Minimum Order Quantity Kits, Explained
In the 49 years that we’ve been in business, our Display Systems team has established itself as an industry leader in providing ruggedized, specialized, and customized equipment for a variety of complex applications (defense, industrial, marine, etc.).
While our ability to tailor a product to meet a specific requirement is one of our core competencies, it does present a unique challenge that isn’t seen in generic, mass-produced hardware.
What’s the issue?
Since we produce so many custom configurations, it is not feasible to stock them as finished product. As a small business, we build products to order rather than procuring a Bill of Materials (BOM) and allowing inventory to stockpile and take up valuable space on the factory floor in the hopes that that one specific customer will someday come back to buy that one specific product that only they can use.
The only time that this creates a potential fulfillment issue is with low quantity orders. Most custom configurations have components within their BOM that have minimum order quantities (MOQs) associated with them. Many of these components (sheet metal, for example), are customized for the specific part, making it unfeasible for us to accept orders for single quantities without imposing an MOQ.
Luckily, we have a solution.
We understand that many customers cannot afford an MOQ on their finished product, whether due to a lack of budget or a lack of immediate requirement for multiple units. In order to accommodate one-piece orders, we offer something called an “MOQ Kit,” which is composed of the bill of materials that require MOQ purchases. MOQ Kits purchased can be shipped directly to the customer, or remain in GDC’s inventory as “consigned materials.” MOQ Kits applied towards future orders will be given a credit equal to the original purchase price—giving our customers the added bonus of “locking in” the price of that material to negate future price increases.
Common candidates for MOQ Kits include:
- Sheet Metal
- EMI Filters / Glass
- Touch Screens
- Touch Controllers
- Custom Overlays
We hope that this explanation gives you confidence in General Digital’s ability to tackle any engineering requirement, large or small. Our goal isn’t to maximize how many products we sell, but to ensure that we provide the best fit for your project at the best feasible price. For clarification on this policy, or for assistance with any of your engineering needs, feel free to Contact Us or call (860) 282-2900
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