Private label manufacturer will help you customized products with your logo on them to differentiate them from unlabeled products. It is suitable for eCommerce startups to make good profits for small businesses by selling their own private label products.
Whether it’s on Amazon, Shopify, or an offline store, selling your own private label products is the most profitable way to go. For example, when you sell your own private label electric toothbrush, you can make 30%-50% profit, whereas if you sell a well-known brand Philips electric toothbrush, you can only make less than 10% profit.
However, some people find it difficult because they have never tried private label or don’t know how to find a private label manufacturer.
With the experience of helping more than 1000 clients to produce various private label products in the last 3 years, I am writing this article to share with you how to find the right private label product supplier in your country or in China. At the end of the article, I will also recommend the best cities in the world for private label products.
For the quick guide to the content of your interest, you can click each of the following links, and you will be navigated to the related paragraph.
- Private Label products are easy for small businesses to start.
- Domestic VS Chinese private label manufacturers
- How to find private label manufacturers in China?
- Packaging solutions for a low cost.
- What if manufacturers don’t have Private Label Service?
- The Heaven for private label products business.
1.Private Label Products Which are Easy for Small Business to Start
a. High-margin products or products have high prices similar to branded products.
Conversely, low-value products such as disposable tableware will not attract consumers to remember your products, while high-margin products such as private label cosmetics or clothing will catch the eye of consumers and bring you more profit.
b. Simple products with fewer subsequent quality problems.
Quality control will be a potential risk for private label products because your customers will leave bad reviews if they get products with many defects or not up to the level they expect. In this case, you’d better avoid products that may require after-sales service, such as smart watches and electric scooters.
c. Products that are easy to customize and inexpensive.
Try to avoid high-cost customized products, such as plastic products, which usually require custom molds of $1000-$2000. However, products like baby blankets will be easier and cheaper to get your own custom patterns, and many manufacturers will even agree to provide free customization services for your own designs.
2. Domestic VS Chinese private label Manufacturer
After you have decided on the product you want, you can start searching for the right manufacturer. But before you search, you will wonder, should you search for manufacturers in your own country or in China?
a. Domestic private label manufacturers
- Easier to verify reliable manufacturers and quality control.
- Standard manufacturing and labor work.
- No language barrier and no communication difficulties.
- Domestic manufacturers are more aware of local consumer preference.
- Fast shipping and short delivery time.
- Much higher labor costs and manufacturing costs.
- Much fewer manufacturers to choose from, especially for some products you want but can’t find a manufacturer in your country.
b. Domestic private label manufacturers are more advantageous in these categories
Although almost any product you have in mind can be produced by a Chinese manufacturer, some products are still not suitable for production in China. For example, when you have high quality requirements for skin care or health care products, I would suggest that you look for relevant domestic manufacturers directly to do your private label.
Also, for some products that have strict regulations or require FDA certification, it is recommended to consider domestic private label suppliers or vendors, which do not need to pay certification or registration fees and can save up to $5,000 per year.
c. Chinese private label manufacturers
- Lower labor costs and manufacturing costs, only $4/hour of labor work compared to $20/hour in the US.
- There are more manufacturers offering almost every kind of product to choose from.
- Language barrier. Although more and more Chinese can speak English, most manufacturers still have employees who are not fluent in English, if they speak English at all.
- Quality control is not convenient when your manufacturer is in another country. Therefore, you need to hire a third-party inspection or sourcing agent to help with quality control.
- The import process is more complicated and shipping times can be longer.
3. How to Find Private Label Manufacturers in China?
When you decide the Chinese manufacturers are more suitable for your private label products, here you are recommended the methods below to find your suitable Chinese manufactures.
a. Find your private label manufacturer in Alibaba
Online wholesale platforms are so convenient when you don’t have time or budget to come to China. Alibaba, Aliexpress, DHgate, Global Sources, Made-in-China, Yiwugo are the ones of the most popular online platforms. Alibaba is the most recommendable online platform for almost all daily consumer products, where you can find many different suppliers for each kind of product.
