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What is White Label? Benefits, Examples, and How to Leverage It for Your Business
Briantama Afiq Ashari
Have you ever heard the term white label Are you reading about business opportunities?
Maybe it seems cool, but it's true white label is a concept that is very close to our daily lives.
Starting from products in minimarkets, to the applications we use, there are so many that are actually labeled "white label".
So, so that you don't just follow along with the term, let's get to know more about what it is white label, the benefits, and the exciting examples in the business world!
What is White Label? Come on, so you don't misunderstand!
Before talking further, it's very important to know that the first white label is a business concept where a product or service is made by one company, then sold again by another company under their own brand.
So, the product maker does not put their name on it, but gives the opportunity to other businesses to do branding as they wish.
It's easy, imagine you buy soap from a factory, then you label it with your own brand.
That's the point of it white label products. This practice is very common, especially in the food, beauty and technology industries.
In the digital world, terms white label product also frequently used.
For example, restaurant POS applications that are originally the same, but given different branding for each restaurant.
So sophisticated, right? Well, that's why the white label concept is trending in the modern business world.
Why do businesses like white label products so much?
Source: Freepik
After understanding white label as a system for branding someone else's product, you might be wondering: Why do so many businesses choose this path? The answer is simple: efficiency and flexibility.
White label products help businesses save time and production costs. There’s no need for years of research or billion-dollar investments in manufacturing.
Just take a quality product, add your branding, and sell it straight to the market!
In addition, white label products allow businesses to focus more on marketing and building customer loyalty.
So, you don’t burn out with production concerns. Simply select the best products, polish your branding, and focus on sales!
One example from the beauty industry is skincare products that are produced by large factories and then branded by various smaller brands.
Read Also: Types of Cutleries and Tips for Choosing for F&B Business
5 Benefits of White Label for Your Business
Source: Freepik
If you are still unsure about the benefits white label products, take a look at some of the advantages below. Who knows, it could be enlightening for your next business idea!
1. Lighter capital, less risk
Making a product from scratch requires a lot of effort and high risk. Past white label product, you just need to focus on branding and sales. So capital is lighter, and you can grow your business faster.
2. Focus on Marketing
Because the product already exists, you just have to maximize marketing. Focus on creating creative campaigns, building a loyal community, and of course, maximizing the potential of your own brand.
3. Super Fast Time to Market
You don't need to wait years to launch a product. With take white label products, the market entry process can be much faster. Especially for culinary or F&B businesses, this is very important so that you don't lose out on competition.
4. Scale Business Easier
If the product has been proven successful, all you have to do is replicate the existing system.
No more complicated production from scratch. Just add variety white label product just create a different target market.
5. Have your own brand, but don't make your own products
Nah, here is probably the most exciting part. You can build your dream brand without having to turn upside down in a laboratory or factory. Just rely on products from trusted white label partners.
For inspiration, just look at the trip Dewars White Label. They have been very successful in bringing whiskey products to the international market through a strong and consistent branding concept.
Examples of White Label Products that You Often See
To help you better understand the concept of white label, here are some examples of products you likely encounter in your daily life:
1. Food and Beverages
Many supermarket products, like packaged coffee, bottled water, or snacks, are actually white label products.
The brand names may differ, but the producers are the same. For example, bottled water sold under different brand names may actually be produced by the same company.
2. Beauty and Personal Care Products
The beauty industry also heavily utilizes the white label model. For example, skincare products like facial wash, sheet masks, and face serums are produced by large factories and then branded by different companies.
3. Electronic Accessories
Products such as earphones, power banks, and USB cables are often manufactured by a single factory and sold under various brand names. This allows different brands to offer quality products without having to produce them on their own.
4. Clothing and Fashion Accessories
Many fashion brands sell clothing or accessories that are produced by other factories but branded with their own label. For example, plain t-shirts that are screen-printed with designs and sold under different brand names.
5. Home Goods
Products like night lights, wooden wall shelves, or minimalist desks are often produced by one factory and sold under various brands.
This enables different stores or brands to offer household products without having to produce them themselves.
White Label VS Private Label, What's the Difference?
You may have also heard the term private label. So, what’s the difference between it and white label?
Here’s a clearer comparison table between White Label and Private Label, along with examples of products from both models:
Is White Label Suitable for All Businesses?
White labels are suitable for businesses that want to save time and production costs by using ready-made products, such as packaged food, cosmetics, or common technology.
It allows businesses to focus on marketing and branding without developing products from scratch.
However, if your business needs highly customized products or wants full control over design and quality, white label might not be the best fit.
Businesses with resources for product research and development, or those aiming for more specific differentiation, should consider private label or in-house production.
Conclusion
From the detailed explanation earlier, it’s clear that white label is a ninja way to build a business without the hassle of production.
From food to technology, this business model proves to be incredibly powerful in accelerating growth.
You can focus on branding, marketing, and developing a loyal customer community—all without stressing about production!
White label products are a smart solution for anyone who wants their business to take off quickly.
Now, for those of you interested in building a loyalty program system for F&B or restaurants, there’s a great solution too! Introducing ESB Loop!
ESB Loop is an innovative solution from ESB that helps restaurants create engaging loyalty programs. With cool features and easy access to loyalty accounts, your customers will get more attached to your brand.
Not only that, various rewards will keep them coming back again and again.
So, what are you waiting for? Let’s maximize your business opportunities with the white label concept and support customer loyalty growth. Contact the ESB team now!
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