Are you looking for a private label manufacturer?
The private label refers to a trademark owned by a retailer or supplier who receives their goods produced by a contract manufacturer under their own brand. Private labeling companies pay less for their products. Naturally, lower prices mean higher profits. On average, a private label retailer has 10% higher profit margins than traditional companies.
Other benefits of a private label manufacturer include:
- Direct relationships with your suppliers and sources.
- Ability to create your own unique image.
- More control over pricing, marketing, sales, and distribution.
- Allows retailers to receive items quickly.
RISKS OF PRIVATE LABELING
While there are many benefits to private labeling, there are risks to consider. For example, retailers face challenges related to volatility in the price of raw materials, labor, and more. It is because of these problems that you need to choose the right manufacturer and product.
What are Manufacturers?
A manufacturer is simply defined as a person or company that produces goods for sale like printing shell is the manufacturer of custom packaging boxes and customize stickers as well as custom tiny stickers. In other words, these are companies that take raw materials and process them into various products. They are then sold to retailers, usually at a wholesale price. Manufacturing companies produce goods by combining human activities with high-tech equipment.
Typically, retailers have little or no direct contact with private label manufacturers in the USA. But private label marketers are avoiding this problem by pursuing a different business model. By not selling branded products, private label sellers can control the appearance and branding of their products. If you are planning to go into private labeling or have already started, you must decide if the manufacturer is really the best fit for your business.
WHAT TO SEE IN THE MANUFACTURER for private label?
The value of the manufacturer is different for each seller because each manufacturer has its own characteristics. You will need to find manufacturers who can create your product from raw materials and label the finished product with your company’s individual design and packaging.
Ultimately, the decision about which manufacturer to choose really comes down to customize stickers to what products you’re going to sell. You will need to evaluate your product and find out which manufacturers can produce a high-quality product at the lowest cost to you. There are several production logistics processes to consider when making this decision. For example, you need to determine which manufacturer can provide:
- Items required to produce a product
- Lowest direct factory prices
- Highest product quality
- Reliable delivery on time
- Minimum defects and damage to goods
DOMESTIC VS. FOREIGN PRODUCERS
When looking for suppliers to manufacture goods or custom packaging, a good question is whether you want to purchase goods domestically or from abroad. Domestic refers to companies located in the United States, while overseas can refer to any location outside the United States. In this case, this most often applies to Asian countries such as China, India, and Taiwan. You probably know that in most cases it is cheaper to buy goods abroad. But there are other aspects to consider besides the unit cost. Both domestic and foreign private label supply sources have advantages and disadvantages that you need to be aware of before making a decision.
DOMESTIC PRODUCTION
- Benefits
- Quality manufacturing and labor standards
- No language barrier
- Market attractiveness of American-made products
- Fast delivery
- Enhanced payment security and resources
- Easier to check with reputable manufacturers
- disadvantages
- Higher production costs
- Fewer selection of products (many products are no longer manufactured in North America)
FOREIGN PRODUCTION
Benefits
- Low production costs
- A large number of manufacturers to choose from
- One-stop services.
- disadvantages
- Decreased perceived quality from customers
- Usually lower production and labor standards
- Weak protection of intellectual property
- Difficulty / high cost of checking the manufacturer and visiting the place
- Longer delivery times
- Cultural differences in business practices
- Import of goods and customs clearance
- Less payment security and regression
HOW TO SEARCH FOR THE BEST MANUFACTURERS
Whether you are familiar with finding private label suppliers or new to the game, finding good manufacturers is easier than doing. However, when you know the steps to take in the supplier sourcing process, you will be on the right track to lower costs and increase your bottom line. Check out the stores that specialize in your product category.
Once you’ve done proper research and determined what products you will be selling, head to local stores that have similar products. Walking the aisles, find your wares and pick them up. I’m not a supporter of retail arbitrage here, so tell me about that. Take the items you want to sell and read the packaging. As you read the package, ask yourself: which country was this made from? Who is the manufacturer? Is this product positioned as a luxury item or a profitable item? Take keynotes like who made the product, research the company and decide if they are right for your business.
Browse the product sourcing websites
An amazon-like marketplace that sells a variety of products around the world. But you can use this platform to find the product you want to sell. It can also be used to find manufacturers for your private label. Once you find the product you want to sell, scroll down to the product description. If you see something that reads custom, custom, branding, white-label, or OEM (original equipment manufacturer), that means you can find a manufacturer and contact them about manufacturing your product.
Third-Party Sources
If you find it too difficult to decide which manufacturer to choose, there are companies whose task is to find high-quality foreign manufacturers for you. For example, sites Printing Shell will do the hard work for you. Just tell what product you want to sell and they will help you print your brand on custom packaged products. If you’re an FBA seller, they’ll even ship your product straight to Amazon. You don’t have the same hands-on experience and there are a few more additional fees to consider, but third-party sources are a good way to make sure you are using quality overseas manufacturers.
Web surfing and production catalogs
In today’s technological world, most companies, including manufacturers, have some sort of Internet presence. You can find the perfect manufacturer simply by browsing the web. Enter keywords such as “domestic/foreign private label manufacturers”, “white label manufacturers”, “search for private label suppliers”, etc., and you will surely find pages that point you in the right direction. This method takes a little more digging and trial and error but gives a good chance of finding a suitable manufacturer.
If you surf the internet and come across a manufacturer directory, it might be worth taking a look at. Often, manufacturers listed in online catalogs have higher standards and produce high-quality products that will suit your private label.
Conclusion
Finding the best private label manufacturer is one of the biggest challenges in the private label business. However, it is often worth it. If you take these tips to your advantage, you will find the best private label manufacturer for your business and can expect lower prices and higher profit margins.
Why PrintingShell.com?
Printing shell is a professional manufacturer of custom packaging printing since 1987. No one can beat our prices. Our team is highly qualified and professional graphic designers. Just you have provided your logo, tag line, and any design idea. And they will show your proper 3D proof of your box.
Printing shell provides quality services for packaging printing to its clients. With no compromise on the quality of printing, Printing shell is a trustworthy printing partner for its customers.
Our successful journey, feel free to ask our sales experts for price. Printing shell provides the best packaging solution for your product and free shipment to your doorsteps in the USA and Canada.
For assistance, feel free and email us at sales@printingshell.com