Cosmetics OEM of MOQ Why not a number?

1. First distinguish six types MOQ

Six types of the same product MOQ May be different. The project manager needs to list them in a materials and production table instead of just recording a total quantity.

• Recipe MOQ: The minimum batch size that can be stably produced by one-time preparation or emulsification
• raw materials MOQ: Minimum purchase quantity of key raw material or flavor suppliers
• Packaging materials MOQ: Minimum quantity for bottles, pumps, caps, tubes and gift boxes
• Craftsmanship MOQ: Start-up volume of spraying, electroplating, silk screen printing and hot stamping
• SKU MOQ: Minimum quantity per color, fragrance, size or language
• Packing MOQ: Quantity unit formed by full box, pallet and logistics requirements

2. Formula MOQ Determined by equipment, losses and stability

Emulsifying pots, mixing tanks and filling equipment all have suitable working capacities. Below a reasonable loading capacity, mixing, heating, homogenization and transfer conditions may change, and batch stability and losses may also be affected. Therefore, large equipment may not necessarily be suitable for extremely small orders.

Recipe MOQ It should be expressed in kilograms or liters, and then converted into finished product quantity based on the net content of each bottle and reasonable losses. Discuss the formula only based on the number of bottles MOQ, will ignore the differences caused by different capacities.

3. Packaging materials MOQ often real limitations

Off-the-shelf transparent bottles may support lower quantities, but customized bottle colors, spray coatings, electroplating, exclusive pump heads and special-shaped caps usually have higher minimum order quantities. The suppliers of bottles, pump heads and caps may also be different, and the minimum order quantity and loss of the three need to be coordinated.

For example, the content can produce 3,000 bottles, but the minimum purchase of customized pump heads is 10,000. The brand must decide whether to switch to spot pumps, purchase surplus inventory, or add other SKU Share pump heads or increase the first order.

Four.SKU The more each SKU The lower the effective quantity of

10,000 pieces of lipstick are divided into 10 color numbers, which does not mean that each color number can meet the economic batch size of the factory and color powder blending. The same problem will arise if perfumes are divided into multiple fragrance types, skin care products are divided into multiple volumes, and cross-border packaging is divided into multiple language versions.

When evaluating, use “Total Project Quantity” and “Unit SKU Quantity" two fields. For make-up, it is especially important to clearly indicate the quantity of each color number, whether packaging materials are shared, and whether they are sampled and inspected separately.

5.MOQ Reasonable losses should also be considered

Incoming packaging materials, spray printing, filling, sealing and boxing will all cause losses. The brand places an order for 5,000 pieces. If the contract requires a net delivery of 5,000 pieces, the factory purchase and production quantity is usually higher than 5,000. If the contract is settled based on the input quantity, the net delivery quantity may be lower than the nominal order.

The order quantity and caliber, allowed short and overflow packaging, packaging material loss, content loss and ownership of remaining materials should be agreed upon. Without these terms,MOQ Numbers do not indicate final deliverable quantities.

6. Why do different factories give MOQ different

Differences may come from equipment size, packaging material supply chain, spot inventory, production line scheduling, quality control costs and business strategies. low MOQ It doesn’t necessarily mean more flexibility, it may also mean using standard recipes and standard packaging materials; high MOQ It doesn’t necessarily mean more professional, it depends on where the restrictions come from.

When comparing, the factory is required to write down the minimum batch quantity of contents, minimum purchase quantity of packaging materials, and each SKU Quantity and acceptable exceptions, don’t just compare a number.

7. What are the real and feasible exceptions for small batch projects?

Smaller batch sizes are often achieved by reducing customization items, rather than simply asking suppliers to ignore economic batch sizes. You can choose mature formulas, ready-made bottles, standard colors, labeling, single-color screen printing, and less SKU and simplified gift boxes.

Another method is for the brand to purchase the remaining amount of packaging materials, fill only the first batch, and continue to use it in subsequent repurchases. However, it is necessary to confirm the storage period, color difference batches, pump head aging, inventory responsibility and inspection before refilling.

• Use off-the-shelf packaging materials and universal molds
• Reduce color, fragrance and volume
• multiple SKU Shared bottles and outer cartons
• First verify the content and market, then upgrade to customized packaging
• Write the remaining materials and packaging materials into the inventory ledger

8. A calculable MOQ Example

Assuming that the minimum production volume of the facial cream formula is 500 kilograms and the net content of a single bottle is 50 grams, 10,000 bottles can theoretically be filled; the minimum stock quantity of bottles and cans is 5,000 pieces, the minimum quantity of customized spraying is 10,000 pieces, and the minimum quantity of color boxes is 3,000 pieces. If you choose spraying, the project MOQ Limited by the formula and spraying, it is close to 10,000 bottles; if the original color bottles are used in stock, the packaging material limit will be reduced, but the 500-kg formula batch will still have to be processed.

If the equipment can stably produce 250 kg under verification conditions, the formula MOQ It is possible to decline. The final number must be confirmed by the factory based on equipment, processes, losses and quality risks, rather than extrapolated using marketing slogans.

9. Must be requested when making an inquiry MOQ Field

It is recommended to require suppliers to reply with the following content in a form to facilitate determination of quantity limits and subsequent repurchase.

• Minimum kilogram of content and corresponding theoretical number of bottles
• of each key packaging material MOQ and purchasing cycle
• Each color, fragrance, capacity of the order SKU MOQ
• Spraying, printing, hot stamping and gift box technology MOQ
• Short overloading, reasonable losses and net delivery quantity are allowed
• Ownership of surplus materials, surplus packaging materials and storage fees
• Do we need to reach the same level again when replenishing the goods?MOQ

10. How to negotiate a better deal for your first order MOQ Plan

valid MOQ Negotiations are not simply about lowering quantities, but about regrouping the fixed costs of factories and supply chains. Brands can provide sales forecasts for three to twelve months, select multiple SKU Share bottles, pumps and outer boxes, reduce the first batch of colors or fragrances, and prioritize the use of proven and mature formulas. This can not only reduce the cost of SKU Inventory can also reduce the cost of restarting, changing lines and repeated proofing.

If the packaging materials must be purchased in large quantities at one time, batch filling or rolling delivery can be discussed, but the ownership of the remaining packaging materials, storage environment, inventory frequency, storage period, inspection before re-launching and unsalable scrap responsibilities should be written into the contract. If the contents are also produced in batches, each batch should still complete batch recording, inspection and release independently, and the annual frame quantity cannot be equated with the one-time production quantity.

The first order decision should compare four sets of numbers simultaneously: initial cash tied up, full cost per unit, days of salable inventory, and the next replenishment cycle. Solutions with lower quantities but higher unit prices are sometimes more suitable for new brands than large quantities of low-priced inventory; conversely, mature products with stable channels may be more suitable for exchanging scale for costs.

• Provide monthly sales forecasts and safety stock targets to factories
• Take the total MOQ Divided into formulas, packaging materials, processes and orders SKU four constraints
• Request separate quotations for spot packaging, light customization and full customization solutions
• Confirm whether batch delivery will increase inspection, warehousing and line change costs
• Use full cost and inventory turnover estimates instead of just factory unit price