Just a quick look at some of the common questions been usually asked by people about this nature business opportunities. What does white label mean in business? What does white label solution mean? Is white labelling legal? What is a white label example? How does private label brands work? How do I get a private label? And the questions go on and on. When you examined some of these frequently asked questions, one can only conclude that a lot of people still don’t get it unlike franchising. Here is not about detail explanation of all the questions. Instead, it is just to highlight some of the key facts that about white labelling services.
The terms ‘’white label’’ and ‘’private label’’ are interchangeably used to mean re-brandable/customisable goods or services produced by one company (XYZ Ltd) and re-sold by another company (ABC Ltd) as own brand. Private label is commonly used for tangible goods such cosmetics, mobile phones, groceries etc. While white label is commonly used for services such as website development, SEO services, content creation etc.
The key points
- White labelled products/services are not necessarily of lesser quality to the providers’ own brand or similar brands.
- It is absolutely legal and white labelled products are subject to the same regulatory control as national brands.
- Virtually all the top retailers like Tesco, Asda, Morrison, Sainsbury and others sell thousands of private labelled products also known as ‘’store brands’’. Recent figures show that private labelled products amount to about 15% of the total products shelved by these top retailers.
- Anybody or business from small to large can sell white labelling services provided you have the resources and marketing capability.
- With this type of business, you can gradually build your own brand which is vital especially if your entrepreneurial ambition is for the long-term. A successful white labelled marketer can easily embark on backward integration in the long-run.
- You will have enough time to focus on your core competencies in marketing and positioning your brand to your target market. Which mean, you can concentrate and devote your resources to promoting your brand while leaving the huddle of production, innovation, R&D to your provider.
- The high risk of new product failure and its associated cost can be minimised. You jump-start the usual huge cost to conduct products R&D, product plant set up, getting regulatory approval etc. So, you can test the water before diving deeper into it.
- White labelling saves time and costs. There are some white labels opportunities that you can be set up and get started from day one. The provider has already done the hard works for you. Just a one click app/software install, change logo, activate yourdomain.com, set your own price, change some texts and start selling like a Pro. That’s save a lot of time and related cost of developing the entire solution by yourself from the scratch.
So, if you want to build your own brand, save time and cost while you are still able to set your price at your own margin, then white labelling may be the best business fit for you.
Simply search for opportunities, find the best fit, connect with the provider and you are goo to go!