Product Sourcing

From product opportunity to landed cost.

A product is not treated as commercially viable simply because it can be bought overseas. Anchor first works through the supplier, import requirements, costs and intended market before deciding whether an order makes sense.

Step 1

Define the product case

Understand what the product is, who the likely buyer is, how it compares locally and why the opportunity is worth investigating.

Step 2

Assess the supplier

Review company information, product specifications, pricing, minimum order quantities, stock availability and supporting documentation.

Step 3

Review the import route

Identify the likely tariff treatment, freight method, clearing requirements and any product-specific permits, approvals or compliance steps that may apply.

Step 4

Build the landed cost

Allow for purchase price, shipping, insurance where applicable, duties, VAT, clearing costs and other costs required to get the product into saleable position.

Step 5

Confirm the route to market

Assess expected selling price, channel, product presentation and the practical steps required to reach the intended customer.

Step 6

Commit only when it makes sense

An order should follow a workable commercial case. If the numbers, supplier or compliance route do not make sense, the opportunity should not proceed.

What sits behind the decision

The detail will differ by product category, but the commercial questions remain similar.

Market demandSupplier credibilityProduct specificationMinimum order quantityFreightDuties & taxesClearing costsComplianceSelling priceGross margin

Where a category requires specialist regulatory, customs or technical input, Anchor will rely on the appropriate external professional rather than assume a requirement does not apply.

Not every opportunity needs to become an order

Walking away from a weak product can be as commercially important as finding a strong one.

Margin too tight

If the landed cost leaves insufficient room once the product reaches South Africa, the overseas purchase price is not attractive enough on its own.

Supplier risk too high

Unclear grading, inconsistent specifications, weak documentation or uncertain supply can undermine the opportunity before shipping starts.

Compliance unclear

Where the regulatory route cannot be confirmed, the correct response is to clarify it before committing capital.

Supplying products internationally?

Anchor is currently establishing relationships with credible suppliers across selected categories.

Supplier Information