Private label or not? Private label manufacturing can really expand your business, but is not always the best choice. This guide can be helpful in when and when not to private label.
Supplement manufacturing is a relatively complicated process. When you take care of production, customer support, and selling, things can go good, but this involves limited possibilities, smaller revenue and higher costs for customer support.
Manufacturing under a private label brand can significantly improve your revenue and reduce costs. But many small manufacturers make mistakes choosing to expand their supplement manufacturing business at all costs.
When To Choose Private Label Manufacturing:
– Your best and most sold supplement is solely branded, i.e. there are no other labels added to it. Don’t let someone take credit for what you are known and proud for.
– Avoid at all costs private label brands that want to make your products theirs, partnerships in which the customers don’t know the supplement is created by your company
– When you are innovative and you have a supplement that is better than your best product. You can sell the past best product in private label manufacturing and keep your new best product. Then repeat the cycle if possible.
– Any nutraceutical manufacturer needs to work with private label supplements distributors that will also help them build their own brand. In simple terms this means to find a private label manufacturing distributor that will also showcase your brand, give you space compared to your competitors etc.
– If you find a reliable, experienced and flexible private label brand with who many other supplement manufacturing businesses collaborated successfully
When Not To Choose Private Label Manufacturing?
Basically, when the situation is totally contrary from the above:
– The private label brand also brands your best products with his own logos
– Private label brands that don’t showcase your products and there are no signs that it is your supplement
– Rely on only one great product for years and years and you are not innovative
– Private label supplement manufacturing where the distributor doesn’t let you build your brand
– Don’t go with inexperienced and unreliable distributors, you may regret it. Even though the conditions they offer may be much better, you will most likely end disappointed when the distributors fail to accomplish his promises.
Private label branding has helped many businesses take their supplement manufacturing to another level. Besides looking for successful examples and their experiences, you also must follow the steps we mentioned. In simple words, don’t let distributors label your supplements and kick you out of the game. Don’t relate only to one great product, continue to innovate. Don’t pick unreliable and inexperienced distributors. These are the basic points and you also need to do financial analysis and see the impact of such partnerships.