White label occurs when any product's manufacturer uses the branding requested by the marketer or buyer instead of its own. White labeling is when a product or service removes its brand and logo from the end product and instead uses the branding requested by the purchaser.
Let’s see how this White Labeling works:
● Firstly, a supplier makes a white-labeled product. Let’s pretend it is anti-fraud software. This software is completely unbranded. It has no logo name or label.
● Then a supplier sells their product to a reseller which is another company or an individual. They are welcome to customize it as per their needs, place the logo and adjust it to the branding.
● Finally, the reseller sells the product to its customers. The key to white labeling is anonymity. That's why a consumer has no idea that once upon a time, the software was white-labeled.