5 Common Words Contract Manufacturers Use
Contract manufacturers use certain words that are common to use in the industry. when talking to a contract manufacturer, you might have ran across some of these common words.
In this article, I'll describe these 10 top common words you'll come in contact with when you contact a manufacturer.
Minimum Order Quantity (MOQ). Whether talking filling, labeling, or packaging, this abbreviation is used for manufacturers to describe what their minimum is for ordering from them.
2. Price ($) /M:
Price per 1,000. This means price per 1,000 pieces. When talking large volume such as 10,000 to even 1,000,000, Price/M breaks down in chunks what it costs for each 1,000 pieces of that particular product.
3. Private Label:
Known as "phantom brands," is a formula provided from a company to offer to another company. This can be for many industries and not limited to just cosmetics or beauty products.
4. Time To Market:
The length of time it takes for a finished product to enter the market. Another similar term, "time to volume," means the time length for prototype into full scale production.
Bill of Materials. This term is used to describe the assembly of work a contract manufacturer needs in order to make your product. This list is handed from the customer to the contract manufacturer so the manufacturer understands what items are expected to create a finished product.
Have you ran into these words before? Did we miss a word that you have ran into when talking to a manufacturer? We'd like to hear from you. Let us know!
#ContractManufacturer #ContractManufacturingterms #Commonwordscontractmanufacturing #understandingcontractmanufacturing