The Name (White-Label Services) Has Come from Their Packaging Image
March 17th, 2010White labels are used by some websites to facilitate a successful brand for offering its services
The name comes from the image of a white label made on the package wherein the marketer can put its trade dress. The history of white label can be traced back to the era of vinyl records. At that time, DJs used to detach label from a trendy record so that the name of the track developer didnt get divulge to their rivals. The removal of labels from DJ records popularizes the term white label record.
When generic electronic items such as televisions and DVD players are produced at the massive scale, the process is called white label production. Some companies sell their products under a sub-brand name that is used exclusively by them. For instance Brand-A may sell the same model-A of DVD while Brand-B may sell it as a model-B.
White labels are used by some websites to facilitate a successful brand for offering its services without investing in the development of infrastructure and technology. To illustrate, until recently, Waterstones website was run by Amazon.co.uk, and LoveFilm run the DVD Rental services of TESCO. Several companies provide their store brand and supermarket private brand products to multiple supermarkets that change their labels. Moreover, some manufacturers produce inexpensive or low-cost generic brand labels but they put the name of product, like Cola.
Sometimes, smaller banks pass on their credit-card operations to the bigger banks. Moreover, they (larger banks) issue and process credit cards (as white label cards) for a certain amount of fee. This, in turn, enables smaller banks to brand credit-cards as their own without any need to make any considerable infrastructure investment, which would otherwise lead to excessive overhead.