Why do you always downplay OEM factory

Investors and OEM factories establish partnerships through finished product OEM or customized processing. Theoretically speaking, in the face of fierce competition in the terminal market, it should be a community that advances and retreats together. But in reality, OEM manufacturers are always downplayed in the process of product sales! This point has similarities in the commodity, clothing, cosmetics, and electronic product industries. The reason is very embarrassing in the eyes of industry insiders.

There are four main reasons why OEM manufacturers are downplayed by sellers:

1. The product operator does not want to use the OEM factory for publicity at all, weakening the product as OEM manufacturing.

2. The scale of the foundry is relatively small, which is not conducive to product background rendering, and does not add points to market operations.

3. There are too many products of the same type and different brands produced by the processing factory, and I am afraid that my products will be poached.

4. The manufacturer has the same type of independent products and can provide OEM production to establish industry rivals for itself.

OEM manufacturers will also encounter a special situation: small customers like to talk to big factories.

This kind of practice of small customers does not need to be explained too much, and no one in the industry understands it. However, the attitude of OEM factories will change 180 degrees from what was mentioned above. In fact, the processing plant also has difficulties.

Small orders, low profits, and many requirements are the characteristics of this type of customer orders. The factory must not only ensure product quality, but also cooperate with customers' publicity and frequently adjust the production plan of the workshop to facilitate the recording of its promotional materials. What's more, we also need to cooperate with customers to receive downstream dealers on site and visit the factory area, equipment and technology. Overall, the gains outweigh the losses.

Machinery and equipment OEM

Therefore, whether OEM manufacturers will be used as an argument depends mainly on their strength!

Sellers look down on medium and small OEM companies; small investors look down on large OEMs. This has nothing to do with whether OEM cooperation has been established between the two.