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NJGirlinCO



Joined: 12 Jul 2008
Posts: 68

PostPosted: Thu Aug 21, 2008 6:10 am    Post subject: Private Label ? Reply with quote

Hi everyone! I am strongly considering going private label. We have been using Eminence for the past 6 years and even though we love it - it is killing me financially. The back bar is soooo expensive to use. If find that we do very good sales initially - but then where are these customers when they have to replenish? I feel that more and more of them are going on ebay or other unauthorized sites to buy at a cheaper rate with free shipping.

We spend so much time and effort training/educating our customers - to have them buy online is devastating.

Does anyone here have any tips on how to make it a smooth transition from common brand over to private label? I understand my initial costs will be up there - but if you knew how much I spend on a tiny box of Eminence products - it is mind boggling why I've let this go on for so long now!

Any advice on private label manufacturers or other is much appreciated! Thanks in advance!

J.
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Andrewf



Joined: 05 Aug 2008
Posts: 14

PostPosted: Fri Aug 22, 2008 9:20 am    Post subject: Maybe you want to do this first Reply with quote

Hello J.

Sounds like your days with Eminence or any other "professionally branded" skincare line may be numbered - and I can't say I blame you if Eminence doesn't allow it's distribution to sell online or at the very least have a system where you'd get a % of the sale if your client purchases from them directly on line.

But I caution you to look before you leap into private label...and I have no vested interest in your staying with your current line, going with another label or going the private label route - you can always check me out at www.thebeautyresource.com

So if you can, take a step back and ask you a few questions about what's really driving you into deciding to go private label - which by the way I think can be a very good route for a spa/day spa to take.

Do you have a problem of getting your cost of goods (cogs) per service under control? Is it because of the price you are paying for what you need to use per service to give the client the result she's looking for?

If so what is your current cogs $ per service and % of the actual service price? A couple of other questions come to mind: could it be there's backbar waste? Could it be your prices haven't moved up as fast as the prices for backbar has?

I don't mean to be a stick in the mud, and have read your post about your customers are buying Eminence on the web? But do you know this for a fact or is it just a feeling in your gut? If it's more than a feeling do you know how many clients are buying on line and how much they're spending? Do you have a website where you sell products? Is this something you want to do?


The reason I'm asking this question is because going private label also has it's challenges - beyond the financing of the initial order. It's not just a "swapping out of a "professionally" branded line for one of your own.

To be sure you'll control your own destiny - there won't be any diversion - period but I hope you're prepared not only to spend the $ on product but also on marketing in a major way to your own clients.
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NJGirlinCO



Joined: 12 Jul 2008
Posts: 68

PostPosted: Mon Aug 25, 2008 11:47 am    Post subject: bye bye Eminence Reply with quote

Andrew,
Thanks for your response! I have thought of the reasons behind my inquiry into private label and the Eminence back bar part IS expensive......is it worth my time to measure out for each facial?- no. I won't do it. I had some changes in personnel so each time I retrained...I think they used too much product.

It's mainly retail. If someone leaves my spa without purchasing a moisturizer, exfoliant and cleanser I feel we did not do the complete job. Sending them home to use their cheapy watered down products is not good. I need a GOOD line that can make a difference in their skin and NOT break the bank. MY cost for a single 2 oz. moisturizer from Eminence is $30 and I have to pay shipping and then commission to the esthetician (I charge $5Cool. the profit margin is way too tight.

I am so willing to promote my own product. I am not willing to heavily promote their product that consumers can purchase over ebay cheaply. I've talked to Eminence about this and they say there is nothing they can do about this....i think they are just turning their heads. Once a product is sold they really don't care if it is discounted.

I have an appointment with Preston tomorrow. thanks for the link to your site. you pretty much discribed me in some of your statements! I may be calling you!

thanks for taking the time.

J.
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NJGirlinCO



Joined: 12 Jul 2008
Posts: 68

PostPosted: Mon Aug 25, 2008 11:48 am    Post subject: Reply with quote

oops where the smiley face is it should read $58!
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Andrewf



Joined: 05 Aug 2008
Posts: 14

PostPosted: Mon Aug 25, 2008 12:55 pm    Post subject: My pleasure Reply with quote

J.

My pleasure...you're on target re: back-bar & retail...with the former squeezing your service margin and the later not giving you enough room to breathe...

Quick story...a few years ago I was running a salon company for a brilliant entrepreneur Anyway every six months we had to review prices as well as the cost of goods for each service/product to make sure we maintained our margins. It's not for nothing he ended up selling the company for $100 million+.

Sure it's a big pain, however I promise you it'll be well worth your while - it's the very thing most owners don't do - and they end up holding the short end of the stick.

Have a great meeting with Preston (they're a good organization). If you need additional info or advice I'm here & be sure subscribe to my e-Zine...it's chock full of management/marketing tips & systems.

To Life!

Andrew
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dukejeffries



Joined: 10 Jan 2009
Posts: 2

PostPosted: Sat Jan 10, 2009 9:51 pm    Post subject: Preston Reply with quote

We are looking in to private label, what is the name of the company Preston works for, contact info would be great.
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NJGirlinCO



Joined: 12 Jul 2008
Posts: 68

PostPosted: Mon Jan 12, 2009 11:18 am    Post subject: Private Label Information Reply with quote

Hi there,

I did not go with Preston Private Label. I actually found a great formulator called Madame Renaud Naturals in Colorado. We formulated 12 different products - started September 16th 2008 and products were on my shelves here (with temporary labels though - but I was selling them) on November 5th! how cool is that? Our customers love the new products. i am making a ton more money on products as well....... go private label and stop your customers from ordering online the big name brands. We stilll receive stupid 'Pear and Poppy Seed Exfoliant" returns from Eminence customers because they had a massave bad batch last fall. We switch it out for our popular exfoliant at no charge! Eminence never even TOLD us about the bad batch.....that was so irresponsible of them.

