Why White Label & Reller Solutions Suck For Newbies

InternetMarketingSmarts · 22nd Sep 2012, 10:02 AM

I've been looking at various SMS marketing solutions including the biggies like Limecellular, Avid Mobile and they're pretty pricey. If you haven't landed your first client yet or don't have a few under your belt it's hard to swallow paying some of the high start up cost or monthly fees these guys are asking for reseller or white label privileges. And yes I understand it takes money to make money.

But is the advantage of using a reseller or white label program more a matter of convenience and a discount? I see the value when you have a few clients paying. Then you can manage them all in one place and offer them better prices.

But until you have a few or even one, wouldn't it just be easier and cheaper to set up one regular customer account for your first new client where you manage the account but the client never gets access to the login data or the 3rd party vendor so this maintains the privacy that white labeling offers? Then your client would just pay you for setting it up, managing it and the cost of the texts they send?

Then when you get more clients, you upgrade to a white label or reseller solution?
What do you guys think?

Is there a better option for a newbie just getting into the business?

Kevin Z · 22nd Sep 2012, 11:48 AM

I agree somewhat, that is why sometimes it better to look for an easy entry reseller account and build up to a White Label. White Label options are a bit more pricey but allow you to take your business (once ready) to the next level.

InternetMarketingSmarts · 22nd Sep 2012, 11:56 AM

Originally Posted by Kevin Z

I agree somewhat, that is why sometimes it better to look for an easy entry reseller account and build up to a White Label. White Label options are a bit more pricey but allow you to take your business (once ready) to the next level.

Hey Kevin,

Even a lot of the reseller accounts seem to charge higher setup fees or monthly fees. I agree once you get your business to the next level then these fees are no brainers. But there doesn't seem to be a good solution for folks just trying to get their feet wet.

I think initially I'm going to try the free twitter sms ghetto work around just to give clients a free sample of what sms marketing can do. Then up-sell them on a paid option and use some of these other vendors I've researched.

By the way I've checked out your offering, it will definitely be one of the ones I consider when I do get my first or few paid clients.

Kevin Z · 22nd Sep 2012, 05:39 PM

Originally Posted by workathomecareers

Hey Kevin,

Even a lot of the reseller accounts seem to charge higher setup fees or monthly fees. I agree once you get your business to the next level then these fees are no brainers. But there doesn't seem to be a good solution for folks just trying to get their feet wet.

I think initially I'm going to try the free twitter sms ghetto work around just to give clients a free sample of what sms marketing can do. Then up-sell them on a paid option and use some of these other vendors I've researched.

By the way I've checked out your offering, it will definitely be one of the ones I consider when I do get my first or few paid clients.

Very true, just remember the old saying...... "It takes money to make money"

Mobilize · 23rd Sep 2012, 11:42 AM

I find most business owners (at least in the restaurant niche I am in) don't really want to learn or have time to manage their sms campaigns. They just care about getting more customers and increasing their bottom line. So one account worked for me and I get to charge for fully managing their campaigns.

Just make sure to meet with them and schedule a 2 or 3 month campaign so it does not eat up too much of your time. It's ok for the the first few customers to call you but once you build up your customer base you would want to schedule your campaigns months in advance.

Aaron Doud · 23rd Sep 2012, 12:58 PM

If you think $147 a month (lime's smallest plan) is a lot of money you need to get a job. Being a business owner isn't for you.

InternetMarketingSmarts · 23rd Sep 2012, 06:45 PM

Originally Posted by BlueStreak

I find most business owners (at least in the restaurant niche I am in) don't really want to learn or have time to manage their sms campaigns. They just care about getting more customers and increasing their bottom line. So one account worked for me and I get to charge for fully managing their campaigns.

Just make sure to meet with them and schedule a 2 or 3 month campaign so it does not eat up too much of your time. It's ok for the the first few customers to call you but once you build up your customer base you would want to schedule your campaigns months in advance.

That's a good idea and makes a lot of sense! Will definitely do that! Thanks for the tip!

InternetMarketingSmarts · 23rd Sep 2012, 06:53 PM

Originally Posted by Aaron Doud

If you think $147 a month (lime's smallest plan) is a lot of money you need to get a job. Being a business owner isn't for you.

Settle down. I said from the jump I know it takes money to make money. I've run a successful full-time online business for over 5 years that supports my whole family. So I'm very aware of the time and financial sacrifices that need to be made. I may be new at the mobile marketing space but I'm not new to business.

