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Processing or self-branding ? Which one is preferred by hats factory?

2017-04-26 10:25:35 Shenzhen Linglong Accessories Co.,Ltd Read

With the improvement of people's living standards, demand for hats also increased,and at the same time ,hat and cap factories are increased .But there are two different models for hats factory ,one is dedicated to their own brand which will be responsible for designing production and selling ,that is to be self-branding model .The other one is specialized in ODM & OEM for others,which is a process model.Then which model is better and easy to do ?

First, independent production,

Self-production is self-sufficient model, the advantage for that is flexible controlling of market changes on the basis of their own designing and production ,and then design these hottest hats and caps on the markets,and to a certain degree can avoid meeting same hats together All in all ,this can help grab the opportunity for hats market .In this way ,they can built their own brand and work hard on that ,and finally develop to a deep development model .Many powerful factories will choose this model .But this model has more requirements for the control of markets ,as these factories must have an accurate estimate and judgments on the basis of seasons and hot spots,otherwise ,they will have a risk of keeping lots of inventory in stock .Self-production solves the problem of production but these factories have to think about selling problems .

Second, processing .

Processing production is a model depending on these orders,, and advantage for that is :there is no inventory costs and risks,.These factories will produce according to orders, that is to say they have more planning, ,more advantage on the controlling of resources and costs. Most hats and caps factories will choose this model ,the disadvantage for that is :they will depend on these orders seriously,which is not so good for a new founded hat factory . As hats factories increased ,competition grows intensive than before today ,so these factories have to improve their production ability and quality ,develop hats and caps markets .Only in this way ,these factories can be ensured to work well .

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