I spent time with a client this week and a local manufacturer that is producing their new product. The reason for the meeting was to understand all of the costs to help the client figure out how to price the product to market. As we sat there talking about different scenarios with the manufacturer, I started asking myself why we have become brainwashed to automatically think about shipping our work overseas for a better price. This is definitely true if we watch the Dragon’s Den because this would be the first comment out of Kevin O’Leary’s mouth.
As a consumer myself, I am price conscious, but I am also more and more cognizant that we, as Canadians, we are willing to settle for poorer quality products to save a dollar while bolstering the Far East at the detriment of our own country and countrymen. Here are some facts to consider before you send your product overseas to get produced. We can all go to Walmart and buy a t-shirt for $10.00, but you need to ask yourself how long will that shirt last and will you have to buy 4 more to replace it versus paying more for a Canadian one and having it for years. And be honest, would you happily admit to anyone you are wearing a shirt from Walmart?
You have choices in manufacturers within Canada, so you do not have to settle for the first one you meet, as there will be price differences. Some of the smaller manufacturers might have a little higher price, but may be more flexible, offer you other services such as the ones described above. They may also be more approachable and easier to deal with as you are many times dealing with owner or family member versus a sale rep on commission that does not have full authority.
So if you are developing a product that you are looking to have manufactured, consider Canadian first before you convince yourself you will get a better deal overseas. You need to rethink:
RK Fischer & Associates