Every business starts with a brand. You build your reputation around your brand. To achieve success you want your brand name out there.
There is a lot of competition and making sure to gain as much market share as possible means you need to look at private labels. When it comes to ordering your private label, knowing your way around the MOQ is important.
What is MOQ?
MOQ is a minimum order quantity. As in any manufacturing, not just teeth whitening products it is standard practice for companies to have a MOQ on products. This is especially true when it comes to private labeling as labels and packaging need to be available for the products being manufactured.
MOQ for each product is usually based on the manufacturing costs of each item and how much is necessary for the factory to produce in order to remain profitable. When looking for lower MOQs of private label products, approach businesses that are set up with the most advanced technology as they are more likely to be able to handle small batches at a lower cost. Trading companies that hold stock may also be a solution when it comes to sourcing products with the lowest MOQ.
You can also consider paying a slightly higher premium to achieve a lower MOQ especially if you are looking at customized products.
Contact the manufacturing company directly instead of working through an intermediary can ensure you cut out that extra percentage paid to them as well. This may mean you have to check out the factory yourself the first time around to ensure the specifications and processes meet your needs. While this may add to your costs at the start, it can offer long-term peace of mind.
How to get the lowest MOQs for a teeth whitening start-up
Choose a manufacturer with flexible manufacturing options
Cutting out the intermediaries will save you costs and working directly with the manufacturer can reduce your MOQ for the products you need.
This will also allow you to customize some of the ingredients to an extent as well as the packaging of the end product.
While some manufacturers may have higher MOQ, they may offer lower pricing.
Look for manufacturers that have flexible options or that have stock products if you are wanting the lowest MOQ although this may reduce your bespoke options to a degree. Discuss the available options with your manufacturer and you may be able to tailor some of the products while still being able to purchase a lower MOQ.
Choose popular variants over custom-made products
When starting off, it is important that you look at ordering the most popular products first.
These are more likely to be cheaper as they would have been pre-designed by the manufacturer. Ordering custom, one-of-a-kind products that require molding and other extra tooling can be quite costly and the MOQ will most likely be a lot higher.
Items that are designed specifically for you will necessitate a higher MOQ in order to recover all the costs that go into making custom products. When you order off-the-shelf products, you are assured of products that have been tried and tested.
The manufacturer has been making the product for some time and is set up to run large batches of the products that they already stock. This means products ordered that are from the popular variants list will be available quicker, have a lower MOQ and most likely much better pricing.
Ensure you have researched your market
Knowing what sells in your market is very important. You will want to look at the most popular products for your market and start off with smaller variations of products and a smaller range to start with.
Having a low MOQ is essential to ensure that your start-up costs are lower.
For example, you want to sell teeth whitening syringes. There are various gels available (hydrogen-peroxide, peroxide-free, carbamide peroxide and hybrid peroxide) as well as various syringe sizes: 2ml, 3ml and 5ml. Knowing what works in your market is essential before you approach your manufacturer. You need to know what products you want and have an idea of the estimated sales you can make. This will allow you to work out how much of each product you can safely stock without it becoming redundant. Ensuring you achieve MOQs that come close to matching your start-up stock will be essential for your bottom line.
What products should be considered when starting up?
Some of the most popular products include teeth whitening kits, whitening pens and whitening strips. You can also look at stocking oral care products such as electric toothbrushes, tongue cleaners and toothpaste.
With the environmental impact of throwing away items becoming an even more important factor in consumerism today, bamboo toothbrushes are also a very good option.
Make sure you have researched your target market and order stock of the products you know will sell. You can take a risk with other products once your brand is fully established.
Why is a MOQ Important, Especially to a Start-up
You don’t want products sitting on your shelves and gathering dust. The product that does not sell, especially a product that becomes unusable or expires after a period of time, results in a loss to the company.
Turning over your products is very important, especially for a new business that is just starting to get off the ground. By knowing what will sell in your market, getting the lowest possible MOQ and keeping costs low, you can ensure your business will succeed.
As your business grows you can look at ordering higher quantities and negotiating prices based on the higher quantities at that point. It takes time to develop a reputation and get a brand off the ground.
Working with a reliable manufacturer that offers flexible manufacturing and is prepared to work with you to keep the MOQ low is the best way to go.