Own brands have become increasingly popular, indicating that consumers are becoming more price sensitive and less loyal to their favorite traditional brands. In many countries, the growth of own brands is hurting the market share of domestic brands (manufacturers). The concept of a white label has many thoughts, both positive and negative. Hundreds of companies around the world trust OK Kosher`s standards and its symbol to represent their brand. We are proud to have certified some of the country`s leading commercial brands, such as Kroger, Trader Joe`s, Albertsons, Euro-Nat Albertson`s Inc., Loblaw, B.J.s Wholesale, Key Food, Family Dollar, Costco, 7-Eleven, Safeway Limited, Sam`s Club and Fairway and many more around the world. White Labeling in the U.S. has worked particularly well for big box retailers like Target Corporation (TGT), with at least 10 different brands each using a specific consumer group and product line and together bring in at least $1 billion a year. White label products are sold by retailers with their own brand and logo, but the products themselves are manufactured by third parties. White Labeling occurs when the manufacturer of an item uses the branding desired by the buyer or distributor rather than his own. The finished product looks like it was produced by the buyer. White label products are manufactured by a third party, not by the company that sells them, or even markets them necessarily.

The advantage is that a single company does not need to go through the entire process of creating and selling a product. A company can focus on manufacturing the product; another on marketing; and another can focus on selling, each according to their expertise and preference. The main advantages of white brand branding are that it saves companies time, energy and money in terms of production and marketing costs. The private branding label is not limited to the supermarket segment. Large manufacturers of mobile phone electronics and first-class computers often put their brands on cheaper white label products to expand their offering. Another great advantage of own brands is that if a supermarket has an exclusive contract with a manufacturer, the average transport costs may be lower than normal and the company would enjoy commercial advantages. Due to lower transportation costs, the retailer could sell the product for less, while still getting a higher profit margin. Costco (COST), the operator of the storage club in the United States with its Kirkland brand for commercial brand products, is a large creative retailer. Does that mean Costco makes all the Kirkland products you see on the shelves? Not at all.

They simply enter into contracts with different manufacturers who have agreed to put their products in Kirkland packaging. Once the trademark agreement is fully concluded, the manufacturer can print the branded OK symbol on your labels. In addition, OK Kosher certificates are issued in the name of your company, displaying the identity of the manufacturer you have chosen. White label products don`t always need to be tangible objects. Service offerings have also been included in the white label. For example, some banks use white label services such as credit card processing when they don`t have these services in the house. In addition, companies that do not have banking operations often extend branded credit cards to their customers, which is also a form of white label.