Take the Plunge: Fully Commit to Private Brands and Reap the Benefits
By Todd Maute
Commitment can be a sticking point when it comes to retailers and their private label brands. After all, making a serious commitment usually requires a willingness to sacrifice and take risks—and that can be scary.
True commitment also needs to be multidimensional. In retail, this involves fully supporting the brand, not just at shelf, but also within the broader context of the store and through the full gamut of available advertising, marketing and branding channels. Yes, the shelf is (and will continue to be) extremely important. But if merchandise amounts to, say, 80 percent of what consumers see in the store, what about the other 20 percent of that multi-sensorial customer experience? If a retailer has a clearly tepid commitment to their private label, it is hard for consumers to be passionate about the products. What has the retailer done with its signage, décor, graphics, color schemes or even olfactory environment to reinforce its private label brands? How many touch points inside or outside the store offer cues that reinforce the carefully selected attributes of that private label line?
When retailers do take the plunge and fully commit their resources to a portfolio of private label brands, […]