Sourcing Twist Locks for E-commerce Customer

Customer Overview – Premium Women’s Handbag Retailer

The customer, Zendira, is a U.S.-based retailer specializing in high-end women’s handbags, selling through physical stores, online platforms, and social media channels. Traditionally sourcing materials and finished goods from Mexico and Europe, they encountered issues with quality control and lead times, prompting a shift towards sourcing from China.

Sourcing Request for Twist Locks

Zendira reached out with a request for twist locks via email, specifying a need for *** pieces (*** sets).

Identifying a Suitable Supplier

1. LeelineSourcing responded to Zendira’s requirements by providing a product quote and a pro forma invoice.
2. The customer proceeded with the payment on September 5, 2022, with an agreed production and delivery timeline set for September 20, 2022.

• Challenges in Production

The assigned supplier reported a shortage of a crucial small copper component within the twist lock, noting the discontinuation of this part by their previous supplier. Given the twist lock’s patented design and the specialized nature of the copper fitting, locating an alternative manufacturer proved challenging, further complicated by the limited number of suppliers capable of matching the required plating process.

Additionally, Zendira’s order was relatively small, totaling *** pieces, while the potential new supplier’s minimum order quantity (MOQ) stood at 1,000 pieces, alongside a mold fee ranging between $280 and $460. After discussions, Zendira affirmed the necessity for an October delivery, allowing additional time for supplier comparison and selection.

Update on Twist Lock Order

• We informed the customer via email about the necessity to extend the delivery timeline due to certain production challenges and updated them on the current status of their order.

• After identifying an alternative supplier, we proceeded to arrange sample production and assured the customer that we would closely monitor the sampling process and keep them informed.

Receipt and Evaluation of New Twist Lock Samples

1. Upon receiving the new samples, we conducted a comparative analysis with the original samples. During this assessment, we identified a few issues.

2. We noted that the plating sealant was excessively applied, preventing the twist lock from properly springing back to its original position once pressed. We discussed these issues with the customer, assuring them that the color discrepancies would be addressed in the final production run to ensure as much consistency as possible.

To rectify the mechanical issue, we advised the supplier to reduce the sealant application around the locking mechanism to enable the twist lock to rebound effectively after being pressed. The customer approved these adjustments, greenlighting the commencement of mass production.

The production was slated to take approximately 10 days, with the delivery date provisionally set for October 15, 2022. However, the delivery schedule was subject to slight adjustments due to the National Day holiday and local epidemic-related delays.

Completion and Receipt of Twist Locks Bulk Order

The bulk production of *** twist locks was finalized, and upon receipt, it was observed that the color of the twist locks slightly varied from the original samples. However, the final color quality was deemed superior to the samples, and the functionality, specifically the springback feature, showed noticeable improvement.

Quality Assurance and Shipment by LeelineSourcing

LeelineSourcing conducted a thorough inspection, verifying both the quantity and quality of the twist locks. Following the quality assurance process, the twist locks were meticulously packaged and dispatched to the customer’s designated address, marking the completion of the order.

Order Recap:

1. Despite previous successful collaborations with the customer, such as the Monday Bag project, this particular order encountered unexpected challenges. The primary issues stemmed from the discontinuation of specific parts by the accessory supplier and patent constraints related to the product components, making the twist lock a rare find in the market. The limited order quantity further complicated the situation by limiting the feasibility of a 100% restoration of the original product design, alongside the implications of minimum order quantities and mold costs.

2. The manufacturing of twist lock hardware, known for its functional importance, inherently carries a high potential for defects, with industry-standard scrap rates ranging from 20-30%. The unique structure of the twist locks in this order resulted in an even higher scrap rate of up to 50%, which underscores the premium associated with such specialized hardware. A lack of market insight led to a shortfall in spare parts, as the order quantity exactly matched the customer’s request with no extras. Future orders will benefit from a more informed approach, taking into account the necessity of additional spare parts to mitigate similar issues.