The teeth whitening category has undoubtedly been growing quickly for some time due to a cultural obsession with brilliant, confident smiles. Retailers have grown this trend even further, launching their own-brand whitening kits to offer consumers an affordable premium alternative to national brands for a reasonable price. Within the chemical industry, own-brands (or private label brands) are produced by 3rd party and sold under a retailer's brand or trademark. Specifically, own-brands represent a firm foothold for retailers to react to consumer needs while growing their position in the market.
Why do retailers want own brands? The unique combination of profitability, brand ownership and customer loyalty make private label products incredibly enticing. Whether owned-brand whitening strips, brush on or complete whitening kits, retailers can respond to consumer demand and improve their unique position in the market.
Lets explore the market trends, benefits, and best practices to successfully launch a private label whitening strips brand!
The teeth whitening market is booming right now! The global teeth whitening market in the United States is expected to grow to over $4 billion by 2026, with the current compound annual growth rate (CAGR) from 2021 = 4.8%. The increase in demand is driven by multiple factors:
● Increase in Consumer Radiance: Teeth whitening products on social media platforms like Instagram and TikTok have been significantly impacted by exposure to influencers and everyday users showing results.
● Economics: At home owned-brand whitening kits provide an affordable alternative to professional whitening at the dentist, which attracts new consumers.
● Growth of Private Labels: According to NielsenIQ, private label consumer products sales, in personal care, have increased 10.2% year-on-year in 2023. Private label continues to provide a competitive advantage in personal care, where private label acceleration continues whilst national brands fall behind in value-based sales.
As consumers shift to seeking value at a price that doesn’t compromise quality, consumer convenience is witnessing a growing demand and trust in the private label whitewashing kits. Retailers are conducting easy whitening offers through their label whitening strips that are convenient to use, to attract today’s busy, bargain-hunting consumers.
Investing in resources to launch their own brand whitewashing kits means retailers can get a huge competitive advantage over national whitewashing brands.
Here is a list of reasons why retailers will want to differentiate themselves by launching their own brand whitening kits:
Private label will remove the huge marketing and distribution costs that come along with national brands. Retailers can work with manufacturers like Onuge China to buy raw materials and manufacture high quality, own label whitening kits for a fraction of the cost. Meaning significantly better profit margins for retailer's private label whitewashing brand strategies.
Retailers in more developed markets have no choice but to differentiate from product ranges that are saturated and consumers are expecting innovative products. Retailers can differentiate the product by adding functions such as sensitivity-free, cruelty free, or eco-friendly. Retailers can also differentiate the whiteners through personalized touches that have been developed by using their own brand identity and can develop more brand equity through innovation and an identity that is different enough so competitors cannot imitate easily.
When consumers find the ideal private label whitening strips, they will likely return to that same retailer for their future purchase. Using loyalty programs showcasing bundled offers for own brands is a good way to deliver value with private label.
Private label gives retailers experience in controlling every stage of the production process from ingredients through to packaging. This ensures private-label whitening kits embody the values of the brand's own sustainability, luxury, or affordable, and possibly even some level of quality, the customer expects.
Retailers will have more margin flexibility than national brands. Private-label products can exclude range commodities allowing sellers to discriminate when pricing, and create quotes to price sensitive customers. In a changing price scenario, like what we have seen in the majority of consumer products we can show our branding teeth whitening strips as value to consumers doing less than what leading brands produce at.
While there is great opportunity for retailers to fabricate their own-brand whitening kits, planning is fundamental. Below is a checklist of things retailers need to consider:
The most important first step in developing a successful private-label whitening strips brand is to work with a manufacturer. Retailers need to be sure they find suppliers - e.g. Onuge China - that are familiar with teeth whitening product development, safety, sourcing and commercialisation. Customisation through unique formulations and kit sizes can leverage product differentiation.
Branding is vital to engage consumers, and it is a decision retailers should consider:
● Outline USPs - Outline what makes your own-brand teeth whitening kit unique: Natural vs. Chemical; Quicker than other whitening products, Better results.
● Make Packaging Engageable - Packaging that is sleek, interesting and informative will help make your product accessible and can help the consumer identify your product, whether on a retailer's shelf or online.
● Build trust - Add customer reviews or any relevant certifications.
Having a solid marketing plan will help with visibility and lead to selling opportunities. Retailers should consider:
● Social media - Maybe add before and after examples of own-brand whitening strips to social media on platforms like Instagram.
● Partner with Influencers: Collaborate with beauty influencers to gain access to targeted audiences.
● SEO: Utilize keywords, such as "own-brand whitening kits" and "private label whitening strips brand," when including in your product descriptions and blog postings.
Teeth whitening products are carefully regulated in terms of safety standards. Retailers must ensure that their own-brand whitening kits follow local regulations when it comes to ingredient limitations or usage guidelines to avoid legal issues and protect customers.
From where will you sell? Exclusively online to in-store or combined? In terms of reach, [an omnichannel approach will have the most impact. If selling online, a fulfillment service is an excellent partner to ensure a great customer experience in their product order to delivery.
When it comes to whitening products, retailers should consider own-brand whitening strips because:
● Easy to Apply: Strips are easy for consumers to use.
● Low Manufacturing Cost: A steep lower production cost results in higher margins.
● Flexibility: Retailers can develop their own-brand whitening strips with potential brands' exclusive flavors, strengths, or sustainable materials.
Retailers looking to develop their own-brand whitening strips can tap into a high-growth segment for white label products and establish broad private-label brand recognition.
Consider a mid-sized retailer, partnering with Onuge China, which developed a private label whitening strips brand. They introduced a sensitivity-free whitening formula at 20% below the cost of their competitors. The strategy resulted in a 15% improvement in their customer retention and a 25% improvement in profit margin within six months. A significant success with own-brand whitening kits when done right.
Today’s consumers are increasingly focused on value, convenience, and trust. A recent survey from 2023 found that 68% of shoppers are willing to try private label brands if the private label brand meets quality at a lower price. For retailers developing their own-brand whitening kits, retailers must emphasize quality, confidence & value price within their message to cross over to hesitant consumers.
Beyond their own-brand whitening strips, retailers could also develop other complementary whitening products (e.g., whitening pens or LED whitening kits) as part of their private-label whitening brand. This approach builds an additional revenue source and solidifies brand recognition in the eyes of their consumer.
The increase for own-brand whitening kit products represents the future of private label brands and a shift in the greater retail market to private label. By leveraging a surge in market demand, competitive advantages, and addressing others, retailers could easily be leading in this high-growth niche market. While own-brand whitening strips are a brand, it does represent and can lead to a wider private label whitening product range market.
With a little planning, retailers can scale any simple product into a value proposition for growth, margin, and the sum of customer loyalty. Now is the time to consider establishing a partnership with a manufacturer like Onuge China and launching your own-brand whitening kits to build your position for profit.
