- 1 Find out how a marketing consultant approaches setting up a private label bedding business
- 2 How would professional business consultants go about running a private label bedding business?
- 2.1 Having a solid private label business plan for your bedding enterprise
- 2.2 Feasibility of your private label bedding business
- 2.3 Finding a private label bedding manufacturer
- 2.4 Knowing your trade customers and their needs for bedding
- 2.5 Selecting the right bedding products for your private label
- 2.6 Weigh up the service level pros & cons of each manufacturer
- 3 Share this:
Find out how a marketing consultant approaches setting up a private label bedding business
Are you thinking about setting up a private label bedding business?
Wholesale bedding is big business.
Hospitality providers are a huge demand driver for the industry.
They require high volume unit sales, diverse range of products and offer much repeat business.
As a private label bedding dealer, you will probably already have the audiences to serve, just not the products.
Clearly the cost of starting up a manufacturing operation from scratch would have been prohibitive.
So now, you are persuaded to take the plunge and become a trader of 3rd party bedding products, but under your own brand name.
However, you need a manufacturing partner you need a plan.
How would professional business consultants go about running a private label bedding business?
Before starting out on a venture, it always pays to get good advice.
Oftentimes, you won’t know until after the fact of whether or not the advice was any good. In hindsight these things are revealed.
Nevertheless, with over 7 years experience of both failure and success in professionally marketing various products and services across the UK, we simply share what we know.
Having a solid private label business plan for your bedding enterprise
Drafting a business plan for your private label bedding business begins with research.
No matter how experienced you are with handling the clients you have, you simply don’t know it all.
Find out as much as you can about your new area of product interest.
From production to the end user. The entire value chain.
This way you understand, in a more complete sense, the whole trade and its pressures/drivers.
Feasibility of your private label bedding business
At this stage, prior to commitment, it is imperative that you jot down some simple facts and figures declaring the feasibility, or impracticality, of your idea.
The survival of your business will depend greatly on your attention to detail regarding profit particularly.
Sound gross profit estimates prior to trading will give you a good indicator of how viable your start-up idea will be.
But make sure you discover all the possible factors affecting ‘cost of sale’ before making firm decisions.
Also, scenario planning will help you account for ‘what-if?’ outcomes, should either favourable or adverse issues arise.
As trading conditions change, typical parameters like price of goods, for example, may change, having knock on effects.
Ensure that, within reason, you have covered all necessary variables in the calculation of feasibility before committing your resources.
Finding a private label bedding manufacturer
There are many conditions of trade which contribute to successful relationships with private label bedding manufacturers.
Here are a few:
- Product range
- Service levels
- Account benefits
When tendering for the most appropriate supplier arrangements consider all the permutations and small print – because once you’ve signed on, exiting prematurely may cost you dearly.
Knowing your trade customers and their needs for bedding
Business-to-business trade customers are equally as unique as consumers.
Each comes with their own complex mix of requirements, traits & constraints.
As a bedding supplier, you will want to ensure you are well abreast of the conditions your trade customers face, in order to position yourself optimally for their benefit.
Plenty of investigative conversation and interviewing will help you unearth the value impacting issues that lie beneath the surface and could potentially make or break your deals.
Selecting the right bedding products for your private label
You’ll need to know which products are likely to be desired of your customers.
Your job will be to suffice the demand on the fly, so to speak.
Having tight lines of communication with your bedding manufacturer will enable reliable & timely relay with your customers.
A single point of contact usually helps keep things consistent in this department.
Also, accurate estimations of lead time and detailed understanding of logistical pathways will help you look ahead when planning for customer satisfaction.
The following points are our considerations when selecting bedding products for a private label venture:
- Duvets, pillows, sheets, covers, cot protectors, mattress protectors, door wind stoppers, bed-in-a-box…
- For comfort, durability or all round performance the fabric quality of your chosen product will play a large part in your decision
- Concerns over the nature and performance of filling may sway your thoughts one way or another
- You will want to ensure every potential customer can be served adequately, therefore a supplier with versatility of sizing will be of great value
- Colour, shape, texture are all complimentary aspects to the user experience – consider this when making your decision
- Special features such as: antibacterial, fire retardant, anti-bed bug and dust mite, and anti-allergen properties, could be requirements that customers cannot compromise on. If so, consider the accreditation of your chosen supplier.
Weigh up the service level pros & cons of each manufacturer
It’s both product quality and service provision which wins the day when choosing a manufacturer.
Whilst it’s one thing to source the ideal products, it really is another thing to have the right deliveries reach your customers profitably & timely, with no disruption.
The services of your chosen supplier arguably are of greater importance than product quality even.
Business is dependent on being able to deliver ‘what you say you can do’.
Delivery is the fruit of the matter.
You customers’ needs are constrained to circumstance: budget, location, urgency, user preference etc.
Consistently getting the job done, despite the aforementioned constraints, will get you consistent business.
Your manufacturer is a partner in achieving this goal.
They have to be reliable.
Before committing, examine their agreement with a fine tooth comb.
Ask for reassurances…perhaps a trial period?
Talk with some of their customers and visit their offices to go through the detail, on-site.
The following are potential services which could make a big difference to your private label bedding business:
- Packaging options
- Branding positions
- Logistic perameters
- Account benefits
- Online order & payment records
- Simple pricing
Certain service levels are usually written into private label agreements to ensure both parties are aware of what is expected in delivery.
Carefully considering your procurement and logistical delivery pathways will weed out any potential bottle necks or issues.
Most manufacturers by definition are innovative. Even in their service pathways, they tend to keep up to date. They are not usually shy of technological application to smooth out any practical bumps.
Compare and contrast between offers.
Be sure to talk through all the steps with your chosen manufacturer and request ample on-boarding for any software systems to ensure full proficiency once underway.
Are you in need of a little advice before deciding to start you private label bedding business?
Have any valuable experiences to share?
Feel free to comment below.