What is the difference between PLR, MRR and RR?
What differentiates the different types of licenses?
You’ve probably heard of PLR, MRR, and RR but aren’t quite sure what they mean. Don’t worry, you’re not alone! In the digital marketplace, these terms can be confusing.
Let’s break them down together so you’ll know exactly what you’re dealing with.
By the end of this article, you’ll understand each one clearly and be able to determine which is best for your online business needs.
Let’s Dive in – it’s easier than you think!
OK….
FIRST, let’s expand on the acronyms:
PLR = Private Label Rights
MRR = Master Resell Rights
RR = Resell Rights
PLR, MRR, and RR Explained
Before we move ahead any further, note that each PLR/MRR/RR provider has his/her own set terms for what you can or can’t do with their product, so, always do your due diligence and read their individual terms before you buy or plan to do anything to the product.
The information that follows is based on typical rights that you get when you purchase PLR/MRR/RR products and serves only as a general guide – make sure to check each product you purchase for their specific rights.
So, let’s get to it!
Introduction: In the ever-expanding digital marketplace, content creation and product distribution have become key aspects of many businesses’ success. To meet this demand, various rights and licensing options have emerged, offering entrepreneurs and content creators the ability to leverage already existing products and materials, and other peoples expertise.
Two popular options are Master Resale Rights (MRR) and Private Label Rights (PLR). Although they may appear similar, there are significant distinctions between the two. We will delve into the differences between MRR and PLR to help you understand which licensing option suits your needs best.
Master Resale Rights (MRR): Master Resale Rights grants individuals the permission to resell a product to customers while keeping all profits from the sale. MRR allows you to distribute a product and sell it to others, who, in turn, can also resell the same product. However, the terms of MRR often come with specific limitations and conditions, which must be adhered to. For instance, some MRR licenses may restrict the pricing, restrict the product from being given away for free, or include specific instructions on how the product should be marketed.
Products can include ebooks, templates, planners, bundles, written courses, video courses, articles, etc.
Advantages of Master Resale Rights:
- Quick and Easy: With MRR, you can acquire a product and start selling it immediately, bypassing the time-consuming process of creating your own product from scratch.
- Profit Potential: By reselling a product, you have the potential to earn 100% of the profits, as you do not have to share the revenue with the original product creator.
- No Need for Product Development: MRR eliminates the need for research, development, and content creation, saving you time and resources.
Limitations of Master Resale Rights:
- Competition: Since MRR allows multiple individuals to resell the same product, it can possibly lead to increased competition, potentially affecting profit margins, though social media has billions of potential customers, and the right tools and marketing practices can help to close the gap.
- Limited Customization: Most MRR licenses restrict the ability by which you can modify the product, meaning you may not be allowed to make significant changes or rebrand it to suit your unique brand identity. Each provider has their own limitations…some are more flexible than others – check the terms of each product.
Private Label Rights (PLR): Private Label Rights are usually more flexible than MRR. PLR grants you the right to modify, rebrand, and even claim authorship of a product as if it were your own. This means you can customize the content, add your branding, and make substantial alterations to suit your target audience. PLR products often include various formats such as e-books, courses, planners, bundles, articles, software, templates or graphics.
Advantages of Private Label Rights:
- Customization: PLR provides the freedom to modify the product to align with your brand, voice, and target audience. You can add your own insights, examples, and personal touch.
- Branding Opportunities: With PLR, you can rebrand the product under your own name, giving you the opportunity to establish yourself as an expert in a particular niche.
- Versatility: PLR products can be repurposed into different formats, such as blog posts, videos, podcasts, or social media content, enabling you to reach a broader audience.
With private label rights, you are typically provided with the source files that were used to create the product. Source files are any files which can be edited such as Word docs, templates, software code, text files and perhaps even video recordings.
As an example, when you are given private label rights to an eBook, you are granted access to the original document that was used to create the eBook (usually in a Word Doc or Template format). You are then permitted to edit the eBook in any way you wish and take credit for writing the eBook. In a way, it is like having a ghost writer write an eBook for you, and you get credit for it.
You may then sell the eBook as your own and keep 100% of any sales made. This saves you time writing an eBook yourself and eliminates the expense of hiring a writer, which can cost hundreds of dollars.
Another way to put PLR into perspective, is to think of t-shirt manufacturers–they mass produce plain white t-shirts and businesses simply buy the t-shirts and put their brand on it, claiming it as their own.
Limitations of Private Label Rights:
- Unique Content Required: To truly differentiate your PLR product, you must invest time and effort in customizing and adding unique value. Failure to do so may possibly result in a product that appears generic and lacks market appeal.
- Licensing Restrictions: While PLR grants extensive modification rights, certain licenses may impose limitations on the ways in which the product can be used, such as prohibiting the transfer of PLR rights to others. Check the individual product rights.
What is RR?
With resell rights, you may resell the product, however, your customers do not have the rights to then resell the product; they may only read/consume the product.
Since you don’t own copyright to these items, can’t claim authorship or make any changes to the original work, because every stroke of text and every pixel is frozen in its initial form under your stewardship, what advantage is there?
Despite these restrictions, don’t underestimate the potential revenue tied up in RR products. For many online entrepreneurs, like yourself, they serve as a valuable asset in an overall business strategy. All you need is a keen eye for popular products and an understanding of what your target audience desires.
Remember, while RR allows you to sell on-demand without creating something from scratch; it doesn’t allow resale rights transfer. Your customers cannot turn around and resell what they bought from you – those rights remain exclusively yours.
In essence, think of RR as a limited yet potentially lucrative avenue towards profit-making – one where your role revolves around selecting appealing products and marketing them effectively within your network without altering content or transferring reselling rights.
Personal Use Rights
In addition to the rights explained above, there’s also “Personal Use Rights” which means read-only. This means you are not granted rights to resell the product, only consume it.
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In essence, most of the PLR products offered can be resold with Master Resell Rights/Resell Rights or Personal Use (read only) rights.
You cannot pass on the private label rights. This means, you likely cannot provide the original Word (.DOC) eBook and other Word documents to your customers. It must be converted to your own PDF file when reselling.
In addition, you cannot giveaway the source Photoshop (.PSD) files. Only files that are in JPG, GIF or PNG may be provided to your customers.
Conclusion: Master Resale Rights and Private Label Rights offer distinct opportunities and considerations for entrepreneurs and content creators. They are great options for those just starting out, who do not have their own products to offer or even for the seasoned digital marketer who just wants to leverage the knowledge of others further ahead and have an option of already made products. MRR allows for you to gain knowledge for yourself and for quick reselling of great products with 100% of the potential profits, while PLR provides greater customization and branding opportunities, and offers that same 100% profit option.
Choosing the right licensing option depends on your own personal goals, resources, and preferences. By understanding the differences between MRR and PLR, you can make an informed decision and leverage these licensing options to expand your business and meet the ever-evolving demands of the digital marketplace.
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Lori Jorgensen is an Entrepreneur. Certified Freedom Lifestyle & Biblical Leadership Coach, 3x Certified Radiant Leader, Podcast Host, and soon to be author.
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