So, you plan to work with a private label manufacturer from China to help your business grow. And you’ve found several results from the Google search bar that have overwhelmed you. In this article, get tips to help you work effectively with China’s private label manufacturers.
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Importing a private label product from China could be profitable for your business. But to achieve this, you need to know how to work with private label suppliers. Aurora Global Brands is your manufacturer. A partner for white label and private label products that will help your online store realize substantial profit margins.
We have listed seven tips for working with manufacturers that will help kickstart your cosmetics business!
Analyze the Advantages and Disadvantages of China Manufacturing
Wrong decisions can kill your private label business. And they can discourage you from working with beauty products manufacturers. So, you should understand the pros and cons of manufacturing your makeup or personal care products in China.
Take a look at the following pros and cons:
Take a look at these advantages:
Wide selection of manufacturers selling private label products
When you have various private label manufacturers to choose from, there’s a high likelihood you’ll get products and competitive pricing for your business. And also have own brand name on your products.
Do the manufacturers allow contract manufacturing, own branded packaging, and offer private labeling? What about custom packaging? These are some pointers when exploring the many manufacturers available.
Many private label manufacturers in China offer private label services that cushion you from inflated prices. Thus, you’ll get fair prices to fit your budget estimates for your company.
China’s wide range of manufacturers caters to different customers and products. This makes it easy to find private label manufacturers that meet your specific needs, whether for low-end or high-end products.
Low price for high quality products
In private labeling, the goal of any online store is to have higher profit margins. And cosmetics are no exception. You have plenty of options for private label manufacturing services in China. While most private labeling companies create items at low costs, they maintain high-volume production.
As the “factory of the world,” China has a large labor force and relatively low labor costs. And this makes it possible for a manufacturer to create products at a lower price than in other countries.
Thus, should you settle to collaborate with China’s cosmetic suppliers or manufacturers, you could save significantly on costs and maximize profits. And also benefit from contract manufacturing.
After all, your target might be to sell products to your customers at affordable prices.
Strong industrial chain for low-end to high-end manufacturing
With its complete industrial chain, from raw materials to production to finished products, China’s industrial solid chain helps to meet different needs for low-end to high-end manufacturing.
How does this trickle down from manufacturers to you?
Private label services providers can easily access the resources they need to produce a wide range of products, from low-end to high-end. And this gives many options to fit your budget for your cosmetics business.
Expansion of markets
By getting the best private label manufacturers to make your products, you’ll be enabling the selling of your brand to other countries worldwide.
Here are the disadvantages:
Influence of long-distance cooperation and time difference on efficiency
Constant communication with private labeling manufacturers is vital for the success of your product lines. It is through communication that you consult with the manufacturer. This can range from follow-ups, payments, delivery schedules, etc.
So, what happens when there’s no cooperation between you and the private label business?
You’ll experience delays in communication and production, which can cause problems for your makeup company that needs products delivered on time.
For instance, the supplier fails to respond to emails or doesn’t follow your needs.
Sometimes, ineffective communication and collaboration result from time differences between you and the supplier. And this could prove problematic for your skin care or makeup line. Maybe your daytime is the makeup supplier’s nighttime.
To counter this, each party needs to be conscious and make efforts to work together. And you should choose private label manufacturers like Aurora Global Brands for effective collaboration no matter where you are.
Unable to visit the manufacturer for on-the-spot confirmation during the pandemic period
With the Covid-19 pandemic since 2020, restrictions in businesses, travel, etc., have been a characteristic in many countries worldwide. And these restrictions are still present in some industries.
They can make it difficult for you to ensure that the private label services provide your makeup products per your specifications.
The pandemic has made it difficult for makeup brands to visit private label manufacturers for on-the-spot confirmation, further complicating the decision-making process.
The restrictions on movement can also make it difficult to resolve any issues that may arise during production.
International shipping may lead to higher costs and fewer profits
International trade uses strong currencies. Thus, the exchange rate can affect the profitability of own products. And usually, the US dollar is the most used global currency in cosmetics lines.
Even with contract manufacturing, shipping products from China to other countries can be expensive. And this cost can eat into your profits from products by private labels.
As a makeup cosmetic entrepreneur interested in private labeling services, you should weigh the potential cost savings and the wide range of private label manufacturing service providers available in China and make an informed decision.
Know How to Find Private Label Companies in China
Finding a private label supplier in China that offers private labeling and fits your brand can be daunting. And especially if you’re new to cosmetics manufacturing services.
Some questions to ask “do they have contract manufacturing? Do they focus on private label products?
However, there are several ways to find private label manufacturers in China that can help make the process easier and more efficient.
Search for Online Directories
With many cosmetics engaging in the ecommerce business, it’ll be a good idea to explore private labels in online directories.
An online business directory provides you with a listing of manufacturers in a specific area, sector, or industry. Thus, you may find a private label to meet your cosmetics needs.
You could be trying to figure out these online directories. Here’s a list:
- Made in China
- Global sources
Check constantly for Alibaba offers or Made in China discounts.
Attend Trade Shows
In this digital age, are trade shows important? Absolutely yes! Trade shows are events where a private label manufacturing services company showcases its products and services to you, the potential buyer.
Trade shows are a great way to meet top manufacturers and see their private label products firsthand.
Many trade shows in China specifically focus on the private labels and can be a great way to find private label manufacturers. What’s the product idea behind their company? Ask this and more to get first-hand answers.
