Main suppliers of White Brands
Creating your own business has never been as easy as it is now, thanks to the use of the “white label” that allows entrepreneurs to sell the supplier’s products at a cheaper price than the market average. Thus, the possibilities of obtaining good profits are very wide.
In this case you will have the opportunity to promote all the products of a private brand and get very good benefits for it. Especially, because you not only help to boost the sales of that company, but also grow your business very fast.
If you are interested in starting to work in this way and increase your income with private label, it is important that you know the best suppliers and the profit margins of each of them. Therefore, follow in detail everything we offer you below.
What are private labels and how do they work?
The private label was born in 1980 in the United States, with the objective of reaching the public that did not have the purchasing power to acquire the products of the leading companies of the time. Thus, it refers to those items used by the supplier to sell merchandise that is manufactured by another company at a lower price than the market average.
So a private label is nothing more than a product manufactured by a third party and marked with the label of another company. This allows many entrepreneurs to acquire a wide variety of items selected by the manufacturer and sold at a very low price and then offer them in their own stores.
Currently, this sales modality is widely used by businesses to expand the diversity of the items they offer and thus manage to maintain control over prices and profit margins. Likewise, this can be used by any type of business, although the most common are beauty products establishments, pharmacies, supermarkets, clothing stores, among others.
What are the benefits you can get with private label?
There is no doubt that private label allows companies to focus directly on the needs of their customers since, in this type of business, they will not have to design or test the product for sale. In this way, private label items reduce competition and are easier to adapt to the requirements of buyers.
So using this technique for your business will always be a very good option, especially because it can carry your own logo and name, which allows you to differentiate yourself from the rest at all times. Therefore, some of the advantages that this offers you are the following:
- Decreased competition: Stores that offer a private product are able to increase customer perception and reduce competition. This allows them to attract more buyers and therefore improve profits.
- Selection of materials: If you are interested in a specific type of product, then you can rely on the comments of customers to see which are the materials preferred by them, in this case you should only make sure to purchase those items that use them so you can increase your sales.
- Oversee branding: This private label approach allows stores to create their own logo, label and packaging to enhance the value of the packaging so that they can tailor it to customers.
- Good profit margins: Generally, these types of products offered by a specific supplier are usually purchased at very low prices, which allows stores to sell them at a competitive price and above all cheaper than those of a leading brand in the market. This will help them increase profit margins.
- Reputation: It is essential that you choose a supplier that is safe, reliable and provides you with quality products as, the reputation of your brand is critical for tomorrow’s success. This means that you must sell quality items that customers will love. You can also offer premium and discounted merchandise, which opens up the possibilities of attracting people from all walks of life.
In what type of business can I implement private label?
Currently private products are able to adapt to different types of businesses, but this will basically depend on the suppliers that offer this sales system. However, there are different types of stores that offer it and which usually give a very good application, which we show you below:
- Beauty salons: Nowadays many beauty salons have opted to acquire private products for their inventories, in these cases some stores decide to produce a line of shampoo or conditioners under their own brand and thus offer them to their customers. This allows them to have a more professional touch at all times.
- Pharmacy: Most pharmacies tend to use this type of business because, thanks to this, they can create different products such as pills, creams, vitamins under a private brand and offer them as a cheaper alternative to the rest, thus achieving greater loyalty from buyers.
- Clothing store: Entrepreneurs who sell clothing are usually one of the first ones interested in acquiring this type of products since this will allow them to offer their own line of merchandise that will make customers rate them better. Thus, they can start offering shirts, panties and other clothing items under their own logo and name.
- Shoe store: It is the same as with the clothing store, there is nothing better for people to become loyal to a good brand of shoes, so offering these shoes
under your own logo and name can help you reach a larger audience and thus make your company known.
- Groceries: If you are a grocery retailer, then you can start taking advantage of this system because it will allow you to offer various products such as cheese, milk, candies and others under your own private name, which will generate a better reputation with your customers and the possibilities of selling even more.
