If you're trying to launch a private label face cream in China and don't know whether to choose OEM or ODM, you're not alone. The terms are simple in theory, but they impact your costs, speed to market, and how unique your brand really is.
OEM vs ODM: What They Actually Mean
In plain language:
OEM (Original Equipment Manufacturer)
You bring the idea; the factory makes it.
You own or direct the formula concept, texture, active ingredients, and claims.
The OEM face cream manufacturer follows your brief and produces under your brand.
Best when you want a more custom face cream formulation and stronger IP control.
ODM (Original Design Manufacturer)
The factory brings the idea; you brand it.
The ODM skincare factory in Guangzhou or other hubs offers ready-made or semi-custom formulas.
You pick from their stock formulas (e.g., hydrating face cream, anti-aging cream OEM, brightening moisturizer) and customize packaging, scent, and sometimes actives.
Faster, cheaper, but less unique.
Both models are common in skincare contract manufacturing China, especially for moisturizers, anti-aging creams, and vegan face creams.
Key Differences for Face Cream Brands
OEM (Custom)
Formula: Custom (you define the direction; they help develop)
Ownership: You usually control formula IP (depending on contract)
Flexibility: High – texture, actives, claims, and packaging are all tailored
Requirements: Higher MOQ, higher development cost, more R&D time
ODM (Private Label / White Label)
Formula: Existing formula owned by the factory
Ownership: You license or use it under your brand; no formula IP
Flexibility: Limited – mostly packaging, scent, and minor tweaks
Requirements: Lower MOQ, lower startup cost, faster launch
Pros and Cons for Skincare Startups
OEM – Pros
Stronger differentiation: Your private label face cream isn't a clone of other brands.
Easier to position as premium, K-beauty style, organic face cream private label, or clinical-grade.
More control over ingredients: natural, vegan, cruelty-free, fragrance-free, etc.
OEM – Cons
Higher R&D fees, stability testing cost, and time.
Higher minimum order quantities, especially with GMP certified cosmetics China factories.
More complexity with US/EU cosmetic regulatory compliance.
ODM – Pros
Very fast to launch, especially with low MOQ private label skincare.
Lower upfront investment – ideal for testing the market or launching multiple SKUs (hydrating, brightening, anti-aging).
Many ISO 22716 cosmetics factory suppliers already have tested, stable formulas and regulatory paperwork.
ODM – Cons
Less formula uniqueness – competitors may use similar or identical base creams.
Harder to claim full formula ownership or exclusivity.
Limited room for bold innovation (e.g., very specific actives or textures).
Preparing Your Face Cream Brand Requirements
Before I even talk to a private label face cream manufacturer in China, I lock in my basics. This saves time, avoids misunderstandings, and gets better OEM/ODM quotes from day one.
1. Define target customers & skin concerns
Be very specific. Your Chinese skincare OEM/ODM factory will ask this first.
Who is this for?
Age: teens / 20s / 30s+ / 45+
Gender: women / men / unisex
Region: US, EU, Middle East, Southeast Asia, etc.
Skin type: oily / dry / combination / sensitive
Main skin concerns:
Hydration – daily moisturizer, barrier support
Anti‑aging – wrinkles, firmness, fine lines, elasticity
Acne / oily – breakouts, enlarged pores, oil control
Brightening – dark spots, dull tone, hyperpigmentation
| Market | Main Need | Notes |
|---|---|---|
| US | Anti‑aging + hydration | Clean label, fragrance‑free options popular |
| EU | Sensitive + natural | Strong on safety + INCI labeling compliance |
| Asia | Brightening + light | Light texture, no heavy/greasy feel |
2. Choose ingredients & claims
I decide upfront what I'm comfortable putting my brand name on. Then I match with an OEM face cream manufacturer that can handle it.
Positioning options:
Natural: plant extracts, minimal synthetics
Organic: certified organic actives (EU/US organic standards)
Vegan: no animal‑derived ingredients
Cruelty‑free: no animal testing (very important for US/EU buyers)
Typical ingredient directions:
Hydrating face cream: hyaluronic acid, glycerin, ceramides, aloe
Anti‑aging cream OEM: peptides, retinol, bakuchiol, collagen boosters
Acne care: niacinamide, salicylic acid, zinc, light gel texture
Brightening: vitamin C, alpha arbutin, licorice, tranexamic acid
Tell the Chinese custom face cream formulation lab what you want to avoid:
No parabens / no mineral oil / no artificial fragrance, etc., if that matters to your brand.
3. Texture, scent, packaging & brand positioning
I keep this simple but clear so the ODM skincare factory doesn't guess.
Texture:
Gel cream (light, oily/combination skin)
Lotion (daily, all‑skin)
Rich cream (dry / mature skin, night cream)
Scent:
Fragrance‑free
Light floral / herbal / citrus
Essential‑oil only
Packaging style:
Tube / pump bottle (more hygienic, travel‑friendly)
Jar (premium feel, rich cream)
Airless pump (anti‑aging, vitamin C, sensitive formulas)
Brand vibe:
Clinical / derm‑style
Clean / natural / eco
K‑beauty / J‑beauty inspired
Luxury spa / premium anti‑aging
4. Budget, price point & MOQ
If I don't set numbers, I can't compare OEM quotes properly.
Key points to decide:
Retail price target (per unit): e.g. $18 / $29 / $49
Landed product cost target (ideal): usually 20–30% of retail
MOQ range you can handle for a new sku
Typical ranges for private label face cream China suppliers:
| Type | MOQ (approx.) |
|---|---|
| Stock private label formula | 300–1,000 pcs |
| Semi‑custom (scent/actives) | 1,000–3,000 pcs |
| Full custom OEM formulation | 3,000–10,000+ pcs |
Be honest with your budget and scaling plan. Many GMP certified cosmetics China factories now support low MOQ private label skincare for new brands.