Honest opinions about how to buy Appliances and Lighting.

Monday, June 23, 2008


OEM is a term for a product manufactured by another company and relabeled by another. The practice is prevalent in clothing where every brand is manufactured by a central manufacturer. Cars are another OEM industry. Pontiac, the late Oldsmobile and Chevrolet are/were built on the same platform.

The idea is sending the same product through multiple distribution channels to maximize sales and minimize costs. Over time, it does erode brands. After all, there is very little difference.

In the appliance industry, OEMs are becoming almost the standard. Even super premium brands are starting to source their manufacturing....Lets look at this Viking refrigerator.


Same as this JennAir.


My feelings are mixed. On one hand, people can buy an all Viking kitchen for under $10,000, and the Viking logo is still very recognizable. At the same time, it is $600 more than the identical Jenn-Air.

So do you buy the label or the price?

1 comment:

  1. Anonymous9:38 AM

    I think it all depends on the brands involved. In this case, Jenn-Air is still a great brand so I would probably buy based on price. If Haier were making LG microwaves then I would probably buy based on the LG brand name. Then again, if I knew Haier was manufacturing the microwave, I'd probably choose a different brand.