Key takeaways:
- The global medical spa market, worth USD 18.6 billion in 2023, is projected to reach $49.4 billion USD by 2030
- Retail sales of skincare products accounting for 20% of med spa revenue.
- 52% of skin care consumers reported making decisions on the product quality alone.
According to Grand View Research, The global medical spa market, worth $18.6 billion USD in 2023, is projected to reach $49.4 billion USD by 2030 at a compound annual growth rate (CAGR) of 15.13%
In this competitive industry, innovation and differentiation are key to success. One of the most effective ways to stand out in the beauty and wellness industry is by launching your own private label skincare line. Private label skincare isn’t just a trend—it’s a smart business move that can boost your brand, increase revenue, and improve client trust.
5 Reasons why your medspa needs its own brand
1. Brand differentiation
Offering private label skincare gives your medspa a unique edge. Instead of recommending generic brands, you’re presenting your clients with high-quality products that carry your name and reflect your expertise.
Creating a strong, recognizable brand is essential for standing out in the spa industry. Having your own branded products helps to reinforce your medspa’s unique identity. When clients walk away with a bottle of facial serum, massage oil, or moisturizer that carries your medspa’s logo, they’re reminded of their positive experience every time they use it.
2. Increased revenue and profit margins
Retail sales of skincare products account for anywhere between 20% to 40% of med spa revenue, which is why one of the most significant advantages of private labeling for medspas is the opportunity to generate additional revenue. Retailing products is a powerful way to boost sales beyond the treatments and services you provide in-house. Instead of reselling generic brands, private labeling your own product line enables you to capture a higher profit margin. You’re no longer paying a markup to a third-party brand, allowing you to enjoy more of the profit from each sale.
Additionally, when customers fall in love with the products used during their spa treatments, they are more likely to make a purchase to replicate the spa experience at home. This creates a new revenue stream that complements your existing services and helps grow your business.
3. Client loyalty and retention
Selling your own branded products can have a powerful effect on customer loyalty. When clients feel connected to your spa’s brand and see value in your products, they are more likely to return for future services and continue purchasing from your product line. Having products they trust at home can also serve as a gentle reminder of the pampering they received at your spa, further encouraging repeat visits.
Private label products are unique to your spa, meaning that customers can’t find them anywhere else. This exclusivity fosters a sense of loyalty because clients know they can only get their favorite products from you. It also gives you control over your product’s quality, ingredients, and pricing—ensuring you offer the best possible products for your clients' specific needs.
4. Flexibility in product offerings
In a survey conducted by Drive Research, 69% of women surveyed indicated that the ingredients used in their skincare products are important, providing a rating of 4 or 5 on a 5-point scale. Private labeling gives you the flexibility to create a product line that caters specifically to your clientele. You can develop products for different skin types, concerns, or even seasonal needs, such as hydrating skincare for winter or sun protection for summer. You can also create special collections for certain treatments, such as post-facial serums or massage oils designed to enhance relaxation.
Customizing your product offerings allows you to meet your clients’ specific needs, ensuring that they have access to products that complement their treatments and address their personal beauty or wellness goals. With private labeling, you’re not confined to the selection offered by other brands; you can create a product line that perfectly aligns with your spa’s philosophy and customer base.
5. Creating a premium experience
In a recent survey by Statista, 52% of skin care consumers reported making decisions on the product quality alone. Imagine a client enjoying a luxurious facial treatment using products specifically designed to address their skin type, only to find out that they can purchase those same products to maintain the results at home. This continuity adds value to the spa experience and provides a higher level of personalization and care.
Private labeling allows you to create custom formulations or curate high-quality products that align with your medspa’s ethos, whether it’s all-natural ingredients, cruelty-free products, or skincare made with advanced scientific formulations. When clients come to know the fact that the products are exclusive to your spa, it becomes a major differentiating point, elevating the perception of your brand and reinforcing the idea that they are receiving something truly special created with your expertise and experience at the forefront.
Take your spa to the next level
Private labeling and branded products with your spa's logo on them can transform your spa from a service-based business into a thriving standalone brand, further assisting the speed of expansion and franchising. By offering products that extend the spa experience into your clients’ daily lives, you can build stronger customer loyalty, increase your revenue, and elevate your spa’s reputation. With control over product quality, ingredients, and branding, private labeling allows you to create a truly unique and personalized experience for your clients.
At Blanka, we make it easy to create your own private label products that align with your brand’s vision. Whether you're looking to launch a skincare line, spa essentials, or something totally new to the market, our expert team is here to help you curate the perfect collection for your business. Start building your own branded products today and unlock the full potential of your spa!
