The health and wellness industry keeps growing; but where is it headed? Here’s how developing a white label ecommerce strategy can boost your business sales and profits in the health and wellness industry.
Selling dietary and nutritional supplements has become a booming industry in the recent past. Food, health, dietary vitamins, and other nutritional supplements make up the list of nutraceuticals that may boost the benefits of the food we eat. One way to tap into this ever growing industry is to develop a white label ecommerce strategy.
Overview of the Health and Wellness eCommerce Industry
Everyone wants to be happy and healthy which may explain how this niche market has a $4.2 trillion capitation around the world. And, projections show a steady forward growth.
The health and wellness nutraceutical business is highly rewarding even though many entrepreneurs misconceive that it’s a bit too crowded. The truth of the matter is, the demand is extremely high. People with health conditions or special food requirements are in constant need of products that align with their specialized diet. They want to do away with the tablets and injections. Looking at another part of the market, some people want to shed an extra pound well some just want to get a stronger muscle mass.
The Organic Trade Association shows that millennials account for about 52% of health products consumption. Further, the report shows that they repeatedly enroll for gym memberships and eat 50% more vegetables than elder generations.
Thus, many entrepreneurs find it worthy to invest in wellness and health startups. Certainly, a wellness e-commerce would be the right way to go. Beauty, anti-aging, nutrition, weight loss, bodybuilding, and personalized medicine form the bulk of the products that most of the millennials are buying.
You Don’t Have to Be a Nutritionist or Health Expert to Develop a White Label eCommerce Strategy
Interestingly, the industry does not discriminate your expertise or professional specialization. The most important thing is your branding. When customers trust your brand, you can go ahead to sell any product in the health niche.
With the advent of the internet, wellness e-commerce beats the traditional brick and mortar store. Statista shows us that more than half of the world’s population is connected to the internet. Therefore, a huge volume of those internet users will certainly love health products.
Partnering with manufactures is a great way to lessen the burden of maintaining enough inventory. The white label e-commerce strategy will help you attract these producers.
What Exactly Are White Label Products?
“White Label products involves taking someone else’s product and putting your name on it. You are directly selling a product that is developed, controlled and serviced by someone else. The product/service is produced by one company and a different company (the marketers) brand the product to make it appear as if they created it.”Source: White Label Expo Blog
For instance, you may have walked into a big box retailer such as Wal-Mart and then realized that they have a section for Great Value Brands. These are cheaper products that have the Wal-Mart logo.
Evidently, the retailer packages the manufacturer’s products and uses their brand to attract more sales. So, people purchase the Wal-Mart brand because they already trust it.
How White Label eCommerce Strategy Works
The digital world is quite different from the brick and mortar business setting. eCommerce white labelling involves the purchase of products from a manufacturer and then branding them and selling them as your own. Your customers choose to buy from you because the brand you have worked hard to build.
In the health and wellness industry, customers need to trust your branding more than anything else. For trust’s sake, you may have to form a website that offers encyclopedic truth to develop that trust.
If you are 100% transparent, most of the site’s visitors will automatically trust the products you offer. And, because millennials and most internet users are quite savvy, they source information about the products they are considering buying to validate what your brand claims. So, the first step of running a white label wellness e-commerce website is to create trust between you and your clients.
Most of your work is to run the e-commerce website. That means you interact with the customers and answer their questions professionally. If you are not working with a fulfillment provider, it is also up to you to make sure your customers receive their orders accurately and on time.
Benefits of White Label eCommerce Strategy
- Healthy Competition: Many customers are no longer loyal to their favorite conventional brands; instead, they want to purchase products at lower prices. White label products are, therefore, competing favorably with the manufacturer’s brand.
- Price Control: This straggly also helps in pricing and production controls. The retailer has direct influence over the prices of its commodities. While the price of the white label products are amazingly low, its quality is just the same as the rest of the national brands. This satisfies the customer’s needs as well as helped them afford it.
- Healthy Partnership: Manufacturers and retailers can work together to expand their product lines. This allows them to target customers in a strategic way that easily beats competition.
- Concentrate on your specialization: And, of course, the manufacturer can do what they do best which is producing high-quality nutraceuticals while the retailer can continue with the e-commerce management and marketing.
What is the take-away?
As you can see developing a white label e-commerce strategy is a great way to tap into the number one CPG e-commerce category, nutraceuticals. If you are capable of developing a strong, well converting brand your chances of gaining success may be higher than you realize. It comes down to partnership- finding the right partner that will minimize the risk as much as possible. QuickBox Fulfillment offers a white label service like no other. Not only do they offer over 21 trending health and wellness products, they also provide inventory management and order fulfillment! This allows e-commerce owners to focus on marketing and customer management so they can scan their business quickly.
Are you wanting to tap into this booming market but are unsure of where to start? Do you have a solid brand, but not a solid partnership and may need to change things up?
If yes, reach out to QuickBox Fulfillment today and start a conversation that can take your business to the next level tomorrow.
REMINDER: The CEO, Stephen Adele, will be keynote speaking at this year’s White Label Expo in Las Vegas! The event takes place February 26-27th, 2020. To learn more about the show and get your FREE tickets, click here!