In this feature from PLMALive! I take you on a tour of the private brand world with some personal insights for color.
Private Label Globe Trotting
The United Kingdom, Canada and the United States traditionally dominate the private brand conversation. Retailers like Tesco, Loblaw and Kroger have set the standard for evolution of private brand, however they are only a fraction of the global story. Retailers around the world have stepped up their game and are redefining what it means to be a private brand.
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PLMA’s 2015 International Private Label Yearbook shows widespread market share gains in 14 of the 20 countries tracked by Nielsen.
The market share increased in the United Kingdom, Germany, The Netherlands, Belgium, Denmark, Norway, Spain, Italy and Turkey. Five central and eastern European countries — Poland, Austria, Czech Republic, Hungary and Slovakia — all improved their performance as well. Impressively, Switzerland recorded the highest volume share at 53% with Spain coming in just behind at 52%. The United Kingdom, Germany, Austria, Belgium and Portugal all achieved volume shares of 40% or more.
But the numbers are only a small part of the story. Groundbreaking private brand development and product development has emerged at retailers in every corner of the world from Hong Kong to Angola. Spain’s impressive 53% volume share is brought to life with consumer-focused modern brands from grocers like El Corte Inglés & Eroski. The later has set a new standard for private brands globally with a portfolio of brands that includes their playful, witty and differentiating eponymous brand and their beautiful HBC brand Belle.
Over the last few years, Australia and New Zealand consistently raised the bar for private brands. Cooperative Foodstuffs has won numerous international design awards for its Pam’s private brand, including both the Vertex Awards and the Dieline Awards. Woolworths has launched or relaunched brands ranging from their award-winning electronics brand, Hub, to premium specialty foods in Woolworth Gold. An innovative licensing partnership with celebrity chef Jaime Oliver brings consumers, Created with Jaime, scrumptious, easy-to-cook dishes, using the freshest seasonal ingredients and committed to the highest welfare standards of animals.
Travelling around the world, it is virtually impossible to miss groundbreaking examples of international private brands. Whether you shop at Mannings-Guardian in Hong Kong, Sonae MC in Portugal, Eurocash in Poland, Cotia in Angola or Spar and Jumbo in the Netherlands, each have raised the bar for branding and package design.