Case Study on Finished Goods Brief
One advantage of working with a lower cost off shore provider of goods and services is that you can cost effectively develop high margin finished goods from scratch. The idea for the PH Strip came to the founder of nutritional supplement company one day when he tried to measure the pH of his saliva. He found that the only option available at the time was to use litmus paper from a laboratory supply company. This was not an ideal option given how saturated the paper became with the saliva and the bleeding of the reagent providing false readings. We were contacted to source a product that could solve the problems of bleeding and saturation while at the same time providing a solution that provided gross margins in excess of 75% and an MSRP of between $7.95 and $9.95. The project took 6 months to complete and the first version met or exceeded all of these requirements. The product consisted of sourcing bulk pH strips from one factory then packaging them at a second factory into custom plastic injection molded ‘boxes’, produced at a separate factory, before packaging them into merchandise friendly boxes containing an instruction guide and the ‘color chart’. This product became a big seller for the customer and has been being produced in China for more than 6 years in various forms using different supply chains. Please contact us about your finished good project and we’ll work to arrange the vendors and factories to produce the product cost effectively in order to give you a competitive edge over your competition.