This article is a complete guide to the operation of the toy business, if you want to know how to start your own wholesale toys business from scratch, then read it.
Have you ever wondered how to bring toys to market? There are many steps and checkpoints in the life cycle of a toy from concept to consumer. Children’s wholesale toy business will be a little difficult at the beginning, but as long as you find the right way, you will be successful. A great idea is essential at the beginning of every toy’s life.
How can children’s toys fully meet the needs of young children for the development and training of different senses in different growth periods? Through conceptual analysis and relevant case analysis at home and abroad, combined with the characteristics of Montessori concept of child development and the concept of physical interaction, the theory of physical interaction was introduced into the field of children’s toy design, and a new design of children’s toys based on physical interaction was proposed and expounded. thinking and strategy.
Where is the wholesale toys market for children？
Finally know where the children’s toys wholesale market is cheap and good quality? The wholesale toy market is divided into offline and online. Today, let’s talk about the six offline wholesale toys channels of the children’s toy wholesale market
1. Yiwu, Zhejiang
Focusing on the retail of small commodities, there are more than 1,000 toy merchants in Yiwu International Trade City, which is the first choice for purchasing toys. Russia, Middle East, Africa and other countries. The main volume of wholesale toys is large!
2. Guangzhou, Guangdong
Yide Road toy business district is one of the most important distribution and trade bases for toys and gifts in the country. Guangzhou Chenghai, now it can be said that it is the world’s largest toy production and wholesale place, where all kinds of cutting-edge products are created and sold! Like electronic and remote control type toys, creative sex toys, most of them start from here 3. Zhengzhou, Henan.
The wholesale toys are mainly concentrated in the railway station business district. The small commodity wholesale toys business circle composed of Henan Jinlin Market, Zhengzhou International Small Commodity City, Jinzhi Wanbo Mall and other markets brings together many toy merchants.
4. Shenyang, Liaoning
Shenyang is the center of the Northeast toy market. Among them, the Great World Market for Small Commodities and the Wuai Market are very famous.
5. Chengdu, Sichuan
The Lotus Pond business district in Chengdu is the main toy distribution center in the southwest.
6. Linyi, Shandong
Because of its well-developed logistics, Yi just happens to be the midpoint of the North-South toy exchange. Although they also ship from Yiwu, Chenghai and other places, the relative price is acceptable.
In fact, in addition to the above-mentioned six most famous offline markets, the children’s toy wholesale toys market also has online wholesale channels. Today, with the emergence of B2B platforms such as Alibaba, it has a great impact on offline. Online has the advantages of low price and convenient transportation, so I suggest that it is generally best to find a manufacturer in Alibaba that has Chengxintong.
What to sell? Research the market and choose the right toys to sell.
This is one of the most important parts. The product selection process is very important if you want to start a wholesale toys business from scratch.
You can find many strategies for choosing profitable products online, in this article, I will list the most practical and important strategies for different groups of sellers based on my extensive business experience.
The wholesale toys market for daily toys is in great demand
For the early stages of your business, a toy product that can continuously generate cash flow can be a good option.
Since steady growth is the demand for new stores, you don’t have to risk anything too trendy or new. For your cash flow, you should try to find your first product in a common product niche. Everyday toys are a must for every customer, so it’s a good idea to start with everyday toys.
Competitive toys without oversaturation
For most new sellers, resources are relatively limited, so competing with big sellers in a saturated product niche is hardly wise. You’re going to have to pay a hefty premium to gain some market share in a saturated toy niche.
A simple trick to identify if a toy niche is oversaturated is to examine the search volume for that niche and the ad price for the keyword, the higher the two values, the more competition in the toy niche. Alternatively, you can simply search for the product on Amazon, and if there are too many results with more than 1,000 reviews, the product may not be the best choice for you to start a toy business.
Wholesale toys with profit margins above 50%
When calculating profit margins, all possible costs that may be incurred during the sales process must be considered. Make sure you still have money left when you include all costs, from purchase costs to shipping to advertising and any platform service fees that go into profit margins. Typically, for an online business, a 50% profit margin would be a relatively reasonable target.
How much is it? Calculate Costs Before Selling.