Give Michelle a call at Renaud Naturals.....check out their great stuff - peptides, bamboo, rice bran, HA, DMAE + +

www.RenaudNaturals.com

good luck to you! Have fun picking out cool scents too! have fun with it!

Jan
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mbuck



Joined: 06 Oct 2008
Posts: 6

PostPosted: Thu Jan 15, 2009 3:12 pm    Post subject: Reply with quote

Wow Jan, thanks for such a glowing review. We really appreciate it.

dukejeffries: If you are seriously looking at private Labeling, I would love to chat with you and discuss some options. We have some great insentives to get you started. Please contact me and I will send you out a pricing grid plus some samples of our products. Keep in mind that you can use our products as is or we can formulate brand new products for you. Our minimums are considerably lower than our competitors (price and quantities).

I look forward to speaking with you.

Michelle
Renaud Naturals
1-888-767-1433
michellebuck@renaudnaturals.com
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RetailExpert



Joined: 27 Jan 2009
Posts: 1

PostPosted: Tue Jan 27, 2009 3:49 pm    Post subject: Private Label with My Sacred Fig Reply with quote

Hello!

I also want to throw out www.mysacredfig.com as a great option for creating your own line. You can look at their site to see how they use natural ingredients and support organc/wildcrafted farms in NM.

Here is their info from their site:
Quote:
Why should you Private Label Natural Products, Naturally Branded?

The idea of starting your own professional private label salon and spa product brand may seem like an overwhelming project, yet it doesn’t have to be. Some simple planning makes the process of creating your own brand easy and seamless.

We have worked through this process with hundreds of spa and salon owners. Our recommendations are based on our personal experience helping other spas and brand creators. These formulations were created with almost $1 million in ingredient research and identifying sustainable systems.

"We have a different idea of what private label means and the quality spa owners want. That is why we created our own company - My Sacred Fig. We used to sell private label for Preston Inc. from a third-party Canadian lab, but now we make our own products in the USA," said Andre West-Harrison,"We hand select our ingredients and we are in our lab everyday to ensure quality. We did not have that level of quality with the other company."

Shouldn’t your spa brand be as natural and caring as your business?

Organic and ethically wildcrafted herbal extracts in skincare products by a Master Herbalist. We wild harvest and cultivate quality medicinal plants from the deserts and mountains of the Western United States.

Our process is Carbon Neutral so buying your own brand leaves no Carbon foot print to hinder Mother Earth. We plant trees through the Plant A Tree Today project to eliminate greenhouse gases and 90 percent of our electricity comes from PNM's Wind Energy Program. Our materials are made locally so there is no negative shipping effects like labs outside the USA.

Even your shipments are carbon balanced! Our labels and our containers are from recycled materials and we print with earth-friendly soy-based inks.
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eschw1976



Joined: 18 Aug 2009
Posts: 4

PostPosted: Tue Aug 18, 2009 11:43 am    Post subject: Reply with quote

We've been carrying the SkinTherapeutic skin care line for awhile with good results. It's manufactured by Bionet Esthetics and they have a private labeling program we've been exploring & I think we're going to move forward. All the products in the SkinTherapeutic line that we've been retailing are available for private labeling so it should be an easy transition for us.

They are not as expensive as others I've looked into for private labeling so you might want to google Bionet Esthetics.
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NJGirlinCO



Joined: 12 Jul 2008
Posts: 68

PostPosted: Sun Sep 13, 2009 8:05 am    Post subject: Reply with quote

Hey "suneelkumar85" stop copying some else's post and putting your stupid affiliate links at the bottom.

It is a waste of our time - and really should be a waste of yours.

We want you to go away.

The moderator of this board is apparently sleeping, so I thought I'd jump in and tell you your antics are not appreciated. Buzz off to some other forum.
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BorealWater



Joined: 21 Dec 2009
Posts: 4

PostPosted: Mon Dec 21, 2009 12:17 pm    Post subject: I definitely recommend going private label... Reply with quote

The benefits of branding a private label are substantial! Consumers want a product they trust, sort of like a mom and pops store. I design the labels for a private label water bottling company and have done the research on it. So yes I highly recommend it. Hope this helps. Let us know if we've talked you into it yet! Smile

Here is the company I work for if you'd ever like to visit just to check out how much more personalized going private label is. I also just update a blog recommending private label after reading your post. I thought I should let it be known Smile Good luck!

www.borealwater.com
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skincarebykaren



Joined: 25 Jul 2009
Posts: 1

PostPosted: Wed Dec 30, 2009 10:41 am    Post subject: Private Label Reply with quote

We started a line with My Sacred Fig last year and the sales have been great! Our clients love the products. I recommend them to all spa owners! www.mysacredfig.com
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BorealWater



Joined: 21 Dec 2009
Posts: 4

PostPosted: Thu Dec 31, 2009 5:31 am    Post subject: Going Green...Happy Spa Day! Reply with quote

I had a chance to check out your site www.mysacredfig.com GREAT Product! When i was looking around your site I noticed you mentioned the line you selected is made from 100% recycled plastics and is also recyclable. Glad to see that you are on the "GREEN" bandwagon. Very Happy I'm excited for you and your company. We recently introduced a Biodegradable Bottle at PLMA in Chicago which we are very excited about! Please take the time to take a look at our website www.borealwater.com or the direct link about the event http://www.borealwater.com/image/pdf/Boreal%20-%20%20News%20Release%20Nov%2011%2009.pdf

Happy Spa Day to all
and as suneelkumar85 said

To Life!
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