Category : Manufacturing

Manufacturing

How to Start Packaged Water Business

packaged water

Packaged water business is very lucrative. That’s why there are many water business around now. But you can create a packaged water targeted at certain markets like party and events markets. If you create your water products for specific audience you will win

Water is one of the most vital elements of life. We drink it among a variety of other uses. Because a majority, about 65% of our body is made up of water. The brain is a vital organ in humans and is also made up of water.

Packaged water production involves the acquiring, purifying and packaging of this vital element called water. Moreover, it’s a very lucrative business as everyone drinks water five to ten times a day.

Since the advent of satchel water, 98% of Nigerians buy packaged water everyday. It’s one business that can target everybody and every market. Don’t you wonder how Eva, Nestle, Pax, RevUp waters are being sold all over the country?

The demand for water is high and not many brands understand how to tap into the huge packaged water business. However, in this article I will be showing how to start packaged water now more profitable than existing competitors.

✅ Is Packaged Water Business Profitable?

Packaged water production business is profitable like many businesses. Meanwhile, it has some challenges like many other businesses. But these challenges are not so huge but if not taken care of, they can cost the life of the business.

There is good demand for sachet and bottled water because they are affordable means to get pure water. And since more people are getting concerned about their health, they would seek out pure water to drink.

Because water is in continuous demand, competition would not put you out of business, as long as you have your target.

Also, you need a business plan before starting this business and you need education. You would need to recruit people for help. An installer for example would install your equipment for you. Get a good one. They would also advise on what other machine you need.

You need to know how to run the equipment by yourself when the installer leaves so stay with them through the process and ask questions.

✅ How Packaged Water Business Works

Water can be packaged in sachets and bottles. The production processes are similar and only differ in the packaging.

  • How to start a packaged water production company in Nigeria
    Learn the business
  • Know the authorities over packaged water production, regulations, how the business works and how to handle the business and all that you need to know.
  • Know what you should know. This is a key step if you want to start this business.

Get a Building

You can get a building on lease or build your building. It all depends on your budget. The price varies with location. It would be more expensive than in some areas than some other areas. It should have a fence to keep out unnecessary traffic within the company.

Business Registration

Do not rush while picking your business name. The idea of a business name might not come easily. Coupled with the fact that there is a great number of businesses already registered in Nigeria.

After getting a unique name, register your business with the CAC – Corporate Affairs Commission. Business registration does not only make your business secured but also allows you to lawfully own and run your business.

Tax number and NAFDAC registration

You can get your tax identification number from a revenue office so you can hand out your tax when it is due. There is no way around this if you want to be a law-abiding citizen of Nigeria. It may lead to avoidable issues with the government if your business does not have one.

Like every other food item consumed, packaged water must be inspected and approved by NAFDAC. It is important and failure to do this may lead to a company being closed down by the government. Get your company registered under NAFDAC.

✅ Constructing a Water Borehole

A borehole provides you with clean water throughout the year, even during the dry season and at any time you need it. The price of drilling a borehole largely depends on the soil’s quality and the location.

Have an Overhead Tank

To store water, you need an overhead tank. Plastic storage is better than a metal one because a metal tank rusts over time, cutting its life short.

Water Purification System

Even if the water looks clean, it must still be treated. The rules guarding packaged water production and distribution are against selling out untreated water.

There are 2 kinds of water purification systems:

  • Ultraviolet build system
  • Reverse osmosis distillation system

The reverse osmosis distillation system is said to be the most effective but is also the most expensive. The Ultraviolet build system also works efficiently and is not as expensive.

Automatic Sealing Machine

The sealing machine you get would increase your rate of production. This is why an automatic one is more recommended than a manual one.

The type and capacity of the automatic sealing machine you get would influence the number of seals that can be done and your overall production. Some can produce as much as 20,000 seals every 8 hours.

Source of Stable Electricity

As light is unstable in many parts of Nigeria, it is wise to have a generator that can power all your machines so that your working time is not hindered. This means that fuel has to be made available to power the generator.

Packaging and Distribution

The way your product is packaged is the first thing consumers would notice and also, the durability of the package. But the package can either be polythene sachets as in sachet water or bottles as in bottled water.

However, the package should show the name of the business boldly with the words well spelt. The packaging should keep the products together and withstand the movements it would face during the distribution process.

Remember, your brand matters a lot, it answers whether or not people would trust you with their health and life.

