Are Private Label Supplements Profitable?

Mar 21, 2022

Written By:
Aryel Wilbur

If you’re a healthcare professional, business owner, or up-and-coming entrepreneur, you might be wondering whether or not private label supplements are profitable. The answer is a resounding yes.

Starting your private label supplement line is a win-win for everyone. Your patients and customers get the high-quality supplements they need for optimal outcomes, and your business opens up lucrative revenue opportunities.

The world of private label supplements has become saturated and competitive, so getting started might feel daunting or risky. Read more to understand what private label supplements are, how they can benefit your practice or business, and just how profitable they can be.


What are Private Label Supplements?

For detailed information, check out our private label supplements definitive guide.

For a brief recap, private label supplementing means putting your brand on existing nutritional supplement formulas that come with established legal permission from their provider. It’s a powerful way to build patient trust and customer loyalty, create a niche brand, and grow your business with less liability risk. 

An experienced and high-quality private label supplement provider will provide the research and development, legal considerations, marketing material, and labels that meet FDA guidelines. This means your products can launch quickly, which will be a much less expensive and uncertain endeavor than creating new formulas from scratch.

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Five Tips to Increase your Private Label Supplement Profits (and Avoid Risks)

Know your market

The private label supplement market is becoming increasingly saturated, so you must do your due diligence in understanding your target audience. This is relatively easy if you have a private practice and have already established a patient base. Consider their primary concerns, such as GI issues, skin problems, or hormonal imbalances. This information helps you home in on a small number of private label products to start with.

If you are selling on E-commerce sites like Amazon or in retail spaces, having in-depth knowledge of the market is even more essential. You need to figure out how to make your customers see that your products are unique to hundreds of similar offerings. For example, you might include patented ingredients or a proprietary blend.

Study the competition

While there might be many similar products out there, you’ll want to study the competition to see what could be missing from the market. As a professional, do your research on which ingredients are safe, effective, and work well together for an attractive and effective formulation. Choose products that meet your patients' or customers' needs and stand out in the crowd. Speak with your private label supplement provider about the possibility of custom formulations if this is something you’re interested in.

Take advantage of low order minimums in the beginning

If you’re new to private label supplements, it’s best to choose a provider that offers low order minimums to start, as this will dramatically reduce the risks that come with buying more products than you can sell. At DaVinci, our order minimum is 36 bottles, which most vendors find quick and easy to turn around. A team member can help you order enough to meet your demand while also ensuring you won’t have products gathering dust on the shelf.

In addition to low order minimums, you’ll also need to wisely choose the first products you sell. For example, if 25% of your client base comes to you for hormonal balance support, start with private label products that address that particular issue.

Get marketing support

It’s critical to work with a private label supplier that includes marketing support in their services. These offerings typically include label design and help identify the products that are most likely to succeed for your specific business. At DaVinci, we also offer additional support for digital image design for your online sales or website and branded marketing materials like sell sheets and product information.

Set yourself up for passive income from refills

If you choose your products strategically and do your due diligence when researching the market, you won’t simply set yourself up for overall business success—you’ll also set the stage for passive income from refills. Many professionals report past patients buying their products and recommending their brand to friends and family for years to come.

Related Content: How To Make Money Selling Private Label Supplements

How Much Money Can I Make with Private Label Supplements?

There is no one-size-fits-all answer to this question, but some doctors and business owners reap six-figure profits from private label supplements. The exact numbers also vary depending on where you sell them. Online private label supplements are the most competitive and have the most profitability potential. If you market your brand well, you can set yourself up for low overhead, substantial profits, and the ability to sell to people across the globe.

If you’re on the fence about private label supplements and their profitability, start with two or three products that are likely to do well with your patient or customer base and order the minimum product amount. With no set-up fees, quick turnaround times, product quality assurance, and scientifically reviewed private label products, you can set your practice up for significant success.

Private Label Supplements Guide

*These statements have not been evaluated by the Food and Drug Administration. This product is not intended to diagnose, treat, cure or prevent any disease.