What Is White Label Dropshipping? How Does It Work?

Dropshipping is easy because you don't manufacture the products and don't hold an inventory. But what if you want to have your own branded products instead of selling other manufacturers' products? Then you need to know about the practical model of dropshipping business, white label dropshipping. We've covered everything you need to know about white labeling and compared it with other business models such as private labeling and print on demand.

Unlike private label dropshipping in which the suppliers produce the products only for your business and with your desired features, white label dropshipping is all about rebranding the products sold everywhere. Meaning that the supplier manufactures the products in bulk and puts a certain number of them aside to particularize them for you. The particularizing could include putting your logo or label on the products. So that the customer will recognize your brand and suppose you have produced it.

Does Dropshipping Work in 2022? [Pros and Cons of Dropshipping]

What are the pros and cons of white label dropshipping?

White label dropshipping gives you the chance to improve your business and raise your brand awareness. Apart from that, you can have your own branded products without having any skill and knowledge in manufacturing products. So what downsides could this business model have?

No control over the quality of products: In white label dropshipping you don't get to specify the product's features. Since the products are sent to the customers under your brand's name, they might get damaged if the quality is low.

The limited number of product types to choose from: Not all suppliers agree to white label some products. Also, you can't put your label on every type of product you want.

Many competitors to overtake: Keep in mind that you're not getting your own particularized products in white labeling. They're no different from the other products that your competitors are already selling. So it could be a challenge and require more effort to increase your sales.

High risk: What if you chose a product type that turned out to be not very popular among the customers? That'll lead to an unhappy supplier, lots of unsold branded products, and a waste of money.

Where can I find white label suppliers?

As mentioned before, you can't do white label dropshipping business with every supplier you see on AliExpress or any other platform. Not all of them offer a white labeling service. So you have to reach out to them directly to agree manually. Like in regular dropshipping, you can search on Google, Alibaba, AliExpress, eBay, or Amazon to find a supplier with your desired features. Contact them and see if they are willing to white label their products when you choose one. Also, in some forums like Reddit, you can share your question and find answers and potential suppliers.

Why should I choose white label over private label dropshipping?

Previously, we have mentioned private label dropshipping as another dropshipping business model. Most of the time, people use private labeling and white labeling interchangeably; however, there are some differences between private label dropshipping and white label dropshipping that you should know about, especially if you're going to contact a supplier asking them if they offer white label services.

Private label dropshipping is a lot more expensive than white labeling as you have the supplier produce the products from scratch and sell them only to you. While in white label dropshipping, the supplier keeps producing their regular products and just excludes some of them to rebrand them.

If a product, a special type of coffee, for instance, is trendy and has a large online sale rate, you can use this chance and sell this type of coffee with your brand name on it. This is how white label dropshipping makes you take advantage of selling high-demand products with your own logo on them.

Is white label dropshipping the same as a print on demand?

Some suppliers offer print on demand (POD) services, which means they print your logo, slogan, or every design you want on certain products. In other words, POD is a form of white label dropshipping in which your logo is printed on t-shirts, hats, hoodies, mugs, bags, books, and so on. So now you understand that not every product, like a type of software or an online course, is eligible for POD services. When a customer buys a product from your store, you order it from the supplier. Before sending the product to the customer, they print your logo on the product and handle the rest of the process.

White label dropshipping brings so many benefits for you and your business, making it get bigger and last longer. Even though it can be a good option for those who have just started their dropshipping business, experienced dropshippers who want to introduce their brands to a wide range of audiences can benefit from rebranding and labeling others' products. One of the most challenging parts of white labeling is to find a reliable supplier on which you can rely to sell your high-quality branded products. Not sure where to find one? Read this blog about dropshipping suppliers to recognize good and bad suppliers and choose the best one.