Quality Checks and Balances

Retain the quality of your water. There should be a system put in place to check that the quality of water does not reduce. This would not only jeopardize your brand but also make you lose the trust of consumers.

Retaining the water’s quality would keep your customers with you, causing your gain to increase, not decrease.

Get feedback from distributors and consumers to find out if there’s something you’re not doing right or if there’s a decline in quality.

Regular Maintenance of Machines

The machines used should be given due maintenance to keep them working at a top-notch rate so that your production is not affected.

Construct Security Fencing

Like I earlier mentioned, the factory building should be sealed by a fence. Also, security guards should be made available to keep the building and equipment safe, preventing loss.

✅ Packaged Water Production Business Plan

A packaged water production business plan is necessary to get you started on all that your business should be about. And it is useful if you want to apply for grants or loans from banks.

However, it should include the following headings: an executive summary, a business description, definition of the market, product description, organization structure, financial management and conclusion.

✅ Packaged Water Regulation

Packaged water production is regulated by NAFDAC in Nigeria. They assess the water you produce and the equipment you use to check if it is safe to be consumed by living, breathing human beings. And animals too.

A NAFDAC number on your products certifies you and gives you the trust of your consumers.

Starting Costs on Small Scale

The following are estimated prices that make up the starting cost:

  • Automatic sealing machine – N350,000 – N450,000
  • Drilling the borehole – N300,000 – N400,000 (depends on your location and the soil type)
  • Truck for distribution – N1,000,000 – N 2,000,000
  • Distilling machine – N5,000,000 – N7,000,000
  • Generator – the cost depends on the size and model.
  • Business registration – varies depending on the kind of business registration.
  • Factory building – depends on the location.

Note: Cost is subject to verification, as it might change with time. However, its better to package a proper business plan or hire a consultant to do that for you.

✅ Packaged Water Production Process

Water, which is the main raw material involved in packaged water production, goes through the purification processes to ensure that it is clean and pure following NAFDAC approved standards. Afterwards, it passes through the various machines which fill it into bottles or sachets, is sealed and then packaged.

✅ Plan Your Marketing Process

Study the market. Check for how things are done, the prices, the time other pure water factories go around with their packets of water and use it to your advantage. For example, do they sell at N99? Remove N1 from it and sell yours at N98. It may not look like much but when bought in bulk, the difference would show.

Also, take your packets of water around earlier than others. Some water factories drop their products as early as 4 am. Think of different packaging to brand your water and attract certain target markets.

Like a new driver joins a busy road for the first time, so also do. But do not let fear prevent you from infiltrating the market. Rather do it despite any fear.

✅ Conclusion

Finally, water is life that’s why it sells faster. If you are looking for daily income business, packaged water business is one of them. Meanwhile you can start wisely by producing special packaged water water for hotels, restaurants and events to grow your business from small scale, before targeting a larger consumer market.

Also, if you would like to start your packaged water production company, start by asking relevant questions? Let’s read your chat in the comments.

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Manufacturing

How to Manufacture Your Own Brand Products

Do you want to manufacture your own brand products? Manufacturing business may seem like a cost consuming project, but it’s not any more. I want to show you the simple to create and manufacture your own brand products now,

Before now, many entrepreneurs think manufacturing their own brand product is difficult. Well, from my observation and experience, it’s much more simpler than you think. I have done it several times and still do. It has been the success crest of many importers in Alaba market and International trade fair market.

So I have not only proved that it’s possible but that it’s also simple. I’m also going to show how you too can do it, in a precise and straight to the point writeup for even a newbie to quickly read through and begin to apply the steps successfully.

Meanwhile, What I’m showing you here is a small business way to starting out in manufacturing business. This will get you started with less cost and even no manufacturing equipment cost.

Before You Manufacture Your Own Brand

Let me enlighten you on what’s happening in Manufacturing Business in Nigeria. There are different classes in product business as operated in Nigeria. The classes are Manufacturing, importation, logistics, distribution, marketing and sales.

You are either going to be involved in one of them or you can choose to climb the ladder till you get to the topmost, which is manufacturing. Most importers have moved into manufacturing because of its many benefits.

As a manufacturer you have the advantage of the monopoly of your brand. You gain a share of customers who love and buy your brand. You can control and determine, how, where, when and who gets involved in your product. Most importantly, you can make more money Manufacturing your own brand product.

