Private Labeling

Private Labeling
Lotions and The Salon

by Rick Mattoon

Diversification is beneficial for success in any business. Because of this, the issue of adding private label lotions to complement branded lotion products is becoming a hot topic of interest for salon owners

Not long ago, the price for original artwork made it difficult for many salons to add private labels to their offerings. However, with today's digital capabilities, artwork can be created at a fraction of the cost providing a salon with an upscale look for its lotion.

This technological advancement has helped create virtual design studios on the Internet. Salons can go online, and in just a few easy steps, design their own logos that capture the uniqueness of their salon on a label. This process eliminates the cost of an art designer and the expensive setup fees for artwork, while allowing salon owners to independently choose artwork that meets their needs.

Like artwork, the choices in lotion formulas are abundant. Heather Zimmers of Anita Tan in Wyandotte, Mich., found that the private label company she uses offers a choice of a dozen or more lotion formulas. She chose four specific formulas for her salon needs--an accelerator, a non-tingle bronzer, a tingle with bronzer and an extra hot product for advanced tanners. Like many branded products, many private label formulas are designed by chemists who blend the most "skin friendly" ingredients that work effectively in the tanning process.

Zimmers found both tanning accelerators and amplifiers among her private label selections. Like with name brands, accelerators and amplifiers have proved to enhance and stimulate the body's natural tanning process. These formulas help encourage both the melanin production, as well as the effectiveness of UV absorption, allowing the tanning process to advance productively in her customers.

Marketing Is The Key

Unfortunately, with all the hopeful aspects of private label lotions, the multimillion-dollar ad campaigns that boost branded lotion sales are nearly non-existent when it comes to private label. Typically, major lotion manufacturers conduct costly market research and development on their products and their marketing campaigns.

Tammy Shumaker of Native Island in Keyser, W.Va. found out immediately that the success of her private label line would depend on the strength of an in-house marketing plan.

"I started marketing my Native Island line to my clients as soon as I acquired it, and I had instant success with sales," she says. "The proper promotion of any lotion is the only way to make certain that a product will sell, whether it's private label or name brand. My private label line has been an excellent complement to my existing brands that are accompanied by national ad campaigns."

 What's In A Name

When she decided to carry private label lotions, one of the first things Zimmers did was decide on a name for her product.

"In order to promote my business, I simply used the same name as my tanning salon, Anita Tan," she says. "And, to create a difference between lines, I gave each product an additional name identifying the intensity of the product like Little Angel and Little Devil."

If you choose a name different than your salon, you have some work to do. Start by deciding what you want your product's name to communicate. To be most effective, the name should reinforce the key elements of your salon. For instance, if your salon is tropical in dcor and style, you may want to name your product after a Hawaiian island.

Shumaker decided to use the name of her salon, "Native Island," and because she's enjoyed many trips to the Bahamas over the years, she differentiated her line with names like "Tropical Bahamas and Hot Action Bahamas."

"I also wanted to promote the caramel scents of my private label lines, so I included the names Sugar Baby and Sugar Daddy into two of the five products," she says.

Other salon owners find success by using names different than that of their salons. That's what Anthony Bonnani of Beach Bum Tanning in Warren, Mich., did when he chose the name Infinity as a distinctive name for his private lotion line.

"We were very pleased with the response we have had to our line," he says. "Our customers have supported our private label since day one."

Salon owners choosing a distinctive lotion name use many techniques in finding the perfect name. They brainstorm and look in dictionaries, books and magazines to generate ideas. They get friends, relatives, employees and even customers to help; the more minds the better. The goal is to think of as many workable names as possible during this creative phase.

Salon owners have found, that if marketed properly, private label products can be a productive addition to any existing brand name line. Many salons are experiencing a profitable enhancement by offering private label selections among their nationally recognized tanning products.

Commonly Asked Questions:

Q: How can I be assured the quality of the product is up to my standards?

A: Most companies offering private label brands will send you samples of lotions that can be tried before making a purchasing commitment.

Q: What about product liability issues as they relate to the salon owner?

A: In most cases, this shouldn't be an issue if the salon owner is not personally making any changes to the product after production. You should check with your salon insurance agent as to how this may relate to you specifically.