Written by the Oppenheimer Lab team — Reviewed by Mohamed Arbi Jallali, Partner, Head of Production and Formulator
Published on
9 min read
No, there really is a difference between white label, private label and contract manufacturing: these three terms do not mean the same thing. White label and private label describe a commercial model and a level of formula customisation, while contract manufacturing describes a way of producing. A single cosmetics project can combine all three.
This article defines each notion, compares white label and private label, then the retailer’s own brand. It then clarifies the role of the Responsible Person and helps you choose an option for your launch. You will also find our articles on white label and custom private label.
White label, private label, contract manufacturing: what are we talking about?
White label is a generic, non-exclusive product sold under each seller’s name. In cosmetics, private label generally refers to a product developed or adjusted for a project owner, with deeper customisation and stronger exclusivity. Contract manufacturing is a way of producing that is entrusted to a third party. These three notions are not on the same level.
The first two answer the question “what do we sell, and under which name?”. The third answers “who makes it?”. That is why a single project can combine them without contradiction.
- White label: the manufacturer defines the specifications and several sellers market the same product, each under their own brand. At Oppenheimer Lab, more than 500 formulas are available for this model.
- Custom private label: the product is designed for a project owner, who has more control over the formula and the positioning.
- Contract manufacturing: contract manufacturing means entrusting production to a laboratory, whichever commercial model is chosen.
According to Shopify France, white label stands apart from other models through its non-exclusive nature: the manufacturer designs an item, then sells it to several resellers.
As for white label products, they follow a different logic: the manufacturer designs a generic item, then sells it to several resellers who each put it under their own name. Nobody has exclusivity over it (Shopify France).
English vocabulary adds to the confusion. According to Shopify France, the English term “private label” covers both the retailer’s own brand and the company’s own brand, where French distinguishes the two.
To explore each model in more depth, see our articles on white label and custom private label.
What is the difference between white label and private label in cosmetics?
White label starts from an existing catalogue formula, adapted to the owner’s name. Private label involves more customisation and stronger exclusivity. Lead times follow: 45 to 90 days for white label, 3 to 6 months for private label, 6 to 12 months for custom formulation.
The difference therefore lies in the place of the formula in your project. The more you customise it, the more the product belongs to you, but the longer the timeline and the budget.
The level of formula customisation
Custom formulation is the development of a formula designed specifically for your brand. In white label, you choose an already proven formula and put it under your name, with your packaging and your labelling. This model can suit a first launch; you can see an example with the ready-to-launch white label formulas.
In custom private label, the formula is adjusted or developed for you. You gain differentiation and exclusivity, at the cost of longer development and additional validations.
Lead times and quantities
At Oppenheimer Lab, small batches possible: from 200 units, or even 100 depending on the project, subject to assessment. The price depends on the product, the actives and the packaging: the free quote, sent within 48 hours, specifies what is included (container, label, filling and packaging) and any fees.
| Criterion | White label | Private label |
|---|---|---|
| Formula | Existing catalogue formula | Customised formula or one developed for you |
| Exclusivity | More limited | Stronger |
| Lead time | 45 to 90 days | 3 to 6 months (6 to 12 months for custom formulation) |
| Minimum quantity | Small batches negotiable, from 100 to 200 units | Small batches negotiable, from 100 to 200 units |
| Price | Depends on the product, the actives and the packaging: free quote, reply within 48 hours | Varies with the development, on quote |
A general piece of advice: avoid choosing private label on principle. If your starting budget is limited, an existing formula leaves you more resources to sell your product.
Is white label the same thing as a retailer’s own brand (MDD)?
No. A retailer’s own brand is defined by the status of whoever carries the brand: a retail chain that sells to consumers and owns the brand. White label, for its part, is a generic, non-exclusive product. The English term “private label” adds to the confusion between these notions.
A retailer’s own brand, or MDD, is a product whose characteristics are defined by the company that sells it at retail, and which is sold under a brand owned by that same company. According to Shopify France, three criteria must be met.
