You have decided to sell online in Vietnam โ but where do you actually get the products?
This is the question that stalls most new online sellers. You see other Shopee stores doing thousands of orders, but you have no idea where they source their products, what the wholesale prices are, or how to find suppliers who will not disappear after two weeks. This guide covers every sourcing channel available to Vietnamese online sellers โ from local wholesale markets to importing from China โ with real costs and the risks you need to understand.
What Is Product Sourcing and Why Does It Matter?
Product sourcing is the process of finding and purchasing products to resell. It is the single biggest factor that determines your profit margin โ buying at the right price, the right quality, from the right supplier creates a competitive advantage that no amount of advertising can replicate.
According to the Vietnam Ecommerce Association (VECOM), product costs account for 40-60% of selling price for Vietnamese online sellers. That means if you can reduce your cost of goods by just 10%, your profit can increase by 20-30%. Finding better suppliers is often more valuable than becoming better at running ads.
But finding a good source and finding a reliable supplier are two different things. The sections below will help you with both.
Why Sourcing Matters for Vietnamese Online Sellers
Imagine this: you start selling phone cases on Shopee. You buy 100 units from a seller on Facebook for 25,000 VND each, listing them at 59,000 VND. Sounds profitable โ but after platform commission (6%), your share of shipping costs, and 3 returns due to defects, your actual profit is only 8,000 VND per unit.
Meanwhile, if you find a manufacturer in Binh Duong selling at 12,000 VND per unit (MOQ 200 units), your profit doubles at the same selling price. And quality is more consistent because you are buying directly from the factory.
Sourcing is not just about “buying cheap.” It is about buying the right quality, at the right price, from a supplier who delivers on time and will still be there next month.
Sourcing Channels for Vietnamese Online Sellers
Channel 1: Domestic Wholesale Markets
This is the most traditional approach and still the most effective for new sellers who want to see products before buying.
Southern Vietnam:
- Binh Tay Market (District 6, HCMC) โ the largest wholesale market in southern Vietnam, covering everything from clothing and shoes to household goods. Minimum order typically 12-50 units per item
- An Dong Market (District 5, HCMC) โ strong for clothing, fabric, and fashion accessories
- Kim Bien Market (District 5, HCMC) โ cosmetics, chemicals, raw materials
Northern Vietnam:
- Dong Xuan Market (Hoan Kiem, Hanoi) โ the largest wholesale market in the north
- Ninh Hiep Market (Gia Lam, Hanoi) โ low-cost clothing with low MOQs
Advantages: See product quality firsthand, negotiate prices face-to-face, no international shipping fees, take products home same day.
Disadvantages: Requires physical visits, product variety may be less than Chinese sources, prices can be higher for small quantities.
Tip: Visit 2-3 times before buying. First visit is just for looking and asking prices. Come back with a specific list and negotiate on your second visit.
Channel 2: Importing from China (1688 and Alibaba)
This is where most high-volume Shopee and Lazada sellers in Vietnam source their products.
1688.com (Chinese domestic market):
- Cheapest prices โ typically 30-50% cheaper than Vietnamese wholesale markets
- Entirely in Chinese โ requires Google Translate or a Vietnamese ordering agent
- Lower MOQs than Alibaba (as low as 5-10 units for some suppliers)
- Payment via Alipay
Alibaba.com (international):
- English interface, much easier to navigate
- Prices 10-20% higher than 1688
- Trade Assurance buyer protection
- MOQs typically 50-500 units
How to import from China:
- Find products on 1688 or Alibaba
- Contact suppliers, ask for pricing, MOQ, and product samples
- Order samples (50,000-200,000 VND per sample + shipping)
- Evaluate samples, negotiate bulk pricing
- Place order and choose shipping method:
- Sea freight: cheapest (5-8 VND/gram), takes 15-25 days
- Road freight: balanced (8-12 VND/gram), 5-10 days
- Air freight: fastest (15-25 VND/gram), 3-5 days
Reputable China-Vietnam ordering agents: Nhat Tin Logistics, iChina, Vietcargo. They charge 3-8% of order value but handle everything: ordering, quality inspection, shipping, and customs clearance.
