Scam Alert!

Discover the dark side of the industry.

  • False promises
  • Unrealistic pricing
  • Fake documents
  • No timelines
  • Shocking user interface design

Let’s find out the differences between scams and reality in the white-label app development industry, unraveling the practices that undermine trust and empower your journey with knowledge.

Working for over a decade, we have encountered several clients, at least 6 out of 10 clients we partner with are unfortunately defrauded by scammers. We find it our moral responsibility to educate all the entrepreneurs who are out there to work within this industry should be precautionary of all the scams happening around.

Scams Happening Around the Industry

“Too Good to Be True” Pricing

Pricing is one of the major factors one can choose to decide on a purchase. And Scammers know that. They advertise and convince you to take suspiciously cheap pricing compared to the competition. The difference from the actual prices would be way cheaper, like in thousands of dollars. It lures the clients into thinking of saving a lump sum easily.

But that is a Scam!

Those would be unrealistic prices that could ideally never fit into the requirements and costs a white-label app development company would have to pay. When you break down the cost of the platform, these prices are too good to be true. The resources, time, delivery, installations, customization, third-party integrations, and a long list other than this would take to build a complete white-label platform.

Now, there could be multiple situations a fraudster had in mind while they kept these unjustifiable low prices of the white label app. Some of these are mentioned below.

Intentions of the Scammers

Hidden Costs Trap

These amateurs hook the clients at low prices and then eventually overcharge them for modifications and integrations.

Budgeting Blunders

They may be novices who are unaware of the expenses, and they will eventually run out of money.

Quality Compromise Warning

They compromise on the app’s quality, like design, architecture, scalability, feature integration, & more; hence, you do not get the results that work for you.

Ghost Scams Unveiled

Those fraudsters would not have any particular and official existence and would disappear when they get the money.

Maintaining apps over their lifespan also requires huge engineering efforts for:

  • Continuous platform updates for future OS versions
  • Fixing inevitable bugs due to updates
  • Adding new features
  • Ensuring backend systems work smoothly
  • Monitoring performance
  • Answering client questions

Other business costs are marketing, sales, technical infrastructure, and support staff also quickly add up.

Precautions:

  • Research Industry Standards: Familiarize yourself with average pricing in the industry to identify offerings that deviate significantly.
  • Get Multiple Quotes: Obtain quotes from various reputable providers to compare pricing structures.
  • Transparent Contracts: Ensure contracts detail all costs and potential additional charges.

App Demos vs. Final Quality Reality

It is one of the most deceptive practices frequent in the industry. In this scheme, unethical developers showcase splendid and feature-rich app demos to potential clients during the sales pitch, creating high expectations for the final product. However, the reality often falls short of the showcased quality, leaving clients with a substandard or incomplete white-label application.

Intentions of the Scammers

Attracting Clients with False Impressions

The primary goal is to lure clients by showcasing impressive app demos, creating a false sense of the developer’s capabilities and the quality of the app.

Securing Initial Sales

Scammers prioritize securing the initial sale by presenting an appealing prototype, knowing that clients are more likely to commit based on the demonstrated features and functionalities.

Minimizing Development Efforts

Unethical developers may engage in this scam to minimize efforts during the actual development process, as creating an elaborate demo requires less investment of time and resources than delivering a fully functional and polished product.

Avoiding Rigorous Testing

By showcasing demos rather than investing in comprehensive testing, scammers may cut corners to expedite the development process, neglecting the need for thorough quality assurance and resulting in a subpar final product.

Reducing Post-Sale Commitments

Scammers might aim to minimize post-sale commitments by delivering a product that falls short of expectations, making it harder for clients to demand additional features, improvements, or support after the initial sale.

Maximizing Profit Margins

By investing less in development and testing while charging clients based on the perceived value of the demo, scammers aim to maximize their profit margins at the expense of client satisfaction and long-term relationships.

