This is part four of a four-part article about creating a private label or private brand.
Like Nassco Inc., many distributors decide to launch a private brand under their company name. Nassco’s sales force and customers responded positively to the decision, according Melzer.
“We found that our customers had a high regard for our company and our sales force, and they trust the products that our sales force recommends,” says Melzer. “So we decided to use the Nassco name on our products moving forward.”
When using a company name on privately branded products, distributors should make sure to select high-quality products that reflect well on their businesses.
“We chose to use our company name, so we don’t want our brand on low-quality products,” says Melzer. “Our customers already have a great perception of our sales force and what we do, so we don’t want to dilute that by putting our name on products that don’t satisfy our customers’ needs.”
Chemical Maintenance Inc. has a line of private brand products under the company name CMI that includes its top-selling floor finishes, all-purpose cleaners, aerosols and ready-to-use products. Although its private line isn’t new, the company recently updated its logo and changed the brand’s appearance.
“It’s a way to market your line and the company,” says Parks. “People are seeing your name instead of someone else’s. The customer thinks, ‘I love that CMI bowl cleaner,’ so it’s our name in front of the customer all the time.”
Like Nassco, CMI makes certain that only the best products receive the company’s private brand.
“We can reach out to different manufacturers and really research products before we put our name on them,” says Parks. “That gives us a lot of leverage to find the best and make sure we’re putting our name on only the highest quality of product.”
Melzer recommends extensive testing to ensure products are on par with customer expectations.
“The experts are the people using and selling these products every day,” he says. “Our salespeople and customers test them and provide feedback, and we tweak the formulas based on their input.”
Kassandra Kania is a freelance writer based in Charlotte, North Carolina. She is a frequent contributor to Sanitary Maintenance.
Rely On Manufacturers When Private Branding