Pros & cons of white label cosmetics
White label cosmetics have emerged as a popular option for entrepreneurs looking to break into the beauty industry. And to do this without the need for extensive product development or manufacturing capabilities. While white label products offer numerous benefits, they also come with their own set of drawbacks. In this article, we’ll explore the pros and cons of white label cosmetics, shedding light on their potential advantages and limitations.
First, let’s discuss what white label cosmetics entail.
White label products are pre-made formulations produced by third-party suppliers or manufacturers. These products are then rebranded and sold under a different brand name by white label resellers or entrepreneurs. A business model like this offers various opportunities for individuals seeking to enter the cosmetics market without the complexities associated with product development and manufacturing.
Pro: Quick market entry
Speed and convenience are the primary advantages of white label cosmetics. By taking advantage of the pre-made formulations from white label suppliers or manufacturers, entrepreneurs can launch their own skincare or makeup business in a matter of couple of weeks. There’s no need for extensive research or product development. Just add your logo or packaging design and you’re good to go.
This allows for faster time-to-market, enabling businesses to capitalize on market trends and consumer demand more effectively.
Con: No control over formulations
This is one of the biggest drawbacks for white label skincare enthusiasts. Since white label products are usually pre-made, there’s no control over the formulations. Which means if you don’t like the scent or texture, for example, then there’s nothing you can really do about it. It’s not possible to switch up the ingredients or create your own formula.
Of course, this is for the best, if you select to work with a manufacturer, which has already made sure that all formulas are tested and certified. And there are companies that allow switch minor details in the formula (like, scent), if you order in large quantities. But that’s often in the cases, where someone would order in thousands.
Pro: Low investment
White label cosmetics offer flexibility and scalability for businesses of all sizes. White label manufacturers tend to offer a wide range of product options. This allows entrepreneurs to choose from an extensive catalog of skincare, haircare, and makeup products to suit their brand’s needs.
Moreover, you can start with smaller order quantities, so you don’t have to invest a lot of money in the production of large quantities at the beginning. And in case you decide to dropship your own skincare products – you only pay, when a customer has already placed and paid for an order.
Con: You can’t always choose the packaging
Besides the lack of influence over the formulations, it’s not possible to change the packaging either.
For example, if you select to work with a white label skincare manufacturer, that puts all the liquid products in glass bottles, then that’s what you’re stuck with. If you don’t like the packaging materials or shape, or even size, then you can’t do anything about it.
Rarely, there are companies that are willing to put the formulas in different packaging, again, only if you’re ordering in large quantities.
Pro: Customizable packaging
Yes, while we can’t impact the packaging in what the product comes in, we can customize how it looks. And don’t underestimate the power of packaging and the visual appeal!
Your product has more chances of being picked up by a consumer if it not just works effectively, but also looks good. Your product is perceived as high or low quality within seconds, regardless of what’s inside. And that’s a good thing for all white label cosmetics entrepreneurs.
Make sure to put in real effort in your logo and designs. You want your product to stand out and simultaneously represent your brand’s identity and values.
Con: Lack of quality control
Whenever working with third-party suppliers, this is something you need to consider. While outsourcing production to these manufacturers, it also poses risks in terms of quality control or supply chain management.
Entrepreneurs must carefully select white label manufacturers they want to work with. It’s important to make sure these manufacturers meet the necessary quality standards and follow ethical and sustainable practices.
You also have to keep in mind that any disruptions in the supply chain can affect your business operations. Which is a risk you must keep in mind when working with any third-party supplier.
There are plenty of benefits and disadvantages in white label cosmetics, and it’s up to entrepreneurs to decide what it is they’re looking for. Whether it’s speed and affordability or the option to create your own formulas – it’s important to weigh the pros and cons to pick the best white label skincare manufacturer for your business.
