There was a time when consumers thought private label brands were just generic, cheap alternatives. But now, against a backdrop of rising product costs and stock-outs, consumers are embracing these viable options. At the same time, retailers have been ramping up quality, creating enticing packaging, and enhancing marketing for their in-house brands. Together, these developments make private label offerings a more important part of retailers’ strategies.
Key Question: How are private label brands critical to the success of multibrand retailers in a fragmented market?
KEY STAT: US consumers have recently switched to—and stuck with—private label brands across a variety of product categories, from consumer packaged goods to apparel.
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