Should Your Business Be Using White Label Cloud Services?

Should Your Business Be Using White Label Cloud Services?

Should Your Business Be Using White Label Cloud Services?

White label refers to the concept of creating a product and selling it to multiple providers for rebranding and resale. After the strategy originally gained traction in the music and grocery industries, it is now being adopted by more and more companies in the online sector. What are the advantages of using a white label cloud service? Which sectors of the IT industry can gain benefits from using a white label offering? What should you look out for when choosing a white label provider? CloudTweaks investigates…

IT-Cloud

What are the benefits of using white label services?

White label’s principle benefit is allowing solution providers to deliver a variety of cloud services with their own company branding, but without the costs and problems of running their own data centre. It enables service providers to have access to efficient, innovative technology without having to make a large investment of their own or worry about ongoing maintenance, management, and upkeep of the equipment.

With an estimated 75 percent of American businesses now using at least one cloud application, reliability and quality are also high on the list. Even if a company decided it wanted to invest in its own data centre, the superiority of a third-party cloud’s service, security and quality is still likely to be way in excess of what a provider could achieve themselves.

The final major benefit to using white label services is the ability to grow your brand quickly and flexibly. As more businesses move their operations into the cloud, the ability to add an extra service to your business that can be modified, up-scaled and upgraded in line with client demand is an effective way to maintain and build upon your company’s market position.

Which IT sectors are well-positioned to take advantage of white label services?

In reality, white label solutions can be used for almost every business proposition imaginable. Whether you want to build apps, create a branded social community, add video services, or gamify your website, you will be able to find a white label provider.

Nonetheless, Chris Mederios, President of Canadian Cloud Backup, believes certain sectors of the IT industry are better placed than others to take advantage of white label’s offerings. His company is Canada’s premier white labelled offsite backup and branded offsite reseller program provider, and industry specific solutions are the backbone to their products.

The provider offers their clients the ability to choose their own resale value, to add 100 percent of their own company branding without any mention of Canadian Cloud Backup, and to use Canadian Cloud Backup’s data centre as if they was the client’s own. Add this to regular software updates, trial accounts, and web portals, and Mederios believes it becomes apparent that IT Service Providers, Managed Service Providers and Software Developers are in the strongest position to reap the rewards of white label cloud services.

How should you choose your white label provider?

There are a few key questions to ask yourself when choosing your white label provider.

Where is my data stored? In light of the recent US government spying allegations, companies should be more wary about where their data is stored and who holds jurisdiction over it. Data in the USA is subject to the complex Patriot Act and there are now high-level talks in both Europe and Canada about forcing domestic data to stay on domestic servers.

Am I reducing my carbon footprint? Data centres located in cold places such as Canada and the Scandinavian countries will typically use less energy to cool their servers than those in warmer climates. Examples of green data centres include the Uspensky Cathedral in Helsinki and the Green Mountain Data Centre in Norway.

How secure is my data? Your data should be protected by at least AES 256 Bit Encryption in the data centre servers, whilst physical on-site security is also a must.

A leading provider such as the aforementioned Canadian Cloud Backup will be able to answer all the above questions with a positive answer, whereas a less reputable provider may not be able to give you the same level of guarantees.

Conclusion

You still need to exercise caution when moving onto a white label provider’s service. It’s important to remember that you may have a lack of control over the thinking and decision-making behind alterations. If errors arise, new features are requested, or updates are needed you will need open and clear communication channels with your provider in order to safeguard your own clients against disruptions. Finally, you’ll need to think about what services you want your company to be offering in five years and check that your provider’s vision in sync with your vision.

What do you think? Do you see a use for white label cloud services in your industry? Do you already use a white label provider? Let us know in the comments below.

By Daniel Price

Post Sponsored By Canadian Cloud Backup

About Daniel Price

Daniel is a Manchester-born UK native who has abandoned cold and wet Northern Europe and currently lives on the Caribbean coast of Mexico. A former Financial Consultant, he now balances his time between writing articles for several industry-leading tech (CloudTweaks.com & MakeUseOf.com), sports, and travel sites and looking after his three dogs.