Check for Sourcing Companies
Why should you work with sourcing entities? Such firms work hard to find you the most fantastic price for any makeup you need to start selling private label products. And while at it, they focus on meeting quality criteria.
These firms specialize in assisting you in locating and collaborating with Chinese makeup manufacturers. They may help you find the best private label manufacturer for your goods, handle agreements, and supervise production.
Others may take a few specific factories, while some may service different firms.
Here are some details to look for when examining a sourcing company’s quotes:
- The total cost of the samples by the manufacturer
- Price of the makeup
- Minimum order quantity (MOQ)
- Private labeling
- The period between the first payment and till shipping of the makeup products
Conducting business with a private label from another country can be overwhelming. But with a sourcing company, they verify that the manufacturer or supplier can manufacture and deliver the goods on time to you.
To communicate better with a business, be fluent in various languages like Chinese and any native dialect. Also, you should understand local business conventions and standards. A sourcing firm or agency should have strong business abilities and the capacity to manage many projects simultaneously.
Read Trade Magazines
If you want to know what people say about general manufacturers or outstanding private labels in China, a business magazine can help.
These publications feature articles on most manufacturers in China, product listings, and advertisements. These magazines can provide valuable information on manufacturers’ certifications, capabilities, and contact details.
If there’s one effective way to discover your ideal private label for your business, it’s through word of mouth or referral.
Ask other businesses or individuals in the cosmetics business if they know of any reputable private label brands in China. Through this, you could find private label manufacturers that others have vetted and have a proven track record of producing quality products.
Combining these methods could increase your chances of finding a reputable and reliable private label manufacturer in China that can help your cosmetics brand.
It’s essential to do due diligence and evaluate the cosmetic manufacturers of interest to your business. Additionally, it can be great to clearly understand the products, budget, and production timeline as you look for a suitable private label manufacturer.
What Are the Chinese Cosmetics Manufacturing Regions?
China hosts some of the most active ports in the world. Here are some regions that produce makeup and personal care products through manufacturers that could benefit your business:
After the United States, China is second as the world’s largest marketplace for makeup and body care products, with a worth of USD 38.6 billion.
In Shanghai, you should get high quality private label products with formula ideal for European and North American Markets.
As one of the busiest ports worldwide, Shanghai continues to attract beauty product leaders. And this is clear from the post-pandemic growth of cosmetics and manufacturers, digital developments, and various physical shop openings.
Other products by manufacturers that can help your business include electronics, textiles, automobiles, steel, and communication equipment.
As one of the largest China business port cities near Hong Kong, Guangzhou offers low-cost international for fast shipping and low prices for your cosmetics business. It’s a crucial economic pillar for the city as it produces various products.
And these range from fashion accessories to makeup and car parts.
Jiangmen is another cosmetics manufacturing area in the southern province of Guangdong in China. It’s a rapidly growing cosmetics manufacturing region near Hong Kong with cheaper international shipping prices. And this could help maximize profits for your business.
The city has a long history of manufacturing and is home to many professional manufacturers that produce high-quality cosmetics and personal care products.
The region’s cosmetics are suitable for the Japanese and Korean makeup markets. This is due to the city’s close cultural and economic ties with these countries and its access to the latest business trends and technologies.
The city is home to many professional manufacturers that produce private label cosmetics and personal care products. And they use OEM and ODM production models.
Chengdu focuses on body care products that you could need in your business. And this is due to the city’s access to advanced equipment and technologies and the latest trends and technologies in skin care.
Additionally, the city has a strong reputation for producing high-quality body care products due to access to high-quality raw materials and advanced production techniques.
Identify Types of Private Label Cosmetics Manufacturers
As you look for the ideal private label brand that offers private label manufacturing services, you’ll come across two types: trading and sourcing.
Trading entities are not manufacturers. They are business brokers who get things from factories, hike the cost of the goods, and resell. Working with a trading firm may be more straightforward since they frequently give a translation for more accessible communication, more goods, and lower MOQs.
In contrast, a sourcing business is a third-party business entity that will help you find manufacturers which align with your private label goals.
Verify the Private Label Business
Having noted down a list of private label cosmetics manufacturers, how do you filter them? The following criteria will help verify an authentic business:
- Look at the private label licenses
- Evaluate business reviews
- Ask for samples
- Tour the business, factory, or company physically and witness their product development processes
What to Have Before Contacting a Makeup Private Label Brand
To get the right supplier right for your business and start selling, this is what to know:
- Does the private label business have a MOQ?
Know the sales price right for your business
- Understand what they’re selling that can help your brand
- Is it Cgmp compliant?
How to Select the Best Private Label Manufacturer
Choosing a private label brand for your business that offers private label manufacturing services is the ultimate determiner of whether you’ll sell your private label products and thrive.
Ask the following questions when choosing a private label for your business:
- What is the product development process?
- Does it produce private or white label products?
- Is contract manufacturing available?
- Do their products contain hyaluronic acid?
- What is their adherence to quality for their makeup or hair care products?
- What are the private label’s payment plans?
- How long to the whole process take?
- Where do the suppliers source their raw materials for their body care products?
- How will you ship your makeup and personal care products to your business from China?
Don’t stop at the questions. Compare responses from various suppliers, then pick the one that stands out from the rest.
Working with long-distance cosmetics manufacturers from China might seem challenging for you and your business. It’s not. And it doesn’t have to be should you follow our tips in this article.
With over 20 years of experience in the beauty industry, Aurora Global Brands offers you a smooth business experience. Contact us today, and we will listen to your needs and help your cosmetics business to grow.