If you want to grow your eCommerce business, it’s important to ensure that the products you sell are of high quality.
But how do you do that when manufacturing overseas?
Simple: By using a third-party inspection company.
In this guide, we’ll explain everything you need to know about these services to protect your business when purchasing stock.
What is a third-party inspection?
A third-party inspection is a thorough check of products carried out by an independent company, not affiliated with either the manufacturer or purchaser, to ensure quality control.
They’ll send the inspection team to the factory to conduct quality inspections and test the products to ensure they meet the required quality standards.
You will then receive a detailed report on the quality of the products, and any defects will be noted in detail, giving you the chance to rectify any issues with your manufacturer.
It’s essential that the goods are inspected by an impartial third party to prevent any misaligned interests. For instance, the manufacturer may claim that they have inspected the products and that the quality is good.
However, their motivation is to get the products shipped and receive the final payment, which may lead to bias.
Types of third-party inspection
Depending on the services you request from your hired third-party agency, inspections can take place at any time during production to conduct quality assurance.
The most common—and effective—timeframes for quality control checks are:
1. Pre-production inspection
During this step, the inspectors visit the factory before mass production begins to check:
- The raw materials and components that will be used
- The working conditions of the factory
This is done to ensure that the specified requirements will be followed during production and that ethical and sustainable practices are in place.
2. Production inspection
This is also known as the in-process inspection where products are inspected during the manufacturing process.
It’s also when a series of tests on the product is carried out to ensure that they are produced to the correct standard and that they meet product specifications.
3. Pre-shipment inspection
This inspection is the most common among eCommerce sellers.
It involves the checking of a sample of the finished goods to determine if they meet standard quality before they are packed for shipping.
The inspection company will choose a random sample size (usually 8%) of the inventory to inspect. It’s important they get this freedom to choose to ensure products aren’t pre-selected by the manufacturer and protect the integrity of the inspection.
4. Container loading supervision
This is also known as the loading inspection where an inspector supervises the packing of products into containers to ensure that they are packed correctly and securely before it’s sold in the market.
Each third-party inspection company may differ in the inspection services they offer.
Some companies may only offer the final inspection services, while some can offer pre-production inspection services until pre-shipment inspection services.
It really depends on what your business needs are and what you want to be inspected.
However, as a general rule of thumb, the earlier the inspection is done, the more cost-effective it will be.
This is because it’s easier and cheaper to fix problems and take corrective actions when they’re found early on in the manufacturing process.
We generally recommend our students carry out a pre-shipment inspection before paying the balance to their supplier to ensure all goods are in the expected condition and packed appropriately for the shipping process.
Selecting a third-party inspection service
With so many different inspection agencies available, it can be difficult to decide which one is right for you.
So, when looking for a reliable third-party inspection agency, here are some things you should keep in mind:
1. Experience
The inspection company should be familiar with the same industry and have inspected similar products in the past.
This is because each product has its own unique set of quality requirements.
As such, an experienced company will know exactly what to look for and how to carry out the tests efficiently.
2. Reporting quality
A good inspection service will offer thorough, detailed reports with notes, images, and even videos.
For example, here is a recent report I had carried out:
It’s 43 pages long!
To get an idea for how thorough a service might be, reach out and ask for a sample report—good agencies will be happy to provide this.
3. Certification and relevant accreditation
The company should be certified by an internationally recognized organization such as the International Organization for Standardization (ISO).
This is to ensure that the company has met certain international standards and that they’re qualified to carry out product inspections.
Additionally, depending on the product category your business is in, the agency should have the relevant accreditation.
One example is if you’re selling products meant for children or babies, as the agency will have to adhere to certain safety regulations.
4. Competitive pricing
The company should offer competitive prices without compromising on quality.
To get an idea of what a fair cost is, you can request quotes from different agencies and compare their prices.
5. Customer service
The agency should have an effective communication system in place and be responsive to your queries and concerns.
They should also provide regular updates on the progress of the inspection so that you can stay updated on the status of your products.
To find the best inspection agency for your business, you can start by asking for recommendations from other businesses in your industry or conducting an online search.
