Private Label Benefits to Retailers (Print Ready)
Private label products or services are those manufactured or provided by one company for offer under another company's brand. These are also known as store brands, private label brands, or private label goods. Private brands are available in a wide range of industries from food to cosmetics. In the past, these products were often considered to be lower cost alternatives to major brands, but many private brands are now showcased as premium brands and compete with existing name brands. There are numerous advantages for retailers to promote private label products.
The packaging and labels can be custom tailored to meet specifications, including product name, description, company's logo and contact information. Private labeling allows retailers to have more control over pricing strategies. There is also more freedom for retailers to create their own marketing plans and to control their own inventory in stock. With higher margins possible, there is a greater opportunity for profit. Private branding allows retailers to create a personalized and unique image, which promotes stronger customer loyalty. Private labeling allows for greater control over many factors - including sales, marketing, and distribution. Retailers can have complete control over product distribution with private label products. The products are only available from the retailer - customers will not go into a popular megastore and find the private brand product at a lower price.
Customers will not find the private brand product somewhere else on the internet either.
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