With that said I just feel the monthly costs with some of the bigger companies are too high for someone just starting in this business. As I said at the beginning, once I start getting some clients I totally see the value in investing the monthly cost for certain sms providers.

Either way, I've already found a reasonably priced yearly solution with txt180.com that offers a white label, reseller package for a flat fee that allows me to add plans as I get clients. They don't have all the bells and whistles as some of the other big companies. But it's a good starting point until I establish myself and make this profitable.

But thanks for the "valuable" advice.

Chris Gray · 24th Sep 2012, 10:20 AM

valuable thread.

thanks for share!

hope this help newbie to make some money..

InternetMarketingSmarts · 24th Sep 2012, 03:10 PM

Just spoke to txt180.com
They answered all my questions, they're affordable have some good simple solutions which are great for a newbie like myself. So I'm going to buy their reseller service which is a one time fee for a year.

They may not be as robust as a lime or avid. But it's a good starting point when you have a limited start up budget to test this business out. I'm looking forward to approaching my first client who is a restaurant owner in my area that I have be friended. Ironically once he found out I was a marketer, he asked me for my advice on how to get more business. Now I have a solution that should help.

As someone that sold SEO and successful ranked all my clients in the top 10 (prior to the Penguin crap. LOL), I feel better selling something like this. You can see results sooner & the applications are numerous. And best of all it doesn't involve Google at all! lol

Aaron Doud · 24th Sep 2012, 03:32 PM

txt180 I have looked into before and I agree they have great customer service.

But when it comes to text messaging you have to think in terms of long term. You can't change companies easily so pick the one from the begining you plan to use long term.

I believe txt180, Lime, and Avid are the 3 that every offline marketer should look at. Depending on what you need and how big you want to grow that is how you decide which is best.

But $150/mo isn't a lot of money so starting price (which is what this thread is about) should never the deciding factor. If you are successful you will quickly be spending a lot more than $150/month.

InternetMarketingSmarts · 24th Sep 2012, 03:42 PM

Originally Posted by Aaron Doud

txt180 I have looked into before and I agree they have great customer service.

But when it comes to text messaging you have to think in terms of long term. You can't change companies easily so pick the one from the begining you plan to use long term.

I believe txt180, Lime, and Avid are the 3 that every offline marketer should look at. Depending on what you need and how big you want to grow that is how you decide which is best.

But $150/mo isn't a lot of money so starting price (which is what this thread is about) should never the deciding factor. If you are successful you will quickly be spending a lot more than $150/month.

I agree with you. I should plan big because that's the intention. But I feel confident with txt180 after talking to their rep and hearing other warriors like yourself recommending it. They pretty much have the options I need based on the businesses I'll initially target which have some simple needs. I figure "WHEN" I get a few clients under my belt that are making me a profit. I can always switch over to some of the other bigger player SMS providers for LATER Clients if I need all their bells & whistles. But honestly I think I'll be happy with Txt180 for some time to come.

I have a few friends that own businesses that I plan to use as guinea pigs at no cost to them. They'll serve as a great way to learn and testimonies. Thanks for your feedback!

Aaron Doud · 24th Sep 2012, 03:57 PM

BTW txt180 is more expensive than Lime to start looking at their pricing.

Their price being the most expensive was the reason I wouldn't choose them. If (or when) I decide to offer SMS it will likely be via Lime.

InternetMarketingSmarts · 24th Sep 2012, 04:12 PM

Originally Posted by Aaron Doud

BTW txt180 is more expensive than Lime to start looking at their pricing.

Their price being the most expensive was the reason I wouldn't choose them. If (or when) I decide to offer SMS it will likely be via Lime.

Aaron, can you give me a comparison breakout as to how you determined txt180 is more expensive than lime in terms of their reseller package and from the client point of view?
Maybe I missed something when I was comparing them? Any insight is appreciated. Thanks again.

MoBuzz · 24th Sep 2012, 10:29 PM

Originally Posted by BlueStreak

I find most business owners (at least in the restaurant niche I am in) don't really want to learn or have time to manage their sms campaigns. They just care about getting more customers and increasing their bottom line. So one account worked for me and I get to charge for fully managing their campaigns.

Just make sure to meet with them and schedule a 2 or 3 month campaign so it does not eat up too much of your time. It's ok for the the first few customers to call you but once you build up your customer base you would want to schedule your campaigns months in advance.

I think this is great in theory but not so much in reality. IMO restaurants like to change their offers almost daily, and to get them to come up with offers months in advance would be difficult at best. Not to mention one of the great things about SMS is the ability to fill seats on random slow days.

