There are two options to consider:

Option 1. Selecting a supplier from the UK

Most orders for Customised USB Memory sticks are normally processed via a UK intermediary. These organisations manage the entire end-to-end process, but more importantly most will ensure that the manufacturing process is fully audited and of a high quality.

So what should you be looking for when selecting a supplier? Of course price is important, but this should not be the primary driver. A small saving may be a false economy if end users start to experience problems when using the Branded Memory Sticks. Think of the reputational risk and the inconvenience of getting these replaced.

Whilst there is no substitute to full due-diligence, there are some simple things you can do to sort the wheat from the chaff.

• First Check they have a proven track record by contacting previous clients.
• Ensure there is a contact telephone number on the site and speak to a representative.
• Ensure they are working from business premises. There is a growing trend for individuals pertaining to be companies, but working from home without the infrastructure to support you if things go wrong. An easy way to check this is by using Google Earth.
• Ensure they only use new branded USB Flash Chips.
• Finally do not pay for any part of the order until the goods are in the UK and ready for despatch.

Option 2. Selecting a supplier from the Far East.

The primary benefit of purchasing from the Far East is that you can potentially save money. However, it is a complex process and would expose you to a high degree of risk. The key disadvantages are that:

• You must undertake due diligence on the provider to ensure they are a genuine company. It seems that every contact that sells Branded USB memory sticks claims to be a factory. This is factually incorrect, at best most are intermediaries.
• All suppliers will ask for the full funds to be transferred to their bank account before they commence any work. So a real act of faith.
• If things go wrong it is extremely difficult to send items back to the Far East. At best you may get the supplier to repair / make good any errors, but this would take several weeks and you have to pay for them to be shipped to the Far East.
• There are many pitfalls that could occur if the order is not correctly specified to the Far East supplier. For example, ensuring that dataload autorun is as requested by the client or are they using genuine class A USB Flash chips.
• Finally if you wish to purchase direct from the Far East, manufacturers are desperate to secure new business and will offer heavily discounted rates by cutting many of the quality corners mentioned above.

In short, if you are an infrequent purchaser of Branded USB Memory sticks then purchase from a recognised UK supplier. If you purchase on a regular basis then it may be cost effective to purchase direct from the Far East, but ensure you undertake full due diligence and ideally visit the factory before sending any money.

View Tip 1. Here, Tip 2. Here.

There are many examples of customers who have received quotation for Customised USB Memory Sticks, then tried to place an order a few weeks later, only to find that the price has risen significantly! This is an unfortunate bi-product of this instability.

Back in 2008 the price for Branded USB memory sticks were considerably less than they are now. The US Dollar exchange rate was roughly $2 to the £ and there was an oversupply of USB Flash memory. A 1Gb branded memory stick could be purchased for less than £3. Since then, the $ exchange rate has dropped dramatically, at one point down to $1.53 to the £. This immediately added a 25% increase in price. In addition, earlier this year Apple placed an order worth an estimated $500M to purchase flash memory for their iPhone. This took a large proportion of the supply out of the USB flash market. This in turn increased the price of flash by over 30%. This was particular prevalent on the 1GB and 2GB USB Flash chipsets, as these are the most popular Branded USB Memory sizes. Apple are not the only driving force as many other mobile phone and consumer electronic companies have placed large orders for flash memory in the months leading up to Christmas.

However, there are some green shoots in the market. Apple and many of the other flash hungry companies have now completed their Christmas manufacturing and as a result we have seen reductions in the flash memory prices over the past few days!

This coupled with the Dollar exchange rate increasing to $1.65, has seen a large reduction in Branded USB Flash prices.

Market analysts suggest that this is the calm before the next pricing storm, as Branded USB prices are due to increase again in 2010 – so the window of opportunity is short.

At USB2U we’ve been supplying custom memory sticks and branded memory sticks for the last 7 years at very competitive prices. Give us a call or complete the on-line enquiry form and we’ll get back to you in a flash!