In the lingerie manufacturing industry, OEM (Original Equipment Manufacturer) and ODM (Original Design Manufacturer) are two common models for brands to produce lingerie collections. However, people often confuse the two due to the overly similar fonts. With this article, I’m going to cover the differences between OEM and ODM and give you an idea of which model is a better fit for your brand. Whether you are a newly established business or a brand that has been in business for years, choosing the right model directly affects the competitiveness of your products. Next, let’s break it down.

What is OEM?

OEM, stands for Original Equipment Manufacturer. In the field of lingerie manufacturing, the core concept of OEM is that the customer provides product design drawings, fabric requirements, size specifications, workmanship and other product details. The manufacturer only needs to produce the product according to the requirements and is not involved in product design and development. It is similar to hiring a tailor to provide design drawings and fabrics, and the other party to accurately reproduce your ideas. the advantage of OEM is that the customer has the right to take the lead in the design of the product, and can create differentiated products, which is conducive to the creation of a unique brand image. The disadvantage is that it is not very friendly to newly established brands, because the MOQ of this type of customisation is relatively high, and the OEM model is more suitable for mature brands.

What is ODM?

ODM, stands for Original Design Manufacturer. In the field of lingerie manufacturing, the core concept of ODM is that the customer is provided with a catalogue of products, suggestions for material selection, process solutions, etc. by the manufacturer. The customer chooses an existing design, makes minor adjustments, and then sells it with the customer’s brand label. This model is a ‘buy off the shelf + light customisation’ approach. This model is ideal for brands that are just starting out, shortening the product development cycle, or for businesses that want to test the market quickly. Customers can skip the complex design process and focus on marketing and channel development. The disadvantage is that most of the ODM products are common patterns on the market, which makes the market more competitive.

What is the difference between ODM and OEM?

Design Ownership:

OEM: The customer owns the design and the manufacturer simply produces it as required.

ODM: The manufacturer owns the intellectual property of the design and the customer can directly choose or fine-tune the detailed parts of the product.

Development Cycle:

OEM:As it is a brand new design, it needs to be tested by samples and there may be modifications during the period, the cycle time is relatively long.

ODM:This model is a ready-made design solution provided by the supplier, only some minor adjustments are needed before production, the cycle will be shorter.

MOQ:

OEM: Due to the new design, when there is no suitable mould, it needs to be opened and prepared separately, the MOQ is usually higher, e.g.: women’s bra usually needs around 3000 pieces, men’s underwear usually around 1000 pieces.

ODM: This model will have a lower MOQ, usually a few hundred pieces for light customisation, making it ideal for start-ups or small batch testing.

Cost:

OEM: This mode of pre-development needs to spend a lot of money, development fees, sample fees, mould fees, etc., the cost is high

ODM: This mode does not need to develop the cost of the early stage, due to the style of the existing design, only need to be lightly customised, suitable for the early stage of the start-up company with limited funds.

Flexibility of Modification:

OEM:High flexibility, customers enjoy the freedom of customisation, from style to fabric to packaging, all are based on customer’s choice.

ODM:Limited flexibility, mainly cosmetic changes such as colour, label or minor style adjustments. If you want to create a truly unique product, it is recommended to choose OEM.

OEM VS ODM

How to Choose: OEM or ODM for Your Custom Underwear Brand?

How to choose the right model for your lingerie brand.

Start by asking yourself a few questions first:

Are you a start-up brand or an established brand of 3+ years?

If you are just starting out, ODM will be more suitable for you and can make your input cost lower. Mature brands can adopt a mixed strategy: 70% ODM basics + 30% OEM star singles, this is decided in conjunction with your brand positioning.

What is your position on the product?

If it’s a brand that focuses on basic and lead generation models, the ODM model fits the bill.

If it is to high-end models, to create to highlight the differentiation, OEM mode can let you more fully control the product design right.

How Much Budget Are You Working With? 

OEM:The investment in upfront development, sample fees and starting quantities is much higher than ODM.

ODM:Has lower start-up costs, making it ideal for small businesses.

Do You Need to Launch Quickly?

ODM can help you go from idea to market in a matter of weeks.

OEM takes longer due to custom development, but the result is a product tailored to your brand.

What’s Your Long-Term Brand Vision?

Want to make products with your own style that others can’t imitate? Then choose OEM, which can help you turn your ideas into exclusive series.

If you are more interested in testing the market and quick launching of new products, ODM is more convenient and quicker.

Conclusion

OEM = Your design, our production，ODM = Our design, your brand.Both models have their advantages depending on your brand’s goals, budget, and timeline.Whether you choose OEM or ODM, the core goal is to create unique value for consumers. As a lingerie manufacturer with 20 years of experience, we can provide solid support for your brand, whether it’s ODM product development from scratch or OEM scale production of existing designs.