Only the TRUTH about ECommerce

Private Labeling

Private Labeling

Here's another favorite of the "let's screw the sheeple" crowd. This is usually presented as a component of the Amazing Amazon Business they're going to cheat you how to build.

They tell you that you need to get "unique" products into the marketplace and create your own brand with a "Private Label" because it will be impressive and cool and people will buy lots of it and love you.

NO.

First, let's think about the concept of "unique". On the Internet, people search for things they know about. They know about those things because of something called Consumer Awareness. Consumer Awareness is created by the manufacturing companies that make products. They do it by spending tens of millions of dollars in real-world mass media advertising.

They have to do that. If they don't, the big-box stores won't carry their products because consumers won't know about them and they'll be harder to sell. Yes, it's a thing, and has been forever both in the physical world and online. Make sense so far?

So, "unique" products are by definition..."unique". That means there is NO general Consumer Awareness. Most people don't know about them. They're new and unique.

Here's a news flash for the Scam Boys. The internet is based on Search. So is Amazon. So is eBay. The only way a consumer can find a product is if they search for it. That means they have to know what it is. If it's "unique", they don't know what it is, and will never search for it. That means you can't make any money with it.

DUH.

Now let's talk about the "Private Label" thing. Labeling is about branding in the Real Business World. Brands are created to instill confidence in consumers, so they will keep coming back to the brand and buy it over and over again because if the brand is built right, consumers TRUST it.

It takes years and tens of millions (sometimes hundreds of millions) of dollars to create a brand strong enough that large numbers of consumers will trust it enough to make it worthwhile to manufacture and sell.

Slapping a sticky label that says "Joe's Coffemakers" on a cheap product from China is NOT creating a brand!

Which would you rather buy? A Joe's Coffeemaker, or a Cuisinart Coffeemaker? See what I mean? This whole Private Label thing was created by some skeezy marketer somewhere as a way to make you feel cool because you "own a brand". It has ZERO value in the retail marketing world.

They'll charge you tens of thousands of dollars to "teach you" how to create that brand.

For all that money, you get told to slap sticky labels on cheap stuff from China, and you end up NOT owning a brand. You own some sticky labels, a bunch of junk from China and a miserable future trying to get rid of that cheap crap that you "Private Labeled".

Don't do it, please.

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