White label service is the most popular business practice among CBD producers in Europe. CBD Oil Europe, a company that directly represents some of the largest producers of CBD oil in Europe, estimates that over 90% of European CBD brands on the market today are produced this way.
White Label CBD Origins
The term ‘white label’ originates from the terminology of radio and club DJs of the 20th century. It was used to refer to exclusive unreleased vinyl records, usually packaged in a blank or white label without any branding or marketing.
White label solution refers to a product or a service made by one company to be sold by another. Those products and services are purchased without branding so the reseller can customize the product with their own brand. That way, the customers associate the product with the reseller. The main advantage for the manufacturer is that it saves time and money – the manufacturer can focus on finding cost-effective ways to make the product, without concern for the product’s marketing.
Private Label CBD Origins
The term ‘private label’ originates from the 19th century, and it was originally used in the retail business. It refers to a product that is manufactured by a contract or third-party manufacturer and sold under a retailer’s brand name. The main difference between private label and white label is that a private label is a brand sold exclusively by one retailer, while the white label is a generic product sold to multiple retailers. In other words, private label brands are made for exclusive sale by a specific seller, and that seller can alter or enhance the product anyway it wants. White label retailers only repackage the product without being able to alter it.
The Profitability
Both private and white label CBD brands are less expensive and generate high profits. The retailers with marketing know-how and/or established brands can generate great profits without having to get involved in the circle of production of CBD. However, there are some possible risks and disadvantages of such practice. One of the possible disadvantages of private label products can be the case where a retailer alters the products in a way that confuses consumers. The main disadvantage of white-label brands is in their packaging and general appearance – they often seem unappealing, so the customers think the product is of lower quality than private label CBD brands or national brands.
Ilesol Pharmaceuticals Services
Ilesol Pharmaceuticals mostly provides our clients with white-label products. Our retailers are advised to produce their own design of labels and packaging. One of our greatest advantages is the ability to provide our customers with large quantities of products in the shortest time notice. The minimum order is set at 100 items and there is no upper limit.
Our quality assessment team double-checks the traceability and consistency of all the products delivered to our customers. We offer several levels of service. Our full service includes filling, packaging, and labeling, but our clients are free to choose their own custom service level according to their needs.
White label solutions grant the retailers with more time for the development of their sales strategies, and Ilesol Pharmaceuticals is delighted to present them with that opportunity. Considering we develop products according to our clients’ desires, Ilesol Pharmaceutical can offer private labeling, as well as standard white labeling. All of our products are made of first quality organic Croatian hemp, and we guarantee the highest product quality and expert customer service.