Find out more
View All Articles

2 Responses to Should Your Business Be Using White Label Cloud Services?

  1. Hey Daniel, Great read!

    You’re right when you say, “white label solutions can be used for almost every business proposition imaginable”. Though cloud services naturally lend itself to this type of revenue model, in our directory of white label providers (www.ValidBrands.com) we have seen a significant jump in the types of white label software being offered across all industries.

    More and more start-ups are going the white label route so they can use their start-up capital elsewhere and turn a profit quicker. “..check that your provider’s vision in sync with your vision.” Good advice. Branders do your homework. Check out the provider and make sure they are reputable with a solid upgrade/enhancement schedule. Ask for references and read the resellers agreement. After all, it’s your business that’s on the front lines.

  2. Hi Bryan,

    Thanks, I put a lot effort into trying to make the articles accurate and engaging, so it’s great to know people appreciate it!

    I think the white label market could be something that really explodes over the next three to five years. It seems that as long as branders choose a provider that fits their requirements there are very few downsides. It’s vital that people choose wisely though – decisions made purely on cost will undoubtedly backfire, just as with any purchase. As the market grows there will inevitable be providers with less scrupulous motives and falling into the trap of using one of these could, as you hint at, put your own business in a very difficult position.

    Daniel

Comic
The Annual Compliance & Ethics Institute:  Hot Topics – Cyber Security, Big Data, Privacy Breach Response

The Annual Compliance & Ethics Institute: Hot Topics – Cyber Security, Big Data, Privacy Breach Response

Cyber Security, Big Data, Privacy Breach Response MINNEAPOLIS, Aug. 30, 2016 /PRNewswire-USNewswire/ — Cyber security, social media, modern slavery, anti-corruption, export controls and sanctions, and privacy top the list of “Hot Issues” compliance and ethics professionals face each day. These and many other compliance and ethics concerns will be addressed at the 2016 Compliance & Ethics…

Top 5 Digital Health Trends

Top 5 Digital Health Trends

Digital Health Trends It is very important to keep up with the changing technology. However, it is also just as important to advance the consumer experience, care delivery methods and create opportunities for career development for the healthcare workforce. Five trends that are proven to be effective in winning in the digital age have been…

Technological Advances In The Healthcare Industry

Technological Advances In The Healthcare Industry

The Healthcare Industry The use of smart devices in healthcare is expanding, and according to a report by Technavio the global smart wearable healthcare device and services market will show a compounded annual growth rate of over 18%. Thanks to modern medicine, lifespans are increasing, resulting in aging populations and a higher frequency of chronic…

How Secure Is Your School Campus Network?

How Secure Is Your School Campus Network?

School Networks School related networks are one of the most attacked sectors today, coming in third worldwide to healthcare and retail. Because of the ever growing threat of cybercrime, IT professionals everywhere aren’t thinking in terms of “what if our network gets attacked?” Now, they think in terms of “when will our network be attacked?”…

IBM and VMware Expand Partnership to Enable Easy Hybrid Cloud Adoption

IBM and VMware Expand Partnership to Enable Easy Hybrid Cloud Adoption

IBM and VMware Expand Partnership More than 500 new clients, including Marriott International are now running VMware software on IBM Cloud since the strategic cloud partnership was announced;Introduction of VMware Cloud Foundation on IBM Cloud helps move existing apps to the cloud within hours; More than 4,000 IBM service professionals trained to help organizations extend…

How To Humanize Your Data (And Why You Need To)

How To Humanize Your Data (And Why You Need To)

How To Humanize Your Data The modern enterprise is digital. It relies on accurate and timely data to support the information and process needs of its workforce and its customers. However, data suffers from a likability crisis. It’s as essential to us as oxygen, but because we don’t see it, we take it for granted.…

Moving To The Cloud: A Smart Move Or Proceed With Caution?