Channel 3: Domestic Manufacturers
This is the best sourcing option if you want to build a private label brand with your own packaging and branding.
How to find manufacturers:
- Google search: “[product] + factory + [province]” (e.g., “cosmetics manufacturer Binh Duong”)
- Browse Yellow Pages Vietnam (yp.vn)
- Attend industry trade shows (Vietnam Expo, Mekong Beauty Show)
- Ask in specialized Facebook groups for your product category
Key manufacturing regions:
- Binh Duong, Dong Nai โ furniture, plastics, garments, footwear
- Ho Chi Minh City โ cosmetics, processed food, packaging
- Hanoi, Bac Ninh โ electronics, tech accessories
- Da Nang โ handicrafts, bamboo products
Advantages: Full quality control, ability to add your own branding and packaging, no import duties.
Disadvantages: Higher MOQs (typically 500-1,000 units), requires in-person negotiation, production lead time of 2-4 weeks.
Channel 4: Dropshipping in Vietnam
If you do not want to hold inventory, dropshipping is the lowest-risk option.
Vietnamese dropshipping platforms:
- Droppii โ largest dropshipping platform in Vietnam, thousands of products, integrates with Shopee and Lazada
- Kho Si โ app connecting sellers with dropship suppliers
- Sendo Farm โ specialized in agricultural and food products
How it works:
- Register on a dropshipping platform
- Select products to list on your store
- When you receive an order, forward it to the supplier
- The supplier packs and ships directly to your customer
Costs: No monthly fees on most platforms. Profit margin of 10-20% on selling price.
Warning: Dropshipping sounds easy but is hard to do well. You cannot control packaging quality, delivery speed, or product condition. If the supplier ships a defective product, the bad review goes on YOUR store โ not theirs.
Pro Tips
- Always order samples first: Whether sourcing from wholesale markets or China, always buy 2-3 samples before placing bulk orders. Spending 200,000-500,000 VND on samples can save you from losing 10 million VND on substandard goods
- Diversify your suppliers: Never depend on a single supplier. Have at least 2 sources for each main product โ as insurance against stockouts or price increases
- Build long-term relationships: Suppliers give better prices to repeat customers. Pay on time, minimize unnecessary returns, and gradually increase order volumes
- Calculate total landed cost: The product price is only part of the equation. Add shipping, platform commissions, packaging, returns, and advertising to get your true cost of goods
The next section covers the most expensive sourcing mistakes โ and tip number 2 above is the fix for the most common one.
Common Mistakes to Avoid
- Choosing suppliers based only on lowest price: The cheapest supplier usually delivers the lowest quality. When customers return products or leave 1-star reviews, the hidden costs far exceed what you saved. Choose suppliers who offer reasonable prices AND consistent quality
- Ordering large quantities on your first purchase: Even if the supplier offers great pricing for 1,000 units, start with 50-100. Sell through them first, then scale up โ do not gamble your capital on unproven products
- Ignoring legal requirements: Some products require import licenses, safety certifications, or regulatory approvals (cosmetics, food, children’s toys). Selling without proper documentation can result in heavy fines and product confiscation
- Skipping quality inspection: Especially when importing from China. Hiring an inspection service (100,000-300,000 VND per inspection) or having your ordering agent check quality before shipping to Vietnam can prevent entire shipments of defective goods
Next Steps
Now that you know how to find product suppliers โ from domestic wholesale markets to Chinese imports โ the next step is deciding where to sell.
If you have not chosen a platform yet, read our comparison of the best ecommerce platforms in Vietnam to choose the right channel for your products and budget. If you are starting from scratch, our complete guide to starting an online business in Vietnam walks you through every step from zero to first sale.