When calculating the budget you need to start a toy business, you have to cover multiple types of costs, I’ll start by making a quick list here of the specific types of costs that can be incurred during the sales process, and then we’ll find them one by one.
In the early stages of the sales process, before the sale begins, the following basic costs and expenses may be incurred:
- purchase cost of toys
- Domestic logistics fee
- Overseas shipping
- Fees related to toy regulations and certification
- Hiring employee
When you buy a toy for wholesale toys resale , there are purchase costs that will make up a significant portion of your total cost.
To ship the toy to your warehouse, you must pay the logistics fee, which includes domestic logistics fee and overseas shipping fee.
If your toys are imported from other countries, customs duties will be included in your fee. The tariff amount varies by toy type. In addition to this, you may need to pay for some special certificates required for customs clearance according to local regulations.
For larger toy businesses, the cost of hiring staff should also be considered.
If you run a traditional brick-and-mortar toy store, the following costs should also be included:
- Shop rent
- Utilities (water, electricity)
- Store decoration cost
- Warehouse rent
- Warehouse maintenance fee
Six practical tips for running a toy business
1. Don’t obsess over real factories
The original wholesale toys factory isn’t always the best partner. Even if you manage to find the target factory, if your order quantity is not large enough, you will not be able to get the best quote in the first place. Second, when you work with factories in wholesale toys business, you may encounter various issues with product certification, customs clearance and even language barriers.
2. Don’t put all your eggs in one basket
One of the most common mistakes new sellers make is putting all their money into one product. You have to know that the toy business is quite evolving and hot trends change every day. If all your money is currently stuck on a hot toy, you’ll lose the ability to follow new trends, and if you get lost, you won’t have the strength to fight back.
3. Balance price and quality
Always balance price and quality. Pricing should aim to meet customer expectations. If you sell your customers something very cheap but of poor quality, they may feel cheated by you, in which case all you can get is a flood of negative reviews and a bad reputation.
4. Find suppliers who are willing to communicate and help you solve problems
When it comes to problem solving, communication is always key. When looking for a reliable supplier, you should make response rate and cooperative attitude your primary concern.
5. Don’t be fooled by suppliers’ low prices
Many new sellers are easily attracted by the low prices offered by suppliers. However, there is a common scam on Alibaba: The supplier will first offer you a very competitive price, and when you check the samples and decide to place an order for mass production, the supplier will try to use various excuses to increase the price, such as Additional shipping, packing charges or rising raw material prices. Be aware of such pitfalls to keep you safe on Alibaba when purchasing.
6. Make sure your toys pass all necessary certifications in your country
Before entering the mass production process, you should ask the customs authorities in your country and the sales center of the platform where you plan to sell the toy for the mandatory product certification of your product. Once you have that information, you can ask your wholesale toys supplier or hire a third-party agency to make sure all required certifications are in order.
Purchase planning and arrangement of children’s toys:
Wholesale toys purchase planning arrangement one:
Consider the season and popular trend. Not blindly according to their own personal preferences for toys unrestrained play, to summarize more, more investigation, more understanding of customer demand trends.
Wholesale toys purchase style planning two:
Pay attention to the style of their own stores. What route is to take, the positioning of consumer groups, age to be accurate, the overall style of goods to keep consistent, do not get lost in the purchase.
Wholesale toys purchase style planning three:
Toy price consideration. Especially good toy supply price must be high, so take into account the overall grade of the store, do not rashly attack. In short, the purchase of goods, hold the most important scale.
Wholesale toys purchase style planning four:
Purchase of toys to pay attention to the style of comparison. After all, a person’s appreciation of convergence, so to sum up, more recall, more comparison, when necessary, you can invite some friends like toys for reference, because their appreciation of the eye is often very original and very professional.
Wholesale toys purchase style planning five:
How many types of toys should be purchased, the quantity of various types and the grades of toys should be calculated carefully in advance. There must be no purpose, no goal, no quantity, no distinction between high, medium and low, which will waste limited funds.
First of all, you need to understand the entire process of the wholesale toys business. Secondly, China is the largest manufacturing country. After locking China as the supplier market, you need to understand what kind of toys are available in different markets in China. It is very important to choose products. What kind of products should we start with in the early stage, and what kind of products we invest in in the later stage will have profit margins. This plays a key role in the success or failure of the toy business.