This specific software delivery model enables a company to rebrand and resell a third-party’s software as its own. For instance, a marketing agency might license a sophisticated email automation platform, apply its branding, and offer it to its clients as a proprietary service.
The significance of this model lies in its ability to rapidly expand a company’s service offerings without the substantial investment of in-house software development. Benefits include reduced time to market, lower development costs, and the ability to focus on core competencies, such as sales and marketing. The rise of cloud computing has been instrumental in the widespread adoption of this approach, making software more accessible and easier to distribute.