What Are Private Label Rights?
You may have seen Private Label Rights or PLR or Resell Rights titles being marketed or sold all over the Internet. These products being sold with “Rights” can come in the form of – mostly digital – eBooks, articles, software and videos just to name a few.
It is important to know the difference in these rights because they are not the same and sometimes each one has variations of itself. Meaning one persons PLR rights may not provide you with the same rights as a different persons PLR.
Lets see if we can remove some of the confusion.
In the non-digital world, the one most of us live in, when you buy something you have the ‘right’ to turn around and sell it. Sell it for more, or sell it for less than you bought it for or even give it away if you want to.
It is typically understood that when you purchase a physical item – one that you can actually touch, like a car, chair or TV – that you have these basic ‘rights’ to do with it whatever you want.
In the digital world however, that is not always the case. A digital product meaning something you cannot touch, its a bunch of 1’s and 0’s that show up on your computer screen or on paper when you print it out, comes with an entirely different set of rules when it comes to reselling it.
With digital products, there is a series ownership rights that come with them. All will come with the most basic of basic rights, and that is called User-Rights.
User Rights are pretty much just like they sound. You have the right to use this but that is it. You cannot resell, change it to resell or even think about reselling it. Nope – get that thought of reselling it out of your head – no reselling
Naturally this form of rights greatly favor the seller and restrict the buyer. The seller maintains the ‘monopoly’ of being the only seller of this product. Sometimes to help maintain this monopoly, the seller will brand the item with what is called a watermark.
A watermark is a word, image or phrase that readily identifies this digital item as belonging to Joe Schmo. In a perfect world, this ‘Branding’ would prevent others from illegally reselling this product thus taking money from Joe Schmo. Joe would not be happy when this happens.
Ok Joe, chill out.
Something else Joe might consider doing with his digital products is to charge a little more for his products but add the ability – rights – for the buyer to be able to resell the items and keep the money they sold it for.
There are a few reasons why Joe would consider doing this. One is he would make more money per sale. Another reason is that Joe the creator is getting more popular because more people have Joe’s product and this may help Joe sell his next line of products and the next and the next and so on. This is a form of Viral Marketing.
I’m getting off topic here just a bit but…
By Joe selling rights along with his digital products, yes he may lose money in the long run because the more people that own rights to resell his product, the more competition he is creating for himself.
The more people will get to know about Joe and his product. This ‘Viral Marketing’ will help Joe sell his upcoming products and he will have people looking for him , rather than him looking for customers. this will cut back on Joe’s marketing costs a lot.
These Resell Rights are the weakest of all rights (except user-rights) and therefore least valuable. You can only resell the product. You cannot change it in any way and you cannot give it away or sell resell rights.
So Joe can step it up a notch by selling his digital products with Master Resell Rights.
Now the big difference between the resell and the master resell rights is the ability to sell the resell rights. Did I lose ya yet.
With Resell Rights you can sell the product but the person that bought from you only has the User Rights. They can not resell the product unless they have the right to do so. You can not sell them the resell rights unless you have Master resell rights.
On occasion you may come across what is called Give Away Rights . You may want the Give Away Rights to be able to build your email list or to provide it as a bonus if your visitor or customer does this or that. So having the rights to be able to give away the product is something worth having.
So now we have talked about User Rights, Resell Rights Master Resell & Give Away Rights. Now one of the more sought after rights is called Private Label Rights or PLR for short.
Before I get into defining what PLR is, I need to mention that these rights are not written in stone somewhere. You may find variations of these rights on a digital item you purchase. This is why you should always be aware of what specific rights come with the product you just bought. This is of course if you decide to resell at some time in the future. If it is just for your personal use then no big deal.
If you remotely plan on reselling the digital item in the future, then the seller you bought from should provide you with a license spelling out what the rights are that come with this item.
This license can come in the form of a simple text file or even a secured PDF. But make sure you have one before you start reselling – just in case.
Its better to have it and never need it – than to need it and not have it.
Ok..now onto PLR.
Private Label Rights may or may not have resell rights as part of the ‘deal’. This is important to know. Some people think…
That if you have resell rights, you also have user rights.
If you have Master resell rights you also have resell and user rights.
If you have Private Label Rights you also have Master resell rights, resell rights and user rights.
This is not always the case.
This is why it is important that you know exactly what rights you specifically have.
PLR is where you have the rights to make changes on the product you purchased. These changes can be anywhere from just branding them as I described earlier – with a watermark. To going so far as to edit the entire product, its graphics, its sales letter, everything.
PLR usually gives the holder the right to make changes as spelled out in the license. So having plr is very valuable because you do not have to do any of the research or spend hours putting together the sales letter or spend loads of money to have some one else do it for you.
With PLR you can make a few changes here and there and in some cases, have an entirely new product you can call your own. Now these Private Label Rights will most of the time, come with some restrictions.
Like you cannot resell the resell rights – you can just resell the item – no matter how much you changed it.
Now the next – and last – set of rights is called the Unrestricted Private Label Rights.
This type of rights will usually be the most expensive, but it heavily favors the buyer and not the seller. Except for the amount of money the seller will get for selling you the unrestricted PLR.
Now typically with the Unrestricted PLR you can do whatever you want to do. You can resell you can make changes and resell, you can resell the resellers rights. It is Unrestricted.
The drawback to this type of rights is you may have sold them to some bozo that will turn around and resell the same exact thing for 20 cents on the dollar and end up making your unrestricted PLR product worthless within minutes after they bought from you.
And there is nothing you can do about it – unless you stipulated some reselling restrictions in the license – but then they would not be unrestricted then would they.
So to recap the rights you will encounter..
User Rights – just use the item
Reseller Rights – use it and resell if you want to
Master Reseller Rights – use it, resell it and resell resellers rights
Private Label Rights – use it, make changes and any other rights that may be spelled out in the license.
Unrestricted Private Label Rights – what ever your heart desires. Sell it resell it, change it, resell the resellers license give it away, what ever you want to do with it.
Yes this was a long and drawn out way to describe what PLR is but I think you are better off knowing the various levels of all the potential rights available rather than just one type.
Thanks for visiting – Don’t be a stranger! 🙂