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Thursday, December 28, 2017

What you need to know about WhatsApp import groups

By MJC

If you have been on Facebook for a while, you may have noticed an influx of WhatsApp import groups. These groups are formed to get many people together to import few pieces of merchandise each collectively, so as to attain minimum order quantity (MOQ). Coming together to import goods in this manner has helped a lot of people who are starting out with little capital, and who can’t meet the MOQ by themselves.

However, having been a member of many such groups, there are a few negative aspects I have noted as explained below: 

1. The buying price and/or shipping charges might be slightly or grossly inflated. The founders/admins of these groups are more often than not, doing it to make money. This is not necessarily a bad thing, but most act like they are doing it from the goodness of their heart, when in fact they are there to make money out of it. They make money by slightly or grossly inflating the buying price as well as the shipping charges. Not forgetting pesa ya kutoa that you will add as you send the money via Mpesa.

2. Quality is not guaranteed. Most of the admins of these groups do not first get samples of the items to check quality. So sometimes you will get very poor quality items and you the member, will just have to take the loss –  a huge one if you dared make a large order.

3. There might be no compensation for items lost before they get to you. If an item is lost whether at the point of being packed by the supplier, in transit or at arrival shauri yako! There may be no compensation for you. And if compensated it either takes a long time to get the compensation or you are compensated with something totally different from what you wanted.

4. Dishonesty. Like I said most people who come up with these groups (the admins) are there to make money, which they won't tell you. The intense kind of work that's needed when putting together these group orders simply cannot be done for free. You will pay for it in one way or another. Some will combine different shipments and charge the group for the whole shipment yet the group’s merchandise was only a part of the shipment. Some will use the money you pay them for something else and then pay for your items much later. This means your items will arrive months late because the money for your items was diverted to other things. Which is not so bad if you are buying for personal consumption, but detrimental if you are buying for business because by the time you get your items, the market will likely be saturated with the “unique” item that your WhatsApp group ordered.

5. Poor customer service. In some groups you will be treated very poorly. If you question anything you feel is off you will be berated, sometimes even insulted. Some admins don't even answer your questions within the group or if you contact them directly.

6. Con men. There are a few con men and women who have managed to swindle people out of their money using these import groups. I have seen it in two groups.

7. Undisclosed storage fees. Some of the admins  of the import groups don't have shops in town (Nairobi CBD) which means they have to store items in other people's shops who then charge you daily storage fees. The longer you take to pick your items, the higher the storage fee you pay. So, if you take several days to pick your consignment you may end up having paid retail prices for the items after including storage fees in the mark-up, which means you can’t sell your items at a competitive price. Often you are given a day or two to pick your items before storage charges start to apply, but in some cases, the charges apply from the first day.

8. Herd mentality that makes you buy worthless or hard-to-sell products. It's normal human behaviour to gravitate towards things that seem to be popular. But take your time to actually research about that popular product, check if there is a market for it before you order several pieces that you will be stuck with.

 I did encounter a group where the admin was very honest, was kind enough to teach us the process of importing for ourselves, did not inflate prices, made sure everyone got their order,  so there is still hope you may yet find a group that's a good fit. (Unfortunately she quit group orders after a couple of times. I told you the work involved is too intense to be free).



In conclusion, WhatsApp import groups can be of great help, but you have to go in with your eyes wide open. Be ready for all the things I've listed.
  • Demand for accountability and better customer care because contrary to what the admins of these groups want you to believe, it is a business and you are their customer.
  • Research and know the wholesale prices for the items you want. This is easy especially if you are importing from China. Go to Alibaba and contact a few suppliers and they will give you quotations that you can use to compare with what your WhatsApp import group admin is offering.