The topic is short and compact
Platforms offer a ready-made catalog with small quantities and a very low barrier to entry.
The catalog is based on warehouse standardization: bulk and packaging materials are predefined and cannot be customized on a project-by-project basis.
The switch is worthwhile as soon as retail listing, product complexity, or margin control become a priority.
So läuft die Entwicklung bei Labtree
1
Konzeptionierung
2
Bemusterung – Standardmuster in 24 h
3
Individualisierung
4
Prototyping
5
Produktion
White Label 2–3 Monate · Private Label 3–6 Monate · Produktion ab 1.000 Stück
Two basic models coexist in the cosmetics market. Digital platforms offer an automated catalog for quick market entry with low capital investment. Integrated development partners work on a project basis with their own laboratory.
Both make sense for their intended purpose. Problems only arise when a model is used beyond its scope, for example when a platform brand enters retail listing and encounters requirements there that the catalog does not cover.
Platform: Catalog, small quantities, very fast start.
Integrated partner: own laboratory, project-based development.
The wrong decision lies in using it beyond its scope of application.
Two models with different purposes
Two basic models coexist in the cosmetics market. Digital platforms offer an automated catalog for quick market entry with low capital investment. Integrated development partners work on a project basis with their own laboratory.
Both make sense for their intended purpose. Problems only arise when a model is used beyond its scope, for example when a platform brand enters retail listing and encounters requirements there that the catalog does not cover.
Platform: Catalog, small quantities, very fast start.
Integrated partner: own laboratory, project-based development.
The wrong decision lies in using it beyond its scope of application.
What platforms like Selfnamed are strong at
Digital platforms have fundamentally changed market entry for small brands. The classic private label process has been digitalized: brands browse a catalog of professionally developed, instantly brandable products, design the packaging with their own design assets, and order in small quantities.
This eliminates the usual hurdles: no minimum order quantities in the thousands, no long lead times, no capital tied up in packaging materials. This is an efficient way to validate a product idea in direct-to-consumer sales.
Ready-developed, instantly brandable formulations in the catalog.
Small order quantities without high capital commitment.
Well suited for validation in direct-to-consumer sales.
The structural limit: Warehouse standardization
Platforms work through standardization. Bulk goods are pre-produced in larger quantities and filled into standardized packaging. This is precisely what results in the advantage in price and speed.
However, the same structure limits what is possible. A project-related formulation development for a specific sensory profile, an individual active ingredient concept or a different packaging cannot be represented in this model. Furthermore, the formulation remains with the provider, not with the brand.
Pre-produced bulk goods and fixed packaging as a system prerequisite.
No project-related formulation development possible.
The formulation remains with the platform provider.
When the change is due
Recognizing the right moment protects growth and margin. The triggers typically lie in three areas: sales channel, product complexity, and control over the supply chain.
If a brand leaves pure direct sales towards brick-and-mortar retail, pharmacies, or international distribution, the requirements change significantly. Retail demands retail listing documents, reliable replenishment, and often exclusivity of the formulation. Additionally, the margin becomes relevant because retail margins narrow the room for maneuver.
Change from direct sales to brick-and-mortar retail or pharmacies.
Product requirements that are not covered by the catalog.
Margin pressure due to retail margins and the need for cost control.
Which documents the retail sector requires is covered in Listungsanforderungen im Handel.
What an integrated partner contributes
Dimension | Platform solution (e.g., Selfnamed) | Integrated development partner (Labtree) |
|---|---|---|
Entry point | Self-service from catalog product | From product idea |
Own formulation base | Catalog formulations, non-exclusive | Over 1,000 own formulations, exclusive customization possible |
Own laboratory / development | Typically not part of the model | Yes, in-house in Hamburg; test batches in-house |
sampling | Catalog samples | Standard samples within 24 hours, free of charge |
Minimum quantity | Project-dependent | From approx. 1,000 pieces per product |
Time to market readiness | Short for catalog products, no individual development | White Label 2–3 months, Private Label 3–6 months |
Interface development → production | Not applicable, as there is no in-house development | No interface break, one process in 5 phases |
Regulation and documentation | Available for catalog products, open for adjustments | PIF, safety report and CPNP carried along in the process |
Suitable for | Founders with small first DTC batches | Established brands wanting development and production from a single source |
In-depth sources: The legal basis for all cosmetic products sold in the EU is the EU Cosmetics Regulation (EC) No. 1223/2009. In Germany, the health assessment of ingredients is the responsibility of the Federal Institute for Risk Assessment (BfR). Industry information and market data are published by the German Cosmetic, Toiletry, Perfumery and Detergent Association (IKW).
The process in five phases
The process is divided into five phases. In the conceptualization phase, positioning, target values, sensory profile, exclusion lists, and regulatory limits are defined. In the sampling, the first samples follow, ideally from an existing formulation base, to evaluate texture and structure at an early stage.
The individualization adjusts active ingredients, viscosity and, in the case of decorative cosmetics, the nuance. In prototyping, stability testing, stress testing of the preservation, and packaging compatibility take place. Only then does production follow via pilot batch and series. If packaging procurement and documentation are carried out in parallel rather than sequentially, this noticeably shortens the overall duration.
Conceptualization with measurable target values instead of descriptive adjectives.
Sampling with tangible samples before detailed development.
Parallel instead of sequential management of packaging and documentation.
Regulation (EC) No. 1223/2009 applies to the EU market, regardless of the chosen manufacturing model. Cosmetic products do not undergo official pre-market approval. Instead, a responsible person based in the Union must ensure safety before market access.
This includes the product information file, the safety report with Part A and Part B, labeling according to INCI, and notification via the CPNP portal. In Germany, the Federal Institute for Risk Assessment evaluates the health risks of cosmetic ingredients. The difference between the models does not lie in these requirements, but in who bears them in the project.
Appoint a responsible person based in the EU.
Product information file and safety report prior to placing on the market.
CPNP notification as the final step before market access.
Selfnamed is an established option for private label founders with low barriers to entry and small DTC batches. An integrated alternative like Labtree makes more sense when established brands with scaling needs, premium positioning, or custom formulation requirements are looking for a partner with their own formulation base, their own laboratory, and integrated production in a structured 5-phase process.
The choice depends on whether platform logic or project-related depth of development fits the brand situation.
More useful links
FAQ
What distinguishes a platform from a development partner?
A platform works with standardized catalog stock and small batch sizes, which makes getting started very easy. A development partner works on a project-by-project basis with their own laboratory and develops a formulation that belongs to the brand.
What are platform solutions best suited for?
For validating a product idea in direct sales, when speed and low capital commitment are the priorities and the formulation is not the decisive purchasing argument.
Why is it not possible to develop freely on a platform?
Because the model is based on warehouse standardization: bulk goods are pre-produced and filled into fixed packaging. This results in price and speed advantages, but project-related formulation work is not provided for in this process.
When should a brand change?
When stepping from direct sales into stationary retail or pharmacies, for product requirements not covered by the catalog, and when retail margins squeeze profitability and cost control via the formulation becomes necessary.
Does an in-house development have to take a long time?
Not if it is based on a library of tested base formulations instead of starting from scratch. The base has already passed stability testing, allowing the work to focus on customization.
Who owns the formulation?
With platform solutions, it remains with the provider because it is part of the catalog. In the case of a project-specific in-house development, it belongs to the brand, which can therefore also take it to another manufacturing partner.
