MIT Sloan Management Review

Marketing, Operations Management and Research

The Limits of Mass Customization

By Paul Zipkin

April 15, 2001

Do not be seduced by the allure of mass customization. Carefully assess the technology and the market demand before committing your company to such a strategy.

Is mass customization really the best way to deliver variety to consumers? Managers understand how critical variety is to adding value to their product offerings. And mass customization has been touted as the premier way of achieving that goal. But there are several ways to deliver variety, and mass customization may not always be the best.

Mass customization is the capability, realized by a few companies, to offer individually tailored products or services on a large scale. Levi Strauss, for instance, sells custom-fitted jeans. Andersen Windows can build a window to fit any house. Consumers can get their names printed or sewn or embossed on just about anything. And personalized information services for everything from financial planning to travel guidance proliferate on the Web.

The phrase “mass customization” is striking, for it seems a contradiction in terms. Mass production implies uniform products, whereas customization connotes small-scale crafts. (See “Mass Customization vs. Mass Production.”) Combining the best of both promises exciting choices for consumers and new opportunities for businesses.

Mass customization has its limits, however, and should be approached cautiously. Several elements have to work well — both individually and together — to make mass customization a plausible business strategy. Mass customization actually requires unique operational capabilities. The technologies that can produce custom-fitted Levis, for example, have developed over decades. The innovations needed to customize... To read the complete article, login or sign-up using the form below.

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