Wednesday, December 14, 2011

Tools that Alibaba.com Provides to Help Avoid Fraud

Alibaba.com has various ways to help ensure that you can avoid scams and fraud. Let's face it.  When you have a site with millions of suppliers, if you have one tenth of one percent of bad actors, that can still produce a significant amount of harmed buyers.  And Alibaba.com is A PLATFORM for people to buy and sell.  They don't do the buying and selling. It's important to do the following to ensure that you have a good (and hopefully profitable) experience using Alibaba.com.  This includes:
  1. Doing your research
  2. Learning the ins and outs of using the site
  3. Conducting your transaction
  4. If you think you have been ripped off, going through the appeals process, and
  5. As a last resort, using the Alibaba Fair Play Fund.
So start here.  It's a all about the Alibaba.com Inspection Service.  It lists inspector type, inspector background as well as (and this may be the most important information of all), Inspection History and Reviews.
Have a read:  an ounce of inspection prevention is worth a pound of Alibaba Fair Play Fund cure.

Tuesday, December 13, 2011

Good Alternative to the Fair Play Fund: Alibaba Rates Suppliers

As I have mentioned before, Alibaba.com has a great site (Alizila) that presents news and information,  about the company - in a pretty impartial manner.  That's unusual for a company to have a site that offers the unvarnished truth.

I found a good article this morning "Alibaba.com Adds Ratings for Inspectors."  This is valuable information because, as I have said in this space before, if you do your homework on the front end, so can find reliable, quality suppliers.  You can avoid scams and fraud.  And you can then avoid the path of last resort, the Alibaba Fair Play Fund.  And the Fair Play Fund is not a bad thing - it helps compensate users who have lost money - but avoiding it is critical.

So have a read:
Ensuring that products shipped from Chinese suppliers are of good quality and as advertised is an important consideration for businesses using Alibaba.com. To allow international buyers to hire on-the-ground shipping inspectors in China easily over the Internet, the B2B website four months ago added 38 Chinese inspection services to the platform. Through the site's Inspection Service, buyers can choose among these independent contractors and, at relatively low cost, hire one to physically visit suppliers all over China to confirm they are getting what they paid for before their orders are shipped overseas. 
But who watches the watchers?  
How can buyers be confident that the inspectors, who they are hiring sight unseen, are competent and trustworthy? That issue has been addressed with the addition of a customer feedback and rating system, which is live on the website. From now on buyers who have used the services of an inspector can leave behind a review and rank their inspector on a scale of one to five stars. Those ratings and reviews are displayed on the site so others can decide which services are reliable. Buyers who feel their inspection was conducted improperly have up to three months to dispute a transaction, and can receive up to 20 times the cost of the service if they win their case. Payments can also be protected by escrow. The feedback system was just launched so there aren't many reviews on the site yet, but to take a look at a typical feedback page for one of the top inspection services, click here.

Thursday, December 1, 2011

Fraud and Scam Prevention on Alibaba.com

Just doing some basic research can help you avoid fraud. Would you buy a watch from a guy on the street? A car without doing some due diligence? So that's why it's important to check out who is legit and who is not by periodically reviewing the Alibaba.com Banned Paid Member List.

An ounce of research prevention is worth a pound of Alibaba Fair Play Fund cure. Trust me.

Just doing some basic research can help you avoid fraud.  Would you buy a watch from a guy on the street?  A car without doing some due diligence?  So that's why it's important to check out who is legit and who is not by periodically revieiwng the Alibaba.com Banned Paid Member List.

Here's the latest list of the  Banned Paid Members on Alibaba.com (October, 2011) - from Alibaba.com Safety and Security Center:
On October, below companies have been removed from Alibaba.com due to suspected fraudulent or other illegal activities reported by our members. Alibaba is always contributing to a trustworthy and safe business platform. Due to our constant efforts and the help of our members, suspected fraudulent or other illegal activities are closely monitored and dealt with.
However, we advise you to Online Security Department of Alibaba.com immediately if you encounter any suspected fraudulent activity on Alibaba.com. Our service team will follow up accordingly in order to avoid repeat offences.
 
