OEM vs ODM: Which is better for developing original products? An easy-to-understand explanation of the differences and advantages! (H1)

What are OEM and ODM? (H2)

OEM: Specialized manufacturing outsourcing (H3)

OEM stands for "Original Equipment Manufacturing" and is a method of having other companies manufacture products to be sold under one's own brand. Planning and design are done in-house, and only manufacturing is outsourced.

ODM: Outsourcing everything from planning to manufacturing (H3)

DM stands for "Original Design Manufacturing."From planning to manufacturingThis is a completely outsourced system where the client is only responsible for the brand name and sales.

OEM vs ODM: advantages and disadvantages. Which one is better? (H2)

OEM: Specialized manufacturing outsourcing (H3)

• merit
  • Reduce development costs
  • You can launch products in a short time
  • Quality control can be carried out in-house

• Disadvantages
  • Low freedom in planning and design
  • Competitive products are likely to appear
  • It's hard to be unique

OEM advantages and disadvantages (H3)

• merit
  • High degree of freedom in planning and design
  • It's easy to express your uniqueness
  • Shorten development time

• Disadvantages
  • Higher development costs
  • Attention to quality control is required
  • Competitive products are likely to appear

Which is better for you: OEM or ODM? 4 points to check when choosing (H2)

1. What is the cost and budget?
2. Do you have an original idea?
3. Are you aware of the development time and risks?
4. Are you thinking long term? Or not?

With the above four points in mind, we'd like to introduce you to GRAIN's recommended method.

If cost is important, ODM (H3)

ODM can reduce development costs by outsourcing everything from planning to manufacturing, but care must be taken with quality control.

If cost is important, ODM (H3)

OEMs can turn their original ideas into reality because they plan and design in-house. However, they have the disadvantage of being more susceptible to competing products.

If you want to reduce development time and risk, choose OEM (H3)

ODM can shorten the development period by outsourcing everything from planning to manufacturing, but the development risk is high.

Developing an original product requires careful preparation. Think from a long-term perspective. (H3)

OEM and ODM each have their own advantages and disadvantages, so you need to choose the method that best suits your company's situation and goals. Think about it from a long-term perspective and make a careful decision.

Learning from GRAIN's success stories: OEM and ODM product development (H2)

OEM success stories (H3)

ODM success stories (H3)

In order to successfully develop original products, you need to understand OEM and ODM and make the proper preparations. (H2)

In order to successfully develop an original product, it is important to not only accurately communicate your product to the development company, but also to keep in mind the following two points.

Prepare thoroughly in advance (H3)

• Clarifying the development objectives: Clarify the specific objectives of developing an original product.
• Identify your target audience: Identify who you are selling your products to.
• Market research: We research the market size and competing products to determine the product direction.
• Securing budget: Calculate development costs, manufacturing costs, sales costs, etc., and secure the necessary budget.
• Schedules: Create development schedules, manufacturing schedules, sales schedules, etc.

Find a reliable partner (H3)

• Development track record: Check what kind of product development experience the company has in the past.
• Technical skills: Make sure you have the necessary technical skills.
• Value for money: Make sure it's cost-effective.
• Communication: Make sure you can communicate well.

Original product development requires a lot of time and effort. Therefore, it is important to find a partner with extensive development experience. GRAIN is particularly good at OEM (supplements), OEM (cosmetics), ODM (supplements), and ODM (cosmetics). We are happy to consult with you about any product you would like to develop, regardless of the genre.