We’re back from White Label 2023 and wanted to share a few insights. White Label World Expo in Las Vegas kicked off the US 2023 season for this show which is held in 4 different locations.
If you’ve seen the recent data on ranking Amazon’s 0% growth from 2021 to 2022 or eBay’s -17% growth — or Walmarts astounding 12% growth – it’s no surprise that change is in the air for sellers. This was evident at this conference where we talked to lots of sellers - some seasoned and some newbies - but all very aware of the change.
Truth is while ecommerce growth was nowhere near what it was during the pandemic - comparing 2021 to 2022 growth is problematic as coming off the pandemic, supply chain issues, the economy contributed to lackluster results. It’s important to note however that if you look at the growth of Amazon, eBay, Walmart, Target Plus and other marketplaces from 2019 through 2022 …overall eCommerce is up 81%. So ecommerce is absolutely still growing…but the dynamics are changing.
Amazon is becoming more competitive. Sellers are looking to branch out and diversify sales by selling on other marketplaces – and they were in search of ways to solidify their brands. Our coFounder Dan Sugarman spoke at the conference and struck a chord with sellers when he talked about the seller transition that took place on Amazon. Amazon marketplace used to be filled with resellers - everyone selling the same item and competing on price and ratings. Today sellers reflect brands - demanding better product listings, better customer experiences, and clear differentiation.
Several companies we spoke to were looking to reduce their reseller channel or eliminate it all together citing that margins would be significantly higher if they just did the selling themselves. Multichannel was definitely on their mind - and so were the complications of selling in a multichannel environment. Outsourcing channel management is definitely an option, and we have several reliably great resources, but attendees we spoke to were undecided on whether to go it alone or outsource.
There was a buzz in the air too about Target. In 4 years they’ve approved about 400+ sellers on their exclusive marketplace and we were bombarded with questions about how to get on Target’s radar. Truth is, it’s tough. They are looking for — you guessed it – brands. Brands that reflect diversity, that have a following, and that have at least a half million in sales annually.
For those of you considering White Label - here’s our take. If you are looking for packaging, beauty products, CBD products or supplements - there were a ton of vendors here. There were a few private label outliers too - such as garden supplies, grills, and outdoor furniture. One of the key features of this conference is the 5 stages on the tradeshow floor where the show featured great content from speakers on how sellers can grow their business. Everything from marketing, to the psychology of buying, to getting access to business capital.
This show is not much for networking - with after hours events being limited…but most attendees felt the show was worth their time for the education and access to vendors. It’s a quick 2-day conference – but for those sellers looking for additional products to private label - this is your show.
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