Views: 308 Author: Site Editor Publish Time: 2024-11-23 Origin: Site
Comparison between OEM and self-built factories
Shampoo and conditioner products
The market demand for shampoo, conditioner and other toiletries has maintained a high growth trend. Brands usually choose OEM factories to produce to reduce costs and improve efficiency. So, what are the differences and advantages between choosing OEM processing and investing in production by yourself?
1. Raw material procurement
Due to its scale and resources, OEM processing factories have strong bargaining power and can obtain high-quality materials at low prices, and use procurement strategies to optimize and reduce costs. However, brands that build their own factories have limited procurement scales and are difficult to enjoy the same benefits, and costs are easy to increase.
2. Production process management
OEM processing factories optimize processes with experience and technical teams. Large-scale production reduces unit costs as output increases, reducing resource waste and loss. Self-built factories require a lot of investment in exploration and debugging, and it is difficult to achieve economies of scale in the early stages, and the unit cost is high.
In short, there are many advantages to choosing OEM processing for shampoo and conditioner, which can reduce investment costs, improve production efficiency and profit margins. Brand owners should be cautious when choosing OEM factories and pick professional and reliable ones to promote the sustainable development of the brand.