The Wall Street Journal published an article this morning taking a look at organic foods and Private Brand focusing on the efforts of Supervalu with their Wild Harvest brand, Newflower Market, Sprouts Farmers Market and Whole Foods. As we emerge from a very difficult economic time Private Brand natural and organic products have the opportunity to become differentiators for retailers struggling for relevance. In many categories there are either no national brands or very weak players retailers should take advantage of this today!
Organic Foods Get on Private-Label Wagon
As More Shoppers Pinch Pennies, Grocery Chains See ‘Natural’ Expansion of Store Brands
Organic farmers and grocery retailers are embracing the idea of lower-cost, private-label products to retain newly budget-conscious consumers.
Supervalu Inc., the fourth-largest U.S. food retailer by sales, expanded its Wild Harvest organic brand to 312 items, from 150 last spring. Safeway Inc., the third-largest U.S. food retailer , last fall began selling its organic food brands to other retailers.
Private-label organics have “broken some price barriers for shoppers, and everyone is price sensitive these days,” said Mike Gilliland, chief executive of Newflower Market Inc., a natural-grocery chain based in Boulder, Colo., with 25 stores.
Read the Entire article: Organic Foods Get on Private-Label Wagon