These are just some of the most common businesses that apply this type of sales, but the truth is that the private label is able to adapt to any company or distributor so you just have to take care of finding the right suppliers, with the best prices and quality of products.
How to design your own private label business and not fail in the attempt?
You are probably wondering what are the steps to follow to start working with private label products and thus have your own logo and name. In this case it is very easy as long as you have the right suppliers. Therefore, the steps to follow in this case are as follows:
Select your trusted supplier
Perhaps this is the most complicated point of all and where you will have to be more careful because, depending on the supplier will be your success. We know that nowadays choosing the company that will deliver your products is not easy, but it is important that you focus on several aspects.
The first one is the type of product you offer, this must be what you are interested in selling, if you want to create your own line of beauty items such as creams or cosmetics, then look for a company that offers them under this sales system.
Next will be the quality of the product you offer, which must be very good. Remember that these will come under your name and logo so you don’t want customers to badmouth it. Therefore, make sure you choose a supplier that is well known for their items.
You should also pay close attention to their prices, which should be accessible and allow you to sell at a lower price than the competition.
Finally, we recommend that you select at least two suppliers and compare one to the other. This will help you select the best one and the one that offers you the highest profit margin on most of its products.
Choose product and units
Once you have selected the supplier of your items, then the next thing to do is to select the product you want to sell and the quantities to buy. Generally, most of them offer small quantity packs for you to start and test, so purchasing between 200 and 300 units is a good number to start with.
Select the product name and logo
Once you have all the products selected, the next thing to do is to choose both the name and the logo of your private label. It is important to make sure that it is related to what you are selling, this is essential since people should be able to relate directly to the items you offer without having to do a lot of research.
Choose product labeling
This point is very important because the products are offered without any kind of brand and many of them without packaging, this means that you will have to take care of the packaging and labeling appropriate for it. Keep in mind that it must have your logo and name, as well as the indications that you believe necessary so that the clients can see it as something safe.
We also recommend that you indicate the ingredients with which they are prepared, as well as the recommendations for use in case you sell beauty and care products such as cosmetics, creams, shampoo, among others.
Start selling them
If you have already completed all the previous steps, then the product will be ready for sale. Here you must set a lower price than the established brands so you can compete with them, remember that your line is new so you must begin to build customer loyalty.
This means that you cannot match their prices with those companies that have been in the market for years and are recognized for their quality. The most important thing here is to make your products known and start building your own customer base.
Best private label suppliers for you
As we know that the process of selecting suppliers is something very difficult to achieve, here we are going to show you some of the most reliable and that you can start hiring right now to supply your business. Therefore, here we show you each one of them.
500Cosmetics puts at your disposal a very wide product catalog where you will find a great variety of items such as food supplements, creams, perfumes, sex toys
and much more. It also stands out for offering its customers the possibility of increasing their profits through the private label with income margins of over 70%.
To do so, they offer low investment, short manufacturing time, legal advice, packaging design, quality ingredients and controls in each of the processes. In addition, it offers you a very simple and fast purchasing system, as well as the possibility of buying from 200 units minimum to start, so they are considered as one of the best suppliers.
It is one of the leading companies at a national level in the Spanish dietary and nutraceutical sector, and has been in the market for more than 30 years dedicated to the manufacture and commercialization of its products. It also offers the possibility of generating income through its private label through food supplements and herbal dietary supplements.
Nature Essential will help you grow your business thanks to its great variety, quality and the guarantee offered in each of its articles. In addition, it offers very low prices so the profit margins are very attractive.
Martines Nieto C.A.
Recognized for its expertise in food supplements, vitamins and natural cosmetic products. Likewise, they have been in charge of the manufacture and distribution of each of their natural products since 1968. Thus, for years they have been in charge of innovating the market, making it an excellent opportunity to take advantage of their private label and generate secure income.
It offers very competitive prices, as well as a wide variety of food supplements and cosmetics, which makes it an excellent alternative if you are looking to sell this type of products.