If you are an active watch fanatic or know anything about fashion manufacturing, you will have likely heard the terms OEM and ODM thrown about. But if you haven't heard these terms before, then don't worry because I am about to break down everything you need to know about OEM and ODM watches.
OEM and ODM are two commonly confused terms that are often used interchangeably despite being acronyms for two entirely different manufacturing processes. OEM stands for "original equipment manufacturing,"whereas ODM stands for "original design manufacturing."ODM watches are designed by a manufacturer to meet specified criteria as defined by a client. OEM watches are entirely designed in detail by a client who then sends the designs to the Watches Manufacturers to be produced.
An ODM watch is designed on behalf of a client by the manufacturer to meet their needs. However, the client relies on the manufacturer to fill in the gaps and giving the manufacturers a certain degree of creative freedom.
An OEM watch is designed entirely by the client, but the company outsources a manufacturer to produce the design.
These two manufacturing methods are utilized by companies that mass produce and distribute their own watches. This could be a start-up ready to release their first design, an established watch designer, or an already established company looking to add watches to their product lineup.
Next, we will be discussing the pros and cons of using OEM and ODM manufacturing plans when manufacturing watches.
When Manufacturing ODM Watches, they will typically be the cheaper option when compared to OEM. It will also be produced quicker and can be shipped much faster than if you chose OEM manufacturing.
However, the disadvantage to this is that you will be using pre-made parts with minor cosmetic or functional variations. As a result, your product may be the mirror image of another one, just with your brand name slapped on it. This can confuse your customers and limit your earning potential.
On the flipside, OEM watches come with the advantage of having complete control over the design and manufacturing process. This means that your products will be valued as original and unique watches. This is generally the better choice for large, well-established companies with larger budgets.
The obvious downside to this is the cost factor. A big budget is needed when making OEM watches from Watch OEM Manufacturer since all parts will need to be made from scratch with new mods and other design equipment. This also means that the product will take much longer to be completed and shipped, so this isn't a good option if you want to sell products quickly.