Avoiding Accountability

Scammers may engage in this deceptive practice to evade accountability for delivering a product that does not match the initial promises, making it challenging for clients to hold them responsible for substandard work.

Understanding these intentions is crucial for businesses seeking white-label apps.

When you are about to get the demos, multiple points should be considered:

  • Live clients of the vendor or service provider. (Be aware of potentially fake reviews; check and validate yourself if the live clients you are presented are real)
  • Feature integrations in the base product
  • The design quality of the demo app
  • Adequate testing
  • Bugs in the demo app
  • Support Issues in the Demo

Precautions:

  • Request a Functional Prototype: Ask for a functional prototype or trial version to assess the real capabilities of the app.
  • Seek References: Talk to previous clients to verify the consistency between demos and final products.
  • Detailed Contracts: Clearly outline expected features and functionality in the contract.

Grand Claims Without Substance

In this scheme, unscrupulous developers or agencies make extravagant promises and assertions about the capabilities, features, and success potential of their white-label apps without any substantial evidence or follow-through. These grand claims are often designed to captivate potential clients during the sales process, creating an illusion of excellence and superiority that may not be grounded in reality.

Intentions of the Scammers

Securing Sales Through Deception

The primary intention is to secure sales by enticing clients with grandiose claims that may not be backed by genuine technical capabilities or real-world success stories.

Building False Confidence

Scammers aim to build false confidence in potential clients, creating an impression that their white-label app is unparalleled in the market, even if the actual product may fall short of the proclaimed excellence.

Minimizing Due Diligence

By making extravagant claims, scammers hope to discourage clients from conducting thorough due diligence, such as checking references, scrutinizing technical documentation, or seeking independent reviews.

Maximizing Initial Investments

The intention is often to maximize initial investments by presenting the white-label app as a groundbreaking solution, even if the delivered product does not align with the grand claims made during the sales pitch.

Avoiding Accountability

Scammers may engage in this fraudulent practice to evade accountability, as the lack of specific and verifiable claims makes it challenging for clients to hold them responsible for unmet expectations.

Businesses should approach white-label app development providers with caution, critically evaluating claims and insisting on tangible evidence, references, and transparent communication. By doing so, they can safeguard themselves from falling victim to the “Grand Claims Without Substance” scam and make informed decisions based on the developer’s actual capabilities and track record.

Precautions:

  • Verify Success Stories: Independently verify success stories and case studies provided by the developer.
  • Demand Clear Documentation: Ask for technical documentation and benchmarks to support grand claims.
  • Check Reviews: Read reviews and testimonials from multiple sources to gauge the developer’s reputation.

Dubious Ongoing Support Realities

In this scheme, unscrupulous developers promise comprehensive and reliable ongoing support for the white-label app but fail to deliver on those commitments after the initial sale. The intentions behind this scam often involve misleading clients, maximizing profits, and avoiding accountability for post-sale issues.

Intentions of the Scammers:

Maximizing Profits

The primary intention is often to maximize profits by promising extensive ongoing support during the sales process, only to provide minimal or no support after securing the initial sale.

Avoiding Accountability

Scammers aim to evade accountability for issues arising after the sale by creating the illusion of robust ongoing support during the sales pitch.

Forcing Additional Payments

Introducing hidden support fees or neglecting promised support is a tactic to force clients into making additional payments for services they believed were included in the initial agreement.

Undercutting Competition

By offering seemingly comprehensive support during the sales process, scammers seek to undercut legitimate competitors, creating a false competitive advantage.
Avoiding the Trap:

By taking these precautions, businesses can protect themselves from the “Dubious Ongoing Support Realities” scam and ensure they choose a white-label app development provider committed to providing the promised support throughout the lifecycle of the app.

Precautions

  • Clear Support Terms: Clearly define ongoing support terms in the contract, specifying services, response times, and costs.
  • Reference Checks: Speak to previous clients to gauge the developer’s history of providing reliable ongoing support.
  • Escrow Agreements: Use escrow services for ongoing support payments, releasing funds upon meeting agreed-upon milestones.

