Private label or Private label is a private label of a company that, as a rule, operates in the retail segment and has an established sales network. Private label production is outsourced to a third-party manufacturing company, allowing the private label owner to concentrate on marketing and sales. It is customary to assume that private labels are the lot of large retail chains. But this is far from the case. The main condition when private labels are economically justified is the presence of a well-functioning retail sales network, its own customer base (wholesale or retail is not so important), capable of selling the minimum contract batch.
Further development of your brand depends entirely on the promotion strategy you choose. As an example, starting to work with private labels and placing an order in our production, you have the opportunity to set a lower price for these products or set it at the level of competitors, laying the financial foundation for the formation of an advertising budget. Then, in the first case, you are able to implement a strategy of low prices and supplement your product range with your own line of inexpensive products. And in the second - to engage in the full-fledged creation of a brand that meets your visions and expectations.