely move, even with ads
- Inventory just sits in storage
- You keep lowering prices just to try to sell
- Competitors are outselling you with trending items
What helps? Always check demand first. Use tools like Google Trends, browse what’s selling on marketplaces, or even ask your existing audience what they’d buy. Don’t assume. Know.
2. Going Cheap and Ignoring Product Quality
We get it keeping costs low sounds good on paper. But if you’re choosing the cheapest product just to secure a few dollars, be ready to deal with unhappy clients, returns, bad reviews, and a damaged brand. And once your reputation takes a hit, it’s hard (and expensive) to fix it and make it worth it again.
The smarter move? Always request a sample before placing a bulk order. Feel the product. Test it. Would you be happy if you paid the already completed price for it? If not that way then your customers won’t be either.
3. Not Looking Into Your Supplier Properly
New sellers often rush into working with the first supplier who replies fast or offers a good price. But some of those “great deals” turn into long delays, poor service, or last-minute surprises that end up costing you more than you saved.
How to avoid the mess:
- Check reviews and ratings from other buyers
- Ask for references or previous client work
- Start with a small order to see how they handle it
- See how responsive they are (slow replies now = slow replies later)
Reliable suppliers don’t just send products—they become a part of your business. So choose carefully.
4. Forgetting About the Extra Costs
A lot of sellers get caught up in the product price and forget about everything else that adds up along the way. It’s not just about what the supplier charges you per unit. You’ve also got shipping fees, customs duties, packaging, storage costs, transaction fees, and maybe even currency conversion if you’re working with overseas suppliers.
All of that eats into your profits. If you don’t calculate the total landed cost the full amount it takes to get the product from the factory to your customer—you’ll end up pricing too low or losing money without even realizing it. Always look at the full picture, not just the sticker price.
5. Relying on One Supplier Only
Working with just one supplier might feel simpler but it can turn into a big problem if anything goes wrong. What if they suddenly raise prices? Or run out of stock? Or disappear?
That kind of risk can mess up your entire store, especially if you’re depending on just a few products. The fix is simple: build backup options early. Test out other suppliers, keep a shortlist of trusted contacts, and never let one person or factory have full control of your stock.
How Brand New MD Helps E-Commerce Stores Get Sourcing Right?
Brand New MD takes the guesswork out of product sourcing by connecting e-commerce sellers with reliable, pre-vetted suppliers. They help with everything from finding the right products to handling quality checks, negotiations, and shipping so you don’t waste time or money on trial and error.
Conclusion
Product sourcing isn’t just about finding stuff to sell, it’s about doing it right. Cheap doesn’t always mean smart, and fast isn’t always better. The mistakes you avoid now can save you thousands later. When you pick products people actually want, work with trustworthy suppliers, and think about the full picture, not just the price, you set yourself up for smoother growth and fewer late-night headaches.
Frequently Answered Questions (FAQs)
1. What Exactly Is Product Sourcing in E-Commerce?
A: It’s the process of finding, buying, and bringing the products you sell—whether through manufacturers, wholesalers, or dropshipping suppliers.
2. What Exactly Do Some Online Stores Fail at Product Sourcing?
A: They chase the lowest price, skip checking supplier, or don’t test product quality. All of that adds up to bad customer experiences and lost sales.
3. How Do I Pick the Right Supplier for Product Sourcing?
A: Look for an easy-to-reach, transparent company with a track record of consistent quality. Samples are your friend—don’t skip this step.
4. Is Product Sourcing Too Expensive for Small Sellers?
A: Dropshipping lets you start with minimal cost. For bulk orders, start small. Some suppliers offer low minimum order quantities to avoid overspending.
