As a dietary supplement brand owner, one of the many decisions you must make regarding your products is whether to use branded ingredients versus generic ingredients—or whether to use a combination of the two depending upon the product in question.
This article will explore this topic, offering clear criteria to help you make informed decisions for your company, your products, and the consumers who rely on them to support their health and wellness goals.
Branded Ingredients vs. Generic Ingredients
What is Ingredient Branding?
Ingredient branding is a marketing strategy where a specific ingredient or component of a product is given its own brand identity. The two main goals are:
- To help a company stand out and build trust with consumers by highlighting the ingredient’s quality and reputation.
- To provide scientific validation for the ingredient’s effectiveness and safety.
Pros of Using Branded Ingredients
So, what is the value of branded ingredients? There are several pros associated with their use. In some cases, the raw material supplier offering the branded ingredient has undertaken a marketing campaign to generate consumer awareness about their ingredient. As a brand owner, you can leverage that marketing by featuring the ingredient on your product packaging, label design, and marketing materials. Consumers are more likely to view products with branded ingredients as higher quality and more reliable if they recognize the brand and have positive associations with it.
Some branded ingredients are trademarked and may also be patented ingredients. When a company secures patents and trademarks, it shows they are committed to the brand and its long-term success. Obtaining a patent is an extensive process that requires research and proof of the ingredient’s unique and proprietary qualities, and in some cases, evidence to support its claims. Consumers often see trademarks and patents as indicators of high quality and standards.
Beyond marketing benefits, many branded ingredients have undergone studies that allow brand owners to substantiate claims about them. These ingredients provide scientific validation for their effectiveness and safety. Additionally, they typically have excellent documentation for quality and purity control, offering strong differentiation and unique selling points.
Some branded ingredients offer excellent solutions inherent to problems associated with a common version of that ingredient. Turmeric is one of the many ingredient branding examples that come to mind. The curcuminoids in turmeric have very poor bioavailability. However, several branded turmeric ingredients use delivery systems shown in human clinical research to improve curcumin bioavailability many times that of a standard material. In this instance, it makes the case for using branded turmeric ingredients.
Cons of Using Branded Ingredients
Of course, there are always some cons to go along with the pros. One such con with branded ingredients is they’re almost always more expensive than unbranded, generic ingredients. Sometimes the cost differences can be dramatic, while other times it is less so. In addition, it isn’t always easy for a supplement contract manufacturer to find the right branded ingredient partner that is a good fit and offers mutual benefits.
If your contract manufacturer doesn’t already stock the branded ingredient, they’ll need to order it for you. If the minimum order quantity for the branded ingredient is higher than what you need for your supplement order, the manufacturer might be left with the extra material or could ask you to increase your order to cover the difference.
Finally, a specific branded ingredient is generally sourced from a specific supplier. If there are any supply chain issues for that ingredient, it could translate into an out-of-stock situation.
What are Unbranded or Generic Ingredients?
Unbranded or generic ingredients are those that aren’t branded, trademarked, or patented. These may be commodity ingredients, such as vitamin C (ascorbic acid) or magnesium (magnesium oxide), or it may be generic versions of a popular ingredient such as curcumin. The major advantage of unbranded or generic ingredients is that they are less expensive.
Pros of Using Unbranded Ingredients
In addition to a lower cost, another advantage to using unbranded or generic ingredients is that they can typically be sourced from multiple suppliers. Consequently, you’re less likely to have supply chain issues.
Furthermore, there are some ingredients where branding isn’t particularly important. For example, commodity materials such as calcium carbonate can come from virtually any supplier that has been vetted, and that can meet the materials specifications. These easy-to-obtain and inexpensive materials make it easy to include additional nutraceuticals in your formulation while keeping down the cost of your finished product.
Cons of Using Unbranded Ingredients
There are a few different cons associated with the use of unbranded ingredients. The first is they do not have specific research to support their claims. This doesn’t mean there is no research, just that no research will be specific to that supplier’s material. For example, if you want to use public research to substantiate a claim about niacinamide, it won’t be related to niacinamide from a specific supplier. Likewise, unbranded or generic ingredients may have poorer bioavailability than their branded counterparts.
Another con is that unbranded/generic ingredients don’t always meet the specifications of nutraceuticals used in a study. For example, you may want Ginkgo leaf extract standardized for 24% flavone glycosides for a cognitive product. However, not all unbranded/generic Ginkgo leaf extracts provide the complete spectrum of phytochemicals of the Ginkgo used in the studies—even if it does contain 24% flavone glycosides. You must know the right questions to ask, and the right documentation to request.
Another con is the potential for poor quality. There is a greater chance for unbranded/generic ingredients to be of lesser quality, although this can be mitigated by only going with suppliers that have already been vetted by a trusted contract manufacturer.
How do Regulations Affect the Use of Branded vs. Generic Ingredients?
The Dietary Supplement Health and Education Act of 1994 (DSHEA) permits the use of structure/function claims for dietary supplements, provided these claims are properly substantiated. Branded ingredients typically make this process easier since they often have supporting human clinical studies. In contrast, generic ingredients usually lack such research. It’s crucial to avoid using research tied to a branded ingredient to substantiate claims for an unbranded one, as this can lead to regulatory issues.