I would also think that only touching base with clients once every couple months is going to lead to low retention.

For TS, my best advice would be to save ATLEAST enough to pay for 2 months of whatever white label provider you think fits your needs best. Prob going to run you about $300. I wouldn't look for a FREE service to get started with plans on changing to a better service later. Being able to provide clients with a great program off the bat is only going to help you grow, getting more referrals ect. Not to mentions switching providers can get ugly.

If you just can not come up with $300 for the first two months then look for a reseller under the platform that you plan to use in the future. That should bring your cost down a little without taking away from features you will soon want and need.

InternetMarketingSmarts · 24th Sep 2012, 10:56 PM

Originally Posted by MoBuzz

I think this is great in theory but not so much in reality. IMO restaurants like to change their offers almost daily, and to get them to come up with offers months in advance would be difficult at best. Not to mention one of the great things about SMS is the ability to fill seats on random slow days.

I would also think that only touching base with clients once every couple months is going to lead to low retention.

For TS, my best advice would be to save ATLEAST enough to pay for 2 months of whatever white label provider you think fits your needs best. Prob going to run you about $300. I wouldn't look for a FREE service to get started with plans on changing to a better service later. Being able to provide clients with a great program off the bat is only going to help you grow, getting more referrals ect. Not to mentions switching providers can get ugly.

If you just can not come up with $300 for the first two months then look for a reseller under the platform that you plan to use in the future. That should bring your cost down a little without taking away from features you will soon want and need.

You make some great points! I'm already willing to invest in txt180 reseller program.
I like what I heard and saw. I'm not too concerned about needing to leave them. But again I think I'll be able to gauge that with the first couple of clients. And then can always use a different platform with later clients as I get bigger and just suck up working on a "legacy" platform with my original clients. Either way I plan to exceed expectations with personal service not solely depending on technology. If I do my job right, my clients will be paying for me and what I bring to the table and not just the platform. That said I totally appreciate the insight and will definitely make any adjustments accordingly as I get feedback. Most of my initial test clients are people I have very good personal relationships with where I'll be very upfront and honest that I'm using them as beta testers to help me fine tune my process. And in return they get these services for free (paid by me). And "WHEN" I prove myself to them they have a large network of other small businesss that they will personally refer me to. I know because they've done so when I was selling SEO services. So I think this could work out well especially with all the great advice I'm getting from fellow warriors. I swear this forum
is worth more than college or an MBA. If we could get rid of some the rude people, fake reviewers, spammers and newbie bashers it would be damn near perfect. LOL

Aaron Doud · 25th Sep 2012, 06:24 PM

Sure let me do some quick number run downs

Let's start with the price to get started on both.
Txt180: $295 = $295 Setup + $0 Month for Zero Texts
Lime: $146 = $0 Setup + $147 Month for 3,000 Texts (these rollover if not used)
Lime is cheaper with no Clients for the first month.

Month 2 (Let's say 5 clients with 2500 message limits)
Txt180: $250 ($50 x 5) - Each Client gets 1 keyword ($5/$2 more for each additional)
Lime: $267($304.50 worst case) = $247 (this gives you 10,000 texts which should actually cover the accounts) + ($37.50 for 2500 more texts if you needed the full 12,500) + $20 ($4 per active account) - Each Client can have 10 keywords ($35 gives you unlimited keywords for all customers)

Once you get small numbers of clients txt180 is slightly cheaper if one keyword per works.

Month 6 (let's say 25 clients)
txt180 = $1250 ($50 x 25)
Lime = $517 = $397 (includes 20,000 texts) + $50(5,000 * $0.01) + $35 (hell might as well get unlimited keywords) + $35 (billing looks cheap lets add that too)

Once you are good to go with clients Lime is way cheaper.

So during the first month which is when you may have no clients Lime is cheaper to get going. For a few months while you have few clients txt180 is cheaper. But in the long run Lime is overwhelmingly cheaper so why pay more in the first month to only be cheaper if you can't land clients?

Mobilize · 26th Sep 2012, 08:55 PM

Hi Mobuzz, thanks for your input bro.

You mention they change offers almost daily... are they sending daily offers?
I only get my clients to send sms offers once a week, two is the maximum.
Yes, offers are sent on slow days, which doesn't really change from week to week, so there's no problem scheduling the blast in advance.

Changing and/or sending offers daily will be too much for subscribers, especially for me

I don't want to work for $10/day, I will have to charge way more than $297/month for that much work.

