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The Difference between OEM & ODM

Looking for a private label manufacturer to help you kick off your hair care product, but overwhelmed by the alphabet soup of abbreviations? Let us help to simplify the process.

Two important abbreviations that you will most likely encounter are OEM and ODM. OEM essentially stands for Original Equipment Manufacturer, and refers to a third-party establishment that will design, develop, formulate and manufacture the hair care product range from scratch, according to what you want.

ODM, on the other hand, is the abbreviated form of Original Design Manufacturer. This manufacturer will design and develop a staple of products from which you as the customer can choose and rebrand accordingly.

Now that we know what OEM and ODM are about, let’s delve into their pros and cons.

A Product That’s Truly Yours
As OEMs will formulate the hair care product line according to your requirements, this means that you’ll be starting from ground zero. As such, you have to expect to allocate more time and effort in the groundwork as you research and develop a formulation that aligns with your brand vision and other specifications.

Nevertheless, this also means that you get a lot of freedom and control in the entire research, design and development process. You will be able to shape your product the way you want to and ultimately obtain a unique product line that’s exclusive to your brand.

Modern Convenience
With ODMs, on the other hand, you are choosing from a range of ready-made formulations. This somewhat limits your options and you may find it difficult or impossible to find the formulation that meets all your requirements to a T.

However, you’ll find the planning and manufacturing process to be less extensive as you’re basically rebranding an off-the-shelf product. With the research and development step eliminated, you can enjoy a shorter lead time, and stock is generally readily available.

OEM or ODM – which approach do you prefer for building your hair care product line? At Crigen Accor, we offer both options. Chat with us to see how we can help you.

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