Finding the right manufacturer: a practical guide for challenger brands

Tom Felice, operations manager at YF, explores how to run a disciplined manufacturing search from market mapping to negotiation and service levels.

Finding the right manufacturer: a practical guide for challenger brands

For challenger brands, few decisions shape the trajectory of the business quite like choosing a manufacturing partner. 

It is not just a procurement milestone or a box to tick before launch. It is a strategic commitment that influences quality, margin, service levels and ultimately brand reputation. 

When the partnership works, it creates a platform for scale. When it does not, the operational drag can be relentless.

Start early and get clear

One of the most common mistakes is timing. Brands often delay a manufacturing search until pressure forces their hand: a retailer confirms a listing, volumes begin to outgrow current capacity or product complexity increases beyond what an existing supplier can handle. By that point, the timeline is tight and decision-making becomes reactive. 

In reality, a structured manufacturing search takes time. From initial scoping through to shortlist can take several weeks. Add trials, pricing alignment and contract negotiation and you are often looking at a number of months before full implementation. Backward planning from launch dates is essential. Building in contingency is even more so.

Start early and get clear

Strong outcomes begin long before the first outreach email is sent. Internal clarity is the foundation. Brands must be honest about what truly matters. 

Treating every requirement as essential creates unnecessary friction and shrinks the pool of viable partners. A disciplined approach separates non-negotiables from preferences. 

Non-negotiables might include specific allergen controls, defined shelf life requirements, regulatory constraints or critical accreditations. 

Preferences could include geography, certain packaging formats or softer cultural alignment factors. The distinction matters, it enables more focused conversations while maintaining standards.

Think beyond the factory

Equally important is understanding that manufacturing does not sit in isolation. A partner must fit your broader operating model. Who owns raw material sourcing? How is packaging procured? Is the model turnkey or does the brand manage certain elements directly? How are warehousing and logistics structured? 

We frequently see brands move ahead without fully mapping their bill of materials, assemblies or cost structures. The consequences show up later in poor visibility on waste, landed cost and true COGs, limiting margin control and decision-making quality. Clarity across the full supply chain protects commercial performance and prevents unpleasant surprises. 

Volume forecasting is another critical component. Manufacturers assess opportunities based on throughput and line efficiency. They need to understand current volumes, realistic year one projections and medium-term growth ambition. Inflated forecasts quickly erode credibility. Conservative numbers may dampen interest or reduce commercial leverage. The most effective brands present ambition supported by clear assumptions and logical growth drivers.

Structure the search and protect the deal

When it is time to go to market, structure matters. A scattergun approach to outreach rarely delivers strong results. Instead, prepare a concise opportunity overview that outlines the product, channel mix, forecast volumes, technical requirements and growth story. Manufacturers are evaluating you as much as you are evaluating them. Professionalism and clarity inspire confidence. 

A robust search involves market mapping, targeted outreach to capable partners and disciplined documentation of every conversation. Early discussions should focus on feasibility and appetite. Does the manufacturer have the technical capability? Is there capacity? Is there genuine interest? Only once feasibility is validated should detailed commercial negotiations begin.

Structure the search and protect the deal

It is often at this stage that brands feel tempted to accelerate. Deadlines loom and momentum builds. However, the contracting phase is where long-term protection is secured. Pricing structures, cost review mechanisms, service levels, confidentiality, intellectual property and termination clauses all deserve careful attention. Rushing this stage may solve a short-term timeline issue but can create years of operational friction. 

While cost per unit is clearly important, it should not be the sole decision criterion. Operational compatibility, communication style, quality track record and capacity resilience all influence whether the partnership will endure. A lower headline price can quickly be offset by delays, quality failures or hidden cost escalations.

Patterns of avoidable mistakes are consistent across the sector. Going to market without locked technical specifications, changing requirements mid-search without resetting expectations, underestimating lead times or ignoring working capital implications all introduce complexity that compounds over time. Each shortcut taken early tends to resurface later at a higher cost. 

At its core, a manufacturing search is about building infrastructure. It is about choosing a partner who can grow with your ambition, maintain your standards and support evolving complexity as channels expand. Challenger brands that approach the process deliberately, with clarity and commercial realism, are far more likely to establish supply chains that enable growth rather than constrain it. 

The decision deserves the same strategic focus as brand, marketing or retail partnerships. Manufacturing is not simply about making product. It is about creating a scalable operational backbone. Invest properly at the beginning and it becomes a source of competitive advantage. Compromise under pressure and it becomes a persistent constraint.

Manufacturing search checklist

Tom Felice, operations manager, YF

Manufacturing search checklist

  • Have we clearly defined non-negotiables versus preferences?
  • Are technical specifications fully agreed internally?
  • Do we understand our end-to-end supply chain model and cost structure?
  • Are our volume forecasts realistic and defensible?
  • Have we engaged enough credible manufacturers to create optionality?
  • Are commercial terms structured to protect margin and service long term? 

If the answer to each is yes, you are far more likely to secure a partner that supports sustainable scale. 

By, Tom Felice, operations manager, YF

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