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What Are Private Label Cosmetics?

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  • Written By: Lainie Petersen
  • Edited By: Melissa Wiley
  • Last Modified Date: 10 November 2016
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Private label cosmetics are cosmetics that are produced by manufacturers and then relabeled and sold to businesses that then resell these cosmetics to retail customers. Typically, the types of businesses that sell private label cosmetics are those that are somehow involved in the personal appearance industry, such as salons, spas, and the offices of dermatologists or plastic surgeons. Some makeup artists may also have their own cosmetics lines and will use private labeling in order to build their reputation and brand. These businesses may not wish to go to the expense and trouble of formulating a cosmetic line and having it produced, but may still wish to profit from the sale of cosmetics to their customers. They can design a label to be placed on cosmetic containers and then sell these products as their own brand.

Many people regularly wear cosmetics and are quite willing to spend a great deal of money on them. While most people purchase cosmetics in retail stores or online, some businesses may offer makeup services to their clients. These businesses often wish to make additional money by selling the cosmetics they use directly to their customers. As many small businesses cannot meet the minimum purchasing requirements of many large cosmetics retailers, these businesses sell private label cosmetics under their own name. A manufacturer of private label cosmetics packages and then labels the cosmetics with its client's company logo or other custom label. The cosmetics are then shipped to the client for pricing and resale.

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There are several different manufacturers of private label cosmetics, and many of these manufacturers offer numerous product, packaging, and labeling options. In some cases, a manufacturer of private label cosmetics may also be able to provide some custom formulations for high-volume clients. Typically, a private label cosmetics manufacturer offers a full range of different types of cosmetics from which clients can select. Once the client selects a range of cosmetic, skin care, and personal care items, the client must then select packaging options. Depending on the client's budget and image, packaging options may be very elaborate or quite basic.

The degree to which a business can profit from the sale of private label cosmetics depends on the quality of its services and its management's choice of product. While many types of private label cosmetics are of the same quality as those that are found in stores, some customers or clients of personal appearance businesses may feel a strong loyalty to the business and want to support it by purchasing its own cosmetics brand. Professional makeup artists who have a private brand can also encourage ongoing business from customers who may wish to pay for a makeover or makeup lesson only once but who may developed a strong attachment to a particular product used by the makeup artist.

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