Groupage or group importation is the alternative for importing goods when the quantity is insufficient to fill a container. Many SMEs and small distributors can find in groupage the solution to compete with large chains, as they can obtain better prices by dispensing with intermediaries and without the need to import large quantities of a single product.
Import operations can be carried out in two ways: by full containers or FCL (Full Container Load) and through the consolidation of batches of products from different suppliers or LCL (Less Than Container). When the LCL or groupage method is employed, the batches are grouped into a container by the transporting company and sent to the destination port, from where they are delivered to each buyer. Groupage is the solution for importing merchandise that, by weight or volume, is not sufficient to fill a container.
With groupage, importers who do not fill a container with a single order can carry out the operation saving on fixed transportation costs and documentation management. Bull Importer’s computerized system offers confidentiality and transparent billing in euros.
The price of transporting merchandise is always calculated based on weight and volume in cubic meters. Companies that market small-sized and lightweight products may find themselves in a situation where the transportation cost is so high that importing is not worthwhile.
Although groupage is proportionally more expensive than filling a container, it is the best alternative when the merchandise occupies less than half of a container. The groupage system is also often used by those who are starting to import from Asia and do not want to risk too much with large orders. For greater security, it is ideal for a specialized company to organize the group purchase.
Groupage with Bull Importer
Small importers typically seek products from various different suppliers. The quantities are too small to fill a full container with each order. The consequence is that fixed costs at the destination port and paperwork can become so exorbitant that the operation is not worthwhile.
The best solution to this problem is to resort to groupage. With this system, fixed costs are only paid once, making the importation profitable. However, if the buyer tries to handle the arrangements for the group purchase on their own, they may find themselves in a veritable maze of obstacles. Negotiations with the transport company and with each of the suppliers to get everyone on board can leave the buyer in the middle of a dead-end labyrinth.
Companies specialized in groupage, like Bull Importer, handle all these arrangements: they meet with suppliers to coordinate timing and negotiate better prices with the transport company responsible for the group purchase. This is the best option to save headaches and avoid problems that could delay or even halt the importation.
A successful and profitable groupage requires detailed planning. At Bull Importer, we have developed a management protocol and specific software for this type of operation. Cost reduction is very significant when 3 or more members are grouped in the purchase. Our company works with regular buying groups, which facilitates agreements and reduces acquisition costs.
These are the main advantages of importing through groupage via Bull Importer:
- Comprehensive management through specialized software
- Delivery tailored to the orders of all group members
- Transparent billing, individual or joint, and always in euros
- Absolute confidentiality
If you want to know in detail about the operation of groupages, contact Bull Importer. We will answer all your questions and offer you the best option for your imports from Asia.
