Do you have a great idea for a supplement, but you have never been able to find the brand that matches your market? Do you already sell supplements made by somebody else, with most of the markup going to them? Are you a physician, chiropractor, naturopath, nurse practitioner, trainer, massage therapist, cosmetologist, barber, esthetician, or private chef?
If you have a great idea for a supplement you can’t find on the market, or if you interact with customers who use supplements every day, then selling private label supplements you buy wholesale from a custom supplement manufacturer could be your stepping stone to financial security and a solid income—while you offer your customers the best supplements they can buy. Here are five steps to success selling private label supplements.
Define Your Unique Selling Proposition
Do you find that you are recommending the same supplements to your clients over and over, and they almost always get great results? Then offer them that supplement under your private label to capture a much larger percentage of the profits. Do you have your own idea for a supplement that isn’t “out there” on the market?
A private label manufacturer can create this product for you. You will usually need to order 1,000 units of a product and pay upfront for custom supplement manufacturing. Are you the person to whom your customers turn for useful, reliable, honest information about supplements? Sell them your product line.
Set A Sustainable Price
Everyone in business wants to maximize their profits. But maximizing your products means leaving your customers with the feeling they got a good buy for their money. If you are already selling supplements made by someone else, try moving the price a dollar up or a dollar down to see how they respond. You can use this information when you are setting your prices for your supplements.
Wonderful products have collected dust on the shelves because their retailers tried to get greedy. A good rule of thumb is selling your product for twice as much as you paid for it. But don’t get into the supplements business until you have nailed down your cost of goods sold, and you know how much your customers are willing to pay.
Choose A Reputable Private Label Manufacturer
It’s not hard to find dozens of private label manufacturers. Generally, they offer some of the same products to all their customers, the only difference being the label with your name that they put on the bottle. The cost of these products per unit goes down as your order size goes up.
It’s a little harder to find private label manufacturers who will customize a product with your ingredients. The challenge is rarely putting your ingredients into a pill or a capsule. The challenge is making sure they can be mixed without slowing down high-speed machinery, and whether their machines can produce your products.
Other considerations in choosing the right private label manufacturer include:
- Order size. Can you sell all the products you need to sell to get a good discount?
- Turnaround time. When your product becomes a hit, will you be able to keep it in stock?
- Liability insurance. Your manufacturer’s liability policy may, or may not, cover you and your products. Be sure to ask before you order.
- Financial stability. It is essential to know that your private label manufacturer will be in business when you need to expand your sales. Dun and Bradstreet and similar services can tell you about the financial stability of the companies with which you want to work.
- GMP (Good Manufacturing Practices). Verify that your private label manufacturer operates under GMP, and meets all state and federal rules and regulations. The only certifying agencies in the USA are USP, NSF, and NFA. Other certifications don’t count.
- No professional supplements seller stores their products in a tool shed or a garage. Can your private label manufacturer take care of your warehouse needs, and maybe ship the product to your customers, too. Be aware that state departments of health may have strict regulations for how supplements can be stored, and demand annual reporting.
Get A Professionally Designed Logo And Labels
Unless you are a graphic artist, and you are familiar with FDA, FTC, and state health department requirements for label information, get labels professionally designed.
Form A Corporation Or An LLC
Plan for success. Plan to earn so much money from your line of private label supplements that there will be people looking to take it from you. Forming a corporation or a limited liability company can protect your hard-earned personal assets from court judgments. And the fact is, if you don’t have enough money from a corporation or an LLC, you aren’t ready to start your line of supplements.
When you complete these five steps, you are ready to sell, sell, sell! Just be sure you work with the right manufacturer for your supplements. BL Bio Lab may be the perfect fit for your new supplements business. Contact us online or call us at 727-877-9889.
If you are interested in even more business-related articles and information from us here at Bit Rebels, then we have a lot to choose from.