A business arrangement where a company purchases software developed by another entity and rebrands it under its own name and branding is a prevalent strategy in the software industry. This allows the purchasing company to offer software solutions without the significant investment and time required for in-house development. For instance, a marketing agency might offer a customer relationship management (CRM) platform to its clients, even though the agency itself did not develop the CRM software. The agency simply puts its logo and branding on the existing platform.
This practice offers considerable advantages. It accelerates time-to-market for the reselling company, reduces development costs, and allows businesses to focus on their core competencies, such as sales, marketing, and customer support. Historically, this approach enabled smaller companies to compete effectively with larger organizations by offering comprehensive software suites without substantial capital expenditure. The growth of cloud computing has further amplified its popularity, making software distribution and management more accessible than ever before.