Company Name Registered Country/Region Membership Type
ANHUI HUACHENG HEALTH EQUIPMENT CO LTD China (Mainland) Gold Supplier
BRADIMIRA SILV SRL Romania Gold Supplier
Changchun Yuan Chang Economic And Trade Co., Ltd. China (Mainland) Gold Supplier
CND Technology Co., Ltd. China (Mainland) Gold Supplier
Dongguan Ganzda Metals Manufacturing Co., Ltd. China (Mainland) Gold Supplier
Fujian Yuansheng Foods Industry Co., Ltd. China (Mainland) Gold Supplier
Hangzhou Holypharm Biotech Co., Ltd. China (Mainland) Gold Supplier
K-Top International Ltd. Hongkong Gold Supplier
PRINTMAX IMAGE CO LTD China (Mainland) Gold Supplier
QFMEAT OU  Estonia Gold Supplier
Shanghai Jinnuo Superbike Parts Company Limited China (Mainland) Gold Supplier
Shenzhen B.C.T Computer Co., Ltd. China (Mainland) Gold Supplier
SHENZHEN ELINK TECHNOLOGY CO LTD China (Mainland) Gold Supplier
Shijiazhuang Jinghua Magnesium Co., Ltd. China (Mainland) Gold Supplier
Taizhou Luqiao Xinnuo Plastic Firm China (Mainland) Gold Supplier
Wudi Long Teng Co., Ltd. China (Mainland) Gold Supplier
Xiamen Zhenglan Glass Co., Ltd. China (Mainland) Gold Supplier
Xian Avatar International Trade Co., Ltd. China (Mainland) Gold Supplier
Zhejiang Fuwo Electric Appliance Co., Ltd. China (Mainland) Gold Supplier

Wednesday, November 30, 2011

Reputation Matters When Buying from Online Chinese Merchants

Found this interesting article on Alizila today, laying out survey data on people's level of comfort in buying from China-based suppliers.

Interesting read.
More than 85 percent of Chinese consumers cite price as the main reason they shop online but a merchant's reputation is the most important factor consumers consider when they choose a website to buy from, according to a survey by U.S. digital marketing company Acquity Group.

The survey, which provided a glimpse of Chinese e-shoppers attitudes, found 45 percent bought something online at least weekly, and 44 percent did so between once and three times a month. Acquity Group polled more than 1,000 consumers in 150 cities. (Download the survey results here.)

Consumers continue to depend heavily on services run by Alibaba Group, China's largest e-commerce company, when shopping on the Web. More than 40 percent of online shoppers said they discovered e-tailers through Alibaba's Taobao, the country's largest B2C and C2C website.

More about buying attitudes in China
That compared with 27.5 percent who said they discovered retailers through web advertising; 18 percent who relied upon recommendations from friends; and 7.8 percent who used search giant Baidu to find merchants.

Nearly 70 percent cited online payment service Alipay, also owned by Alibaba Group, as their preferred e-payment method.

The paradox of the Chinese consumer
Nearly two out of three consumers are concerned about customer service and getting stuck with fake goods when shopping on the web, which helps explain why merchant reputation is important to online shoppers. Those surveyed also said product quality and price were important determinants in where they shop online.
 

Tuesday, November 22, 2011

Alibaba.com Safe Trading Guide - Don't Get to the Fair Play Fund Phase!