Also, make sure to read reviews and check out their website.
The inspection process
Once you’ve selected a third-party inspection agency, they will then reach out to your manufacturer to arrange a good time to visit.
Depending on which type of inspection you book, here are some of the key stages that may be involved:
1. Quality checks
Firstly, your inspection agent will thoroughly check the quality of manufacturing work that has taken place.
They will check:
- General quality: Looking for any bumps, scratches, or poorly cut sections.
- Printing: Testing to see if ink stays on the product and is a high-quality finish.
- Dimensions & weight: Measuring for accuracy compared to what you are expecting (very important if you are on the threshold of oversize on Amazon, for example).
- Barcodes: Testing to make sure they scan correctly.
2. Shipping readiness checks
Assuming goods are prepared for shipment, the agent will then check:
- Cartons: Your agent will ensure cartons are sufficiently protective for the product in question (eg. 3-ply or 5-ply). Standard practice is to carry out a drop test of a carton. Your manufacturer will usually not like this, but you should insist on it to make sure the goods are packaged well enough to endure the rigours of global freight!
- Shipping marks: Ensuring the correct markings are in place.
- Labels: Ensuring any shipping labels are applied correctly and scan without errors—especially important for Amazon FBA shipments.
Always schedule a pre-shipment inspection after the goods have been packaged into cartons so these checks can be carried out.
3. Report preparation
Once the inspection is completed, your agent will compile a detailed report and send it to you.
This should include photos and, where possible, video too.
You want to feel as close as possible to the manufacturing process, and these aspects really help.
4. Report follow-up
Finally, you need to study the report to see what it has revealed.
You should see a section like this:
It details any defects found in the inspection under three self-explanatory columns:
- Critical
- Major
- Minor
Giving each the respective number for the categories:
- AQL: Acceptable Quality Limit. An industry-wide standard of defect thresholds.
- Accepted: How many defects are accepted in each category given the AQL and sample size.
- Found: How many defects were actually found in each category.
If there are defects discovered in the inspection process that you are unhappy about it’s then best to use the report as leverage to get the issues resolved before paying any final balance and shipping the products.
You will find that pretty much every inspection you have carried out will have a result of ‘Pending’ as the agency will apply this status if there is a single defect—no matter how big or small.
The importance of third-party quality inspection services
Getting a third-party inspection company means hiring people who are excellent in their area of expertise.
What this means for you is that you get to avoid any potential problems down the line which may negatively impact your business.
Here are some of the other benefits of getting third-party inspection services:
1. Product quality
It’s important to ensure any products you sell meet customer quality expectations.
If they don’t, it could lead to customer complaints and negative reviews.
Initially, you may think that hiring a third-party inspection agency may be costly and time-consuming. However, in the long run, it can actually save you both time and money.
By ensuring that your products meet the required standards, you can avoid any issues further down the line that could end up costing you more time and money to fix.
2. Brand reputation
Your brand reputation is one of the most important assets of your business.
If you sell products that are defective or not up to standard, it can damage your reputation and make it difficult to attract new customers.
By getting a third-party inspection company to verify quality, you can be sure that your products meet the required standards, avoid quality risks, and protect your brand reputation.
3. Insurance requirements
Depending on the type of product you are selling and the type of insurance you have it may be required to have regular third-party inspections.
For instance, if you are selling products designed for children or babies, many eCommerce insurance providers will insist on a third-party inspection as part of your manufacturing process.
This helps maintain product safety and helps protect you in case of any legal claim.
Are third-party inspections worth it?
As an eCommerce business, it’s important to ensure that your products meet buyer expectations in terms of quality.
Otherwise, you risk complaints, negative reviews, decreased sales, and a bad reputation.
One way to mitigate this issue and best invest in the growth of your business is to hire a third-party inspection agency to carry out quality control tests on your products before they’re shipped out.
By hiring third-party quality inspection services to conduct the quality control inspection, you can be sure that your products meet the required standards and avoid any potential problems down the line.
When it comes to product quality, don’t take any chances!