- Specifications defined by the retailer, formalised in a set of specifications.
- A retail activity, carried out by that same retailer.
- Ownership of the brand under which the product is marketed.
These criteria assume a retail chain, an assortment and a sales network. According to Shopify France, the first two are what set the MDD apart from everything else.
A brand that sells only its own products, for example online, therefore does not create an MDD. It creates an own brand. In that case, the industrial mechanics remain close: a set of specifications, a third-party manufacturer, a sale under your name.
The word “private label” makes the blur worse. According to Shopify France, it covers both the retailer’s own brand and the company’s own brand, where French distinguishes the two. For a cosmetics project owner, it is useful to ask your laboratory what exactly this term covers in its offer.
Is cosmetic contract manufacturing the same thing as white label?
No. Contract manufacturing answers the question “who produces?”. White label or private label answer “who sells, with which formula?”. A contract manufacturer can produce a catalogue formula (white label), a formula developed for you (custom private label) or your own formula.
Contract manufacturing, a way of producing
Contract manufacturing means entrusting the manufacturing of your products to a laboratory, which produces them on your behalf and to your specifications. It says nothing about the exclusivity of the formula or the name under which the product is sold.
Oppenheimer Lab offers custom formulation, ready-to-launch formulas, custom private label and cosmetic production and manufacturing. These services therefore cover both the commercial model and the way of producing.
Three possible combinations
To place your project, a decision tree with three questions is enough. It is a general guide, to be adapted to your case.
- Is the formula existing or custom? An existing formula is white label. A formula adjusted or developed for you is custom private label or custom formulation.
- Who produces? If a laboratory manufactures for you, you are in contract manufacturing, whatever the formula level.
- Who is the Responsible Person? This question is settled by contract, and is detailed in the next section.
These answers give three common combinations: a catalogue formula produced under contract, a formula developed for you and produced under contract, or a formula you bring and have produced. In every case, you remain in control of your commercial positioning.
Our advice: start with one or two well-positioned products, keep budget to sell them, then expand the range based on customer feedback.
Who is the Responsible Person when you outsource your manufacturing?
Delegating production to a laboratory does not automatically transfer Responsible Person status. A distributor who places a cosmetic on the market under its name or brand assumes it, within the meaning of Article 4 of Regulation (EC) No 1223/2009. The contract must specify who compiles the PIF, assesses safety, notifies the CPNP and handles a recall.
The Responsible Person is the natural or legal person designated in the European Union to ensure the compliance of each cosmetic product placed on the market. Without one, the product cannot be marketed.
The text addresses the case of the brand. According to the Institut Hysope, the distributor is the Responsible Person when it places a cosmetic product on the market under its name or brand. For a placing on the European Union market, in white label as in custom private label, this is therefore often your situation.
Contract manufacturing does not change this logic. According to Insurio, delegating production does not automatically delegate Responsible Person status. This question is settled in writing, before launch.
What the contract must specify
The Product Information File (PIF) is the file gathering the compliance information of a cosmetic product, including the safety assessment. Four points deserve to be set down in black and white:
- who compiles and keeps the PIF;
- who carries out the safety assessment;
- who notifies the product on the CPNP portal;
- who handles any recall.
At Oppenheimer Lab, preparing Product Information Files and CPNP notifications is part of the offer. Whichever laboratory you use, ask it what is included and what remains your responsibility.
The case of a sale in the European Union
Manufacturing in Tunisia does not exempt you from the requirements of the destination market. Our advice: to sell in the European Union, plan for a Responsible Person established in the EU, a PIF with safety assessment, a compliant composition and labelling, then a CPNP notification before marketing. This notification is neither an authorisation nor a quality certification. We recommend defining your countries of sale from the brief.
This article is informative and does not replace the official texts. See Regulation (EC) No 1223/2009 on EUR-Lex for the reference version.
Which option should you choose to launch your brand in Tunisia or francophone Africa?
