One day I walked into the Boots store to look for my trusted and preferred shaving gel brand although it had been replaced with a ‘Boots own brand’ version shaving gel.
The shaving gel tube and packaging looked similar to my preferred ‘King of Shaves’ brand and the packaging looked almost identical except for the label and the color of the actual gel inside the semi-transparent tube.
I was looking at a ‘Boots own brand’ version of my previously available preferred brand. Boots had obviously identified the fact this product was a good product to include into their own range of ‘Boots’ own brand products.
It wouldn’t take much for a large company to source their own shaving gel from a third party manufacturer and simply apply their own brand label and packaging. Boots then replaced the ‘King of Shaves’ brand on their shelves and simply sold their own Boots brand version instead!
Why Did the ‘Boots’ Company do Such a thing?
I haven’t worked for Boots directly and so there’s no way I could claim to say I know exactly what Boot’s motive was for doing this, although what I CAN tell you is that when you buy unbranded products directly from manufacturers, there are 7 HUGE benefits that anyone who has any business sense whatsoever can clearly see..
Huge Benefit #1 – Its much cheaper to buy unbranded products than to buy someone else existing brand –even at the most competitive wholesale prices.
Huge Benefit #2 – It increases brand awareness for the brand owner –a customer will buy the product with Boots packaging and label and carry it out of the store to be potentially exposed to more eyeballs, wherever that may be at any time in the product’s life-cycle.
Huge Benefit #3 – ‘Good’ branding increases customer retention. Take the same customer using the Boots brand shaving gel.. ..when the tube is empty and if the product lived up to expectation, the customer will likely return to the Boots store to ‘top up’ on the good ol’ Boots brand shaving gel. Buyers in stores are much more likely to buy products than people who aren’t physically in the store. It also increases the possibility of cross selling to other products from the same brand family.
Huge Benefit #4 – Product packaging carries your brand’s identity, encouraging
‘passive’ viral marketing –similar to how a fruit tree bears fruit for the birds (and humans) to carry the seeds to root elsewhere. Everywhere your packaging goes, so does your brand’s message.
Huge Benefit #5 – You don’t need-a-million to make-a-million –unlike gold mining or Alaska crab fishing, you don’t need to own your own machines. You can leverage manufacturers machines, staff and equipment for your own needs.
Huge Benefit #6 – You don’t have to be ‘tied down’ to any one product, manufacturer or brand –its so easy to private label you’ll be in the best position to move with the times and quickly adapt to new opportunities and trends when needed (or if you simply want a change.)
Huge Benefit #7 – Who said work can’t be profitable AND fun at the same time?
–whatever your personality type, you can build your brands and market them exactly how you decide to. I don’t know about you, but when I have more choices to be able to chose my own hours and work from wherever I wish, I have more fun too!
Just like the ‘Boots’ example, the transaction process repeats the ‘buying cycle’ for the shaving gel and any other potential Boots brand products the customer buys and carries out of the store.
..the result!
More profits for Boots and its shareholders
I must admit, if you’ve ever used the Boots shaving gel product yourself, in my opinion it isn’t as good as the ‘King of Shaves’ brand but even then, I still found myself going back to buy the Boots brand gel because it was more convenient for me to buy from the Boots store –even when I prefer to buy the ‘other brand’.
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