Private label involves purchasing generic products from 3rd party manufacturers, then selling them under your own brand on Amazon.\u00a0 This means that the manufacturer doesn\u2019t have rights over the brand label on the product, that\u2019s yours \u2013 essentially, a \u201cprivate label.\u201d<\/p>\n
Private labeling is markedly different from wholesaling. Private label sellers create their own brands, so this means they need to create product listings themselves. Each private label product has to have a variety of labels & identifiers stipulated by Amazon. These include GTIN, UPCs, SKUs, FNSKUs, and finally, a unique ASIN assigned by Amazon.<\/p>\n
Private Label \u2013 Costs & Profitability<\/p>\n
Private label brands aren\u2019t established brands. This adds a couple of steps in launching a private label business compared to wholesale. Private label sellers have to create their own brand, design logos & brand content, market their products, and run much more robust PPC campaigns.<\/p>\n
Over two-thirds of private label sellers spend well over $2500 in start-up costs. In terms of profitability, over half made over $5000 monthly.\u00a0 Looking at pure numbers, there are no glaring differences between wholesaling and private labels.\u00a0 The key difference here is how much more time-intensive creating your own private label brand is.<\/p>\n
Private Label \u2013 Pros & Cons<\/p>\n
As mentioned, private label is high risk and has a high reward. It\u2019s a time-intensive business and the success of a private label brand on Amazon is very much tied to this. The more time and effort you invest into your private label business, the more likely it is to succeed.<\/p>\n
Most of the benefits of private labels stem from the freedom you have as a business owner. For example:<\/p>\n
Pros<\/strong><\/p>\n Cons<\/strong><\/p>\n A private label gives you full autonomy over your business but as you can see that can be a double-edged sword. It\u2019s important to remember Amazon FBA provides sellers with an established supply chain. Launching your own business & creating a brand is easier on Amazon than anywhere else, so don\u2019t balk at the challenges!<\/p>\n","protected":false},"excerpt":{"rendered":" Private label involves purchasing generic products from 3rd party manufacturers, then selling them under your own brand on Amazon.\u00a0 This means that the manufacturer doesn\u2019t have rights over the brand label on the product, that\u2019s yours \u2013 essentially, a \u201cprivate label.\u201d Private labeling is markedly different from wholesaling. Private label sellers create their own brands, so this means they need to create product listings themselves. Each private label product has to have a variety of labels & identifiers stipulated by Amazon. These include GTIN, UPCs, SKUs, FNSKUs, and finally, a unique ASIN assigned by Amazon. Private Label \u2013 Costs & […]<\/p>\n","protected":false},"author":6,"featured_media":2890,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[1],"tags":[],"yoast_head":"\n\n
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