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Simplify FBA Inventory Management ](https://www.ecomengine.com/restockpro) #### FeedbackFive Features [| ![single-star](https://www.ecomengine.com/hubfs/images/decorative/illustrations/nav-icons/feedbackfive-envelop-svg.svg) | Review Automation Send automated review requests or customize your own message | | --- | --- | ](https://www.ecomengine.com/feedbackfive/automation) | ![single-star](https://www.ecomengine.com/hubfs/images/decorative/illustrations/nav-icons/feedbackfive-bells-svg.svg) | Review Monitoring Quickly identify review trends | | --- | --- | [| ![single-star](https://www.ecomengine.com/hubfs/images/decorative/illustrations/nav-icons/feedbackfive-alert-svg.svg) | Listing Alerts Monitor your Amazon listings and reputation 24/7 | | --- | --- | ](https://www.ecomengine.com/feedbackfive/alerts) [| ![single-star](https://www.ecomengine.com/hubfs/images/decorative/illustrations/nav-icons/feedbackfive-analytics-svg.svg) | Analytics & Reporting Analyze sales trends and brand 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Search **Menu** ** ** [Log In](https://www.ecomengine.com/login) [Free Trial](https://www.ecomengine.com/trial) --- Join Our Email List - Receive our monthly newsletter. - Stay up to date on Amazon policies. - Get tips to grow your business. # Managing Private Label Selling Risks [![Rachel Greer](https://www.ecomengine.com/hubfs/images/headshots/external/rachel-greer.jpg)](https://www.ecomengine.com/blog/author/rachel-greer) By [Rachel Greer](https://www.ecomengine.com/blog/author/rachel-greer) Selling private label products can be an effective way to stand out in an increasingly crowded online marketplace. Many merchants pursue this strategy with an aim to “own the Buy Box” on a particular product or [kit](https://www.ecomengine.com/blog/kitting-different-quantities). With any business strategy, there are unique risks associated with creating your own product brand. During a recent webinar, product compliance expert [Rachel Greer](https://www.ecomengine.com/blog/author/rachel-greer/) presented several important considerations. We hope you find her suggestions useful as highlighted below and in this webinar transcript. ## Legal Risks Private sellers face a number of legal risks: regulatory risk, trademark/patent risk, and safety risks. Due to regulations, children’s products and dietary supplements face some of the highest levels of risk for selling in the U.S., according to Greer. She says the first step is to be aware of the risks associated with the products you are planning to sell and be sure your labeling is correct with no illegal claims. It’s also important to become knowledgeable about patent and trademark laws. ## Branding Risks The issue of quality is a major branding risk for private label sellers. “Buying sight-unseen is cost-effective to save on shipping costs, but Amazon isn’t going to evaluate your product. So you won’t know if there is an issue until your customers start complaining,” Greer states. She notes that private label sellers depend upon good [feedback](https://www.ecomengine.com/amazon-feedback) from customers. It’s important to provide a positive experience with good customer service and effective packaging. ## Product Liability Risks As a private label seller, you are held legally liable for your products. Greer points out that this can become even more risky when you’re working globally. She recommends working with an experienced consultant to help you reduce your potential for risks. An expert can help you complete product testing and determine your risk tolerance before selling private label products. In response to a common issue private label sellers face, Greer counsels “ongoing maintenance.” In other words, staying engaged can reduce risks, such as “your supplier changing manufacturing procedures of raw materials suppliers and giving you an inferior or legally non-compliant product you can’t sell.” ## Learn More About Private Labeling Private label is an attractive way to sell on Amazon because you give yourself an opportunity to direct competitors and often increase your share of the Buy Box. However, you do face a number of risks. To discover how to lower costs and learn more about selling private label products safely and responsibly,[ click here](https://www.youtube.com/watch?v=VS0f6-8NOYU&feature=youtu.be&ab_channel=eComEngine) to watch the webinar. [![Illustration of mobile phone with text, "Don't miss Amazon updates" above button with text, "Get newsletter"](https://no-cache.hubspot.com/cta/default/5147382/af233769-2b79-46b3-a47f-7cb9bde3c660.png)](https://cta-redirect.hubspot.com/cta/redirect/5147382/af233769-2b79-46b3-a47f-7cb9bde3c660) ![newsletter-email-laptop](https://no-cache.hubspot.com/cta/default/5147382/interactive-177527396632.png) ![newsletter-email-laptop](https://no-cache.hubspot.com/cta/default/5147382/interactive-177527396632.png) Originally