For example, if research shows that a turmeric phytosome material is effective for joint health, you can’t legally use research on that material to try and substantiate joint health claims for an ordinary turmeric material. By contrast, if research on a zinc carnosine material demonstrates effectiveness for gastrointestinal health, you can use that research to substantiate a similar claim for an unbranded zinc carnosine if you can demonstrate that the unbranded material is equivalent to the branded material. This type of situation can be tricky, but a good contract development and manufacturing organization, like Vitaquest, can help you navigate the situation.
Whether you decide to use branded or unbranded materials in your formula, make sure you avoid using misleading marketing and advertising claims. In any case, it is of the utmost importance to avoid infringing on any existing trademarks or patents of branded materials if you’re using an unbranded material. Again, an experienced contract development and manufacturing organization can help.
Choosing the Right Ingredients for Your Supplements
In choosing the right ingredients for your supplements, there are a few factors to consider:
- Brand alignment – Do the ingredients match your brand values and appeal to your target audience? If your brand focuses on quality, it’s wise to use branded ingredients in your formulas. On the other hand, if your marketing emphasizes affordability, unbranded ingredients should take priority.
- Clinical research – To effectively promote the benefits of your products, it’s essential to use ingredients backed by human clinical research. This often means focusing on branded ingredients possessing proven results to support your claims.
- Regulatory compliance – Regulatory compliance and safety are key considerations whether you’re using branded or generic ingredients, although it is typically easier to achieve these goals with branded materials.
- Dosage –When determining the correct dosage levels of each nutraceutical in your supplement, you’ll need to look at the research for guidance. Typically, branded materials have research demonstrating their effectiveness at lower doses than unbranded ingredients.
- Supplier reputation – With a wide range of ingredient suppliers available, it’s essential to thoroughly vet each one for their quality control measures and transparency. Branded ingredient companies often excel in meeting regulatory requirements, contributing to their strong reputations. A reliable contract development and manufacturing organization can also assist in selecting reputable suppliers, ensuring you partner with those who meet the highest standards.
Communicating the Value of Branded Ingredients
Now that we’ve examined the value of using branded ingredients, how do you communicate their value to consumers?
Begin by incorporating the names of branded ingredients on your website and in your marketing materials. Even if consumers aren’t initially familiar with these branded ingredients, knowing their names allows them to search for information and understand their value. Using the branded ingredient names also builds consumer confidence and fosters transparency. By educating consumers about branded ingredients, you can capitalize on the supplier’s existing marketing and educational initiatives, boosting your brand’s credibility in the process.
Concluding Thoughts
As a brand owner, you must decide whether to use branded ingredients versus generic, unbranded ingredients—or a combination of the two.
Branded ingredients offer differentiation, quality, and scientific validation for efficacy and safety. The major advantage of generic, unbranded ingredients is that they’re less expensive. However, they generally do not have specific research to support their claims. When selecting the right ingredients for your supplements, it’s important to consider key factors like brand alignment, clinical research, regulatory compliance, proper dosage, and the reputation of your suppliers. A good approach is to educate yourself on the various ingredient options by reading industry trade publications and attending trade shows.
A good contract development and manufacturing organization (CDMO) can help you choose reputable ingredient suppliers. Vitaquest is a CDMO that has provided supplement brands with superior supplement formulation design, manufacturing, particle and powder engineering, packaging design, and fulfillment services for over 45 years. Whether you’re a newcomer to the industry or aiming to diversify your product range, Vitaquest possesses the expertise, cutting-edge facilities, and solutions needed to swiftly and effectively turn your supplement concept into reality, with a focus on the right ingredient choices for your products. Vitaquest offers a variety of dosage forms, including capsules, tablets, and powders.
Vitaquest also has expertise in domestic and international regulatory standards. We are GMP certified by NSF, assuring brand owners and consumers about our commitment to complying with industry regulations and standards. In addition, Vitaquest can offer Kosher, Halal, and certified organic products, and FSSC 22000 certification for food safety.
Are you ready to develop supplements with the right ingredients for your brand? If so, call 800-526-9095 to speak with one of our knowledgeable sales executives or request a nutraceutical manufacturing price quote if you’ve already finalized your project requirements!
Frequently Asked Questions about Branded and Generic Ingredients
Q: What is a trademark ingredient?
A trademarked or branded ingredient uses a marketing strategy that involves creating a separate brand identity for an ingredient or component of a product. The two primary goals are: 1) help a company differentiate itself and build trust with consumers by leveraging the quality of the ingredient and its reputation and, 2) offer scientific validation for efficacy and safety.
Q: How do you know if a product is branded?
Most branded products will have a trademark next to their name, either “™” or “®”. A branded ingredient within a product will have the same type of trademark.
Q: Can I use a product name that is trademarked?
If some company or individual already owns a trademark, you cannot use that trademarked name for the name of your product. However, if you want to use a branded, trademarked ingredient, suppliers of that ingredient are generally interested in selling it to you.
