Kachi Ogbonna

Before I go ahead to explain the concept of white labeling business model let me first ask you a question.

What if I told you that this year you can have your own brand of phone accessories? I mean your own brand of pouch, power bank, earphone, charger? Or your own brand of sneakers, T-shirt, Face Cap, Sandals, slippers, mattresses, throw pillows or handbags? Even products like plate, tea cup, blender, laptop bag or makeups?  I mean if you are Charity, you can easily have Charity Powder, Soap, Perfume, or any other product you choose. These products will all be in your name and be selling in different countries of the world. You don’t need a factory, staff or even a skill to own your brand of any product in this world. At least not in this century.

Can this be possible?

How could this be possible you might be asking? Let me explain. There are companies in this world that specializes in producing a particular product but has zero interest in putting their names on such a product. So they produce super amazing and quality products and sell them to other companies or individuals. Those companies o individuals now put their brand names and logos on the product and sell. They sell them as if they manufactured the products.

You hear of popular cosmetic brands like Zaron, Tara, Yanga, Zikel, Mary Kay, Dior, Givenchy, Revlon and so on.  You fall so much in love with them and insist that is the brand you want to use. Do you really think those companies are the ones producing those products? No ma, that is not the case. In fact, the truth is that chances are that the same company produces for majority of them. So what they do is simply put their brand name and logo and push it to the market. And boom, you consider them the best.

In this post I want to show you how you can start producing in your own brand name the exact same quality of those products you admire and patronize. This is going to be possible through this awesome business model we call White labeling business model.

WHAT IS WHITE LABELING BUSINESS MODEL?

I will explain this in a very simple way that everyone (including a novice) can understand it. White Labeling is the process in which a particular company usually a manufacturing firm produces a particular item and allow other companies to put their brands on it and sell it as if it is their own products.  So in White Labeling business model providers manufacture the products. They sell them to other companies and either allow them the permission to or even help them brand it to their specification and then sell to their own customers.

Before I go further I will like to share with you a few examples you can easily relate with about the power of white label. These examples will help take away all the technicalities about white modeling business model.

CASE STUDIES FOR WHITE LABELING BUSINESS MODEL

Around May 2019, Nigerian TV reality star Natacha Akide popularly known as Tacha launched her own brand of power bank. She called it PowerTacha. And in 2 hours she made a sale of over $20,000. Few weeks after that, Tacha went ahead and launched her clothing line called NLNT which comprises all manner of ladies dresses, shoes, bags etc and has since made a great business raking in millions of naira every month from it.

Now, let me ask you. Do you think that Tacha set up a company that manufactures those power banks, and another company that manufactures those shoes, clothes and all of those? The answer is simply no. The truth is that Tacha probably knows nothing about power bank and about clothes. But with white labeling business model she has been able to build a very big business from a business she knows nothing about.

The next case study I will share with you here is even more mind-blowing. If you follow news you probably heard sometime in 2019 that Forbes published a report that the then 21 year old Kylie Jenner of the Kardashian family became the youngest self-made billionaire in the world through her Kylie cosmetics. Once again, let me ask you. Does Kylie actually produce cosmetics? Once again the answer is capital NO. She simply found a great manufacturer of cosmetics and started white labeling their products.

IS WHITE LABELLING BUSINESS MODEL A NEW PHENOMENON?

White labeling business model is not totally new. But I tell you the truth 99% of the people in your circle don’t know about it nor the power it holds for 21st century business advancement. So you can see how the big boys and girls out there make their money. But they will never share that secret with you. They only want you to keep following them and promoting their brands. They make millions and billions while you remain poor and keep complain that things are not working.

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But today, I tell you that what Kylie, Tacha and others have done you too can do with ease. With White Labeling business model you can literally own your own manufacturing company and manufacture anything. Yet you don’t own a company.

IS WHITE LABELING A LEGAL BUSINESS MODEL?

This idea sounds so incredible that you might be asking yourself how legal or legitimate it is. You may be asking how can a small you, out there in one village in Ghana, Uganda, Ontario, Melbourne, Aba or wherever suddenly own a company that ‘produces’ designer shoes, clothes or even devices? You might be wondering if the autorities will not arrest you for ‘pirating’ other peoples’ products. But I want to assure you that this business is 100% legal and globally acceptable.

The truth is that a lot of companies exists that have no interest in branding, marketing and all that. They are only interested in doing what they know how to do best – to manufacture. Such companies are willing and ready to partner with people like you, yes YOU, to do business. They will produce the products put your brand name on it and ship to you or your customers wherever they may be in the world.

There is a legal agreement between the manufacturer and you. And with that both you and your company are fully protected. If I tell you the number of companies that you know very well, I mean companies that supposedly produce the best products in their industries and sell globally yet they are only using this white label business model you will be shocked.

WHAT TYPE OF PRODUCT CAN YOU WHITE LABEL?

Anything! Yes, you can white label almost any product you can think of in this life. Ranging from electronic gadgets, health supplements, clothing, shoes, cosmetics, toiletries, exotic drinks etc. Once the product is what interests you. Once it has a ready market. And once you wish to be known with it there are companies that will gladly partner with you on that.

Let me also at this point mention that it is not only products that can be white labeled. Services can also be white labeled. So if you are interested in offering services online I tell you that you can equally white label most of the software and services that you admire and use.

STEP BY STEP APPROACH OF HOW TO IMPLEMENT WHITE LABELING

Step 1: Research

Go to Google and type ‘White label anything’. Where ‘anything’ is the exact name of the product you wants to white label. Different options of companies that white label that product will be pulled out. Do all the necessary due diligence like reading some reviews and checking how long they have been in business. Also check how many copies they have sold and the last time they made a sale or shipment. If possible find out the reputation of other companies they produce for.

