White label potential
You are already trading with powder-based foods or dietary supplements or you are running a location whose target group already has a high purchase intensity for such products? Then you should read this article, we highlight the advantages of your own product range and show you how you can stabilize and significantly increase your sales with white label products compared to traditional retail products.
Fitness Studio Scenario:
Let's assume you run a fitness club and sell products from established manufacturers such as protein powders to your members. The advantage of these products is surely known to you, the established brand relieves you of almost all marketing efforts and your customers are already familiar with the products in the best case. Their sales are therefore generated without any additional effort. Sounds great, and the salesperson of the established brand must have sold it to you in a similar way.
A slightly different point of view:
Well, maybe you have already noticed the double-edged blade of this merchandise strategy in the last paragraph. The supposed advantages, namely the low expenditure on sales promotion measures, sooner or later turn out to be a major disadvantage. Because the established brand will most likely also have a vertical distribution channel, for example its own online store, in which it may even sell its merchandise at a lower price or in conjunction with other benefits. Exactly, not any man or woman, but with under your members them possibly even with expenditure of the products convinced. The bottom line is that in this collaboration, the established brand benefits much more from its "advertising space" than it does from its brand building.
The thing with the target group.
So in the case of the sports studio, the facts couldn't be much clearer. Since it actually hosts a great target group with existing purchase intentions for protein shakes with its many sports enthusiastic members, the minor costs for internal marketing campaigns such as a free tasting for the launch of its own product range are not even close to being in proportion to the potential gain in regular customers who, thanks to the exclusivity of their new products, can no longer convert away from them.
The gym represents in our consideration now a very advantageous microcosm which cannot be transferred of course to each business model, nevertheless one can assume that with a change from commercial goods to your own brand you will always determine a stabilization of the conversion and profit from similar advantages as those of the gym.
Step by Step with White Label...
Our case study is still too vague for you, you don't trust the whole thing yet and fear the collapse of your sales? With our large and constantly growing White Label portfolio you will find a cost-efficient entry into your own brand starting at 20 units. Start a dual system with your existing merchandise and your own brand. Through easily scalable price scales you can easily determine when it makes sense to expand.
How does White Label work in detail? Read our report "Label and get started!