Private Label versus Brand Name Products

 

Consideration

Private Label Line

Brand Name Product Line

Cost/profit

No MSRP*: Can deliver 200% - 500+% markups.

MSRP/ fixed margins—usually 100% markup

Advertising

Pay for your own advertising.

Co-op advertising available

Brand Awareness

Build "from scratch."

Leverage a visible brand.

Packaging

Design your own packaging or adopt standard packaging

Brands have distinctive, high-quality packaging

Display and sales tools

Create your own displays, samples, and product literature

Display sets, product literature, samples, and promotions available

*Manufacturer's Suggested Retail Price

 

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