The first dietary supplements in the form we are familiar with appeared in the early 20th century. They were relatively simple plant extracts and infusions. However, in the following century, the dietary supplement industry experienced rapid development. More and more people started paying attention to their health, caring about balanced nutrition, engaging in sports, and leading an active lifestyle. Currently, the demand for beneficial supplements is growing every year.
dietary supplements are a category of non-pharmaceutical products that help maintain well-being and have a positive impact on the functioning of specific systems or the entire body. The need for dietary supplements is due to the fact that many people today cannot obtain all the necessary beneficial substances from food alone. Firstly, different food products contain varying amounts of beneficial nutrients. Secondly, many micro and macro elements lose their properties during thermal processing.
But thanks to dietary supplements, consumers have the opportunity to prevent deficiencies of essential substances in their bodies. Thus, vitamin complexes, products containing amino acids, pure macro elements such as calcium or magnesium, are popular among buyers. dietary supplements also include weight loss aids, sports nutrition, products for maintaining the health of the skin, cardiovascular, digestive, reproductive, and other systems of the body.
Brands in the dietary supplement industry strive to keep up with the times, regularly creating new products and utilising the most modern technologies. This is because the business of producing additives can become very successful and profitable. That is precisely why so many entrepreneurs turn to private label supplement manufacturing for assistance.
In this article, we will explain what private label supplement manufacturing is, and how to utilise this collaboration format to create a successful dietary supplement brand.
What is private label dietary supplement manufacturing?
Private label supplement manufacturing is a collaboration format between a business owner and a contract manufacturer. The entrepreneur delegates the production of the company’s goods to a contractor who possesses the necessary resources. The manufacturer creates the products based on their production capabilities and releases them under the client’s brand. Such a partnership is highly efficient and mutually beneficial.
Entrepreneurs turn to private label manufacturing for several reasons. Firstly, it is advantageous in conditions of a limited budget when the business owner lacks the ability to establish their own production from scratch.
Secondly, it is convenient to engage such a partner if the client lacks experience and expertise in the field of supplement production. Thirdly, private label manufacturing often includes not only the physical creation of supplements but also other services such as sample testing, obtaining certificates, storage, marketing promotion, and logistics.
Furthermore, an experienced manufacturer with a good reputation is familiar with all the regulatory requirements for production processes, existing quality standards, and safety regulations for dietary supplements. Among these requirements, the following are most commonly encountered in most countries:
- Activity Permit: A manufacturer plant must possess documentation confirming registration and the right to produce goods, including dietary supplements.
- Quality Certificates: For private label supplement manufacturing, the presence of quality and safety certificates is required. Such certificates may include, for example, HACCP, ISO 22000, GMP, FSSC 22000.
- Raw Material Safety: At the early stages of the production process, it is necessary to review documentation confirming the quality and safety of the raw materials used for the production of dietary supplements.
- Laboratory Report: It is needed to guarantee the safety of the samples of finished products. Testing generally takes place at the manufacturer’s plant, as most of them have a functioning laboratory as part of their facility.
- Labelling Requirements: The label must contain all the necessary information ensuring traceability of each package of the dietary supplement. Additionally, the label usually needs to provide complete information about the manufacturer, product composition, instructions for use, dosage, and contraindications.
- Additional Documentation: In some countries, the manufacturer should also possess conformity declarations, certificates for organic products, allergen labelling, enterprise safety passports, or other documents required by legislation.
Failure to comply with these requirements can result not only in significant fines but also in criminal liability, especially if the finished dietary supplement proves to be unsafe. Therefore, it is always necessary to verify whether the partner-manufacturer complies with all regulatory requirements before entering into a private label manufacturing agreement.
h2: Benefits of private label dietary supplement manufacturing
Private label supplement manufacturing opens up immense opportunities for brand owners. Here are just a few of the significant advantages of such collaboration:
- Budget optimization. The entrepreneur saves significant resources since they do not need to independently purchase a production facility and equipment, hire a staff of employees, and obtain all the necessary permits. At the same time, the profit from selling the resulting product can be quite substantial, allowing for further business development in the production of dietary supplements.
- Shortened timelines. Private label manufacturing allows for obtaining a ready-made product in a relatively short period since the business owner does not need to create a production facility from scratch.
- Brand differentiation. The owner of the brand has the opportunity to create a unique product that has no analogues in the market, which potentially can generate immense interest from the target audience and bring in substantial profits.
- Expansion of the product range. If the entrepreneur already owns multiple private label products, this form of collaboration enables the creation of new dietary supplements to expand the assortment and attract even more customers.
- Production control is a significant advantage of private label manufacturing. The client has the right to monitor all work processes, ensure compliance with regulatory requirements, provide input regarding product composition, brand names, packaging design, and other production aspects.
- Obtaining quality certifications is much faster and easier in contract manufacturing due to the manufacturer’s extensive experience and expertise.
- Full production cycle. A company that produces dietary supplements can assist the client not only in manufacturing the product but also in developing a unique formula, selecting raw materials and production technologies, creating original packaging design and shape, conducting testing, storing the finished product, handling logistics, and distribution.
Like any other business sphere, private label manufacturing has its drawbacks. However, most of the problematic issues can be easily resolved by carefully planning a business strategy and paying attention to details.
For example, a business owner may be concerned about the intense competition in the dietary supplement sales industry. To stand out from competitors, it is necessary to carefully consider naming, brand values, stylish packaging design, and, if appropriate, a wow ingredient. This will help attract consumer attention and encourage them to make a purchase.