As long as I make them more than they're paying me, they're happy.
Just saying in my previous post, protect your time.

MoBuzz · 27th Sep 2012, 01:33 AM

Originally Posted by BlueStreak

Hi Mobuzz, thanks for your input bro.

You mention they change offers almost daily... are they sending daily offers?
I only get my clients to send sms offers once a week, two is the maximum.
Yes, offers are sent on slow days, which doesn't really change from week to week, so there's no problem scheduling the blast in advance.

Changing and/or sending offers daily will be too much for subscribers, especially for me

I don't want to work for $10/day, I will have to charge way more than $297/month for that much work.

As long as I make them more than they're paying me, they're happy.
Just saying in my previous post, protect your time.

Sorry I meant they change specials almost daily and offers frequently so scheduling campaigns months in advance is a little tough imo.

Of coarse i can't meet with every client daily but I do touch base with them every week or two. Even if it is just by email to see how things are going or if they need any changes ect.

I do agree there is not enough hours in the day bro : ) def need to be smart about who your giving your time to. I just think scaling up by giving your clients the least amount of time possible could lead to some problems down the road. Then again I do tend to let clients run me mad so I might be completely wrong haha.

Either way if your getting 297.00 a month for sms and only meeting with clients every couple months your doing great congrats

22nd Sep 2012, 10:02 AM	#1
InternetMarketingSmarts HyperActive Warrior War Room Member Join Date: 2006 Location: New York Posts: 288 Thanks: 128 Thanked 70 Times in 51 Posts	Why White Label & Reller Solutions Suck For Newbies Share on: I've been looking at various SMS marketing solutions including the biggies like Limecellular, Avid Mobile and they're pretty pricey. If you haven't landed your first client yet or don't have a few under your belt it's hard to swallow paying some of the high start up cost or monthly fees these guys are asking for reseller or white label privileges. And yes I understand it takes money to make money. But is the advantage of using a reseller or white label program more a matter of convenience and a discount? I see the value when you have a few clients paying. Then you can manage them all in one place and offer them better prices. But until you have a few or even one, wouldn't it just be easier and cheaper to set up one regular customer account for your first new client where you manage the account but the client never gets access to the login data or the 3rd party vendor so this maintains the privacy that white labeling offers? Then your client would just pay you for setting it up, managing it and the cost of the texts they send? Then when you get more clients, you upgrade to a white label or reseller solution? What do you guys think? Is there a better option for a newbie just getting into the business?

22nd Sep 2012, 11:48 AM	#2
Kevin Z brickandmobile.com War Room Member Join Date: 2010 Location: Toronto Posts: 309 Thanks: 60 Thanked 106 Times in 64 Posts	Re: Why White Label & Reller Solutions Suck For Newbies Share on: I agree somewhat, that is why sometimes it better to look for an easy entry reseller account and build up to a White Label. White Label options are a bit more pricey but allow you to take your business (once ready) to the next level.
	[ brick&mobile Click here to start your Mobile Marketing business

23rd Sep 2012, 11:42 AM	#5
Mobilize Active Warrior War Room Member Join Date: 2010 Location: Canada Posts: 72 Thanks: 11 Thanked 18 Times in 13 Posts	Re: Why White Label & Reller Solutions Suck For Newbies Share on: I find most business owners (at least in the restaurant niche I am in) don't really want to learn or have time to manage their sms campaigns. They just care about getting more customers and increasing their bottom line. So one account worked for me and I get to charge for fully managing their campaigns. Just make sure to meet with them and schedule a 2 or 3 month campaign so it does not eat up too much of your time. It's ok for the the first few customers to call you but once you build up your customer base you would want to schedule your campaigns months in advance.

23rd Sep 2012, 12:58 PM	#6
Aaron Doud Sales & Marketing War Room Member Join Date: 2011 Posts: 2,813 Thanks: 716 Thanked 1,696 Times in 954 Posts	Re: Why White Label & Reller Solutions Suck For Newbies Share on: If you think $147 a month (lime's smallest plan) is a lot of money you need to get a job. Being a business owner isn't for you.

24th Sep 2012, 10:20 AM	#9
Chris Gray Active Warrior Join Date: 2012 Posts: 71 Thanks: 4 Thanked 6 Times in 6 Posts	Re: Why White Label & Reller Solutions Suck For Newbies Share on: valuable thread. thanks for share! hope this help newbie to make some money..

