In today's fast-paced market, companies are constantly faced with the critical decision: Should they build and maintain certain capabilities in-house or outsource to specialized third parties? The reasons for outsourcing are compelling, ranging from strategic priorities like focusing on core competencies, to cost savings, and managing complex functions such as cybersecurity and logistics. The key question every company must address is: What core competencies do they need to own to remain successful, and what functions could make them vulnerable if outsourced?
In the realm of digital services, outsourcing has become a strategic norm. Both B2B and B2C services integrate numerous third-party solutions to deliver a seamless, omnichannel user experience. Traditional companies, however, face the challenge of adopting and developing digital services rapidly enough to keep pace with the evolving business landscape. Many companies resort to simple white-label services within their portfolio. But what happens when partners need to extend these services to their own customers?
Double white labelling is a business strategy where a product or service is rebranded twice before reaching the end consumer. Initially, a company (Company A) creates a product or service and sells it without its own branding. Another company (Company B) purchases this product, adds its own branding, and then sells it to a third company (Company C), which also rebrands it and offers it to the final customers. This process allows both intermediary companies to present the product as their own, expanding market reach and potentially increasing profit margins while maintaining the original product's quality and functionality.
In both B2B2B and B2B2C scenarios, business partners require robust, white-labelled features that they can brand as their own. These services must seamlessly integrate into their corporate identity to maintain brand consistency and enhance customer trust.
Consider a beverage distributor aiming to support restaurant partners in digitizing and automating their operations. By implementing a double white-label service, the distributor can offer additional features like a procurement service for non-beverage products, a table booking system, and a digital menu. This not only enriches the service offering but also strengthens partnerships by adding significant value to the merchants who serve the end consumers.
Despite the boom in eCommerce, there is a global trend of digitising routes-to-market. Brands are creating eB2B platforms for retailers to optimise the supply chain and leverage generated data to understand trends and steer the market better. A prime example is AB InBev’s BEES platform, which reaches over 3.5 million retailers globally, offering dedicated solutions for each player in the supply chain.
Choosing a double white-label partner is a critical decision. Companies must consider the end user's perspective while meeting the sophisticated needs of enterprise customers. A reliable partner should offer:
- Global Administration: A customisable dashboard for managing millions of partners and retailers.
- Monetisation: Flexible capabilities to finance efforts and generate new revenue streams.
- Automation: High flexibility to automate operations for administrators and users, with AI embedded in the solution's DNA.
- Data Analytics: Multiple solutions for different players, consolidating data and insights into one comprehensive database.
- Cybersecurity and Data Protection: Ensuring the safety and privacy of data.
Integration Capability: Seamless integration with existing enterprise systems, like SAP.
The trend in software development is shifting towards self-service and no/low-code solutions. Soon, double white-label services will become even more accessible and customisable through AI, enabling businesses to offer highly tailored solutions without extensive coding knowledge.
Double white labelling represents a significant advancement in leveraging external expertise to provide comprehensive, branded services to partners and their customers. By choosing the right partners and focusing on user-centric design, businesses can stay ahead in the fast-evolving digital landscape, ensuring sustained growth and competitive advantage.
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