With a large number of sellers entering the market thanks to the eCommerce boom, one can observe newer brands making their presence felt. This is even truer for clothing articles. In such a case, Amazon Fashion has turned out to be an exemplary case study.
This might make one wonder the difference between Wholesale Clothing and Private Label Clothing. Let’s first begin with understanding what Wholesale and Private Label Clothing really mean:
Wholesale clothing includes articles that are obtained from generic manufacturers and sold under the manufacturer’s brand or as a no-label brand.
Private Label Clothing
Private Label clothing is obtained from a certain specialized manufacturer and then sold under the retailer’s personal brand.
Difference between Wholesale Clothing and Private Label Clothing
When it comes to the difference between Wholesale Clothing and Private Label Clothing, here is what you need to know:
1. Originality of Designs
For wholesale clothing, the seller or retailer approaches a manufacturer as the brand itself. Much of the stock acquired in wholesale may be available in multiple boutiques around the world. This is primarily because the seller purchases the goods from a standardized catalogue provided by the manufacturer.
On the other, Private Label clothing items are unique as per the requirements of your target consumer. Since these are custom-made designs, they are rather unique. Hence, the design is fairly original and unique.
2. Order Quantity/Batches
When dealing with a wholesale clothing line, you need to place a considerably large consignment order with your manufacturer. This is done to offset the initial purchase cost, stocking and inventory cost, all of which have to be paid upfront.
Private label clothing allows greater freedom for choosing the quantity as per customer requirements and expectations. Thus, the acquisition of goods takes place in small batches.
3. Time to Shelf
In case of wholesale clothing items, the time taken from the moment when the order is placed to when the item is stocked is pretty less. All one requires to do is select the items from the catalogue, convey it to the manufacturer, and make the payments. The shipment will arrive in a couple of weeks.
Unlike wholesale clothing brands, private label clothing tend to be slower. To begin with, the seller needs to locate a reliable and premium apparel manufacturer. Following this, creating samples also takes some time. Further, it takes a while for private label clothing items to grow and establish itself as a brand. Hence, in their case, time is a major investment along with actual capital.
4. Profit Margins
Since the reseller only sells the wholesale clothing from a manufacturer, an increase in the cost price will shave off a part of their profit. As a result, the retailer may increase the cost of the clothing article. Thus, the price of the pieces is dependent on the manufacturer rather than the retailer.
Since private label clothing cuts down the middlemen, it offers great control over the product pricing. Private label clothing pieces are priced reasonably even after a comfortable profit margin. Therefore, private label products for small business can help expansion.
5. Product Customization
Since a retailer merely sells the wholesale clothing, they get to have no say in what the clothing line looks like. They are primarily responsible for supplying the goods.
Private label clothing offers absolute custom designs in clothing. The seller is actively involved with the manufacturer in offering directions, they get the final say on what the end-product shall look like.
From the above, it can be clearly seen that once established, private label clothing can emerge as a formidable brand. If you are interested in launching a high-quality private label clothing line, then Rebel Apparel can help you out. You can create designs under the Rebel Apparel brand name, or your personal brand. The Private Label Program offers complete freedom to customize your clothes in terms of design, size, or material.