Neodymium magnets (also known as NdFeB, or NIB ), are the most common rare earth magnets, neodymium magnets are the strongest type of permanent magnet commercially available. These magnets recently replaced many other kinds of markets in the market for various applications, such as motors in cordless tools, hard disk drives and magnetic fasteners.
Our client had been using high quality high strength N35 Neodymium magnets with high rare earth content to make high quality name badges for the last 15 years. They expanded their market via fast turnarounds and high quality custom badges. When we connected with then we learned that they bought a sizable amount of magnets domestically and were wondering if we could save them any money by sourcing neodymium magnets from overseas, for 70% of their product cost was in this one material.
We did search the market and found out that Ningbo China had the densest volume of Neodymium magnet manufacturers. We initiated the search with 8 different manufacturers and found out the potential savings were over 50% for this specific item.
We also re-engineered the product to make the adhesive on the back stronger and peel of tape to be slightly longer to help with the peel and stick process. The end result was a higher quality product that employees could peel off faster for 53% less than the current price.
Our client is not in a price competition, they are growing their business with high quality products with quick turnarounds, so the savings impacted their bottom line immediately and led them to inquire on other products for us to research and save money on.