OraLabs sets new benchmarks in environmentally conscious manufacturing in the personal care sector
A leading force in the personal care sector, OraLabs, Inc. (OraLabs) is a manufacturer, distributor, and marketer of cosmetic, over the counter (OTC), and medical device products. The company attributes its success to its innovative product line, experienced employees, commitment to quality, and outstanding customer service. Thriving on embracing change, OraLabs is committed to continuous improvement and achieving zero defects in every aspect of its operations. To that end, the organization consistently adheres to Pharmaceutical Current Good Manufacturing Practices (CGMP). At OraLabs, employees are encouraged to communicate any quality deficiencies to management, facilitating swift and efficient corrections to ensure only top-quality products are delivered to customers. Furthermore, OraLabs diligently complies with the regulatory requirements set by the US Food and Drug Administration (FDA). Gary Schlatter, President and CEO, shares insights into OraLabs’ inspiring story.
“My journey in the industry began in 1990, with the introduction of an affordable teeth whitening product for customers, an untapped market at the time. However,
after 18 months on the market, the FDA changed its stance on teeth whitening, considering it a drug rather than a cosmetic. Although the FDA later reversed its position, I had already shifted my focus from whitening products to whitening toothpaste. After a patent dispute and a packaging lawsuit related to the whitening toothpaste, I sold the formula to a leading whitening brand. With the funds from that sale, I developed Ice Drops breath freshener, OraLabs’ flagship product. During this time, I was working from my condo and leased a room from a food producer, where I manually made the product with support from contract labor. From my car, I delivered the products primarily to convenience stores and gas stations. As I started gaining more traction, I acquired a filling machine, enabling me to conduct packaging and formula revisions, eventually achieving the perfect product.
“Fast forward to 1995, and I had successfully shipped 36 million bottles of Ice Drops breath freshener. Indeed, at that time, I was selling my products to approximately 100,000 convenience stores. However, as larger brands began to notice this success and acquire space in convenience stores, I saw the need to innovate and create a new product to continue growing. Therefore, I developed a mini lip balm which was not only inexpensive to produce but also sold for half the cost of other lip balms on the market. Its success along with liquid breath freshener allowed me to further develop my expertise in the production of hot fill products, which created the foundation of what is now more than 20 filling lines, multiple products and more than 100 million units per year at OraLabs. Marking the beginning of OraLabs as we know it today, I purchased our current headquarters and manufacturing plant in 2003,” he adds.
From its experimental beginnings as a one-man band, OraLabs quickly evolved into a widely renowned brand through its vast range of products and services. “In terms of services, we have a 14-year licensing agreement to manufacture, market and distribute brands owned by Procter and Gamble (P&G), develop and create private label store brands for major retailers, and offer contract manufacturing to other prominent brand owners. Additionally, OraLabs has its own range of retail brands and makes products for the promotional products sector. These five segments encompass the entirety of our operations. We manufacture our entire product portfolio in the US, handling everything from product concept and formulation to compounding, regulatory work, filling, packaging and shipping. As a fully vertically integrated business, we do not rely on subcontractors at any point in this process. Our product portfolio covers a wide range of categories, within the OTC drug, cosmetic and medical device categories. As one of the country’s largest hot fill and liquid fill manufacturers of products including oral care, lip balms, sunscreens, deodorants, skin and foot care, the company is always looking for opportunities that will fit within its manufacturing competency.
“Today, consumers are better educated on what they want and need. They can now research product information and reviews on their mobile as they walk down a store aisle. Therefore, it’s important for OraLabs’ R&D to continue focusing on creating higher quality and more effective formulas to meet their needs. In addition, we develop innovative containers that facilitate easier application, whether at home or on the go. Combining formula development and innovative delivery systems has been a winning strategy for our business growth. These value-added services serve as an extension of our customers’ R&D departments, freeing up their internal resources and accelerating product launches. OraLabs works with customers in different ways depending on their needs. This ranges from making a product to exact customer specifications, including technology transfers, to offering a complete turnkey solution encompassing formula development, compounding, filling, and final packaging. With our extensive formula library and relevant product attributes, we have also experienced success by providing white stock options, known as ‘brand and go’, for customers requiring speed to market with best-in-class products,” he enlightens.
With such an extensive product portfolio, OraLabs not only focuses on delivering quality products but also places the utmost importance on ensuring sustainability in its operations. Gary highlights the company’s commitment to embracing eco-friendly practices. “Within the next five-to-ten years, we aim to make significant investments in Environmental, Social, and Governance (ESG) initiatives. ESG is an increasingly crucial factor for business growth and collaboration with prominent companies as they need their suppliers to comply with sustainability practices. Thus, while our motivation to become a greener company stems from our own values, it is also essential for us to remain a trusted supplier to major brands and retailers.”
As our conversation nears its conclusion, Gary sheds light on his aspirations for the business in five years’ time. “Overall, we aim to double OraLabs’ current business in two ways. By continuing to supply multiple categories of new and existing products in every major retailer in the US. And through our contract manufacturing program, where we presently serve four of the top ten consumer products companies in the world, collaborating closely with them to develop new products. Hence, we expect these retailer and brand owner collaborative arrangements to continue to grow in the future,” he ends.