As an Amazon seller, you have options when it comes to sourcing and retailing. One of the most popular approaches is selling private label products on Amazon. While it may be a bit too challenging for a beginner, developing a private label is the logical next step for a seasoned entrepreneur who is looking to stand out from the crowd and eliminate the competition. If it is you, keep reading to find out everything you need to know about private labelling on Amazon. Hopefully, this article will help you figure out whether this business model can help you to take your company to the next level.
What is Amazon private label?
Private labelling refers to purchasing generic products from a manufacturer of your choice and selling them to customers under your unique brand. What are some of the best private label products to sell on Amazon? Think generic items like water bottles, flashlights, diet supplements, snacks, make-up, haircare, and skincare products, clothes, and accessories. The easiest way is to find a reliable manufacturer producing high-quality goods and simply put your logo on them. A more advanced approach would be to order customised goods: add a few tweaks to an already existing product to make it your own and help it stands on its own on the market. Make sure that you pick an item that is not only generic but also lightweight and have a high rank on Amazon.
The pros and cons of Amazon private label strategy
Developing your own brand can be very exciting. However, there are two sides to every coin, so do your homework before switching to private label. Consider this:
- No need to pay for the brand name and compete with sellers of the exact same product.
- No restrictions from the brand owner.
- No need to create an entirely new product – just design logo and packaging.
- You call the shots about the production and style of the product.
- You can set the price lower, beat the competition, and attract more customers.
- It takes more time and money to launch a private label product since you need to design the logo and packaging, find a reliable manufacturer, and build a marketing strategy.
- It is hard to win over the customers’ trust to an unknown brand.
- It may be hard to find a manufacturer producing high-quality goods.
If unsure, start small and work your way up. Test the waters before you dive in head first to private labelling your entire inventory. Slow and steady wins the race!
Use Amazon FBA for private label products
Yes, it takes a percentage of your profits, but using FBA allows you to forget about picking, packing, and shipping your orders. With Amazon FBA, your listings automatically become eligible for free prime shipping. Let Amazon fulfilment centre take care of everything, including the returns and 24/7 customer support, while you sit back, relax, and enjoy the boost in sales.
Don’t think high Amazon FBA fees are worth it? No problem! There are a lot of independent fulfilment services ready to help. Minatus is the #1 fulfilment centre in the UK offering a full range of services at flexible rates. We will receive, inspect, stock, pick, pack, and ship your products, making sure that they comply with the strict Amazon requirements. Contact us to get started! Partner with Minatus and join the ranks of successful Amazon private label brands.