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4 steps to starting your clothing company with little investment and no inventory.
Whenever someone has a clothing idea, they tend to think it will cost hundreds of thousands of dollars to get everything made, shipped, and keep the website running smoothly. Well, that's not the case at all because you can white-label your clothing company and have them as a partner in the shadows while you collect payments and fame.
White labeling has been around for a while, and it's a way you can start a business with low investment and be running your site relatively quickly. You don't need to manage inventory or logistics, and all you need to worry about are your designs and marketing.
In this discussion, I'll be going over how you can start your clothing company in four easy steps.
1. Find a white-label manufacturer
There are a lot of them out there, so I won't go into detail about which ones offer what types of items, all you have to do is a basic Google search and you can find them.
What you'll want to look for is a company with good reviews, a decent amount of products, and they should have a system in place that streamlines the design upload process. Most of the top white labeling services for clothing will have a free Shopify app for you to use that can get your designs on their models right away, so be sure to look for something like that, or you'll have to upload everything manually, and that's not something you'll want to do.
2. Understand the pricing models
You need to think of your white labeler as a business partner and not someone that is trying to take your money for an inferior product. You won't make as much money on the overall product, but you never would if you had to worry about logistics and inventory management, so think of each product ordered as a payment to your partner for doing massive amounts of work.
Each item will be priced near wholesale, and some Whitelabel businesses will give you the wholesale price if you've been selling plenty of products over time. A hat that normally costs $14.99 to $24.99 at the mall will likely cost you $6.99 to $12.99 through the white label service. This is pretty normal even if you can find a wholesale price of $4.99 to $9.99, and that's because the white label service needs to make money too.
So, if you were to see your white label service selling a hoodie for $30, you need to understand they're probably getting it for $20, and you're going to turn around and sell it for $50. This means you are going to get the biggest profit from the entire sale, and the white labeler will still need to pay for the logistics of everything as well as the printing.
3. Focus on branding
When you're starting a clothing company, you will need to focus on branding more than getting as many sales as possible. It sounds dumb, but people will follow a known brand more than they will purchase from a no-name website. People want to know your business is trusted before they make a purchase, and this is why you need to focus on branding.
You'll need people talking about you, product reviews, your name on 3rd party sites related to your industry, and various other things if you want to do branding right the first time. Focus on how your company is better, what you're producing, and try to get your clothes on an influencer or even a celebrity if possible lol. Take pictures of your products, post them everywhere, and get savvy
4. Get heavy on Facebook and Instagram
When you're running a clothing company, you'll want to go where the people are. The majority of your clientele will likely be on Facebook and Instagram, so be sure to hit those two platforms hard, and you will likely pull in sales here and there. Your social media platforms will help with your branding as well, but you need to use strategic hashtags and comment on relevant posts about how you love what someone else is doing.
Gary V. talks about his $1.80 method on Instagram to grow your following, and it works quite well.
Here's his method:
- Find the 10 Hashtags in your Niche
- Look for 9 Top Posts that you genuinely find interest in
- Like the post, engage and comment your 0.02 cents
- Then repeat these steps every day!
If you were to leave your 2cents on each of the top 9 posts from 10 different hashtags, that's $1.80 worth of posts, and that's where the name comes from lol.
Running a clothing company isn't an easy thing to do, even if you have a white label service running in the background, so be sure you have all of your stuff together before you start bringing in customers. Know your price points, know everything there is to know about your products and run the best service possible while branding it along the way. You can likely take over smaller niches quicker, but bigger niches can take quite a bit of time, so don't get frustrated if you're not rich overnight
Thanks for reading!