For a first launch with a limited budget, white label, from an existing formula, limits lead times and costs. Custom private label or custom formulation are justified for strong differentiation. Before choosing, set your target, your benefit, your selling price, your quantity and your overall budget.
The right choice depends less on the model than on the consistency between your ambition, your budget and your timeline. A more customised model is not better by nature: it answers a need for differentiation that your market must justify.
Let’s take a typical example
Let’s take a typical example, not a real client: a Tunisian entrepreneur launches her first skincare brand sold online. She starts with a single product, a 50 ml moisturising face cream, with a light texture and accessible positioning. She starts from an existing, already validated formula.
For 1,000 units, a timeline of about twelve weeks is realistic, provided the packaging is available, validations are quick and controls are satisfactory. A fully custom formulation would need a different schedule, as the 6 to 12 month lead times given above show.
Another typical example, not a real client: a young French brand wants to launch a short range of face care. It produces in Tunisia to talk directly in French with the technical team, for geographical proximity and for an offer suited to its starting volumes. Its decision rests on concrete elements: the quality of the samples, the available documentation, the delivered cost and the reliability of the schedule.
Clauses and advice to remember
What most often makes a project fail is the gap between ambition, budget and timeline. An exclusive formula, custom packaging and several products, with a limited budget and a launch date that is too close, make a risky combination. A brief that keeps changing makes the problem worse. Before developing, we set five elements:
- the target;
- the benefit sought;
- the selling price;
- the quantity;
- the overall budget, selling included.
Our advice on packaging: never order your bottles before validating their compatibility with the formula. A container must protect the product, dispense its texture correctly and withstand transport. An airless bottle may suit some formulas without automatically being the best choice. We recommend testing the formula-container pairing before placing the whole order.
Finally, it is better to start with one or two well-positioned products than with a range of ten products with no defined customers, price or distribution channel. To frame your project, it is useful to get support from the brand creation stage, before fixing the formula and packaging. You can also request a quote from Oppenheimer Lab: requests receive a reply within 48 working hours.
Sources
- Règlement européen n°1223/2009 : articles 4 à 7 (in French), Institut Hysope, July 2012
- Marque de distributeur (MDD) : définition, fonctionnement et exemples (in French), Shopify France, July 2026
- Créateur de parfums : ce que cache le statut de « personne responsable » (in French), Insurio, July 2026
Frequently asked questions
What is the difference between white label and private label in cosmetics?
White label uses an existing formula, adapted to your name, whereas custom private label relies on a more personalised and more exclusive formula. At Oppenheimer Lab, lead times are 45 to 90 days for white label and 3 to 6 months for custom private label. The more customisation increases, the longer the timeline and the budget.
Are white label and retailer’s own brand (MDD) the same thing?
No, they are not the same. An MDD is defined by the status of whoever carries it: a retail chain that sells to consumers and owns the brand. White label is a generic, non-exclusive product that several sellers put under their own name. The English term “private label” adds to the confusion.
Is cosmetic contract manufacturing the same thing as white label?
No, contract manufacturing is a way of producing, not a commercial model. It means entrusting manufacturing to a laboratory, which produces to your specifications. That laboratory may make a catalogue formula, a formula developed for you or your own. The commercial model remains a separate choice.
Who is the Responsible Person when you sell a white label cosmetic?
Yes, it is often you for a sale in the European Union, if you place the product on the market under your name or your brand. Article 4 of Regulation (EC) No 1223/2009 targets the distributor in this case. Only a written mandate can designate another person established in the European Union. Check this point by contract before launch.
Does outsourcing manufacturing transfer regulatory responsibility to the laboratory?
No, not automatically. Delegating production does not transfer Responsible Person status. The contract must specify who compiles the PIF, who assesses safety, who notifies the CPNP and who handles a recall. Ask your laboratory what is included and what remains your responsibility.
Which option should you choose to launch a brand on a small budget?
White label, from an existing formula, is generally the most suitable option. It limits development lead times and costs, and leaves budget for selling. Start with one or two well-positioned products, then expand the range based on customer feedback.
