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As Ben Joffe shows in his presentation below, prices of quite a number of consumer products have come down very rapidly. The XiaoMi Yi camera for example equals or bests the GoPro Hero on virtually all specs, while selling for just $65. Mind that the prices listed in the graph are China retail prices, in the US it sells on Amazon for $97.Another important aspect is the increasing speed at which products come out. As Chris Anderson, CEO of 3D Robotics, is quoted: “Before you had six years, now you have six months“.Exciting and scary at the same time, China’s supply chain is clearly still unparalleled, especially for anything custom: housings, LCD displays, batteries, PCB’s, packaging…The first samples and production batches of custom parts often have issues. To avoid being crippled by shipping costs and delays, final assembly needs to be done close to the factories making the components. And when you’re having most of the parts made and assembled in China, nothing makes more sense than having the design done there as well.The trick of course is to harness the power of this supply chain beast to reap the benefits while avoiding IP infringements and other China manufacturing pitfalls....

Q1 of 2015 saw a record 128 electronic projects raise at least $100K each on Kickstarter and Indiegogo. Reaching $100K is often considered a successful campaign, and many think that the founders can take this money to a factory and just get the stuff made. The 4 out of 5 hardware campaigns that don’t manage to ship in time show that most teams still underestimate the DFM (Design For Manufacturing) process. A number of factors complicate things: Arduino is too expensive Companies like Arduino, Sparkfun and SeeedStudio have developed great electronic modules which are easy to connect and program; making it easy for a programmer and a bizdev guy to quickly throw a prototype together and put it on Indiegogo or Kickstarter. For a prototype pricing of these modules is not bad, but for mass production it will not give you a price level the market can accept. Competitive components take time There are much more affordable Bluetooth and GPRS modules available, especially in China, but first you need to order samples, which means interacting with a multitude of vendors, and not all of them are fluent in English. Then you test the alternatives, and often will find that the ones with the best price/performance...

If your company needs a new electronic product made then the fastest and lowest cost way to get this done would seem to find an ODM factory in China already making very similar products. They have the leanest design and cost structure, the experience, and the large volume which allows for the lowest cost. On top of that the fee they charge to customize the product to your specifications is often only symbolic.It all sounds tempting, but having developed products with factories in China and Taiwan for 20 years I’d like to share a few pointers: 1. Be aware you have no ownership The changes you are requesting will be modifications to the design which is the Intellectual Property (IP) of the factory. You may be working with the factory for a year, and pay them quite a bit of money in the process, but if in the end you decide to part ways you will not be able to take the design elsewhere, so you will need to start from scratch. One more reason to pick your partner very carefully. 2. Make sure you have a firm spec It’s best to have your specifications completely clear and frozen before the start of the...

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United States of America

Phil Baker - US Representative for Titoma Product Development in China

Phil Baker
rfqusa@titoma.com
+1 323 886 9446
546 Canyon Drive, Solana Beach, CA 92075 USA
author of “From Concept to Consumer: How to Turn Ideas Into Money”

Taiwan (Headquarters)

Case Engelen - Taiwanese Representative for Titoma Product Development

Case Engelen, CEO
rfq@titoma.com
+886 2 8698 1249
18F, No.75, Xintai 5th Rd.,Section1, XiZhi 22101 Taiwan
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Stef Traa - Your Dutch Representative for Titoma Product Development in China

Stef Traa
stef.traa@titoma.com
+31 6 2939 8629
Camperstraat 14
1091 AE Amsterdam,
Netherlands

Switzerland

Ronald Hartmann - Swiss Representative for Titoma Product Development in China

Ronald Hartmann
ronald.hartmann@titoma.com
+41 21 801 63 70
Route de la Gare 9, 1131 Tolochenaz, Switzerland

France

Allain Traverso - Case Engelen - French Representative for Titoma Product Development

Alain Traverso
alain.traverso@titoma.com
+33 954252001
Ter Rue du President Wilson 57, 78230 Le Pecq, France

United Kingdom

Tim Pepper - UK Representative for Titoma Product Development in China

Tim Pepper
tim.pepper@titoma.com
+44 7776 142228
Ash House Business Centre, TW2 5RF Twickenham, UK

Italy

Daniele Fulingo - Italian Representative for Titoma Product Development in China

Daniele Fuligno
daniele.fuligno@titoma.com
+39 335 307 196
via Carnevali 6, PU 61100 Pesaro, Italy

Sweden

Markus Olson - Swedish Representative for Titoma Product Development in China

Markus Olsson
markus.olsson@titoma.com
+46 763187952
Sofierogatan 1, SE-21217 Malmö, Sweden

Colombia

Soleyda Manrique - Colombian Representative for Titoma Product Development in China

Soleyda Manrique Naranjo
soleyda.manrique@titoma.com
+57 312 774 9772
75A-33 Carrera 21, Manizales, Colombia

China

Howell Wang - Chinese Representative for Titoma Product Development

Howell Wang
howell.wang@titoma.com
+86 755 2876 5963
1571, 1002 Keyuan Road, 518054 Shenzhen,China