However, what has dominated the manufacturing industry today is not factories but brands. There are more brands than manufacturing companies in existence. If you think what I’m going to show you is how to plan, buy and setup your own manufacturing equipment, you missed the point.

How to Manufacture Without Your Own factory

These days, manufacturers no longer build factories. They only create and build brands, while they outsource the manufacturing of their products to big and established factories somewhere around the world; preferably in China.

You can also outsource to other manufacturers here in Nigeria. As long as the have the expertise to produce your product in the best quality you desire. You can use any manufacturer anywhere that’s cost effective and convenient for you.

The main work you have to do when Manufacturing your one brand product is creating the product you want and building the brand in the market. If you get the product right, with the brand perfect, then Manufacturing is just as simple as tap water.

Step One: Choose The Right Product

The main problem with picking a product to manufacture is picking the right product. This may seem the hardest thing to do, but this is the most important decision in manufacturing your own brand product. It shouldn’t be something you struggle alone to pick.

Your product would make or mar your manufacturing dream. That’s why it’s the most important step on how you manufacture your own brand product. Hiring a consultant to help you at this stage may be the right decision to make. If you get this right, you will have it easy pushing the product into the market.

The best products are not necessarily the product nobody else is manufacturing. In fact, it’s safer to manufacture a better version of what is already selling in the market than trying to introduce a new product that nobody knew before. Unless the new product is solving a major need that most people have and are willing to pay to solve it.

Also, your choice of product should be based on the solution it provides in relation to the vast number of people that it’s solving their problems. Its also better if the products would be in demand for a longer time. That way your success will not be cut short.

And if you are choosing products that are already being sold in the market, I will advise that you work on making your products better or finding out the solutions that the current product is not offering but are needed by the consumers and add them in your own product.

 

 

Step Two: Create Your Brand

The brand is equally important when Manufacturing your own product. Remember, the key part of this manufacturing business is having your own brand. So, the brand part has to be done well. Branding is more than just having a a name and logo. It should have the right customer appeal that translate to sales.

It’s not that easy anymore to just pick a brand and starting building your product on it. There are a lot of factors that comes into play when picking a brand name. While you can choose any name you want, you have to consider if it’s available to register as a business name, domain name, for trademark, and if the social handles are not taken yet.

Until all that is sure, you cannot say you have a successful brand. That’s why it’s advisable to hire a consultant for the job. Although, it’s not a cheap option because you have to pay consultancy fees, but it’s better if you want to build a big brand.

Let’s look at steps you need to take to create a brand:

  • Choose a brand name
  • Design a brand logo
  • Buy a domain name
  • Create social media handles
  • Design your brand website
Choose A Brand Name:

But the first step in creating your own brand is picking the brand name. A name is key to branding. Choosing the right name with the right brand image doesn’t just come so easily. It’s involves lot of brainstorming and checking to verify its available to use.

In today’s world, it can take years to come by. However, the fastest way is to create a name that’s not existing. If you are looking for brand names like Google, Amazon, eBay, Apple, you may never find one.

After you have found the right brand name, register that brand for trademark. Don’t forget this part. If your brand is not registered, you may lose that brand to another person. And if someone else infringe on that brand you can sue them and get compensated.

Buy A Domain Name:

Another way to finding a brand name is finding the domain name first. This could be the fastest way to find your own brand name. A brand is as good as its domain name. But good domain names are not easy to come by these days.

Your best bet is to buy it from domain resell sites like SEDO. These domain reseller sites are marketplaces where those who have domain names for sale can offer them to those who want to buy them. So, you can browse the huge directories of these sites and pick what domain name you want.

Design A Brand Logo:

The brand logo is as important as the brand itself. Your brand image is the brands identity that defines how the brand is perceived by the customers. You have to do a great design to represent the brand well in the minds of the customers.

Hire a top designer for this job if you want the best design. Who does your design would determine the result you get. The bottom, get the right desire for your target customers.

Create Social Media Handles:

This shouldn’t have been a part of the plan. But in today’s business, not having social media handles may be a major disadvantage for your brand. Your brand has to be better represented on all the major social medias that your target customers use.

Design Your Brand Website:

Your website is where all the important things concerning your brand live forever. Your website is the life blood of your brand online. Anybody can clone your brand, but your website is one place your customers should find you undiluted.

It’s easier to design beautiful and functional website in today’s world. One thing you must focus on is to design a website that’s interactive and usable by your customers. If possible, include eCommerce capabilities to help your customers buy your product directly from your site.

