White Label Supplements vs. Private Label: What Is the Difference?

If you are thinking about introducing a new line of supplements to your patients or customers, you're probably exploring the option of private-label or white-label supplements. But what’s the difference between the two?

It depends on who you ask. The two terms are often used differently by different manufacturers and companies, and there is no clear definition. 

White Label Supplements vs. Private Label Supplements: What is the Difference?

At Davinci® Labs, white label supplements and private label supplements refer to the same service, where a product is produced by a manufacturer that can be branded and sold by another company. This allows businesses to create their own brand by offering a line of supplements with low minimums, risk, and costs. 

Research and development can be a significant investment, as well as manufacturing large batches. Companies can sell and market these ready-made products under their brand name, giving them a fast and cost-effective way to expand their product offerings within a reasonable timeframe.

Advantages of White Label Supplements

White (private) label supplements are great for businesses that want to sell products under their own brand without spending much time and money creating them. 

Supplement manufacturers already produce and test these products so businesses like yours can trust the quality. Consumers who use supplements are often well-educated about ingredients and certifications used on quality products, and private labeling an established, top-selling product eliminates the heavy lifting. 

You can start selling your branded supplements quickly and minimum order quantities (MOQs) are also much lower with private-labeling.

What Are Custom Formulas?

Some manufacturers offer custom formulas in addition to their private label service offerings, while others do not. Custom formula creation involves a different process, timeline, and range of minimums and costs.

With custom formulas, the supplement company can bring a customer’s unique formulation to life, instead of supplying them with an established product to market as their own. 

Custom formula services allow brands to have their unique formulations created and tested without investing in the infrastructure needed for manufacturing. For companies with established industry experience, brand power, robust distribution outlets, and the ability to commit to higher volumes and investment, custom formulas can be a great fit for your brand.

It’s worth noting DaVinci Laboratories offers white label / private label supplements and custom formulas as two separate services. Learn more about our private label services. 

Choosing the Right Option for Your Business

Is private labeling the better way to go, or should you create a custom formula instead?

The answer depends on your goals. 

If you’ve identified a segment of your customer base that’s interested in a proven, quality supplement and you want to bring the product to market as quickly and efficiently as possible, private labeling is likely the best approach.

If using a particular type or concentration of certain ingredients is most important – and you cannot find the right fit in your supplement company’s private label inventory – creating a custom formula might be the way to go.  

Either way, your brand name will be on the product, so the opportunity for building customer loyalty exists in both cases.

related content: are private label supplements profitable?

Predictions for Private-label Supplements

According to CRM, the dietary supplement industry had an economic impact of $159 billion in the United States in 2023. Nutrition Business Journal believes the industry will continue to grow by $1.8 billion each year.

People have become more health conscious, and there's a definitive trend toward holistic well-being. CRN USA reports three-quarters of American adults take dietary supplements, seeing them as essential to foundational health. 

Technology is also impacting the industry. The rise of e-commerce means more people than ever have access to a wide range of products, contributing to the steady rise in supplement popularity. 

Private-label models are expected to continue to grow in popularity, and supplement companies will likely develop diverse, specialized options to reach niche markets, such as vegan supplements and fitness-specific formulas. 

White-label / private-label options are cheaper, faster, and advantageous for up-and-coming brands that want to introduce new products to their established customers.

Ultimately, the best decision is an informed one. So if you're considering white label supplements for you or your business, be sure to do your research and due diligence to make the right choice.