Moving To The Cloud: A Smart Move Or Proceed With Caution?

Moving To The Cloud You hear it over and over again: The future of computing is in the cloud. Businesses should be moving to the cloud. If you’re not in the cloud, you’re behind the times. But trusting your essential data to a cloud may sound like a dubious proposition. Below are some of the…

5 Ways To Ensure Your Cloud Solution Is Always Operational

5 Ways To Ensure Your Cloud Solution Is Always Operational

Ensure Your Cloud Is Always Operational We have become so accustomed to being online that we take for granted the technological advances that enable us to have instant access to everything and anything on the internet, wherever we are. In fact, it would likely be a little disconcerting if we really mapped out all that…

Adopting A Cohesive GRC Mindset For Cloud Security

Adopting A Cohesive GRC Mindset For Cloud Security

Cloud Security Mindset Businesses are becoming wise to the compelling benefits of cloud computing. When adopting cloud, they need a high level of confidence in how it will be risk-managed and controlled, to preserve the security of their information and integrity of their operations. Cloud implementation is sometimes built up over time in a business,…

Are Cloud Solutions Secure Enough Out-of-the-box?

Are Cloud Solutions Secure Enough Out-of-the-box?

Out-of-the-box Cloud Solutions Although people may argue that data is not safe in the Cloud because using cloud infrastructure requires trusting another party to look after mission critical data, cloud services actually are more secure than legacy systems. In fact, a recent study on the state of cloud security in the enterprise market revealed that…

Cloud Infographic: IoT For Automotive Deconstructed

Cloud Infographic: IoT For Automotive Deconstructed

IoT For Automotive Deconstructed The IoT automotive industry is moving rapidly with many exciting growth opportunities available. We’ve written about some of the risks and benefits as well as some of the players involved. One thing for certain as that the auto industry is starting to take notice and we can expect the implementation of a…

Containerization: The Bold Face Of The Cloud In 2016

Containerization: The Bold Face Of The Cloud In 2016

Containerization And The Cloud “Right now, the biggest technology shift in the cloud is a rapid evolution from simple virtual machine (VM) hosting toward containerization’’ says the CTO of Microsoft Azure, Mark Russinovitch, a man who deals with the evolving cloud infrastructure every day. In his words, containerization is “an incredibly efficient, portable, and lightweight…

The Cloud Is Not Enough! Why Businesses Need Hybrid Solutions

The Cloud Is Not Enough! Why Businesses Need Hybrid Solutions

Why Businesses Need Hybrid Solutions Running a cloud server is no longer the novel trend it once was. Now, the cloud is a necessary data tier that allows employees to access vital company data and maintain productivity from anywhere in the world. But it isn’t a perfect system — security and performance issues can quickly…

The Future of M2M Technology & Opportunities

The Future of M2M Technology & Opportunities

The Future Of The Emerging M2M Here at CloudTweaks, most of our coverage is centered around the growing number of exciting and interconnected emerging markets. Wearable, IoT, M2M, Mobile and Cloud computing to name a few. Over the past couple of weeks we’ve talked about Machine to Machine (M2M) such as the differences between IoT and…

Cloud Computing Is Greener Than You Think

Cloud Computing Is Greener Than You Think

Cloud Computing Is Greener Than You Think Last week we touched upon how a project in Finland had blended two of the world’s most important industries, cloud computing and green technology, to produce a data centre that used nearby sea water to both cool their servers and heat local homes.  Despite such positive environmental projects, there…

Cloud Infographic – Cloud Computing And SMEs

Cloud Infographic – Cloud Computing And SMEs

Cloud Computing And SMEs SMEs (Small/Medium Sized Enterprises) make up the bulk of businesses today. Most cloud based applications created today are geared toward the SME market. Accounting, Storage, Backup services are just a few of them. According to the European Commission, cloud based technology could help 80% of organisations reduce costs by 10-20%. This infographic provided…