The practice involves creating a mobile application that one company develops and another company rebrands as its own. This allows the second company to offer a mobile app under its brand name without incurring the development costs and time associated with building an application from scratch. For instance, a fitness studio might contract a developer to build a generic workout app. The studio then applies its logo, colors, and unique branding elements to the app before offering it to its clients.
This approach offers several strategic advantages. It reduces time-to-market significantly, allowing businesses to quickly offer mobile solutions to their customers. It also lowers upfront investment costs, as the purchasing entity avoids the complexities and expenses of initial development. Historically, it has enabled smaller businesses to compete with larger entities by offering sophisticated mobile applications without needing an in-house development team. This can drive customer engagement, enhance brand loyalty, and create new revenue streams.