Private label (PL) is a product packaged in a unique container, the legal owner and owner of which is a retail network of food or household goods. To create a private label, a steady influx of customers and a manager’s desire to have their own brand are required.
The company ABC Product LLC offers you services in developing a private label and the production of various spices under your brand. Owning a private label provides significant advantages for stores and retailers:
- The main and most important advantage of owning a private label is the stabilization of profits from sale of your own product. You get the opportunity to follow the correct order of goods and you can independently adjust the assortment of products, depending on customer demand.
- The next advantage is the relatively low cost of the PL product. You save on promotions, no need to promote your product: main sales engine is local advertising in immediate points of sale.
What is the mechanism for making profit from owning a private label?
- The simplest and most logical explanation is that the buyer always tries to find a cheaper product and at the same time is of the best quality.
- Own trademark gives you the opportunity to control the quality of products, as well as its value.
- The cost of PL is lower than of well-known brands.
- Products manufactured under your brand will be in great demand, as their cost will be lower and the quality will remain at the highest level.
What is the advantage of a brand to a seller and a buyer?
A company selling goods under its own private label increases the competitiveness of its enterprise, reduces the cost of purchasing goods, gets the opportunity to increase the margin, thereby increasing the profitability of the business as a whole. As a result, it receives an increase in the company's capitalization, forms customer loyalty, and reduces the growth of suppliers' influence.
When purchasing such a product, the buyer saves the family budget, while buying goods of excellent quality. It can also be noted that one gets an opportunity to make a good choice, considering the range of products on the shelves of your stores.
All our work is aimed at creating products that can satisfy the taste of the most demanding consumer. We are trusted by many buyers throughout Russia, we value this trust and do everything to meet the highest quality standards. We are constantly improving production technologies, modernizing packaging design, and according to the wishes of consumers, we are supplementing the assortment with new positions.
