Is Private Labeling Right for My Nutrition Bar Company?

Have you thought of a unique business idea for the nutrition bar space, but weren’t sure where to begin? Running a business is more than just coming up with the idea, and in the food and beverage industry, there are additional steps to complete before your product goes to market.

Once you have a great product and come up with eye-catching package design, how do you get started with formulation and production? It can be difficult to produce, package, and distribute on your own, whether you are a start-up or a well-established brand, so many turn to private labeling servicers for help. 

Countless food and beverage companies use private label products for their brand, but how do you know if private labeling is right for your nutrition bar company? Use this short guide to help determine if private labeling is the best choice for growing your nutrition bar business.

What is Private Labeling?

Whether to use private labeling or co-packing is a common question nutrition bar companies ask themselves. While the two services result in the production of finished healthy snack bars for your brand, they are very different solutions. Private labeling differs from co-packing by formula ownership, processes of production, and pricing.

The simplest explanation of what private labeling is as follows: private labeling is a process in which a manufacturer creates a product of its own formulation, and then packages it under the customer’s private label. Whereas, co-packing is when a manufacturer produces the customer’s proprietary formula under a contractual agreement, and then packages it under the customer’s label.

Private labeling is an excellent choice for those breaking into the nutrition bar space with products for a variety of dietary restrictions and preferences because it doesn’t burden the business with formulation as well as all other aspects of growing the brand.

Should My Nutrition Bar Business Use Private Labeling?

When determining if private labeling is right for your nutrition bar company, you should consider these four questions.

Does your business have a complete formulation already created?

Private labeling for energy bars is best for nutrition bar companies who do not already have formulas for their products. The manufacturer offers ready-made selections of nutrition bars that are ready to go without fine tuning the recipe or testing its scalability. These bars are labeled with the customer’s already established brand, saving them the hassle of developing formulas for healthy protein bars.

Do you need help sourcing ingredients and creating recipes?

When choosing private label products, the manufacturer will determine the ingredients needed and procure those ingredients for the production of the energy bar. However, when co-packing a nutrition bar, sourcing proper ingredients is a factor in scaling the formula and the cost of development. Therefore, private labeling is more of a one-stop-shop because the brand will never have to worry about ingredient sourcing.

Are you more focused on growing your business than creating a formula?

When creating product formulas is not in your realm, but coming up with a stellar energy bar business is, private labeling may be the answer. In fact, using private label products could be the best way to grow your nutrition bar company. Working with a company that provides private label products will allow you to focus more on expanding your brand and keeping your customer retention rate high.

Are you looking to add a line of nutrition bars to an already existing line of products?

Whether a company has an established nutrition bar line already, or wants to add a nutritious protein bar to its product offerings, private labeling is an ideal way to do so. Due to the nature of private labeling, it’s easy for an established brand, store, or other retailer to easily add a new product to their offerings without the time and expense of formulating a bar and sourcing ingredients.

Choosing Private Labeling

When you are ready to get started on your nutrition snack bar idea, it is important to work with an experienced private label servicer. Partnering with professionals specializing in private label services will provide you with many benefits, from saving time and money with energy bar formulation, to the sourcing and procurement of ingredients.