Ingredient Switching - Beware of bait-and-switch techniques that can have disastrous consequences on your business, brand and reputation. How does this work?
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You are here: DIME Home > Vitamins and Herbs > Ingredient Switching
Beware of bait-and-switch techniques that can have disastrous consequences on your business, brand and reputation. How does this work?
Author: Sean Gellman
Date: Oct 29, 2010 - 2:53:17 AM
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Beware of bait-and-switch techniques that can have disastrous consequences on your business, brand and reputation. How does this work? Suppliers or private label supplement manufacturers may bait you with a convincing list of quality or branded ingredients received from certified suppliers. Once the agreement is signed and your order is secured, these manufacturers switch high-quality or branded ingredients with ones that are less expensive. Part of the bait tactics may include delivering the perfect batch on your initial order and then switching ingredients when you re-order.
Such was the case when the manufacturer of a high-quality, extremely well-researched algae-based calcium supplement discreetly switched their main calcium ingredient with a cheaper one. The cheaper ingredient was not branded, nor did it have any scientific support to back up its efficacy. Moreover, retailers and consumers were left completely clueless. Consumers who spent a hefty price for a superior product, were in reality, taking an inferior form of calcium that had no supported efficacy and may have cost the manufacturer about one-fifth of the cost of the branded calcium ingredient.1
Manufacturers can make huge profits this way. No doubt, times are hard and the new cGMPs have come a long way during a time of recession when many private label manufacturers have already been hit hard. For some private label supplement manufacturers, the obvious thing would be to switch branded ingredients with generic ones to save on costs and make ends meet. This would be fine if the client was informed and agreed to the switch. But bad habits die hard and some manufacturers wanting to gain more profit can find ways to work around any situation. Switching branded ingredients with non-branded ones is just one way of cutting costs. How can you watch out for private label manufacturers who want to put sub-standard, counterfeit nutrition into your product?
Vitacap Labs is a full service private label vitamin and supplement manufacturer, offering small order quantities, customized labeling options and in-house graphic logo design.
View all articles by Sean Gellman
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