The other platforms are also popular, but either they are not so comprehensive like Alibaba or they are just more suitable for one certain field of business. For example, Made-in-China is more suitable for industrial products and Global Sources is more suitable for commercial products.
You can click and check 6 Main Chinese Wholesale Websites (Best & Legit) to learn more differences between these platforms.
How to search for suppliers on Alibaba? There are two common methods. One is that you can directly type the product name on the first page and check suppliers one by one. The other is to submit your product information on Alibaba RFQ and soon or later many suppliers will contact and quote for you.
Even though Alibaba is a comprehensive and recommended platform, still you need to pay attention when choosing reliable manufacturers. Here are two of our blogs to navigate you to how to be safe and avoid scams before you choosing manufacturers to produce private label products.
b. Find private label manufacturers in some trade show
Going to trade shows is the most direct and reliable way to see and check out products and suppliers. You can see the products with your eyes, you can touch them with your hands, and you can meet the suppliers face to face to determine if they have the ability to customize the best private label products for you.
There are two types of trade shows. One type is a comprehensive trade show where you can see many different suppliers displaying various types of products. The Canton Fair is the best known and most popular of this type, and it is held in Guangzhou in two sessions in the spring and fall.
Another type is set up specifically for a particular product. For example, CIBE (China International Beauty Expo) is dedicated to beauty products, such as salon products, cosmetics and oral care products; CIFF (China International Furniture Fair) is dedicated to furniture products, equipment and accessories. When you only need a certain product, you’d better choose this type of trade show instead of going to Canton Fair.
c. Hire a sourcing company to find private label manufacturers.
As far as I know, many people want to make their own best private label products, but they lack the experience of importing products from China and product customization. It is too difficult for them to find the best manufacturer or follow up the production by themselves. Therefore, I highly recommend these people to find a Chinese sourcing company, such as Jingsourcing, to help handle all the import and customization process.
With the help of a sourcing company, you will get quotes for your products from different reliable manufacturers, fully understand all the production, customization, packaging, and shipping costs. At the same time, your sourcing company will help follow up on production, quality control, product inspection, shipping arrangements, etc. until you are satisfied with your products and get them in your country.
There are many sourcing companies or agents in China and your country. Before you choose a suitable and reliable sourcing agent as your partner, I suggest you read our another blog as your reference. Teach you how to find a good sourcing agent in China
4. Packaging Solutions for Low Cost
a. Applying your logo on products.
Screen printing is the most common and widely used method of adding private labels to product bodies and packaging. Most Chinese factories can provide screen printing services for free if you can purchase more than $2000 per piece. But if you really need a fancy pattern with gradient colors, you can opt for heat transfer printing.
Laser printing, or laser engraving, gives your product a pretty high quality look. If you take a good look around the market, you’ll find laser-printed logos, text or graphics on items in almost every gift store. For mass production, it may cost you $0.10-$0.20 per item, depending on quantity and size.
Woven labels are sewn onto the edges of items made of fabric, such as shoes, jeans, hats and bags. This type of label looks better than a printed logo. If your product is made of fabric or partially made of fabric, adding your logo to a woven label would be a good thing to try if your competitors don’t do it. The minimum order quantity is usually 1000 pieces and the unit price for a small size woven label is about $0.10.
b. Types of boxes for private label packaging
White paper boxes and corrugated paper boxes are commonly used as inexpensive general color boxes. White paper boxes are usually suitable for light and delicate products, such as headphones. We have customized a white paper box for headphones for a customer, the size is 55*20*125mm and the cost is only 0.3 USD. If you need to package a heavier product, you can choose a corrugated box, which also costs about the same as a white paper box.
Lid and base boxes are another popular type of packaging boxes, which are good when you plan to make high-end products. Better packaging makes customers willing to spend more money on the product. Most electronic products are made with lid and base boxes. If you want to make your box more luxurious, you can add some good looking material inserts such as silk fabric.
c. Other private label packaging solutions
Cloth bags are another inexpensive and popular option for private label packaging. The most common cloth bags are polyester bags and flannet bags.
