This week grocery trade magazine Supermarket News published a story on the growth of Private Brand in HBC. According to the story the growth of Private Brand over the counter medicines has been spurred by the bad economy the growth of instore clinics. I would add the significant National Brand OTC recalls to the list.
The recession has led to a steady increase in over-the-counter medicine sales, but private-label brands are enjoying most of the benefit
When struck with coughs, colds or the flu, shoppers are becoming more likely to seek advice from their supermarket pharmacist and turn to over-the-counter remedies for relief.
The reasons are straightforward. In-store clinics have become more prevalent. And, the prolonged recession has caused many people to lose their health insurance, and led many others to avoid copays for doctor’s visits and prescription drugs for less serious illnesses.
“The recession has also aided sales [of OTC medicines] because more consumers are on a budget and may turn to OTC remedies for their symptoms instead of opting for costly doctor visits or insurance copayments. And, because consumers are hyper-conscious of missing work and consequently earning smaller paychecks, they turn to OTC remedies to help them get through their workdays,” notes a May report on the state of the Cough and Throat Remedies market from Mintel International.