customized-products-own-brand

Would you like to customize products in China and have more profit on sales?

Would you like to stand out among millions of e-commerce peers?

Then, the easiest way is to customize products in China and put your own brand on the products. This difference can bring you more profits. To successfully start a private label business, you must also ensure that you have the right private label manufacturer.

In this article, we will talk about:

-The pros and cons of private labeling

-The standard of a qualified private label manufacturer

-Where to find a good private label manufacturer

Table of content

1) What is private labeling?

2) What Are Qualified Private Label Manufacturers?

3) Where Can I Find Private Label Manufacturers?

4) Questions for your private label supplier

1) What is private labeling?

private-label-product

Private label products are products produced and provided by one company and sold under the brand of another company (or individual seller).

Private labeling has become a popular way for online sellers to increase the value of their products and distinguish themselves from the large number of ordinary products sold online.

When people interact with your business, your brand is what people think of you-whether it’s an impression you can control or an impression you can’t control. By customize products in China and introducing your own brand, a recognizable name and logo will differentiate you from others in a crowded market.

For example, you have been selling wholesale mugs on Amazon, sourced from suppliers in China.

They are mass-produced mugs without any brand. Many sellers sell exactly the same products at similar prices, but with very low-profit margins.

In this example, customize products in China will involve you creating your own brand and arranging with the supplier to print or imprint that brand on the same mugs.

You may also ask if they can make a custom case that also carries your brand name and logo.

In this way, you can sell your own exclusive brand mugs online.

However, you don’t have to compete with well-known brands to successfully sell private label products online.

Pros and Cons of Private Labeling

There are many pros and cons to private labeling:

Pros of Private Labeling

-Profit margin. The profit margins while customize products in China are usually higher than similar products. Although it will cost more for the manufacturer to add a brand to the product, you will be able to sell the product at a higher price. Even if the brand is unknown, branded private-label products usually have higher profit margins than mature national brands because these products are usually cheaper to make.

-Exclusivity. The main advantage of private label products is that they stand out among general resale products on sites such as eBay and Amazon. Essentially, you are separating yourself from the relevant areas and want to provide buyers with more reasons to choose products. It also eliminates the temptation of competitive pricing because your product is different from others.

-Branding. Creating your own brand means you own the brand. This is something you own and an asset you can build on. Having a brand can provide an identity for your online business. If your buyers like your products, they will purposefully look for your brand in the future instead of choosing the cheapest generic product. The brand may lead to the opening of a personal e-commerce store so that customers can discover all of your products. After all, branding is related to recognition, trust, and customer loyalty, which are all things that are harder to cultivate when selling generic resale products.

-Marketing. Having your own branded products can help you push your marketing to new heights. Your ability to market generic products is limited. With your own brand, you have more choices. You can create stories around the brand, take creative photos of your products, build social media images, and target products to specific people. Developing a more targeted marketing strategy can improve brand equity, customer loyalty, and sales.

Cons of Private Labeling

-Quality products. Quality is the risk of all online sellers are faced. However, private label sellers may be faced with more risks. You run the risk of placing your brand on products that may not be suitable for you. If inferior products enter the hands of customers, your business and brand will be affected. This is why it is so important to find a trusted private label manufacturer and test sample products before submitting your first large order.

-Reliability. You also risk the reliability of manufacturers and suppliers. If they take too long, get you into trouble, or suddenly go bankrupt, especially when you work with them to create private label products, what will happen? Finding a reliable manufacturer can mitigate this risk, but you cannot eliminate it completely.

-Responsibility. As a private label seller, you are responsible for the products you sell. This may be a risk, especially for products such as baby products, or anything that is inherently fragile or dangerous (such as electronic equipment, safety equipment, sports and outdoor equipment, food, and dietary supplements, etc.). In the United States, where civil litigation is more common, this may be particularly dangerous. Private label retailers can seek to transfer responsibility to the manufacturer, but this is what needs to be determined before starting sales.

-Legality. Selling private label products with your brand will expose you to potential legal issues. You need to understand the trading regulations, possible trademark/patent risks, and the aforementioned security risks. You also need to be alert to any words or statements used on packaging to prevent potential legal challenges.

2) What Are Qualified Private Label Manufacturers?

private-label-manufacturer

Finding a trusted and reliable private label manufacturer is the key to the success of your online business. But what is a good private label manufacturer?

Product specialization: Find a manufacturer that specializes in producing your type of product. Even you have worked with manufacturers on daily use products does not mean that you should insist on using their own brand of Misso electronics. In your search for manufacturers, find one with good performance in your niche markets.

-Competitive price: Getting a lower cost from the manufacturer means your profit margin will be higher. We recommend that you ask for quotations from five different manufacturers to ensure you get a competitive price. Make sure to also ask about the price of the sample product, the MOQ, discounts for bulk purchases, and shipping costs.

-Product quality: The best way to ensure good quality is to conduct research on forums and e-commerce sites. You can also use SaleHoo’s supplier directory, or any other trusted supplier and manufacturer list. In addition, it is recommended that you make samples of private label products so that they can be tested before the products are launched. Some sellers even visit the factory to supervise the production process before sign a contract with the manufacturer.

Reliable delivery: Before entrusting the manufacturer, check with them for delivery time. Any delay in delivering products into the store will result in sales loss and customer dissatisfaction.

-Low defects: What is the manufacturer’s track record of product defects? This may be difficult to achieve, but you should be able to find feedback from other sellers who have used the manufacturer online.

3) Where Can I Find Private Label Manufacturers?

a-Forums

-Reddit: Reddit is a great place to find private label manufacturers. Users often ask the manufacturer for advice.

-Warrior Forum: The Warrior Forum is an internet marketing community where you will find a lot of suggestions for private label manufacturers-some are available in the forum for free, some are offered as paid information products.

-SaleHoo forum: On the SaleHoo forum, members shared their experience with sourcing manufacturers and launched their own brand products. You will find a list of private label manufacturers, as well as discussions of private label manufacturers for specific niches.

b-Market place

A good way to find private label manufacturers is to search for online markets. You can search for private label products in the selected market segment, and then continue to contact the supplier to see if they can produce your product.

The most popular markets for private label products include:

c-Source in the local market


To find the appropriate manufacture to turn your ideas into a product, you can also find private label manufacturers by visiting the local market, attending trade shows, and making contacts in your target area.

4) Questions for your private label supplier

When contacting a private label supplier or manufacturer, the most important thing to remember is to be the person they want to do business with. what does that mean? You need to conduct enough research, know what you want, be professional and courteous, and communicate clearly.

Even if you are a newbie in e-commerce, you can meet as an experienced seller by conducting research and preparing specific questions.

questions

But to get a fruitful result, What questions should private label suppliers ask?

Here is an example:

-What is their MOQ? Even if this information is listed on their website, negotiation is usually required, especially if you bring long-term business opportunities.

-Ask for product specifications, such as color, size, material, size, etc., and ask if they can modify your private label product.

-Check if they are authorized to ship to your country/region, and do they require additional fees to ship abroad?

-What is the unit price and how long is the production time?

-Ask them what their preferred payment method is and tell them your payment method.

-As you can see, there are many factors to consider before you start using private labels.

However, if you conduct research and planning, this may be a useful way to build a brand and develop an e-commerce business.