Private label lubricants are defined as an exclusive brand that a particular organization owns. Partnering with a quality lubricant toll blender can simplify the process by efficiently guiding you through each step to develop a product that reflects your organization’s brand. Offering a private label lubricant option presents several benefits such as brand loyalty, high-profit margin, and control.

Brand Loyalty

Adding a private label lubricant offering to your existing product portfolio is a smart business move. Lubricants are complementary goods that add value to your existing product offering. For example, if you manufacture lawnmowers and you sell a lubricant solution tailored for your equipment, under your own brand, in big-box stores or dealerships, people are likely to select it when making a purchasing decision. The same method can be applied to lubricant distributors. A study conducted by the Harvard Business Review showed the easier a brand makes the purchase decision, the more likely it is to be purchased by the consumers considering them, “Brands that scored in the top quarter in our study were 86% more likely (to be purchased)… 9% more likely to be repurchased and 115% more likely to be recommended to others”.  Offering a private label lubricant offering increases your brand loyalty because those that purchase both goods are more likely to advocate for your brand.

High-Profit Margin

Offering a private label lubricant can be an additional profit center for your company. With an established brand and supply chain, adding a product line can be a minimal investment. Consumers who are familiar with your brand will be more likely to consider a lubricant solution under the same brand. As a result, you could potentially market your product at a higher price because it is tailored for your specific application. You may also be able to sell more products at each stop on the delivery route, reducing the cost of each stop. All these factors contribute to additional funds towards your bottom line.

Control

Providing a tailored lubricant solution for your consumers results in ultimate control. From formulation to blending, and even packaging and shipment, you can regulate each step of the process. For example, if you would like your private label lubricant to meet a certain specification or to be packaged in a certain container size, you can influence the decision. You can additionally control where consumers can purchase your private label lubricant.

Conclusion

Private label lubricants are a great product offering addition for lubricant distributors, OEMs, and commercial and heavy-duty dealerships. Lubricants can add an extra layer of brand loyalty and increase your profits. Partnering with a quality lubricant toll blender will allow you to customize the product to your unique needs. U.S. Lubricants provides toll blending for automotive, commercial, heavy-duty, industrial, and metalworking lubricants and process chemical products. We offer product development, toll blending, and packaging and shipment solutions. Each batch is tested for quality control and team members are committed to the highest standards of quality and service as evidenced by our ISO 9001:2015 Certification and consultative sales team to customize a solution to move business forward.

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