Supermarket Strategic Alert: Branding & Private Label
Source: Supermarket Strategic Alert
Although new product introductions have fallen for three consecutive years,
supermarket shelf stock is changing. Retailers are increasing their private label
offerings…and shoppers are embracing them as the economic environment turns
downward. Another sure sign of the economy slowing: package sizes are getting
smaller as prices remain constant.
Research, however, is proving that more products are not necessarily what the customer wants. In fact, when confronted by too many choices, they are overwhelmed, shut down and tend not to buy. Packaging, however, is enticing people to buy—especially for portable foods requiring only one hand to eat and no time to prepare. Price is less relevant when convenience is critical.
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