Good advice from Alibaba.com on how to trade safely. Again an ounce of prevention is worth a pound of cure when:

  1. Doing your homework before trading;
  2. Making safe trades;
  3. When necessary, use the Alibaba dispute process; and
  4. Using the Alibaba Fair Play Fund.
Here's a "how to" from the Alibaba.com Safe Trading Guide:


Verify Companies Online
Verifying a Company's Registration Verifying a Company's Registration
It is important to verify the company registration of the buyer/supplier that you want to trade with. This is to ensure that they are real and legitimate in the country/region that they operate in. Learn more
Verifying IP Addresses Verifying IP Addresses
Email IP addresses can be verified to make sure that the buyer/supplier is really from the country/region that they claimed to be from. Learn more
Verifying Phone Numbers Verifying Phone Numbers
You should always check that the phone number of the buyer/supplier you intend to trade with is real. Learn more
To learn how to make international phone calls, click here
Verifying Zip Codes Verifying Zip Codes
Check your buyer/supplier's postal/zip codes to make sure the address provided is correct. Learn more

Thursday, November 17, 2011

Checking Out Alibaba Sellers: Their A+ Program

As I have mentioned before, as I see it, Alibaba takes user concerns, complaints and fraud seriously.  To do otherwise would be a disastrous business model.

I troll the Alizila site from time to time - it's a site about Alibaba and by Alibaba but that does not sugarcoat any of the news.  Seriously.

Today, I found an interesting piece.  It's entitled "AliExpress Rolls out A+ Seller Plan."  It details how the company is getting tougher on quality inspection.  Better inspections mean less fraud.  Less fraud means less use of the Alibaba Fair Play Fund.

Have a read:

Chinese exporters selling products overseas on Alibaba.com's AliExpress platform can boost their visibility through a new program that spotlights vendors who meet tough product quality and service standards. 
AliExpress is recruiting merchants to join its A+ Seller Plan, whose members will be able to brand their online stores with special icons identifying them to buyers as premium vendors. Products offered by A+ members will also get priority search ranking. 
To earn the A+ badge, vendors must have positive ratings from buyers and a low number of disputes. A+ sellers also must meet service standards set by AliExpress, such as guaranteed fast delivery (shipment within 48 hours of payment for merchandise not delivered by boat) and customer-friendly return policies. If products do not match their descriptions on the website, buyers can return purchases within 15 days and sellers must pay all shipping costs.
The A+ program is Alibaba.com's latest initiative to boost the trustworthiness and professionalism of merchants on its websites. Chinese e-commerce companies have been plagued by high numbers of scammers and counterfeiters who circumvent standard verification checks to cheat buyers. "The purpose of the A+ Seller Plan is to offer higher quality products and suppliers in order to speed up the development of AliExpress," said an official with the company. 
AliExpress is a transaction-based platform that allows buyers to purchase goods in smaller quantities than are typically available through wholesalers on Alibaba.com. AliExpress is ranked No.1 by Alexa.com among international B2B websites in terms of traffic.
To encourage more vendors to join the A+ plan, AliExpress is charging qualifying members a 3% transaction fee, lower than the rate paid by standard vendors, the company said.

Tuesday, November 15, 2011

Use Your Research Skills, Not the Alibaba Fair Play Fund

I found this on the Alibaba U.K. International Trade Guide.  It's interesting in that it lays out of the steps for getting the quality that you expect, being prepared, avoiding fraud and ensuring that you don't end up having to use the Alibaba Fair Play Fund.  And once again, it's all about doing your homework. Have a read:

For business owners, there are plenty of compelling reasons to source products from overseas. Not only are items generally provided at a lower cost, but in many cases, an international supplier may be the only option available.

While the positive aspects of working in the international market can be very attractive, it's crucial to remember that there are a variety of problems that can be encountered.

But for smart buyers, careful planning and taking the time to do careful research can help you avoid the majority of difficulties entirely. In most cases, simply by confronting these issues early on, you will prevent them from becoming permanent barriers to success.

3 ways to ensure you're getting the quality you expect

As a retailer, the quality of the products you provide to your customers is of utmost importance. It doesn't matter if what you're selling costs 拢500 or 50p: if the product does not match client expectations, you will struggle to build a lucrative business.
Therefore, if you're going to source your inventory from a global wholesaler, it's essential that you take steps to ensure the items you order are exactly what you and your customers will be expecting.

1. Get specific information
Once you find a wholesaler that interests you, begin asking for descriptive information about the products you want to source. This can give you a very good idea of what the company is offering and if it's the sort of product you will want to sell.

