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"Customization takes more effort but when done well, it adds value to your
customers and can justify higher price points, increasing margins."
- Branding. Create a unique brand identity for your private-labeled products, something that resonates with your target market. Work with private labeling services or graphic designers to design custom logos, packaging, and labels that reflect the essence of your shop and the destination it represents. Creating a strong brand identity can attract customers and build loyalty over time.
- Exclusive products. Offer exclusive products that can only be found in your shop. You might be surprised to find local makers in your community or online who offer this type of service.
- Quality control. You have the ability to maintain quality control standards to ensure that your private label products meet your expectations. Whether you’re working with a large manufacturer or a small business owner, ask for samples so you can decide if the product and quality are a good fit for your store and brand.
- Price competitiveness. Use private labeling to control costs and improve profit margins. By sourcing products directly from manufacturers and bypassing intermediaries, you can sometimes reduce production costs and offer competitive prices to customers.
- Customization options. In some instances, you may be able to establish a relationship with a manufacturer or maker where you offer customization options. Customization takes more effort but when done well, it adds value to your customers and can justify higher price points, increasing margins.
- Partnerships. Explore partnerships with local artists, designers or influencers to create co-branded products. This can help you attract new customers. Offering limited edition “collection drops” adds a sense of urgency and will get these products to turn faster!
By leveraging private labeling services effectively, souvenir and gift shops can differentiate themselves in a crowded market, build brand loyalty, and ultimately increase sales and margins.
Kathy Cruz is a retail business coach and host of the Savvy Shopkeeper Retail Podcast. Reach her via email at: kathy@savvyshopkeeper.com. Learn more on her website, www.savvyshopkeeper.com, and Instagram, @savvyshopkeeper.