24th Sep 2012, 03:10 PM	#10
InternetMarketingSmarts HyperActive Warrior War Room Member Join Date: 2006 Location: New York Posts: 288 Thanks: 128 Thanked 70 Times in 51 Posts	Re: Why White Label & Reller Solutions Suck For Newbies Share on: Just spoke to txt180.com They answered all my questions, they're affordable have some good simple solutions which are great for a newbie like myself. So I'm going to buy their reseller service which is a one time fee for a year. They may not be as robust as a lime or avid. But it's a good starting point when you have a limited start up budget to test this business out. I'm looking forward to approaching my first client who is a restaurant owner in my area that I have be friended. Ironically once he found out I was a marketer, he asked me for my advice on how to get more business. Now I have a solution that should help. As someone that sold SEO and successful ranked all my clients in the top 10 (prior to the Penguin crap. LOL), I feel better selling something like this. You can see results sooner & the applications are numerous. And best of all it doesn't involve Google at all! lol

24th Sep 2012, 03:32 PM	#11
Aaron Doud Sales & Marketing War Room Member Join Date: 2011 Posts: 2,813 Thanks: 716 Thanked 1,696 Times in 954 Posts	Re: Why White Label & Reller Solutions Suck For Newbies Share on: txt180 I have looked into before and I agree they have great customer service. But when it comes to text messaging you have to think in terms of long term. You can't change companies easily so pick the one from the begining you plan to use long term. I believe txt180, Lime, and Avid are the 3 that every offline marketer should look at. Depending on what you need and how big you want to grow that is how you decide which is best. But $150/mo isn't a lot of money so starting price (which is what this thread is about) should never the deciding factor. If you are successful you will quickly be spending a lot more than $150/month.

24th Sep 2012, 03:57 PM	#13
Aaron Doud Sales & Marketing War Room Member Join Date: 2011 Posts: 2,813 Thanks: 716 Thanked 1,696 Times in 954 Posts	Re: Why White Label & Reller Solutions Suck For Newbies Share on: BTW txt180 is more expensive than Lime to start looking at their pricing. Their price being the most expensive was the reason I wouldn't choose them. If (or when) I decide to offer SMS it will likely be via Lime.

25th Sep 2012, 06:24 PM	#17
Aaron Doud Sales & Marketing War Room Member Join Date: 2011 Posts: 2,813 Thanks: 716 Thanked 1,696 Times in 954 Posts	Re: Why White Label & Reller Solutions Suck For Newbies Share on: Sure let me do some quick number run downs Let's start with the price to get started on both. Txt180: $295 = $295 Setup + $0 Month for Zero Texts Lime: $146 = $0 Setup + $147 Month for 3,000 Texts (these rollover if not used) Lime is cheaper with no Clients for the first month. Month 2 (Let's say 5 clients with 2500 message limits) Txt180: $250 ($50 x 5) - Each Client gets 1 keyword ($5/$2 more for each additional) Lime: $267($304.50 worst case) = $247 (this gives you 10,000 texts which should actually cover the accounts) + ($37.50 for 2500 more texts if you needed the full 12,500) + $20 ($4 per active account) - Each Client can have 10 keywords ($35 gives you unlimited keywords for all customers) Once you get small numbers of clients txt180 is slightly cheaper if one keyword per works. Month 6 (let's say 25 clients) txt180 = $1250 ($50 x 25) Lime = $517 = $397 (includes 20,000 texts) + $50(5,000 * $0.01) + $35 (hell might as well get unlimited keywords) + $35 (billing looks cheap lets add that too) Once you are good to go with clients Lime is way cheaper. So during the first month which is when you may have no clients Lime is cheaper to get going. For a few months while you have few clients txt180 is cheaper. But in the long run Lime is overwhelmingly cheaper so why pay more in the first month to only be cheaper if you can't land clients?

26th Sep 2012, 08:55 PM	#18
Mobilize Active Warrior War Room Member Join Date: 2010 Location: Canada Posts: 72 Thanks: 11 Thanked 18 Times in 13 Posts	Re: Why White Label & Reller Solutions Suck For Newbies Share on: Hi Mobuzz, thanks for your input bro. You mention they change offers almost daily... are they sending daily offers? I only get my clients to send sms offers once a week, two is the maximum. Yes, offers are sent on slow days, which doesn't really change from week to week, so there's no problem scheduling the blast in advance. Changing and/or sending offers daily will be too much for subscribers, especially for me I don't want to work for $10/day, I will have to charge way more than $297/month for that much work. As long as I make them more than they're paying me, they're happy. Just saying in my previous post, protect your time.