Choosing a ready-made product formula already used by other brands in the field of dietary supplements can also pose challenges. In such cases, it can be difficult to devise a unique selling proposition for the product. However, with private label supplement manufacturing, you can request the creation of a unique dietary supplement formula from scratch.
Some entrepreneurs are intimidated by the complexities associated with entering the market and promoting their product. To meet the expectations of the target audience and create a product that will undoubtedly be in demand, a thorough market analysis should be conducted and the profile of the target audience should be outlined before launching the production of the dietary supplement. This will help understand the key areas to focus on during marketing activities.
Lastly, it is important not to forget about the responsibility for product quality. Since the brand belongs to the business owner, they are solely responsible for any subpar or unsafe products delivered to the end consumer. However, these risks can be easily minimised by seeking assistance from a reliable manufacturer with a good reputation.
What do you need for private label dietary supplement manufacturing?
In addition to registration, quality certificates, and other documentation confirming compliance with regulatory requirements, the production of dietary supplements cannot do without some important things.
- Spaces. Typically, for production lines, laboratories, product storage, and the work of the staff, spacious premises are required. There are also several requirements for them: they must comply with sanitation standards and be sterile. This is necessary not only to guarantee product quality but also for the comfortable and safe work of the personnel.
- Production facilities include all equipment that can be used for manufacturing. The safety of the dietary supplement directly depends on the quality of the equipment. For example, private label manufacturing can utilise mixers, turbo mixers, presses, refrigeration chambers, dehydrators, and other equipment.
- Workforce. It is very important to pay attention to the experience, qualifications, and level of expertise of the employees working at the enterprise because they are the ones who create the formulas for dietary supplements, choose dosages, monitor the sterility of the premises, and ensure compliance with quality and safety standards on-site.
- Raw materials. The quality of raw materials also plays a key role in creating a successful dietary supplement. Nowadays, consumers often pay attention to the origin of the raw materials, preferring safe and natural ingredients.
- Packaging. For private label manufacturing, one can order the development of stylish packaging. Marketing specialists will select a suitable colour palette, graphic elements, and packaging design to create a visually appealing and unique product.
Examples of successful private label manufacturing
Currently, there are many large enterprises on the market that demonstrate how successful and progressive private label supplement manufacturing can be.
Lonza Group, Kerry Group, DSM, BASF, Ingredion are just a few examples of successful manufacturers whose product range includes dietary supplements. They collaborate with numerous well-known companies worldwide and possess extensive experience and expertise.
For instance, Lonza Group was founded in Switzerland back in 1897. Initially, the company generated electricity and later engaged in oil processing. However, in the second half of the previous century, Lonza shifted its focus to the pharmaceutical, biotechnology, and food sectors. Currently, the company owns multiple facilities across various corners of the world, employs around 20,000 staff members, and has achieved sales volume of USD 7.2 billion. It has become one of the dominant players in the market, offering a multitude of unique products. In 2021, Lonza Group initiated a collaboration with Altimmune Inc, working on the development of a nasal vaccine against COVID-19.
Lonza Group serves as an excellent example of a company that has kept pace with the times for many years, utilising innovative technologies, demonstrating flexibility, and increasing corporate social responsibility. Consequently, it has emerged as one of the key players in the private label supplement manufacturing market.
Another noteworthy example of a successful manufacturer is Millmax, a European plant specialising in the production of cosmetic products and dietary supplements. The company offers clients full-cycle manufacturing services, with its own laboratory and R&D department, state-of-the-art equipment, and a wide range of products available for production orders. Currently, the company is actively expanding in the European market and collaborates with various companies worldwide.
How to choose the best manufacturer
If you have already made a decision about private label supplement manufacturing, the most important step remains – finding a reliable partner. When choosing a manufacturer, it is worth paying attention to some important factors.
- Registration and permits. First and foremost, it is necessary to verify whether the manufacturer has registration, permits for the production of dietary supplements, and all necessary certificates.
- Product quality. Pay attention to the quality of the products produced by the manufacturer. This includes the purchased raw materials, technological processes, appearance of the product, integrity of the packaging, and other details.
- Production capabilities. The more modern and expensive the equipment in the production process, the greater the chances of creating a high-quality, innovative, and in-demand product.
- Pricing policy. Try to choose a manufacturer with an optimal balance of price and quality. A low price for services may indicate the use of low-quality raw materials or outdated equipment in the production process.
- Experience and expertise. Find out how long the private label manufacturing company has been operating in the market. It would also be beneficial to inquire about the experience of the technicians and successful projects that have already been implemented by the contractor.
- Reputation. Familiarise yourself with reviews about the manufacturing company online to understand whether its reputation is clean and what impressions the clients who have already used private label supplement manufacturing services have.
- Flexibility and scalability. It is quite possible that during the production process, the client may have a need for additional services or further expansion of the range of dietary supplements. It is important for the partner to demonstrate flexibility and be able to accommodate the client’s needs when necessary.
Conclusion
Private label supplement manufacturing is an excellent way to create your own brand of dietary supplements. In doing so, the client can save time and money by entrusting the production of the supplements to a reliable partner with the necessary manufacturing capabilities.
To choose a trustworthy manufacturer, it is important to pay attention to the presence of certificates and permits, the partner’s experience, expertise, and reputation, as well as the quality of equipment and sourced raw materials. If you approach the search for a private label manufacturing partner responsibly, you will be able to quickly bring to the market a high-quality and safe product that will be popular among consumers.