How to Create a Successful Private Label Product and Brand – Part 1: Research


researchAs promised, I am starting a series on private labeling.  There has been a tremendous amount of interest in this topic lately and I want to be sure to provide the best possible advice, tips and tricks for you.  Whether you are thinking of private labeling in the future, just getting started, or have your own successful private label empire, I think you’ll find something in this series that will be helpful to you!


I have noticed that recently, everybody seems to be “jumping on the private label bandwagon.”  On one hand, I feel excited about this as it means more options for the consumer and on the seller side, there is “a little slice of the pie” for everybody involved!  (did you like how I threw that in there?) The concern I have is that articles, blog posts, videos and even full courses are popping up all over the internet.  Many of these are very helpful and I’m thrilled to be able to add to the conversation.  However, some of the authors have never personally private labeled a product, or in some cases, they have gone through the process one time (or know someone who has), but don’t understand the long term game.  My intention is never to speak out against the work that other marketers and sellers are doing or the products that they are putting out, but rather to make sure my readers get the best, most accurate and most helpful information possible!

What makes me unique among nearly everybody else who talks about this online?  I’ve personally been private labeling physical products for the last 5 years (and selling for even longer!)  I was private labeling before there was any buzz, any courses or any “gurus” on the topic. I’m in it for the long haul and I’ve learned some hard lessons through experience.  As I described in my book (which covers this topic extensively), when I first introduced a new product to Amazon that I had imported and the sales were pumping, I thought I had “figured it out.”  Truthfully, it’s easy to fall into the “I’m now an expert” mentality from a big success, but the fact is, it took a big failure for me to learn a hard lesson.  My big failure came right after my big success because I simply wasn’t prepared!

This series of posts will help prepare you for the long haul!  If you’re looking to launch a product on Amazon or eBay and make some quick cash, there are a lot of places you can go to learn this.  If this is the case, I’d suggest going elsewhere because my strategy is different.  It focuses on long term success.


I cannot tell you how many emails I get from people who get excited about “an opportunity”, buy a product in bulk (for hundreds or thousands of dollars) get the product listed on Amazon or eBay only to have no sales come from it!  I get it.  After all, I did the same thing when I started.  My hope is to save you that pain and financial burden!


First, understand that in any business, there will be risk.  This is why it is actually illegal for any training program, course, or guru to guarantee anything when teaching others how to start a business.  There is always the chance that you’ll lose all of the money you invest.  How does one go about reducing this chance?  By taking calculated risks.   Calculating in this business means research- lots of it!  With proper research, you can drastically increase your chances of success!  For products I launch, I am now about 98% sure that they will be successful due to the amount of research I do.


When picking a niche and ultimately a product, the more research the better.  Here are the main things you’ll want to know:

1. Demand: how many people are searching for this product (or this type of product)?  How many are buying?  What kind of sales can you expect in a given day, month, year?  Are there times of the year that the product is more popular than others?  Is it a rising or dying trend?  Is it a fad or will it be around (in some variation) for a while? (consistency of sales)

2. Competition- how competitive is the market?  Is there a place for you?  Will it be easy to get your product seen?  Is the competition established?  What do they do better than you ever could?  What could you do better than they can?

3. Profit margin- how much can you expect to make?  Can you compete with the lowest priced product and still make money?

4. Perceived Value- what do customers like about competing products that you can duplicate (or what are areas you cannot duplicate?)  What problems have customers faced who have bought in this niche?  Are there specific products that are better than others?  Are you able to offer something better than the competition?

By asking questions and researching the four areas above, you’ll be off to a great start!

As a part of my strategy, I’ve been using various tools to help me with my research, and my analysis.  Note that nearly everything I will cover in this series can be done for free, so if you’re tight on cash, don’t feel like you need to utilize these tools.  However, doing so will drastically speed up the process (and provide a more practical approach to solving certain problems.)

In regards to the 4 areas I mentioned above, (demand, competition, profit margin, perceived value), I want to look at 2 tools that have been helpful to me.  I’ve been using both for over a month now and in the video below, we’ll look at the pros and cons of each as well as the main uses for them (I use both since they are completely different products, but with some overlap in functionality)

The first we’ll be looking at is Seller Metrics which is fantastic for market research (for arbitrage, wholesale or private labeling)

The second product is AMZtracker which excels in tracking and promoting your own products (ideal for private label.)

Check out this video below as I got more into depth on these products:

More posts are coming on the topic of Private Labeling so stay tuned!  If you’re new to the blog or new to selling online, please download a free copy of my introductory book: “System Start Up” below!  Thanks for reading!

10 thoughts on “How to Create a Successful Private Label Product and Brand – Part 1: Research

    1. facebook ads, facebook fan pages, twitter blasts, youtube videos, pinterest pins, google adwords, email marketing, article marketing, content marketing, ad networks, give aways, coupon sites, deal sites, press releases, blog commenting, forum posting. If all else fails, lower your price way below cost and watch your sales skyrocket. This will make your item gain traction- slowly raise the price until you’re at your target price. This works particularly well if you have hundreds of units in stock. Hope this helps!

  1. Do you think giving away 100 free promo codes for honest reviews is too much out of 1000 inventory ? How much would you recommend giving away?

    Also, what other successful methods in your opinion is there to promote my product other than giving away for free and ppc campaigns?

    1. Hi Zacharie,
      It really depends on how competitive your niche is. If you’re in a competitive niche, 100 free promo codes for honest reviews is going to be great. If it’s not too competitive, it may be overkill, but it will certainly get your product some serious visibility, sales and rankings which is what you want! For my last product (fairly competitive) I gave away 30, but if I did it all over again, I would have done more like 50-70 giveaways. 30 didn’t get me quite the results I wanted. In my less competitive niche, giving away 5-10 was fine. Hope this helps

  2. Hi Daniel,
    Thanks for creating this blog series about private labeling. I have some ideas related to private labeling that I want to try but first I will pay attention to your blog series. I know it will save me headaches, time , and money.

    Also, I want to mention that today is a great day in my FBA business because I just reached the $100,000 in total gross sales for the 9 months that I have being selling in Amazon, part time.

    I want to give you credit for all the motivation, ideas, information, and for answering emails. I am more confident now about making the decision to switch to full time FBA seller, soon in the near future. Thanks again.

    1. Wow Ed! This is awesome! I’m honored that you would credit any of your success to me. The truth is, it was your dedication and the action you took that got you here, but I’m glad to hear that my strategies and suggestions played a role! Don’t forget I’ve learned plenty from you as well! Thanks so much for the update. I hope you find the private label stuff really helpful!

  3. Hi Daniel,
    Thanks for your post and this is really helpful. I like your style of revealing the truth.
    Will be looking forward to hear from you more.

  4. Great post Daniel, thanks so much for adding this private label section to your already awesome blog.cant wait for more.

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