Do You Really Need a Sourcing Agent? Maybe Not.

By Tom, Founder of TOMSOURCING

27^th of July, 2025 in Shanghai

In the world of global product sourcing, people often ask me:
"Can you help me find a supplier, negotiate the price, manage production, control quality, and deliver on time — for $50 or less?"

After years of working with hundreds of clients across different countries and industries, I’ve come to a conclusion:

Not everyone is ready for a sourcing agent. And that’s totally fine.

Let me explain why.

1. Sourcing agents are not free tools

Many people treat sourcing agents like some kind of invisible spy — someone who can dive into factories, uncover hidden prices, and extract magical supplier lists... all while being paid like a Fiverr assistant.

It doesn’t work that way.

Finding the right supplier is a complex, time-consuming, and high-stakes job. It requires judgment, communication, local experience, and often a lot of trial and error.

2. If you’ve never run a business before, you probably underestimate the value of time

I've had people complain:

“Why does it take you 30 minutes to reply to an email? That should only take 2 minutes!”

Well, if you think writing a supplier request, following up, cross-checking certifications, and summarizing findings only takes 2 minutes — maybe you don’t need a sourcing agent. Maybe you need to try doing it yourself first.

3. Let’s talk about taxis. Yes, taxis.

Imagine you’re traveling from Point A to Point B.
You have options:

• Walk (free, but exhausting)
• Rent a bicycle (cheap, but takes effort)
• Take the bus (economical, but slow and inflexible)
• Rent a car (convenient, but needs skills)
• Take a taxi — fast, flexible, door-to-door

A sourcing agent is like that taxi driver.

You can absolutely go alone, or try a cheaper route — and that’s fine.
But don’t expect taxi-level service while only paying a bus fare. And don’t say, “I also own a car at home,” while haggling with the driver.

4. Some products aren’t worth hiring an agent for

I’ve met clients whose products couldn’t even support the basic sourcing cost.
When your gross margin is $5 per unit, and you expect to pay a sourcing agent $3–5 while still making a profit, it’s simply not viable.

Not every project needs a sourcing agent. And good sourcing agents know when to walk away too.

5. Expecting "networks" and "guarantees" up front is a red flag

A responsible sourcing agent will always need to research, validate, and test new sources — especially for niche or custom products.
Yes, we have local networks and past experiences, but each project is different. The idea that a sourcing agent should instantly have “trusted factories” for every item is unrealistic.

And if you want lowest price + highest quality + no MOQ + full transparency... you're not sourcing. You're daydreaming.

6. It’s not about how many clients we serve — it’s about how deep we go

Some agencies claim “6000+ clients served” on their website. Sounds impressive, right?
But real sourcing is not about volume. It’s about trust, continuity, and business intimacy.

I don’t want to serve 6000 clients.
I want to work with 6 long-term partners, and go deep with them — understanding their needs, protecting their interests, and helping them grow.

If a client works with 10 sourcing agents, none of them will truly commit.
Likewise, if an agent sells the same product to 10 clients, that’s not sourcing — that’s trading.