The London based retail trade magazine Retail Week reported yesterday that the growth in sales in English Private Brands is likely to slow but the shift in loyalty from national brands is permanent.
However Verdict predicts that, after the recession, Private Brand growth will slow, although consumers will continue to be attracted to premium Private Brand products including: organics and fair-trade products.
According to the article:
Simon Chinn, co-author of the report, said: “As consumer confidence is slowly returning in some markets, consumer purchasing behavior will become more polarized, with premium private labels gaining more traction again.”
It found that, at the value end, ranges will “lose momentum and shelf space, as the novelty factor wears off, although they will not disappear altogether”.