More and more companies are thinking, "We want to sell NMN supplements under our own brand." However, for those in charge of placing an OEM order for the first time, practical procedures such as minimum order quantity, lead time, cost calculation, and quality confirmation are often unclear. This article explains the standard process for OEM ordering of NMN supplements, along with the information necessary for business decisions.
NMN Supplement OEM Order Flow
The overall OEM ordering flow proceeds in approximately five steps. We have a track record of manufacturing over 5.5 million bottles of NMN supplements and have produced products for numerous clients, both domestically and internationally, ranging from those making their first supplement to repeat customers. We will also introduce how we can support you in each step of the following flow.
STEP1: Requirements Gathering and Contract Manufacturer Selection
First, we will organize the basic product requirements. We will specifically consider the NMN content (mg/tablet, mg/packet, etc.), dosage form (hard capsule, soft capsule, tablet, powder, etc.), ingredients (single NMN or combination formula), and product size (volume, number of capsules per bottle). Once these requirements are determined, we can contact contract manufacturers and request quotes.
In our case, if we can hear about your basic requirements, we can propose the optimal solution and proceed smoothly. We also support customization of proprietary formulations, so please feel free to consult us even if your specific specifications are not yet finalized.
STEP 2: Finalize Product Specifications and Estimate
After confirming the product specifications through hearings and proposals, we will create a formal quotation. At this stage, we will also proceed with the confirmation and approval of ingredient standards, lot management, quality standards, and label design specifications.
STEP 3: Place Order
If you are satisfied with our estimate, it will be a formal order. We also offer label and package design production by our package designers, so you can rest assured if you have not yet prepared your design.
STEP 4: Manufacturing and Quality Inspection
Manufacturing will commence after order confirmation. We use carefully fermented yeast derived β-NMN raw materials and manufacture in GMP-certified facilities. During the manufacturing process, we conduct incoming raw material inspections and in-process inspections, and after product completion, we perform four quality tests: purity testing, weight testing, visual inspection, and microbial testing.
STEP 5: Delivery and Inventory Management
Quality inspections are complete, and approved products will be shipped. For OEM orders, completed products with our own brand labels are often delivered.
Minimum order quantity and breakdown of manufacturing costs
The minimum order quantity for OEM orders of NMN supplements varies depending on the size of the manufacturing company, dosage form, and equipment. Looking at the industry in general, for capsule formulations, many manufacturers tend to set a minimum order quantity of 1,000 to 3,000 bottles (equivalent to 60 to 240 capsules per bottle). The smaller the lot size, the higher the manufacturing cost per unit tends to be, while conversely, increasing the lot size can lead to cost reductions due to economies of scale.
The main components of OEM manufacturing costs are as follows:
- Raw material costs:It varies greatly depending on the purity and grade of the raw NMN powder.
- Manufacturing Cost:Filling, molding, and packaging process costs
- Container and material costs:Bottles, aluminum pouches, and other containers, label printing costs
- Quality inspection costsComponent analysis, microbial testing, heavy metal testing, etc.
- Shipping and warehousing costs:Shipping and warehousing costs from the manufacturer.
NMN's raw material costs increase with high purity and high formulation specifications. There are differences in purity and manufacturing methods among NMN products on the market. Lower purity products may appear cheaper but make it difficult to guarantee the quality of the final product. While it may be tempting to compare solely based on manufacturing costs, we believe that making an overall judgment based on the balance between product quality and value is an important indicator for acquiring repeat customers.
Lead Time: Difference between Initial and Recurring Orders
The lead time for an initial order (for a new product launch) is longer than that for regular recurring orders because it involves additional steps such as finalizing product specifications and approving label designs. For contract manufacturers in Japan, the lead time for an initial order is typically4-5 months (from order confirmation to delivery)I have the impression that two months is often cited as a guideline. Depending on product specifications and raw material procurement situations, delivery can sometimes take longer. However, by thoroughly reviewing and streamlining all processes from order placement to manufacturing (including back-office tasks such as document issuance), we can achieve delivery in approximately two months from design approval.
In addition, with repeat orders (recurring orders), the lead time is often shortened by about one month because the specifications are fixed. However, during busy periods (year-end/new-year holidays and peak demand seasons), manufacturing lines may be congested, causing lead times to be longer than usual. Therefore, we recommend placing orders with ample lead time.
Common Failure Examples and Countermeasures
Example of failure 1: Underestimated lead time
Some clients ordering supplement OEM for the first time may request, "We want to have it ready for next month's exhibition." However, if the schedule is tight and doesn't account for the general manufacturing process, it may not be possible to meet the desired delivery date. While we strive to accommodate client requests as much as possible, we clearly communicate what can and cannot be done in advance and proceed with an order only after gaining your understanding. Therefore, it is important to establish an order schedule with ample lead time, calculated backward from your desired launch date.
Failed Example 2: Overstocking inventory with minimum lot size
Demand forecasts can be inaccurate, leading to excessive inventory even with minimum lot orders. It's safer to start with a cautious small lot for the initial order and then place additional orders based on observed demand.
Summary
For OEM orders of NMN supplements, the key to success lies in carefully proceeding through each stage: defining requirements, selecting a manufacturer, quality verification, and lead time management. Prioritizing "cheap and fast" options can often lead to quality issues and brand damage later on. Selecting a manufacturer that emphasizes transparency in manufacturing quality and a long-term stable supply system will form the foundation of a sustainable NMN supplement brand.
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