Simply stated, mass customization is about choice; about giving consumers a unique end product when, where and how they want it. During the last 15 years, choice has become an important ingredient of consumer purchasing decisions. Within this timeframe, the number of automobile models has increased from 140 to 260; the selection of soft drinks from 20 to 90. Today, the U.S. market alone offers consumers 3,000 brands of beer, 50 brands of bottled water, 340 kinds of breakfast cereals, 70 styles of Levi's jeans and 31 types of bicycles.

With choice playing such a critical role in consumer buying habits, mass customization is becoming increasingly evident in day-to-day life. For example, internet-based e-commerce now makes it possible for anyone to order a computer designed to his or her exact needs and specifications. Or compile music CDs containing any combination of songs. Or obtain customized home mortgages. Or design a one-of-a-kind friend of Barbie®, complete with unique name, clothing and personality. Outside of the internet, the trend can be found in clothing, cars, furniture, college text books, signs, eyewear... even sailboats and golf clubs.

Unlike mass production, which produces some variety of an item in high volumes, mass customization is characterized by small volumes - in many cases, lot sizes of one. It is also characterized by competitive cost, timely deliveries and a move away from centralized manufacturing to more distributed production. Consequently, when combined with the very latest digital technology, such as e-commerce and robotics, mass customization not only benefits the consumer, it offers the manufacturer significant benefits as well: a high degree of product/service flexibility, reduced inventory risk, and a competitive edge in the marketplace.

Barbie is a registered trademark of Mattel, Inc.