CBD Skin and Hair Care?

Need CBD Formulas? We have got you covered.

In the beauty industry, trends come frequently, most disappear quickly, but some rare ones stay indefinitely.  So, what constitutes a keeper?  The ingredient (or new product) needs to be backed by science, deliver consistent and visible results, be affordable by the majority of beauty product consumers and be better (faster, more effective, novel or cheaper) than any other similar item already on the market.  When all the boxes have been checked, there’s a possibility that a hot trend just might turn into a market mainstay that will stand the test of time.

As research and consumer claims mount in support of CBD laden skin and hair care products, beauty experts consider the staying power of this benevolent botanical.  Most think that this genie is not going back in her bottle with market estimations reaching $22 billion by 2022.  Research may be limited, but demand is definitely not with one in seven Americans already using a CBD product.

And consumers seem to want this magical molecule in everything; from scalp and eye treatments to serums to anti-aging cremes and masks, the industry is budding with innovation as CBD is infused into a myriad of bath, body, face and hair treatments.  So, where does the staying power of CBD potentially lie?  There is scientific research supporting the reduction of oil production by CBD.  In addition to its anti-inflammatory and antioxidant properties, CBD lends itself to banishing blemishes.  Since over 90% of people are affected by acne at some point in their life, this alone helps CBD to secure real estate on websites, spa and salon shelves.

American Private Label Products has cocktailed CBD into products that already offer benefits to skin, scalp and hair since they have other active, proven ingredients that elicit visible results.  Have us add your own signature scent, logo and packaging to create a unique CBD experience for your on-line, spa and salon customers.

What is a Private Label Manufacturer?

What does it mean?

A private label product is manufactured by a contract or third-party manufacturer and sold under a retailer’s brand name. As the retailer, you specify everything about the product – what goes in it, how it’s packaged, what the label looks like – and pay to have it produced and delivered to your store(s). This is in contrast to buying products from other companies with their brand names on them.

For example, Target sells a variety of branded snacks from companies like General Mills and Frito-Lay, but it also sell its own chips and crackers under the Archer Farms brand – Target’s private label brand.

Hair salons often create their own branded line of shampoos, conditioners, and styling products for their customers to buy and take home. Restaurants often decide to private label condiments or mixes that have become popular with customers. Maid services could private label a line of household cleaners and pet stores could private label a line of pet foods and grooming tools.

Private Label Categories

Almost every consumer product category has both branded and private label offerings, including:

  • Personal care
  • Beverages
  • Cosmetics
  • Paper products
  • Household cleaners
  • Condiments and salad dressings
  • Dairy items
  • Frozen foods

While private label products are in the minority, comprising just 15% of Super Market Sales, according to the Harvard Business Review, some private label companies are comping up.

Advantages

Retailers interested in filling their shelves with products featuring their brand name have good reason. Some of the biggest advantages of private label products include:

  • Control over production – Third-party manufacturers work at the retailer’s direction, offering complete control over product ingredients and quality.
  • Control over pricing – Thanks to control over the product, retailers can also determine product cost and profitable pricing.
  • Adaptability – Smaller retailers have the ability to move quickly to get a private label product in production in response to rising market demand for a new feature, while larger companies might not be interested in a niche product.
  • Control over branding – Private label products bear the brand name and packaging design created by the retailer.
  • Control over profitability – Thanks to control over production costs and pricing, retailers therefore control the level of profitability its products provide.

Disadvantages

The disadvantages of adding a private label line are few, as long as you have the financial resources to invest in developing such a product. The main disadvantages include:

  • Manufacturer dependency – Since production of your product line is in the hands of a third-party manufacturer, it’s important to partner with well-established companies. Otherwise, you could miss out on opportunities if your manufacturer runs into problems.
  • Difficulty building loyalty – Established household brands have the upper hand and can often be found in a variety of retail outlets. Your product will only be sold in your stores, limiting customer access to it. Of course, limited availability could also be an advantage, giving customers a reason to come back and buy from you.

Although private label products are typically sold at a lower price point than their name brand brethren, some private label brands are now being positioned as premium products, with the higher price tag to prove it.