In recent years, and the heat of a growing market bankrolled by big spending and investment of the leading manufacturers, e-business ecosystem in southern China have brought to market a tremendous facility for anyone had a chance to resell models and designs predefined. Many brands started well and have evolved into a own model or hybrid.

Good, I would like smartphones 10,000 49.5 $

The first thing we need is a manufacturing partner, or erector. It is basically the which puts contacts and work, creating -through other partners- the terminal that you want Typically these companies, there are hundreds of them already have a dozen-or two or three of them predefined models to choose from.: already have a processor, memory, camera, screen and all elected. you just have to confirm how you want to personalize it.

A spiral intermediaries and taxes become a terminal with a cost of $ 25 one $ 75 put on sale

Normally they’ll let you customize some stuff base, while the relationship grows. During the first orders, these manufacturers only let you customize the exterior with your logo on the outside of the terminal that will be located at the rear and / or the previous one. it also tends to have different colors available, but do not expect variety, tinting plastic requires a specific machinery, and many manufacturers choose offer very concrete finishes, usually white or black.

During the Mobile World Congress Hipertextual could sit and talk relaxed with many members of the two sides of industry, producers and distributors, to analyze how this sector of the industry works.

Orders of two, five or ten thousand terminals are enough to start a prosperous relationship. There are options with a value ranging from $ 20 per unit to beyond 150 $, if you want to climb, it’s almost better get a terminal-made, with a custom chassis, and then things get too complicated.

The software, a relatively recent version of Android. None offered Android M “for now” but “are working on it.” We Android Lollipop 5.0 and 5.1 by all manufacturers with whom we spoke, including Google Play Services. They are responsible for the license, or rather, its members ranging in the chain immediately before they do. At the end, when the device reaches the customer’s hands -usually the distributor, in this case us- is not the final seller, there are several steps until it reaches the customer.

Choose the model, your apps, your logo, your boot animation, your wallpaper, the design of the box and ready. Sign here, are $ 500,000. In 80 days you will have several container full of smartphones. Ready to compete with Samsung and Apple?

Our new partners will also allow us to select the wallpapers established, animation power, applications that want pre-installed, etc.. None of the manufacturers we spoke Hipertextual have confirmed option to install alternatives like Cyanogen, because “require additional licenses” or a simple “we can not” said in broken English. The most likely reason is that many are not really another link and your provider is not allowed.

“We could visit the factory before ordering?” We wonder, which requires a previous pre-agreement for 10,000 units. “Normally our customers they do not need to visit the factory,” tell us, they are usual buyers or based on personal contacts that exchange contacts between manufacturers in southern China and distributors worldwide. “The best manufacturers across China,” shouts an Israeli heavily accented English, as I look smiling when entering the booth of our manufacturer. They are old acquaintances, “spent years working with them, we sell throughout the Middle East to different local and regional operators.”

Initially the Orders can be 5,000 or 10,000 units, with payment in advance. delivery is so only between 30 and 40 days after you make the order. it is extremely easy to have your own brand of smartphones.

What to do with several full of smartphones in China

After you place the order, the manufacturer and you organize yourselves a pick up at your factory. 25 pallets of European standard-not refrigerados- full smartphone models you have chosen. then will hire an agency to complete us the freight of the goods, in this case opted for the seaway, with the fuel price is very cheap. Big companies like Apple or Samsung, they need move millions of smartphones in days, hire fleets of aircraft to DHL or UPS that made the original supply before a release.

The freight of a container between the port of Shenzhen and Valencia, Spain is about 350 €, according to port sources consulted by Hipertextual . To which we must add administrative fees of the local port of departure, port of arrival, clearance costs, management, security fees and extra insurance, which leave us the price at about 2000-2500 € per container. We will have our smartphones ready in the port of Valencia between 31 and 33 days. Although it seems that the hardest part is done, you’re wrong. Touch pay VAT on products, 21% of the declared value if Spain, the European Union has very relaxed tariffs for electronic products, in this case are 0%, that you’re wearing.

How to distribute ten thousand phones

This already is up to you. Surely you’ve taken advantage of more than two months from order to ensure some buyers who distribute your terminal, the end of the day you are a dealer, do not you think? It’s easy, believe me. From the port you can hire transportation agencies to conduct proper distribution for you, the cost of retail distribution is high. It will cost more to ship pallets full of smartphones from Valencia to Madrid, for example, that would have cost you bring from China.

If you have been ready with your contract negotiated sales will have to be your buyers to take charge of the next tranche of the distribution. If you have managed to get 30% of your new smartphones buy them a large area, you sold another 30% to an operator and 40% to another distributor that handles move them between their small neighborhood shops, congratulations, you have a varied portfolio.

But now want to grow

The thing remains complicated then. If you want to spend, say, sell 10,000 to 50,000 sell smartphones, need more supply contracts with customers. You need an online presence to sell directly and stay with their cake, but most need a marketing campaign.

You need to let people know your smartphones there first, you need to give reasons. A marketing campaign for the press to know that there, sending press releases, media buying and added several thousand euros to your bill, you have to add as a cost to each terminal you sell.

so start importing the volume, if you can distribute 5 times more smartphones, can split the cost of the advertising campaign the more terminals, making them cheaper.

Remember you are not alone. You need some meetings, and perhaps an agreement with a bank for a couple of lines of credit or a business loan, but others are doing exactly the same as you. There are more than 1,000 companies around the world doing the same thing you, a number that increases over time. All struggling to scrape a few dollars on each terminal sold, be able?

Hipertextual