Canadian electronics shoppers are often faced with numerous options for the same product. In addition to the new vs refurbished matter recently discussed, OEM vs Retail is yet another option. This week, we’ll explore what OEM is all about and what it means to the Canadian deal hunter.

Original Equipment Manufacture
OEM stands for original equipment manufacturer, and OEM items are sometimes referred to as bulk. It is most commonly seen in computer parts and software. OEM products are meant to be purchased by a system builder instead of the final retail consumer. For example, a computer shop would buy OEM parts (hard drives, operating systems, CPU etc…) and put together complete systems for retail sale to the public. Despite its original intentions, OEM products are frequently available to the consumer who wants to build or upgrade their own systems. OEM software usually has restrictions that it can only be purchased with a computer system, but some retailers may not enforce this requirement strictly. Here’s an example of an OEM Windows 7 vs a retail version of the same Windows 7.

Difference between OEM and Retail
Unless otherwise specified, an OEM product is usually brand new and exactly the same as the retail version. However, since it is not meant for the end consumer, it will likely be without fancy packaging and may be missing instruction manuals or the necessary accessories. For example, OEM CPU typically does not come with the cooling fan, and OEM hard drives do not include the interface cable. OEM items usually have similar warranties as their retail counterpart, but you may have to deal with the manufacture instead of the store, so double check just to make sure.

What does this mean for Canadian shoppers?
OEM products are usually priced less than the retail version, though more a refurbished item. If you are familiar with the product and already have the right accessories, it is often a great alternative when getting a brand new item instead of paying the full retail price.