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Your Guide To Private Label CBD Products

Though hemp has only been a legal crop for a couple of years, the CBD market is huge and thriving. It’s predicted to explode even further in the next five years. Many retailers are jumping in with both feet, hoping that adding CBD to their product lines will help them cash in on growing consumer demand. You’ll find CBD in everything, from oils to pet products, edibles, topicals, beverages, skincare products, and more! 

However, not all CBD products are created equal, just like not all brands are high-quality. Just like with any industry and product line, it’s essential to know what you’re looking for and understand what differentiates a high-quality brand from a low one. If you’re a retailer looking to get in on the market or simply expand their product line, you owe it to your customers to do your research, and only them offer them the best products. 

One thing that sets certain CBD products apart from others is the testing and inspections that are during the manufacturing stages. The right CBD manufacturers take the time to ensure that quality standards are being met during every step, from farming to labeling.

CBD manufacturers and distributors like Sawyer Labs work with retailers to offer products to consumers in two ways, private labeling or white labeling. Unfortunately, many consumers probably don’t know those terms when choosing a CBD product; they simply look for the product they want and buy based on brands they trust. 

This article will cover what you need to know about private label CBD products, including what they are, how you can benefit from them, and what to look for when choosing a high-quality CBD manufacturer.

What You Need To Know About Private Label CBD Products

First, define private label CBD products before diving into benefits and what attributes you should look for with private label products.

What Are Private Label CBD Products? 

Private label CBD products are items produced at a third-party manufacturer and sold under a brand’s name and label, just like white label products. The difference is that you, the CBD retailer, have more control of private labels. For example, you can determine exactly what ingredients are contained in the product, including what the packaging will look like. In addition, you’ll work closely with a manufacturer creating exclusive products that no one but you will have on their shelves. 

Private label products are an excellent way to set yourself apart from the competition. Though it is a more expensive and involved process than white-label, you also get a more active role in developing products that will directly meet the needs of your customer base. Here are a few more benefits that come with creating private label products:

  • Private label products allow you to build brand recognition and loyalty. You control the aesthetics to define your image exactly how you want. Brand recognition is essential for repeat sales.
  • An active role in creating the products and their formulas means that you’re controlling what is offered to the consumer — allowing you to meet your target audience’s needs more efficiently than simply picking from a catalog of existing products.
  • Your private label CBD products are unique, allowing you to truly set yourself apart from the competition.
  • You can become an “exclusive retailer” of a particular product because you genuinely are the only one on the market with that specific product formula, which will help keep your customer coming back.
  • You also retain complete control over the pricing. 
  • Private label lets you build your business plan around an entire product line as you expand your market, rather than being forced to stick with ready-made products.

Of course, there is one risk we should mention with private label CBD. Since they are developed only for you and your business, leftover products cannot be returned to the manufacturer. This means that your marketing plan and consumer demand expectations are accurate so that you don’t waste money on products that won’t sell.

What To Look For In A Private Label CBD Manufacturer

Now that you understand private label products and how they might be a good fit for your new hemp business, let’s get into how to choose the proper manufacturer to partner with. We think that the best finished retail products start with the hemp farmer. First, you want to ensure the source material is of the highest quality from seed to shelf. High-quality seeds farmed in carefully controlled conditions that are tested frequently to ensure potency and quality will result in amazing finished products your customers won’t be able to get enough of.

Once the hemp crops are harvested, they are sent to a lab for extraction. Typically CO-2 extraction results in the purest CBD oil vs. solvent-based extraction. The raw material is then sent to the manufacturer, who will turn that into a finished product. Then you, the retailer, will purchase the products you want so you can then sell them to your customers as either a white-label or private label product. Here are some of the biggest things you should look for when choosing the right manufacturer:

  • They manage the production process from beginning to end; there aren’t mediators who could get in the way of quality control. 
  • They can purify and isolate CBD and have lab tests to prove it. 
  • Their facility maintains the highest quality control and compliance standards and conducts regular testing. 
  • They produce all their products in-house but use third-party testing to ensure quality and product standards.
  • They don’t shy away from product innovation and are always ahead when it comes to new technology. 
  • They work closely with you throughout the process, building trust and relationships you can count on.
  • They have fast turnaround times and can keep up with your consumer demands.

Final Thoughts

Regardless of whether you decide to offer your customers white-label products or more custom private label CBD products, there are a few factors to consider before you place your next order.

First, you’ll want to inquire about minimum order quantities. Understanding your target audience will help you make an educated guess about how much you’ll need to order and what your profit margins are. In addition, we know that product minimums can impact your bottom line, and so can turnaround times, so factor these things in as you’re planning how to meet your customer demands and build your marketing strategy.

Next, you’ll want to consider pricing as well. Don’t forget that there are costs outside of the per-unit price! Factor in things like art fees for your brand, labeling and packaging, account fees, shipping, and anything else that comes up when creating custom products. You don’t want to end up sitting on a ton of products while the rest of your business is struggling.

We know that there are a lot of CBD product manufacturers out there, and the challenge comes with finding the right one. Consider Sawyer Labs when you’re looking for the best private label manufacturer. We have a team of qualified consultants who are at your disposal. We’d love to make sure you get the right products for your customer base at the right price for your budget. 

We’ve set ourselves apart from our competition by having some of the best labs and facilities in the industry. But don’t just take our word for it! Instead, explore your options here and contact our team today.

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