A majority of consumers — 85 percent — say they trust private brands at least as much as national brands, and 74 percent believe private brands are now a better value for the money, according to Daymon’s 2018 Private Brand intelligence Report.
The increase in private brand sales has everything to do with how certain retailers have managed to build trust with shoppers. A major turning point for private brands has been the proliferation of online shopping. Consumers now have the ability to easily compare products and prices, and private brands offer security to shoppers who want a quality product without paying a premium just to have a brand’s name stamped on the packaging.
CONNECT private brands to local and cultural roots by engaging inside and outside of the store to promote interaction across the shopping journey from pre- to post-shop.
FIND ways for consumers to play a more active role in creating their own solutions with private brands.
INSTITUTE wellness initiatives that create linkages between departments—food, health and beauty, and pharmacy—while incorporating private brand products and services as key pillars.
DETERMINE how private brands can link to the on-demand consumer through new technology-enabled services that complement and/or supplement the grocery shopping experience.
ENSURE that your unique service offerings are as important to your private brand portfolio as your products.
MODERNIZE loyalty programs with new incentives and engagement vehicles to drive private brand purchase. Use social media as a store and product advocate.
EXPAND programs to departments that have been traditionally underdeveloped in the private brand category such as fresh foods, general merchandise, alcoholic beverages and apparel.
RE-THINK the four Ps (product, price, promotion and place) of your private brand portfolio and develop guidelines that will optimize the performance of the program across the store.