HANACOS Cosmetic OEM/ODM FAQ

OVERSEAS HANACOS ODM/OEM FAQ *inquiry:overseas@hanacos.com

A. What does HANACOS Co., Ltd do?

HANACOS is a cosmetic manufacturer founded at the year 2002, and is located in the high mountains(600m above sea level) of Heongsong-gun, Gangwon-do, Korea.

With over 100 employees, HANACOS has marked sales of 11.5 billion and is showing remarkable growth in international exports.

Domestic OEM/ODM customers include some of the most famous Korean-brands, such as Missha, TonyMoly, Amore Pacific, etc.

Major international OEM/ODM exporting countries include Hong Kong, China, Brazil, Malaysia, Philippines, Singapore and Thailand.

HANACOS is unique apart from the other cosmetic manufactures, in the below 3 strengths.

First, we have a long history and knowledge as a Korean cosmetic manufacturer, which leads to high level of technology and experiences.

Second, as the facility being located in the clean & high mountain areas, HANACOS is relatively free from environmental pollutions.

Thirdly, HANACOS is well acknowledged for its exceptional quality assurance system. QC is strictly processed throughout all aspects such as raw materials, packaging, bulk(semi-final) product and final product; for each part, the finest equipments are used as tools to confirm and determine the best quality of products.

The motto of HANACOS is ‘Young Dreams, Honest Actions”. Under this corporate motto, all employees work and research to their best and fullest, with passion and belief, in order to deliver the best cosmetic products to our customers.

B. What kind of products does HANACOS OEM/ODM for, internationally?

OEM/ODM of HANACOS covers from skin care to color cosmetics.

HANACOS is also able to produce functional cosmetics, including functional products for anti-aging, whitening, and sun protecting.

Various ingredient choices are offered, such as cosmeceutical, eco-friendly, animal-origined, plant-origined, etc.

Make-up products range widely from base products, BB Cream, CC Cream, Foundation, Powder, Eyeliner, Mascara, Eyeshadows, Blushers,

Lip colors, Lip scrubs and treatment.

We are also able to develop & produce mask sheets, including functional, beauty ingredients. HANACOS, as a comprehensive cosmetic manufacturer, may produce all kinds and ranges of cosmetic products the customer requires.

C. What is the basic process for OEM/ODM? (International customers)

First we consult with the customers for OEM/ODM.

Decisions on product concept, beauty/concept ingredients, functional ingredients, fragrance, color, etc is made during consultation; formulation sampling is processed as well as sourcing for applicable containers, for customers’ confirmation.

After final confirmation on formulation, container, printing options, design, packaging specifications, and MOQ is made from the customer, HANACOS provides final estimated quotation according to the confirmed specs.

Based on the provided final quotation, customer issues official OEM/ODM Purchase Order. E-mails are usually the main tools for communication, up to this level.

After PO, HANACOS prepares for mass production; raw materials, containers, packaging materials are ordered and set in order for smooth & immediate product production after the production of bulk.

QC is constantly and continuously implemented during all process and stage of production.

QC on raw materials, in order to validate the materials do not contain microorganism and is correct to spec; also on containers and packaging materials to ensure the productions are well-matched to standard. QC on microorganism, content of ingredients, heavy metal is processed after product bulk(semi-final product) is manufactured.

After product has well-processed up to the final production step, final QC is made to ensure the product has no faulty; if none suspected, products are finally released. If microorganism levels are exceeding the standard limit, product is reproduced.

D.How do Unit Price and MOQ of OEM/ODM items be determined?

OEM/ODM products are difficult to check & determine final unit price at an instant. This is because there are numerous variables, such as container/packaging options.

We are able to offer final estimates after all confirmation is made on formulation, container and packaging options; according to the final estimated quote from HANACOS, customers are then able to issue & provide official PO.

Basically, product MOQ is 5,000 but is variable according to container options and design specs.

E. How long does sampling take? (International customers)

Normally a week, when sampling is done according to the customer-requested concept of product. Considering international delivery time, customers are expected to receive the samples in 10~15 days after request.

F. How long is the lead time, from official PO to final product? (International customers)

After all confirmation on specification of product including formulation, packaging and artwork/labeling, pilot production will take around 7 weeks. Repeat orders will take about 6 weeks for complete production.

G. Is the product safety/stability test of HANACOS reliable?

HQAS(HANACOS Quality Assurance System) has the latest and best equipments to measure and ensure product stability. HPLC(High performance liquid chromatography) Analyzer measures if all necessary materials are contained according to the product specifications and relevant regulation. We also test whether Pb, As, Hg, Cd, Sb is contained within the bulk, using ICP(Inductively Coupled Plasma) Spectrometer. Analyzation on sun protectant and asbestos is also implemented.

Tests are also conducted on product preservatives, to ensure efficacy of the preservatives.

H. Can HANACOS propose product ideas?

HANACOS can offer and propose OEM/ODM items to customers. Customers are also able to inquire a product idea, for HANACOS to develop and materialize the idea further.

HANACOS has a specialized team for new product development, and is continuously releasing new product ideas of 10 items, monthly.

I. Does the customer need to arrange their own design?

Basically we do not accept design requests from our customers. This is due to the reason that it would take a long stretch of time to meet the direct customer needs of the product, design concept.

Therefore, we advise the customer to arrange product/packaging design for best efficacy.

J. What is the delivery condition? (International customers)

Delivery terms are based on FOB. But this can be variable according to situations. HANACOS can offer both ship and air delivery.

K. What is the payment condition? (International customers)

Payment terms are based on T/T.

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