Thursday, June 23, 2011

Private Label Bottled Water: A Profitable Niche in a Fast-Growing Industry Part 4

Private Label Bottled Water: A Profitable Niche in a Fast-Growing Industry Part 4

Room for growth

In recent years, the number of bottlers entering the private label market segment has grown, but there’s still plenty of room for others to start up their own businesses. Let’s consider three key factors that may help you decide whether to get into the private labeling business.

Picking the players

Who should consider getting into the private labeling business? Three examples come quickly to mind:

• Entrepreneurs already in the bottled water business-this new market provides an obvious opportunity at product line extension for those who already know the bottled water industry.

• Those in other water-related businesses such as water treatment services.

• Anyone looking for a promising new business venture.
In the first two categories, the reason is clear: You know the water business and already have your feet in the door of many prospects for this new product line. It’s a logical product line extension and your name and reputation have already been established. But for those who may not have bottled water experience, the door to a successful new business is wide open. There’s a growing demand, a promise of reasonably fast return on investment, and start-up costs are moderate.
For those of you who have no experience with the bottled water industry, the good news is that getting started isn’t very complicated or, for that matter, terribly expensive. It’s more important to have a strong entrepreneurial drive and a creative mind that will help you find new ways for potential customers to use private label bottled water as a promotional tool.

To be continued...