For example, you might want to find out what the product is made from, how it is assembled, what the dimensions are, what materials are used to decorate it and how it is packaged, as well as its weight.

The questions you ask will depend on the particular item that you are ordering, but you should endeavour to be as thorough as possible, helping to ensure you don't get any unpleasant surprises when the first shipment arrives.

If it's appropriate, you can also ask for samples to be sent. Having the physical item in front of you can give you much more confidence in the quality of the product that you're going to be selling.

2. Check out the company's supply chain
Finding out where a company sources its raw materials from can also be beneficial, as it can help you ensure that the products are exactly what you're looking for.

Depending on the products that you want to sell, it may be a good idea to do a bit of research into the supply chain to make sure that the materials they provide are consistent and fit for purpose.
You should also confirm that the company will actually be the one making your product. Sometimes, one manufacturer will subcontract orders to another company. This could be due to a high workload, or the difficulty of the project. Whatever the case, this is something you should try to avoid, as it could result in unexpected delays, an inconsistent product or other similar difficulties.

3. Check their accreditations
Currently, there are a number of internationally recognised accreditations that companies can get. These have been designed to give you peace of mind that the organisation you choose to work with is trustworthy and follows a set code of conduct, both in house and when working with customers.
ISO 9001 is one such recognition. This is an indicator of good quality management and those who earn this accreditation have shown that they provide consistent products that meet customer expectations.
In some cases, it might also be appropriate to seek out companies that have achieved Fair Trade certification, which means that they offer reasonable payment to producers and workers, as well as considering issues such as sustainability and community development.

Consider the language and cultural differences

When dealing with people from other countries, our first concern is probably the language barrier. And it's true that this can lead to confusion or other such problems.
If you don't speak the local language, don't assume that somebody at the company will speak English - although it's likely they will. Always look into the language situation early on and keep this in mind when making a final decision.

Additionally, it's important to remember that business practices around the world vary significantly and it can sometimes cause difficulties. Before starting communications with a company, be sure to do a bit of research to find out a bit more about their culture, and try to be both patient and flexible when you do encounter differences.

Establishing trust

While the majority of companies that you come across will be legitimate firms working hard to earn your business, it's an unfortunate fact that there are also people out there trying to scam you. Therefore, it's important to do what you can to ensure that the organisation you are dealing with is genuine before you send them any money.

There are a number of different ways you can approach this matter, and it's recommended that you undertake various checks to make sure the company is legitimate. Reverse-telephone look-ups can be an advisable way to start and it is good practice to avoid companies that only use mobile numbers or free email addresses as contact information, due to their disposable nature.
It might useful to ask the company for bank information or business certificates, or perhaps request the details of some of their other clients to get recommendations. If you're dealing with an overseas firm, you may also want to get in touch with your embassy in that country: they should have access to a list of registered businesses.

And don't forget to trust your own judgement and instinct. If something doesn't seem right about the company, do more research, or find another firm that you do trust.

Find an overseas supplier with help from Alibaba.com

Here at Alibaba.com, we have been providing an international sourcing solution for over ten years. Whether you are a seller on eBay or Amazon, an owner of a small enterprise or are a buyer for a high-street chain our site offers the perfect resource to find new products.

Our database includes more than 53 million registered users from throughout the UK and Europe, as well as much further afield in countries like the US, China and Japan. They range from wholesale suppliers, manufacturers to importers and exporters, as well as B2B traders, and they operate in just about every sector you can think of - including fashion, automotive, consumer electrics, food and chemicals.

To begin finding overseas suppliers with help from Alibaba.com, simply search or browse our listings. If you're thinking of starting a business and don't know what to sell, our site can also provide some great inspiration. Once you find a product or supplier that matches your requirements, you can get in touch with them to request further information.

If you'd like to get even more from Alibaba.com, why not register today? It's free and you'll get complete access to our entire database, as well as a variety of useful tools. And be sure to find us on Facebook, where we'll keep you up to date with the latest news, and more hints and tips for working at an international level.