What Is White Labeling? White Labeling Business Model In A Nutshell - FourWeekMBA

• The white label business model is a win-win situation for the manufacturer and the reseller.
• Reduces costs for the reseller and allows them to rapidly expand their product range to take advantage of market trends. 
• The model facilitates a long-term relationship between both parties.
• Responsive expansion – the model also allows a company to rapidly expand its product offering to take advantage of market trends and boost brand visibility.

Since the product is already manufactured, more resources can be directed toward marketing and distribution.

A white label strategy:

• involves the brand being removed from a product or service and replaced by the brand of the purchasing company.
• the retailer of a white label product only has control over what the label looks like.

Private labeling:

• involves one company selling the products of another company using its own branding and packaging.
• the manufacturer acts as a private label, not showing its brand toward consumers.
• the retailer of a private label product has control over the process except the manufacture of the product.