I recommend this because as opportunities grow in this 21st century that is how scam has also increased. So you need to be careful in order not to go for scammers branding as white labeling companies, because this can lead to acquiring substandard products which is not good for you brand or can even lead to outright loss of your money. Some of these companies have policy that allow them send you a sample product even before you buy.

So I equally recommend you explore that option as a means of due diligence. But in a situation where such does not exist I would advise that you buy a unit of that product for your personal use before putting it out there or ordering in bulk. This is just me being very cautious and careful. But I seriously think you should do same.

Step 2: Select

Once you have confirmed the credibility of a particular brand and the fact that they offer the product you are interested in, the next thing is to make your selection of the exact product, the size and colour you want. Usually there are different varieties. Depending on the type of product it is, it will have different sizes, colours etc. I recommend that you take your time to ensure you select what will sell in your location. If you are doing pre-order it means you have to be more strict and definite in your selection.

Step 3: Design

Usually what you select will be a plain material or item like the ones shown below. But since you are interested in selling your brand and not just a product you will need to design it to your taste to suit your brand. But don’t be scared, you don’t need to be an artist nor a professional graphics designer to do this. The manufacturer already made everything easy for you. All you need is select your logo or a picture or design you already have in your phone or system and simply place it at the exact position of the product where you want it to appear. And if it is a write-up you want you simply put it there and save, and your own brand of that product is ready.

Step 4: Submit

Once you are satisfied with the design you have, you simply submit to them for approval and then shipment. The company will acknowledge your submission. If there is anything that is not right with your submission you will be informed and asked to correct it.

Step 5: Payment

This is the best part of this business. A good number of companies that are into White Labeling has what they call an integration feature that allows you to connect your Shopify store directly into your account with them. With that you can ‘produce’ all their products, brand them in your name and display them in your store with any price you so wish without paying one cent upfront.

So what happens is that once a customer visits your store and places an order the order goes directly to your manufacturing partner. They produce the item, ship it to the customer anywhere in the world in your name, remove their own money and transfer the rest to you and guess what? The customer will never know where the product is coming from. They will always see it as your product. With this arrangement it means you don’t have to pay any money upfront. But note that this option is only available with some selected companies.

HOW MUCH DO YOU NEED TO START WHITE LABELING BUSINESS?

Technically, you don’t need any money to start this business. As I explained in the earlier section your competitors might be looking for several millions to use. They might be looking to rent an office space then stock it, but with this business model you don’t need to own even one single stock. If you already have an online store then all the job has been done.

Right now you might be thinking that setting up an online store is a big deal, but I tell you it is not. You can easily set up your online store by yourself without even paying any website designer simply by leveraging on Shopify.

Another good thing about this business is that there is no limitation in terms of location. Your customers can be anywhere in the world. You can be in Kenya and be selling to people in UK, Canada, or UAE. All you need to do is make your presence felt online. And at the same time you can sell to your nearest neighbours.

HOW ELSE CAN YOU MAKE MONEY FROM WHITE LABELING?

If you have zero interest in putting your name on any product for whatever reason. Or you don’t care about building your own brand. Or selling is not just something you have flair for, you can still make so much money just by selling this knowledge. As a matter of fact, I think what I am about sharing can even make you more money than selling your own brand of products.

You can become a White Labeling Business Model Consultant. Did your eyes just bulge at hearing that? Calm down and follow me, you have not heard anything yet. I have told you that you can’t be poor in 2022, not after you have met the Governor of Central Bank of Ideas. My job is not just to show you innovative ideas that can make you money but also to change the way you think and help you see what other people in your level cannot see. Now, as a White Label Consultant you have a very big market starring you in the face no matter which country you reside and this is how it works.

HOW THE CONSULTING ASPECT WORKS

The reason Natacha Akide was able to make over $20,000 or 7.5 million naira in just 2 hours is not necessary because she sold a very superior product. In fact people were not really buying the Power Bank (after all there are power banks of better quality in the market). People were basically buying the brand ‘Tacha’. Unfortunately most celebrities in developing countries like Nigeria, Ghana and other Africa countries are busy going around begging for endorsements and brand ambassador deals out there without knowing that their brands can make them 10 times whatever those companies are willing to pay them. Your job as a consultant and someone who has superior knowledge is to help them understand this truth.

I am aware that Nigeria’s A-list artist Davido is a brand ambassador for Infinix phone and 2 Face Idibia is also a brand ambassador for Oraimo and there are many of them like that. I don’t know how much those brands are paying them for those endorsements, but I want you to just imagine for a second if Davido decide to launch his own brand of phone, earphone, power bank or any of those accessories. Just pause and think about it for a moment. As at the last time I checked, Davido has about 23.3 million followers on Instagram.

THIS COULD EASILY TURN YOU TO A MILLIONAIRE CONSULTANT

If we are to judge by what happened recently during his birthday and the loyalty of those followers I can bet you that any product he launch in his own name today up to 10 percent of his fans are likely to buy it before asking what the product is used for. So imagine that he decides to launch a product that goes for just 10,000 naira and 2.3 million people buy it, which is a whopping 23 billion naira to his pocket in an instant. And the best aspect of this is that Davido don’t need to know jack about how they produce such a product. That is he beauty of white labeling business model when you have a strong brand.

I just talked about Davido for my Nigerian audience; it equally applies to the other celebrities both male and female. Imagine that there is a verified Flavour Boxers or Tiwa Savage Bra selling on their social media channels. I bet you it will sell out in 24 hours irrespective of the number produced. You can easily earn as high as 100 million naira as consultancy charge for this from just one person. Now, imagine you can broker this for 2 or 3 celebrities out there. And you job is simply to show them how this works.

If after reading this post you are still poor, in fact you are not a millionaire then I don’t know you.