27 May 2005

Own Branding (Part I)

Drivers of Growth:
  • Product Category Characteristics
It is easy to make from commodity ingredients
The product is an inexpensive, low-risk purchase
  • New Product Activity
Manufacturer brands are offered in few varieties, so the retail brand offers clear alternatives
Consumers can easily make side-by-side comparisons of manufacturer and retailer brands
  • Retailer Brand Characteristics
Distribution is well managed
Consumers have confidence in their ability to make comparisons about quality
  • Price and Promotion Factors
Price gaps between national brands and private labels are wide
Retail margins in the category are relatively high
  • Retailer Characteristics
The retailer has the size and resources to invest in high quality, own brand development

If anyone would like further examples of the drivers of retail brand growth, please let me know either via comments or email, and i would do my best to post them as soon as possible.

No comments: