Why AliExpress Hair Becomes Cheaper Now

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I don’t know if you girls have noticed that AliExpress hair has become more affordable nowadays. It seems the change began at the end of 2013 and can be found everywhere now. We can find many hair extensions with less than $20 price now while most hair were labeled higher than $150 before 2013 end.

Many girls reflected they always got confusing when shopping hair extensions from AliExpress. However after reading this post your mind will become fully clear.

Why AliExpress Hair Become Cheaper Now

1. Logistics and inventory cost has been reduced greatly.

If you often buy virgin hair extensions from AliExpress, you must be familiar with these words, DHL Free Shipping to United States. Almost all virgin hair extensions on AliExpress are free shipping by DHL. However free shipping must be not free shipping. The shipping cost has been added to the product price as one kind of original cost. If the company rents a warehouse in China, there will be another kind of cost, Inventory Cost.

From the end of 2013, some AliExpress Top-rated sellers like Guangzhou New Star Hair Trading Co., Ltd. started to find ways reducing logistics and inventory cost. They tried to cooperate with DHL company for lower international transportation prices. They tried to rent local warehouse and find local people who can help them to deliver orders.

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The above picture means the seller has rent or built their local warehouse in United States. If you choose Ships from: United States, you will receive your package very quickly. What’s more, if there’re some quality problems with your ordered hair, you can get an exchange or refund soon.

Although renting a place in United States may cost a certain amount of money, it’s still cheaper than in China. Fast local delivery can also save both sellers’ money and buyers’ time. It’s a double win way.

2. Production cost has been reduced more or less.

When I say production cost here I mean human costs. The manufacturing costs are raising only a little these years. Since many hair factories are built in suburbs of Chinese less developed cites, the rent cost are very low now and won’t change much in the future. The only kind of production cost that raise much these years are human costs.

Almost all factories are trying their best to find ways reducing human costs, such as providing free food and board, hiring part-time workers, etc. There is also another way which becomes more and more acceptable, building factories in undeveloped countries like India, Thailand, etc. Building factories in these countries can not only save human costs greatly but also bring the factories some local government-provided welfare. Since these countries are close to the hair origins, they can save a large amount of international logistic costs.

3. Hair with different quality standards are made based on various customer needs.

The new appeared cheap hair items are made according to buyers’ new needs, buy common quality hair with much lower prices. Once before we want our hair last at least 2-3 years. But now 1 year or even less time period is enough. Sellers have produced some kinds of common hair which are made with very short time and of not top graded hair. This is why many hair extensions weigh at least 120g before and only 50g or less now.

As for hair quality, there are 2 kinds I can never accept and agree, bad hair quality and hair mix. Bad hair quality means the hair extensions or wigs are made of very very poor hair and may drop, tangle, fade when wearing a few times. Hair mix means mixing of human hair and other kind of hair like horse etc.

Keep in mind you will always get what you pay for!

4. High competitive so sellers cut their profits to boost sales amount.

In China there is a very common phenomena, Vicious Competition. At first there’re only a few hair store on AliExpress. Then some people found these hair stores were earning big money. Then many hair stores appeared on AliExpress. When competition became fierce, there will be always some sellers who cut their profits firstly to win customers. Then one after another. At last all hair stores have cut their profits from 30% to less than 10%. The only way to earn money for hair sellers now are boosting their hair sales. More orders means more money. That’s all.

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Hey ! VERY INTERESTING article about why it is so cheap and cheaper and cheaper on ALiexpress. I thought it was all about worse n worse quality. Thank you for your insight