If you have a physical or online store where you sell brands from other companies, perhaps it has crossed your mind to create your own. But how do I create a white label for my business?
The truth is that it is easier than you think. If you have the money to invest and you know your business in depth, you could be getting an extra benefit that allows you to focus on your brand and not so much on that of others. Shall we tell you how?
The steps to create a white label for your business
As we told you at the beginning, creating a white label for your business is not difficult. But it does require an investment in money and time. And that doesn't always go hand in hand. But if you are considering it and looking for information about how to do it, below we will talk about the steps you should take to achieve it.
Identify the type of product you want to sell
The first step to creating a white label product for your business is Know what type of product you are going to create. For example, if you have a clothing store, it could be good to create some pants, or a t-shirt that is from your own private label and that stands out for its material, price, etc.
In other words, you must evaluate which is the best product to create your white label on. And how do you do it? By observing trends, seeing what people buy most in your store or simply carrying out market research to find out the possible products you could consider.
Compare the different manufacturers
Now that you have chosen the type of product on which you are going to build a white label, you will need inform you of the different manufacturers that could take charge of the production of this product. Many brands have contracts of this type with other private labels to make these products. And each of them establishes a series of requirements or obligations that may or may not be good in your case.
Our recommendation is that you contact several manufacturers, ask if they are willing to manufacture white labels and under what conditions. And with all that you can compare which of them best suits what you are looking for.
Establish a working relationship with them
Once you have compared the manufacturers that can carry out the manufacture of your product, surely one stands out from the others. That's who you have to deal with sign a contract in which the production terms will be established and they will get to work to meet the deadlines that have been given.
This is usually done privately, but can also be done legally to avoid current or future problems. Especially if the product ends up being successful.
Develop your brand
Brand development encompasses several important aspects, but there are some to take into account. For example:
- The logo of your white brand. That is, how consumers will recognize your product. For example, Hacendado, Mercadona's white label, has a logo that is displayed on all products. Lacoste, a brand of its own, has its own logo as well. And with your white label you will need that, the name and the logo.
- The type of packaging for the product. And before you think that there are products that don't need that, you should think again, because it is a way to distinguish yourself from your competition if it doesn't. We will give you an example. Imagine that you have created some special own brand t-shirts. But, in addition, you are going to sell those t-shirts in a transparent box with polka dots in the colors of the t-shirt. And with a loop to carry it.
All of this is important and will influence the production of the products, since without it they can create them, but you will not be making it clear that it is a white label, its name, etc.
Produce the products
The production of the products can go hand in hand with developing the brand. In reality, it is not that it is one more step, but rather that both are carried out at the same time.
In this case, In principle you would not have to do anything since you will depend on the manufacturers to know when you can have the product up and running to market it.
Market them
The last step to create a white label for your business is to market it. That is to say, put it on sale and carry out a strategy so that people buy it, try it and be loyal to that brand over others.
Among the strategies you can follow would be:
- Put the white label product at an affordable price. Cheaper than the brand name but not so much that you end up with debt. Keep in mind that your minimum is the price it cost you to create the product.
- Give free trials. This way you allow customers to try the product and, if they like it, they will end up buying if the price is cheaper than the brand name ones.
- Promote it on social networks, browsers, offline... If you want the white label to be known, it is necessary for people to see it and give their opinion about it. And that means using promotion strategies, social networks, etc. to get it.
Benefits of creating a white label for your business
Creating a white label is not something whimsical nor is it done because you want to have a product that represents the business. In reality, the objective sought with it is obtain greater benefits than those achieved with other brand products.
Furthermore, By investing in your own brand you will be getting attention, especially if it is successful, because soon they may ask you for more of your own products and in the end you will be able to specialize and create a business where you do not depend on other brands, but rather your own generates that success.
Of course, despite the benefits of creating a white label, you should not forget that there are also risks: not being successful, loss of investment, dependence on manufacturers... You must also weigh all of that.
Now that you know how to create a white label for your business, would you dare to start down that path?