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Old 05-16-2002, 06:22 AM   #1 (permalink)
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I believe that private label indoor tanning products will reach 50% of all salons in the next 5 years. The growth is exponential right now. As labeling technology improves the price vs. quality gap on labels/packaging between private label and major brand names is being eliminated.

5 years ago, I was silk screening bottles for private label customers with minimum run of 800 bottles. Today, We are running 4 color process photo quality images on paper labels for $.75 with a minimum of 5 labels. 5 years or less, I think that we will running 4 color process labels, with metallic inks if desired, holograms, and anything else desired on plastic labels for under a dollar a label with qualities on 1 or 2 required.

At that point, their will be no packaging gap between Private Label Brands and National Name Brands.

Private label and brands often have the same quality of product, today. My company send
samples to prove the quality of our products to salons everyday. I know my formulas are better than several major name brands on the market, today. I believe that some other private label manufacturers have premium quality products just like mine. Why? The cosmetic raw material supply companies have ensured that it you want to make the best product possible then the same raw materials to make those premium formulas are
available for everyone.

With packaging and formulas being the same, why would any salon choose to sell products that are available anywhere but their salon?
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Old 05-16-2002, 06:34 AM   #2 (permalink)
 
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Greg:

The "future" of "spamming" PL on the "Ask Don" forum is very, very limited!

As mentioned previously in my message to you and Max, tanning salon owners want factual information that will help tanning salon owners sell more tanning lotions, not "bashing" and/or "spamming".

Don

PS: I know how to use the "delete" function. LOL
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Old 05-16-2002, 08:33 AM   #3 (permalink)
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Don,

I wanted to have a realistic discussion of the future of PL in the industry.

If I wanted to Spam then I would have given the reasons why salons should buy PL from my company like:

.......
.......

I will save you the spam!
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Old 05-16-2002, 10:19 AM   #4 (permalink)
 
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Greg:

OK, now that we have the "ground rules" set, I have two questions for you about PL.

1. What factors should a tanning salon owner consider BEFORE he/she decides to go the PL route?

2. What, in your opinion, factors should cause a tanning salon owner to NOT add a PL lotion line?

Don
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Old 05-16-2002, 12:47 PM   #5 (permalink)
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What you should consider before:

1) Take a realistic look at yourself:
What products are you selling now?
Type type of product?
What step of product?
What price range is best?
How well is your staff trained?
Are you stay pro-active or re-active in the sales process?

2) Investigate several private label suppliers.
Compare:
Product formulas
Pricing
Labeling
Bottle Designs
History of success
Educational and Sales material
Refferences

3) Budget:
What is this going to cost you to get started and keep going.

4) Timeframe:
From start untill you have the bottles on your shelf, how long. So when do I want this?

5) Packaging:
An idea of what you want to say on the bottles or the design you want.
What works for you now, what would you like to see done differently to make your product sell more.

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Old 05-16-2002, 12:51 PM   #6 (permalink)
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Who should not Private Label:

1) Small salons with less than 4 beds. Any investment in labels is too much unless you sell alot of lotion or are near a major diversion source like a flea market.

2) Owners that are thinking about selling in the near future. These do not have the time or desire to establish a new private label line.

3) Salons with absentee owners unless the manager or person in charge of the salon is 100% behind the project.
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