Creating a Private Label Program
By
Shirley Frazier
Sweet Survival®/GiftBasketBusiness.com
Private labeling brands
food and snack items with your own logo. It works to your advantage
within gifts given on the corporate level. Proceeding into this
business phase, usually associated with intermediate to advanced
businesses, is not difficult, but it's best to know the pros and cons as
you move forward.
Consider the reasons why you want to
put your name on a product. Do you want customers to only order from
you and not the manufacturer, whose name and phone number are
detailed on the package?
Perhaps you’re looking to position
your company to work with certain types of corporations or
individuals, such as wealthy buyers or those with connections to
more prestigious accounts rather than marketing solely to everyday
people.
Whatever your reasons, if you decide
to move forward with a private labeling program, you’ll find a bevy
of manufacturers ready to assist you.
But before you attach the
first label, learn the laws that govern this practice.
The Federal government has stepped
aside where private labeling is concerned, allowing each state to
create its own rules and regulations.
On one hand, private labels give your
business a new look, feel, and class.
Conversely, you could be
setting yourself up for a lawsuit from a recipient who cracked a
tooth on popcorn that bears your name or has an allergic reaction to
an ingredient.
When your name is front and center on
the packaging, you become the prime target.
Manufacturers apply content and
nutrition labels to the back of each package, which is regulated by
the U.S. Food and Drug Administration. These labels usually include
the manufacturer’s name and address.
Blackening the company’s telephone
number and Web site address is permitted, if you believe such
information will re-route your sales, but it may not be wise to
tamper with other details. Removing the company’s name from the
labeling will place your company in the line of fire if a
problem arise.We prefer customers to call us for
products rather than call the manufacturers, so we must continue to
create strong relationships with our clients to keep the profits in
our pockets. We cannot have it both ways. We cannot remove
manufacturers’ names and expect no consequences if a product becomes
faulty or harmful.
Click here for Page 2
learn about Private Label laws in your state.
©Shirley George Frazier. All rights
reserved.
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