Yesterday Forbes contributor Denise Lee Yohn published her annual “Brands to Watch In 2020” article. Her annual alphabet-correlated list highlights what she believes will dominate the headlines in 2020. The list, of course, starts with A for Amazon and ends with Z – Zocdoc.
Her entry for the letter X highlights private brands. Although it perpetuates the worst old school private label/generic clichés it does highlight the increasing importance of retailer-owned brands in 2020.
“X – as in no brand or private label goods. The battle between retailers such as Aldi and Amazon and packaged-goods (e.g., P&G and Unilever) and food giants (e.g., Kraft and Nestle) has increasingly been one fought over direct customer relationships — and now retailers seem to winning with private label brands, which grew four times faster than national brands last year. Target’s 20 new exclusive brands have played a critical role in that company’s successful turnaround. And Trader Joe’s and Costco’s own branded products have sustained the popularity of their stores in the e-commerce era. Consumer product makers continue to fight back with acquisitions of direct players (e.g., personal care company Edgewell snapped up shaving market disruptor Harry’s) and development of their own channels (e.g., P&G’s Everyday website.)”