The OEM (Original Equipment Manufacturer) and ODM (Original Design Manufacturer) Industry is growing every day, most especially in the IT industry. And for good reason:
- OEM & ODM saves resellers money
- OEM & ODM is known for producing higher quality products
- OEM & ODM harnesses valuable, no-fluff experience from industry professionals
This post will analyze each of these advantages from the reseller business point of view.
1. OEM & ODM Saves Money
OEM & ODM companies cut straight to the chase and deliver products in their raw, factory-completed form. Resellers purchase these products in bulk without the costly price of retail packaging, and also enjoy several other valuable advantages:
- The grunt work (the design, engineering, and testing) is taken care of by the manufacturer
- Lower production costs, since resellers don’t actually have to set up a factory to obtain products
- The final delivery is basically a “blank slate” waiting for the reseller’s brand to be added
As a result, resellers enjoy speedier production-to-retail processes that severely reduce any unnecessary overhead design, production, and retail packaging costs.
2. OEM & ODM Manufacturers Deliver High Quality Products
Many resellers make use of OEM & ODM because of the high level of quality they get with each product or solution. Following that same business model, competitive OEM & ODM Manufacturers are very careful with their selection of raw materials, and adhere to strict manufacturing policies and practices to ensure only the highest quality goods are delivered to the reseller.
For instance, Ci Design is an ISO 9001:2008 Certified OEM & ODM Manufacturer, adhering to strict policies for incoming materials inspection, in-process validation, outgoing quality checks, and document control. Ci Design also has a Green Policy that follows the RoHS standard, emphasizing the use of environmentally-friendly materials and the restriction of hazardous substances in the manufacturing process.
3. OEM & ODM Manufacturers Are Efficient:
They’ve Done This A Million Times Before
One of the most valued benefits of using an OEM & ODM Manufacturer is the high level of experience that comes with their services.
Flexibility With Customization
A competitive OEM & ODM Manufacturer usually has a good number of years of experience in the OEM & ODM industry, and as such they have designed and managed many different products and solutions for many different companies and brands, each with their own needs and custom specifications.
Having acquired such a thorough understanding of so many design, engineering, and manufacturing processes, the OEM & ODM Manufacturer is capable of supplying and supporting virtually any type of solution to the reseller.
Simply Re-brand & Repackage An Existing Product
Oftentimes an OEM & ODM Manufacturer will already have an existing, pre-designed, pre-tested, and pre-approved product line that can be rebranded and re-styled to the reseller’s specifications.
This creates huge advantages for the reseller:
- Minimizes the cost of design, engineering, and testing
- Only stylistic and branding changes need to be made
- Streamlines the production-to-retail process
Find out more about re-branding here, or get started with an existing product here.
By offering cost-effective, high quality, and efficient manufacturing solutions, OEM & ODM manufacturers offer huge business advantages that help keep resellers on top of their game in the competitive IT market.