Step Three: Find A Manufacturing Partner

After you have done all the needful for your brand identity, the next step would be to find a partner who can manufacture your products in the best quality and price. Don’t take this steps for granted. Some major brands before you are doing the same thing. Brands like Apple, LG, Binatone, Samsung, etcetera, all are using contract manufacturers.

They do not have a factory of their own. They all use manufacturing partners. You should follow the same step, especially if you are a newbie in manufacturing. But the process of choosing one may not be easy at all.

Sometimes you may need to work with a manufacturing partner to produce your first sample before you can conclude on starting the full production with them. And if you are interested in visiting their factories as well to be sure of what they are promising you, then you can visit before you kickstart the full production.

You can find manufacturers online on alibaba.com. You can also hire a consultant to help you get good manufacturers and create your first sample. This will save you from poor quality products. If your product is poor quality from beginning it may not win the customers patronage.

Create Your First Sample Product:

If possible, create your first and second samples. If you are going to hire a consultant, which I advise you do, the quality of your product is determined from the sample work done. And don’t mistake the name sample, it’s costlier to produce sample if you go about it the best way.

Let me explain briefly how this works and the impact on your brand product manufacturing. A sample helps you see how the final product works and what customers can expect from your brand.

However, after the first sample is done, it’s not the final product. You will need to hire an expert to analyze the parts used and recommend specific quality parts if required to ensure that your product meets quality standards.

Note that China is home for any kind of quality and if you don’t decide the quality you want, they will give you any cheap quality they can find to make more profit and that will harm your brand badly.

So, an expert will analyze the parts used and recommend quality or better parts and the manufacturer will now quote a new price based on the new recommendation. Then you will produce the second sample based on the quality parts recommended. The two is then tested to prove any difference in quality, functionality and what have you, in relation to the kind of product being manufactured.

Step Four: Start Your Production

Once the prototype or samples are certified ok, the next step will be to begin first batch of production. I always recommend that you do not produce more than five thousand units.

For some products I recommend just one thousand or even less. This is the job of a consultant to help you make this decision based on the type of product you are manufacturing. You should know that if you make a mistake of over producing it can harm your business and tie down your capital as well.

And being a new product it’s always wise to go with a small order at first. If you noticed I used the word start your production. That is because I know that it may take some time to produce and as a business you shouldn’t be doing nothing while your manufacturing partners are producing your first batch of products.

So, we will be discussing what you should be doing during this time in the next step.

Step Five: Start Your Marketing

Notice that I didn’t use the word advertising for a reason. Marketing and advertising are not exactly the same. While marketing has to do directly with markets, advertising deals primary with mediums of promoting your products.

So this time, I want you to focus on the markets that is how I want you to start your marketing. I will recommend you hire a marketing consultant for this job. For your brand products to gain instant acceptability and growth it needs grassroot guerrilla marketing strategy and not media hype.

You can decide how many states distributors you want at first or you can choose to cover the whole country. It’s entirely dependent on your marketing budget. Your marketing consultant would give you the cost when you are ready.

But the reason for this kind of marketing is to help make your products available everywhere and build a proper network of distributors and retailers in every city. You can even start getting orders before your products arrives into the country. That’s what I call success.

Step Six: Start Your Advertising

Now I can recommend that you give your online marketing a boast as well. That will increase your online presence and start bringing in sales. Remember you have distributors and retailers nationwide already or in the cities you marketed to. Now, it’s your job to promote your products and direct your customers to your retailers location nationwide.

This kind of advertising has two impact, it will make your retailers who have not stocked your products to quickly rush to the distributor to buy stock. Also the same for the distributors, once they keep getting order request from retailers they will quickly place more order.

You know distributors order is big. So each time customers go asking for your products you will get a big order from the distributors. And once they have ordered they have to sell them.

The other thing is that customers will already be able to get the product in their city and save themselves the cost of online shipping if they have to only get your products online. And if you marry the two very well, your. Haines will grow very fast in such a short time than you can imagine.

Conclusion

Finally, this is supposed to be just about manufacturing your own brand product but I have also covered marketing strategy. If you want to progress and take advantage of what I have shared with you here or even ask questions use the comment box below or email me directly.

You can find many products available in the market to start Manufacturing your own brand. The key here is not really about the product but about your own brand. Look for a product with huge potential and produce it with your brand. Period!

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