The terminology of ODM and OEM often confuses Taiwanese cross-border e-commerce sellers, but this choice is directly related to your product competitiveness and brand development path! This article will help you understand the essential difference between these two modes of OEM in the clearest way.
First sentence: OEM is "Original Equipment Manufacturer", only responsible for production, not involved in design and development.
Like Foxconn for Apple to produce cell phone parts, OEM manufacturers in accordance with the design drawings provided by the customer for production, characterized by high flexibility of customization, suitable for those who already have the product design capabilities of the brand side.
Second sentence: ODM is "Original Design Manufacturer", from R&D, design to production.
For example, Samsung provides OLED panels for Apple, and ODM manufacturers hold the core technology and formula, which is suitable for enterprises that want to focus on brand marketing and sales.
Third sentence: The choice depends on your resources and needs, there are no absolute advantages or disadvantages.
Did you know? Many brands only consider cost when choosing an OEM model, but neglect long-term development! In fact, the most suitable OEM model should be evaluated based on the company's existing resources and product categories.
The OEM process usually consists of six key steps: confirming the customer's requirements, sampling and testing the product, confirming the final version of the product, confirming the packaging of the product, putting the product into mass production, and delivering the product for sale. These steps may seem simple, but they are important to ensure product quality.
Most notably, in the face of increasingly fierce market competition, simply lowering prices is no longer a long-term solution. More and more OEM/ODM manufacturers are enhancing their competitiveness through branding transformation, and the "Smart in Taiwan Branding Global Program" of the Amazon Global Store platform is helping many Taiwanese enterprises to realize this change.
Want to learn more successful transformation cases from OEM to brand? Join our LINE Green Circle for professional guidance:https://line.me/ti/p/g2Vc38nLnR
# Cross-border E-commerce # Amazon Global Store # Taiwan Manufacturer # ODM #OEM Manufacturing # Brand Transformation # E-commerce Entrepreneur # Cross-border Exporter