Deciding on Private Label Vitamins

What are Private Label Vitamins?

Private label vitamins are vitamins and supplements pre-manufactured by one company, but branded and sold by another. They are typically common formulations that are manufactured in large runs and then sold to various companies in smaller quantities to be distributed under their own brand. This goes on all of the time in other industries (most of the toilet paper in this world is pressed in one facility, but sold and branded by over 10 different companies… all successful) It is an inexpensive way to start a brand or expand without the high costs often associated with large run contract manufacturing or maintaining your own nutraceutical manufacturing plant.

Choosing Between “Private Label Manufacturing” and “Contract/Custom Manufacturing”.

* Private label products are already pre-formulated, developed, manufactured, and packaged – the only thing they require to be sold is your branded label.

* Contract/custom manufactured products are 100% created by you – your formula, your packaging concepts, your ideas, everything uniquely designed to your exact specifications.

* The typical minimum for private label vitamins is 1 – 2 cases (24-48 bottles) while the minimum for custom vitamins is 500+ bottles.

* The price per bottle is typically much higher for a private label vitamin when dealing with small volumes. This is the negative of purchasing such a small quantity of product – the price per bottle when the minimum is 500 will be much lower than a 24 bottle minimum.

* If you have a unique product concept, chances are you will have a hard time finding it available for private label. For this reason, companies typically use private label manufacturers for basic vitamins & supplements and contract manufacturers for the most important custom formulations.

* When starting a new vitamin company or supplement business, private label products are a great way to build a multi-product brand without doing 500 bottles of every product you’d like to offer.

* Established brands benefit the most from using contract manufacturers, since they can customize the product to be more competitive and eye-catching. The larger runs also drop the product costs – increasing profit margins dramatically.

eBay Auction Tips

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