Certain mistakes made during the manufacturing process could be very costly and could eat away your profits.
Below are just a few mistakes to avoid when manufacturing a product.
1. Producing too much too soon
You should be careful of manufacturing too many products too soon – especially if your products have an expiry date. You want to be able to produce only as much as you can reasonably sell.
If you’re manufacturing a new product, consider testing the water with a small batch – if this is successful, you can then produce more.
2. Failing to keep up with demand
The opposite problem can also happen. If you produce too little and are unable to keep up with demand, it could make customers and suppliers angry – especially if you’ve already promised them the product.
If you’ve got large queues, consider whether you need to find a way of speeding up the manufacturing process. This could include automating processes with machinery or hiring help if it’s an artisan product that needs to be hand-made.
Alternatively, you may have to consider limiting orders.
3. Focusing on cost over quality
Cheap manufacturing methods can sometimes come at the expense of quality. Using cheap materials and cheap manufacturing methods may be fine if your customers are only expecting a basic product.
However, if your customers are expecting something a little more premium, it could be worth investing in better materials and better tools. In either case, quality controls are still necessary to avoid any errors – make sure that you’re not skimping on quality checks.
4. Not knowing when to outsource
There may be times when it’s a good decision to manufacture a product yourself (for instance, if you already have the skills and tools). There could be other times when it’s better to outsource certain manufacturing processes.
For instance, if you’re creating a new e-liquid flavor, you may want to outsource the manufacture of CCELL carts to another company rather than attempting it yourself. Know exactly what your specialism is.
It can also be worth considering your budget – in many cases, outsourcing could be a lot cheaper than acquiring your own machinery and factory space.
5. Outsourcing the wrong type of manufacturer
If you decide to outsource a manufacturer, you should make sure that it’s the right type of manufacturer for your needs.
A local manufacturer could come with lower delivery costs, however, you could find that an overseas manufacturer creates something that’s better quality at a cheaper price.
You should also look into the reputation of the manufacturer that you outsource to ensure that they have good reviews and that they’ve worked with some great products.
You don’t want to outsource an unreliable manufacturer. At the same time, it all needs to be within your budget – make sure to compare quotes too and not just go with the first manufacturer that takes your fancy.