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Private Label 101

Pick your products. Put your name on them.

Private Label versus Contract Manufacturing

So you are dreaming of building your own makeup and skincare line, but are unsure whether private labeling or contract manufacturing will be best for your business. Here’s a quick guide to help you weigh your options and get started with your own beauty brand.

 

How Private Label Works

Private label allows you to focus on branding and selling your makeup and skincare products. You choose from a wide range of pre-existing, proven formulas and shades ready to be sold under your brand name with your own logo. The private label company takes care of all product development and manufacturing, so you can enjoy low startup costs, low risk and high profit margins.

 


Pick Your Products.
Put your name on them.

As private label products are already made, order minimums tend to be lower than those of contract manufacturing, starting around only a couple hundred dollars. Additionally, startup costs are lower as you do not need to invest in research & development, as the private label company will have already developed and tested all products. With so many products in our library, you can pick and choose to curate the perfect collection for your business and clientele. You can enjoy high profit margins by buying your products at wholesale prices and charging a premium to your customers for the brand you have created.


Develop Formulas &
Packaging from Scratch.

On the other hand, contract manufacturing offers you more flexibility. You partner with the manufacturer to design your own formulas, shade ranges and packaging. This means room for more differentiation in the marketplace as you get to develop a product that is entirely unique to your brand. The downside? Higher order minimums and longer lead times.

 

Is it Right for You?

Some brands start with private label and graduate to contract manufacturing once they have built their brand awareness and a strong client base. Building your business slowly gives you the opportunity to understand what products your customers are looking for and make the perfect collection for your brand to stand out.

 


Small Businesses

Private label may be best suited for spa & salon owners, freelance makeup artists and beauty entrepreneurs who want to expand product offerings and retail services to include a makeup & skincare line.


Companies and Corporations

Whereas, contract manufacturing can be good for big companies launching their own brands. It can also be a good fit for brands that want to create their unique products or are growing and ready to expand.

 

YOUR NAME is a leading private label cosmetic & skincare manufacturer. With over 1,200 products to choose from, we would love to partner with you as you build your own beauty business. To learn more about how to get started with our private label cosmetics and skincare, check out our get started guide.