published on March 1, 2016, updated December 19, 2022 This post is accurate as of the date of publication. Some features and information may have changed due to product updates or Amazon policy changes. ## You May Also Like These Stories on Business [![Illustration of a checklist, analytics dashboard, stacked boxes, and a rocket with the text “The Lean Amazon Ops Stack’”](https://www.ecomengine.com/hubfs/images/featured/blog/lean-amazon-ops-stack.png) ](https://www.ecomengine.com/blog/amazon-seller-operational-efficiency) ### [The Lean Amazon Ops Stack: How SPCTek Customers Boost Profit with eComEngine](https://www.ecomengine.com/blog/amazon-seller-operational-efficiency) March 17, 2026 | [![Illustration of a laptop displaying graphs and charts labeled ‘Year-End Reporting for Amazon Sellers.’](https://www.ecomengine.com/hubfs/images/featured/blog/year-end-reporting-amazon-sellers.png) ](https://www.ecomengine.com/blog/year-end-reporting-amazon-sellers) ### [Year-End Reporting for Amazon Sellers: Metrics Worth Your Attention](https://www.ecomengine.com/blog/year-end-reporting-amazon-sellers) January 26, 2026 | [![Illustration of a graph, gears, and coins with the text “Profit Habit”](https://www.ecomengine.com/hubfs/images/featured/blog/profit-habit.png) ](https://www.ecomengine.com/blog/profit-habit-amazon-sellers) ### [Profit Habit: Why Sellers Need an Operating System Built on Profit](https://www.ecomengine.com/blog/profit-habit-amazon-sellers) June 3, 2025 | ## No Comments Yet Let us know what you think ### eComEngine 14321 Winter Breeze Drive Suite 121 Midlothian, VA 23113 Call us: [800-757-6840](tel:800-757-6840) Company Legal Software Resources [![GS1 US Channel Partner](https://www.ecomengine.com/hubfs/images/partners/logos/gs1-us-channel-partner.png "GS1 US Channel Partner")](https://www.ecomengine.com/get-gtin-amazon) ![Amazon Marketplace Developer Council Founding Member](https://www.ecomengine.com/hubfs/brand-identity/logos/amazon/amazon-marketplace-developer-council-optimized.png "Amazon Marketplace Developer Council Founding Member") ![Amazon Web Services](https://www.ecomengine.com/hubfs/brand-identity/logos/amazon/amazon-web-services.svg "Amazon Web Services") ![Amazon Selling Partner Appstore Software Partner badge](https://www.ecomengine.com/hubfs/brand-identity/logos/amazon/amazon-software_partners-badge.png "Amazon Selling Partner Appstore Software Partner badge") ![Amazon Marketplace Developer Council Founding Member](https://www.ecomengine.com/hubfs/brand-identity/logos/amazon/amazon-marketplace-developer-council-optimized.png "Amazon Marketplace Developer Council Founding Member") ![Amazon Web Services](https://www.ecomengine.com/hubfs/brand-identity/amazon-web-services.svg "Amazon Web Services") Copyright© 2007-2026 eComEngine, LLC. 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Our [privacy policy](https://www.ecomengine.com/privacy-policy) has more details.* ```json { "@context" : "http://schema.org", "@type" : "Organization", "address" : { "@type" : "PostalAddress", "addressCountry" : "US", "addressLocality" : "Midlothian", "addressRegion" : "VA", "postalCode" : "23113", "streetAddress" : "14321 Winter Breeze Drive Suite 121" }, "alternateName" : "eComEngine, LLC", "description" : "Amazon Seller Tools", "email" : "info@ecomengine.com", "image" : "https://www.ecomengine.com/hubfs/images/decorative/illustrations/amazon-seller-tools.png", "logo" : "https://www.ecomengine.com/hubfs/brand-identity/logos/ecomengine-logos/ecomengine-logo-stacked.png", "naics" : "511210", "name" : "eComEngine, LLC", "sameAs" : [ "https://www.facebook.com/eComEngine/", "https://twitter.com/eComEngine" ], "telephone" : "800-757-6840", "url" : "https://www.ecomengine.com" } ``` ```json { "@context" : "http://schema.org", "@type" : "BlogPosting", "author" : { "@type" : "Person", "name" : "Rachel Greer" }, "dateModified" : "2022-12-19", "datePublished" : "2016-03-01", "description" : "Rachel Greer shares some helpful tips on managing private label selling risks.", "headline" : "Managing Private Label Selling Risks", "image" : { "@type" : "ImageObject", "url" : "https://www.ecomengine.com/hubfs/images/featured/blog/private-label-selling-risk.jpg" }, "mainEntityOfPage" : { "@id" : "https://www.ecomengine.com/blog/manage-private-label-risks", "@type" : "WebPage", "description" : "Rachel Greer shares some helpful tips on managing private label selling risks." }, "publisher" : { "@type" : "Organization", "logo" : { "@type" : "ImageObject", "url" : "https://www.ecomengine.com/hubfs/brand-identity/logos/ecomengine-logos/ecomengine-logo-stacked.png" }, "name" : "eComEngine, LLC" } } ```