How to Turn a Dropshipping Store Into a Private Label Brand

In this video, I talk about how you can turn a dropshipping store into a private label brand. I cover two different methods that you can use to get your products private labeled and take your brand to the next level.

Pros & Cons of Private Labeling

Pros

  • Great for branding, higher perceived value (leading to higher conversion rates OR can charge more, show screenshot of a split test)
  • Better for influencer marketing
  • Long-term brand building
  • Harder to copy

Cons

  • Can’t dropship anymore, need a fulfillment center
  • Upfront risk unlike dropshipping, need to buy in bulk to meet MOQs
  • Need to manage stock levels

Easy Method: Using a Sourcing & Shipping Agent

  • If you are already working with an agent for dropshipping, you can ask them if they can help you private label the products
  • They can negotiate with the manufacturer for you, handle communications, buy in bulk and store your new private labeled products in their warehouse
  • This way, you can continue shipping out of China at a low cost and not have to switch up your business model while having private labeled products
  • Just need to meet MOQ (usually 5000-10000 pieces) and pay your agent ahead of time so he can pay the supplier
  • Main con: slow shipping times out of China

Harder Method: Using a US Third-Party Fulfillment Center (i.e. ShipBob)

  • Search for “product name + private label” on Alibaba
  • Negotiate with manufacturers
  • Order in bulk to a warehouse in the US
  • Cons: subject to US customs — can be complicated for FDA-regulated products, more expensive for shipping (but can charge since faster service)

Getting Your Logo/Packaging Designed

  • 99designs.com

 

 

One Reply to “How to Turn a Dropshipping Store Into a Private Label Brand”

  1. I love you the free videos you doing!
    I been watching tons of dropshipping videos from other youtubers.
    But the way how you explained to not to worry about saturation…but instead outperform  others sellers online by doing better thqn them…
    That opened my eyes and put a smile on my face.
    Now i quit watching others dropshipers videos from france or the US to focus only on your ones.
    Keep uploading please and let me know if you need any ideas to release some new videos.
    And thank you for sharing the work you doing with us.
    One Big love.

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