Evaluating Vendor Integrity

In this scheme, unscrupulous vendors misrepresent their credentials, experience, and ethical standards during the evaluation phase. The intentions behind this scam often involve gaining trust, securing contracts, and subsequently delivering substandard or fraudulent white-label app development services.

Intentions of the Scammers

Gaining Trust

The primary intention is to gain the trust of potential clients during the evaluation phase by presenting a facade of expertise, experience, and integrity.

Securing Contracts

By presenting a misleading image of credibility and competence, scammers aim to secure contracts and agreements, luring clients into partnerships based on false representations.

Maximizing Profit

After securing contracts, scammers may deliver substandard or fraudulent white-label app development services, maximizing their profits at the expense of client satisfaction.

Avoiding Accountability

Scammers seek to avoid accountability for their misrepresented capabilities by creating a facade of integrity during the evaluation phase, making it difficult for clients to challenge their credentials later on.

By adopting these precautions, businesses can guard against the “Evaluating Vendor Integrity” scam and make informed decisions when choosing a white-label app development partner. Verifying the integrity of a vendor during the evaluation phase is crucial to establishing a trustworthy and reliable partnership.

Precautions

  • Background Checks: Conduct thorough background checks on the vendor, verifying credentials and claimed achievements.
  • Client References: Request and contact references directly to validate the vendor’s track record.
  • Independent Verification: Seek independent verification of the vendor’s reputation through industry forums and reviews.

Contact us today to embark on a journey that prioritizes your success. Let’s build something exceptional together—your app, your way, with Elluminati by your side, ensuring transparency throughout the partnership.

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Elluminati: Your Trusted Partner in White-Label App Development

At Elluminati, we pride ourselves on being a beacon of transparency, integrity, and reliability in the white-label app development industry. In stark contrast to the prevalent scams that have unfortunately affected numerous clients, we believe in setting a standard that prioritizes honesty, reasonable pricing, and genuine commitment to our client’s success.

Our Offerings

Elluminati operates on a simple yet powerful principle - clarity in pricing and quality in delivery. Our pricing structure is reasonable, clearly defined, and devoid of any hidden charges. When you choose Elluminati, you can expect:

Transparent Pricing: A detailed breakdown of costs with no surprises. We believe in providing upfront and honest pricing without any hidden fees.

Defined Package Offerings: Our packages encompass comprehensive services, including feature-rich app development, thorough testing, and postlaunch support. We lay out our offerings explicitly, ensuring you know exactly what you’re getting.

Client Alerts Against Scams: Having witnessed the unfortunate consequences of industry scams, we make it a priority to alert our clients against falling victim to deceptive practices. We believe in educating our clients to make informed decisions.

Principles and Motives

Integrity: Our commitment to integrity is unwavering. We operate with complete transparency, honesty, and fairness in all our interactions.
Client-Centric Approach: Your success is our success. We prioritize your requirements, and our team collaborates with you to understand and meet your unique needs.

Experience and Empathy

Having interacted with clients who have faced the aftermath of scams in the industry, we understand the challenges of finding a genuine partner to take charge of your tech platform. At Elluminati, we offer more than just technical expertise; we bring empathy and a genuine desire to rebuild your trust and deliver on our promises.

Assurance from Elluminati

Mark our words—when you choose Elluminati, promises are not just made; they are kept. We commit to delivering proper outputs, working together with you at every step, and ensuring your satisfaction with the final product.

In a landscape filled with uncertainty, Elluminati stands as a reliable partner dedicated to transforming your vision into a reality. Choose us for app development that prioritizes trust, reliability, and excellence.

Ready to experience a new era of white-label app development marked by transparency, reliability, and genuine commitment? Join hands with Elluminati, where your vision meets reality and promises are not just made but kept.

Want to build a high-tech product? Check what we can do for you.

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