Hair care contract manufacturing and private label: what’s the difference?
First of all, are you 100% sure which kind of collaboration suits you best?
Contract manufacturing is simply outsourcing of the manufacturing process to another company. The owner company gives the specification of the product along with specific units of the products to be made. The contract manufacturer has no say in changing the specification of the products, so contract manufacturing is process execution, manufacturing and filling.
Private label is a collaboration where a manufacturer designs and produces a product for one retailer specifically, who has therefore the right to intervene in the process, with specific customization requests. Of course, if the partner does research and development on its formulas, you can take advantage of its knowledge. This means that there is going to be only one product of that kind out on the market. And let me remind you: a unique product equals less competition.