Is Private Labelling for you?
So, you’re an established retailer, looking for ways to boost your business, basket values and brand in 2023. Is Private Labelling the way to go?
Private Labelling is the process of working with a supplier to apply your own branding to products. The product is researched, developed and made by a third-party (us, for example), but as far as the consumer is concerned it’s the retailer’s own range and products. This way of working is highly popular in the food and beverage industry, whereby supermarkets will sell condiments, tinned goods, and cereals for example, as their own. These products aren’t in fact made by the supermarkets themselves, but are manufactured by someone else and bought then branded by the supermarket chain.
There are so many benefits to private labelling, which is why we offer it as a service with our Simply Brands range, and it proves to be consistently popular. Because the R&D has often already been done, and because manufacturers can work with swift lead times, getting the products in-store or tweaking them slightly to adapt to trends is often quicker than creating it all from scratch on your own. Plus, while the product itself may already be created, the design and branding can be adapted to suit exactly what the retailer is wanting. This flexibility and control is highly appealing.
Your product is also unique to your brand. And so, end consumers can’t directly check pricing. Although the product may indeed be the same as one another brand is selling, it’s virtually impossible to compare pricing between retailers of that product.
However, it’s important to know the ins and outs of the private label process, because, at face value, it can seem like a total win-win in every scenario. But of course, it’s not for everyone. As above, the product is unique to your brand, even if other brands sell that very same product but a downside of this is that consumers can search online for that product, and all retailers selling it will be shown.
There is also the WAY in which you do private labelling which can impact whether it’s right for you…
1.
The first is to work with a supplier, like ourselves in creating a new product, using our skills and expertise in the area. This may not be a product already in our range you wish to rebrand and you want to work with us to create something totally new. Working with us in this instance is often easier and more cost-effective than going it alone as we already have the connections, procedures and knowledge in place for researching, sourcing, developing and procuring. This isn’t necessarily a quick process in getting new products into your store with your branding, but is certainly quicker and often smoother than starting from scratch yourself with lower upfront costs.
2.
The second option is to take a product already created and change the branding to your own. This is of course a simpler and faster route into private labelling, but you have less control (if at all) over the product design itself. It’s literally a case of taking the product as it is and adding your branding. When browsing our Simply Brands range, you’ll notice a huge range are perfect for private labelling and will look great, natural and stand out with your branding. Indeed, the branding of the product is a rather intricate process and works best if your brand is already well established with a strong consumer loyalty and recall. Designing the branding of the product takes time to get perfect to both work with the product itself and on a wider scale within the retailer’s general offering. However, this is a very popular option for many of our Simply Brands clients and our whole range can be adapted into Private Label form.
Don’t forget too, that our Simply Brands team can work with you, and for you, in sourcing products outside of our catalogue. So, if you have a product line in mind that we don’t currently offer, but you know is already out there and perfect for your own branded range, just let us know!
But how do you know which route is for you? The key thing when it comes to private labelling is to really know your market. Truly understanding your consumer and market trends is the key in understanding which private label route you need to take to get your product on the shelves. If indeed private labelling is even the right route for you.
To find out whether Private Labelling is right for your business, get in touch with our team today. We can also advise on which products could work well for you and discuss the process in more detail.
