Private Label Is Not Slapping
Your Name On Generic Products
There is an adage that says, when you find yourself in a hole, stop digging. It could be an interesting metaphor for the jewelry business in these challenging times and yet there is a better way to do things. At least, that is, if you are looking for a quality story in a category that represents about 55 percent of the total jewelry business.
Private Label is, to say the least, very misunderstood. You can buy generic products and call it your own brand, but that is hardly a convincing strategy for your customers or your own team. Executing a private label strategy means that you embrace it and manage it as if it was a great international brand, with consistency of product, of communication (internally and externally) and of story.
One of the arguments against private label is that it has no brand awareness and it doesn’t have a marketing budget attached to it. The reality, however, is that a brilliantly executed private label plan has all the awareness you need because it has your name attached to it and, unless you have been living in that hole, everything you have ever advertised has one common denominator; your store’s name. To that end, you are not starting from a standing position. Your customers and community already know you - and putting your name on something that is made here in the U.S., and that you can be proud of, makes a great deal of sense.
So, what is a well-executed private label plan? For starters, it must have a readily identifiable point of differentiation. VIBHOR’s exceptional quality in core diamond essentials, built around a foundation of die-struck bands, and the kind of jewelry that sells every day, provides that very platform. All VIBHOR’s products are made in their own factory in New York City, and even the display columns are made in the U.S.
Everything that VIBHOR sends out has a retail price ticket attached to it and those prices reflect the very best value in its category and healthy gross margin; something no business can survive without. The company has also taken a strong position on a number of other retailer needs by ensuring fast delivery; normally 2 – 3 weeks (if needed, 2 – 3 days) and they partnered with the Edge Retail Academy to create a program that ensures committed retail-partner have recourse on dated inventory; thus, ensuring a return on investment and a freshness of story that is crucial.
Other important retailer-centric initiatives include very effective in-store training, staff incentives, a 5-Year Warranty on all products, and supporting marketing creative; such as custom-displays, duratrans, website banners etc. If you are serious about private label, shouldn’t you do it right!
Prestige by JCK | P-1924 | May 30 - June 4