Free sample, a problem when starting new business?
Post 1 of 638
DREW23
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I am trying to buy plastic parts from a manufacturer company in Shenzhen, China but I have some questions first. I have asked for samples but they do not want to send me any free samples, even after I offered to pay for freight.

Here are their terms:

Country of origin: China
Shipment: EMS
Terms of payment: 100% T/T in advance Lead time: 20 days after the payment is in their ****
Bank fee: $25 per order

The price of the samples is $50 but then the EMS shipping is $38 and the bank fee is $25.

1- Is this a normal TOTAL price for a sample order?
2- Does anyone see any red flags?
3- What should be my reply to them?

I did a search for their name on here but nothing came up.

Thanks so much
Award 10 MVPs ( What's this? )for the best answer.
06 Jun 2007 21:07
Post 2 of 638
Rickyan
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Replying to [DREW23]:
Sir, I am doing business with customers from all over the world for 7 years.As I know,most Chinese producers can send samples to customers in low quantity and in low value.every producer has its policy about sample sending.For us, we can send free samples for the first time, the customer should bear freight cost.for future samples,samples cost(if cost reach our top level) will charge to customer in next order.So you need to know what is the main reason or problem for them to not send sample before receiving your payment.be closer from both side will be better to solve this issue.
12 Jun 2007 22:39
Post 3 of 638
AlexWang
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Replying to [DREW23]:Hi,friend,this is very normal not only in China,I think it is popular in all business.For the first time cooperation,both buyer and supplier need honest and reducing risk.For supplier,they maybe supply many samples to different customer everyday,so if all is free,it is also a big amount of cost for them.And you know,NOT each sample can bring a order,most of them are respond by nothing.
So now it is very common like this: ask some charge of samples,even more than value of goods to avoid the sample cheater,then refund the fee to buyer when they bring a real order in the future.
This is fair for both side,just understand each other,remember: Good beginning is a half of success.[em37]
12 Jun 2007 23:21
Post 4 of 638
Wendy Wu
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Replying to [DREW23]:normally ,china supplier would not like to supply free samples,u have to let them confirmed that you will have future business with them, at first ,if you really want to get the products for testing ,you can charge for the samples at the first time,when you place your order with them,you can ask them to cut down the price that worth your charges for the sample.
13 Jun 2007 00:34
Post 5 of 638
Replying to [DREW23]:

Hi there. Normally we will provide free samples to customer. It will be even better if the customer will pay for the freightcharges.

As for the payment terms, it depends on the customer. You can get in touch with me if you need any plastic material. We are able to provide you free samples with no obligation.

[em19]

Advance Mat
13 Jun 2007 01:46
Post 6 of 638
Replying to [DREW23]:

Hi Drew,

Normally, we do not need the customer to pay for the samples. At most, the customer will only pay for the freight charges. As for the payment term, we accept 60% TT in adv and 40% upon loading of container but its subjected to individual company. You may contact me for any plastic material, new or recycled.

Cheers.

Advancemat

13 Jun 2007 02:22
Post 7 of 638
Replying to [DREW23]:
There are lots of supplier/eporters who are ready to send samples when some buyers ready to pay freight.

So, try to find some other manufafturer/exporters of that product who can provide you free samples but freight charges paid by you.[em12]
13 Jun 2007 02:37
Post 8 of 638
Replying to [DREW23]:
13 Jun 2007 02:54
Post 9 of 638
1EUK
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Replying to [DREW23]:

Well the first re flag I have spotted is that wne you ran their name throught a seach engine and nothing came up. Thats a red flag in itself. Secondle you are using T/T for the payment terms when you have never used this company befre. They say the only time to use this method of payment is when you, the buyer and the seller have established a mutal trust and a businesses relationship. Besides if they are refusing to give you free samples, they are either a new businesses themselves and therefore do not have sufficient finds to accommodate for your request, or that are frauds who obviously trying to rip peoples off for their money. I mean what would be in it for a raudster of he/she were to give free samples to their 'customers'? As for ther other questions I do not kno but I hope this helps.

Regatds

Todd Gilbey
(Todd, no web URL's or company info please. Read the posting rules. Thanks. Mod)
13 Jun 2007 05:12
Post 10 of 638
Replying to [DREW23]:

YOU ARE RITE , THIS PROBLEM IS GOINGWITH ALL TRADERS ANYWHERE IN THE WORLD.

SELLER NOT KNOW HOW MUCH AMOUNT NEED TO PAY
TO SAMPLE RECEIVER MEAN BUYER.

AS PER MY SEARCH AND EXPRIENCE:
BUYER NEED TO PAY FOLLOWING CHARGES WHICH IS
TOO MUCH THAN SAMPLE COST>.
1] ATTN. WHEN SAMPLE COMES IN THEIR CUSTOM .

2] IF SAMPLE SENT BY UNCOMMERCIAL COURIER THEN BUYER NEED TO CLEAR THIS BY AGENT WHICH FEE IS VERYHIGHER OVER 50 $ TO 60 $ CUSTOM CLEARENCE .
& CUSTOM DUTY IS ALSO HIGHER FOR UNKNOWN PRODUCT ALWAYS. THEY TAKE HIGHER PRICE FOR CALCULATING REAL DUTY, AND ITS GOING 300 % TO 500 % AS PER OFFICER MIND.

3] LOCAL TAXES,LIKE OCTROI AND OTHER ONE.

4] EVALUATION IN MARKET,

5] PRICE DECISION SERVEY AND MANY MORE.

6] & FOR SENDING PAYMENT TO OVERSEAS BANK FEES ARE VERY HIGHER THAN SAMPLE COST IS 200 % OR 300 % . SO ITS NOT EASY TO SEND MONEY IN OTHER COUNTRY IF SMALL AMOUNT THAT IS BIG PROBLEM IN EVERY TRADERS TRANSACTION. I ALSO LIKE TO PAY FOR SAMPLES BUT ITS
NOT EASY BY THIS HIDEN CHARGES.

THIS POINTS IS VERY IMPORTANT , TO SEND SELLERS
THAT WE ARE GOING TO MAKE THIS EXPS WHEN YOUR PRODUCT RECD IN OUR COUNTRY.

IF ANYBODY LESS THE VALUE OF BANK FEES, AND
CUSTOM DUTY ON SAMPLES AND MANY MORE EXPS THEN
WORD TRADE IS EASY..

HOPE THIS SYSTEM WILL WORK NEAR FUTURE IN ALL OVER THE WORLD...

I HAVE CONFIDENT THAT YOU GOD GOOD ANSWER FROM ME..
THANKING YOU,

KISHOR
13 Jun 2007 07:11
Post 11 of 638
Replying to [DREW23]:
Ignore them,find another reliable factory,patiance pays,it surely sounds like a scam,
13 Jun 2007 10:11
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