Let’s take the flannet bag as an example. It is light, flexible packaging space, and usually used to package digital accessories, jewelry, etc. A month ago, we helped our French customer to purchase flannel bags for his power bank. We helped put his private label design on the flannel bag and it cost only $0.3.
The cylindrical paper tube is a great packaging option for protecting products. It works for products like tea, pencils, and other bar shaped products. Last year, our company purchased some tea from the wholesale tea market and we chose the cylindrical paper tube to package the tea and labeled it with the “Jingsourcing” label as our private label tea.
5. What If the Manufacturer Don’t Have Private Label Service?
When you buy 500 sobriety units at one factory and 500 wine openers at another factory with the intention of selling them in a bundle, the manufacturer tells you that they can’t customize your private label unless you order at least 2,000 units. What should you do in this situation?
a. Find a professional packaging supplier.
I highly recommend that you find a Chinese packaging supplier to help you with your private labels. This is because manufacturers usually only provide plain white packaging for your products, especially if your order quantity is small.
But if you have your own packaging supplier, they can provide you with several different packaging options to choose from, even if you only need 500 pieces of private labels.
You can find these professional packaging suppliers on Alibaba. Try to find these suppliers from Cangnan, Wenzhou. This place is the most famous packaging industrial area with a long history of packaging production, where you can easily customize a variety of different private label packaging.
b. Find a sourcing agent
If you can’t find a packaging supplier you are satisfied with, you can find a reliable sourcing agent for your private label brands. Sourcing agents usually have packaging or printing houses they work with, and they can easily help you with all your packaging issues. Therefore, you can save more time to focus on selling your products.
6. The Heaven of Private Label Products for Small Business – Yiwu, China
In the third chapter of this guide, we will discuss how to find private label manufacturers in China. In addition to Alibaba and trade shows, there is another great place that many people don’t know about yet. That place is Yiwu, Zhejiang, China, the city where our company is located.
Yiwu has the world’s largest wholesale market for everyday products, and suppliers come here from all over China. In contrast to the Canton Fair, which is held only twice a year, the Yiwu wholesale market is open all year except for the Chinese New Year holiday.
a. Search for your product in Yiwu wholesale market
Yiwu wholesale market is the largest integrated market in the world. It has more than 2.6 million square meters of business space, more than 50,000 stalls, and 1.7 million types of consumer goods for daily use. This market is also well organized by dividing areas for each different kind of products.
In this market, you will see all types of consumer goods, including many products you have not seen before. I suggest that you could spend a week searching and gathering prices for the products you want to private label and the other products you want to bundle.
For example, if you want to bundle coffee mugs and coffee spoons, you can just go to the mug section and easily find 100 different types of coffee mugs and coffee spoons for you to choose from and let a reliable Yiwu agent do the bundling for you.
b. Low MOQ and low price
Compared to Alibaba suppliers and trade show exhibitors, Yiwu wholesale market suppliers can offer you a lower MOQ for the same products. for classic style products and stock, it can be as low as $200, which is perfect for small business start-ups.
In addition, the competition in Yiwu wholesale market is very fierce. When you need to find a product, such as LED lights, there are hundreds of suppliers of lights in the same product area. Therefore, you can easily get a lower price, even lower than Alibaba, by comparing the prices of the stores.
c. Large number of packaging suppliers
Even though the MOQ of Yiwu market is low, they will still demand high MOQ when you ask them to make your private label or customize your own packaging.
But don’t worry, there are plenty of packaging suppliers inside and outside the market. And you can get your own designed packaging for as low as $100.
If you want to learn more about Yiwu market, how to go to Yiwu, or how to source products in Yiwu market, please read this blog of ours. Yiwu, China.
Thank you very much for reading this blog. I sincerely hope that our information can help you find the best private label manufacturers.
As for Amazon’s private label business. This blog. Selling Private Label Products, this could give you some inspiration.
If you need our team to assist you in finding a manufacturer and a private label method for your products, please click on the link and contact us.