Archive for Tesco
Cheers to Private Brand Beer.
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A new report by research agency Canadean reveals that Private Brand beers are gaining market share on their branded rivals in Western Europe. However, while Private Brands’ share may be rising, volumes are not, a reflection of Private Brand products falling at a slower rate than branded products.
While the market share of Private Brand brews has increased from 5.2 percent in 2004 to 7.2 percent in 2009, Canadean attributes much of that “growth” to a less “traumatic” downturn.
Indeed, in 2009, branded beers fell at roughly three percent in overall volumes, compared to one percent for private label beers. The recession has had a marked effect on alcohol consumption in Europe, with volumes of on-premise drinking (bars and restaurant) down sharply. By contrast, private label beers are almost exclusively sold in supermarkets and thus have resisted much of the impact of on-premise consumption decreases.
Private Brand beer penetration overall in Europe is low—7 percent—as the leading European brewers are supported by substantial marketing budgets and there is an abundance of discount brands. It is highest in Spain (15 percent) and France (17 percent), countries whose residents, Canadean speculated, view private label brands as more of a commodity. Additionally, on-site beer consumption in France is 25 percent lower than the regional average, so consumers are more exposed to private label brands at markets.
The report concludes that further growth share of Private Brand beers is likely, due to off-premise consumption that continues to rise.
Cool Private Brand Designs from Tesco.
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Over the last few years the English retailer Tesco has released some great Private Brand products and more often than not great Private Brand package designs. These designs from design agency, Taxi Studio make me wonder, “How long will it take some of these designs to be mimicked in American stores.?”
White Space Takes Over Private Brand. Walmart, Tesco & Publix
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In this article from AdAge published today, Monday, September 7, the magazine takes a look at the recent changes in Walmart’s Private Brand Great Value. Although much of the article has been written in one format or another over the last few months, the article includes a few interesting thoughts from the Adage writer, Jack Neff.
“Great Value isn’t trying to pass itself off as a clone of the brands it competes against; that bland whiteness aims to set the brand apart with a distinct look and identity.”
“Walmart, more often a creative follower of its retail competitors, has been a leader this time. A revamp of Target’s entry-level store brand as Up & Up is hitting shelves a few months behind the new Great Value, and bears a remarkably similar plain-white resemblance.”
White packaging is nothing new and I would instead argue that both Walmart and Target are on the down slope of this trend. With European retailers like Tesco starting the trend and Florida grocer Publix perfecting the elegant simplicity of white-based packaging; Walmart’s attempt is ten years in coming. It may turn out to be the “jumping the shark” moment of white packaging systems for Private Brand. The more recent introduction by French retailer Carrefour of a remarkably similar design could be the death knoll of the white based Private Brand designs. If not the English retailer Budgens, Good Value line certainly should be.
Long term the larger impact to Private Brand Strategy comes from the first quote from the AdAge article: “Great Value isn’t trying to pass itself off as a clone of the brands it competes against.” A unified design system that differentiates Private Brands from their National Brand shelf mates is a significant long-term strategic shift. It signals a changing mindset for retailers, although “me too” Private Brands will continue to exist the need too innovate and differentiate becomes more critical everyday for retailers struggling to give shoppers a reason to chose them over their remarkably similar competitors.
I look to Publix, whose white-based packaging should be due for a redesign soon, for the next evolution in Private Brand package design. Their marketing and design team should be up to the task.
Why Walmart’s Great Value Changes the Game
Retailer Revamps Store Brand to Make It Stand Out From Competitors
The recessions of the 1980s gave us black-and-white generics; this one has given us Great Value.
While Walmart’s redesigned, repackaged and reformulated store megabrand has drawn some unflattering comparisons to those generic brands, to write it off as similar not only misses the point but underestimates its potential impact. The new Great Value is a game changer, not simply because of its size — the brand is estimated to be larger than $10 billion — but because its novel approach to store-brand packaging and merchandising. Great Value isn’t trying to pass itself off as a clone of the brands it competes against; that bland whiteness aims to set the brand apart with a distinct look and identity.
Chicken Lick’in Private Brand Candy from Tesco
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Take a look at these fun new candy packages created for the English retailer Tesco by designer Gavin Greenhalf. With illustrations and names aimed at 3-7 year old children it extends the Tesco Private Brand in a playful way.
If you enjoyed this post, get FREE updates when you subscribe to Myprivatebrand’s Blog by Email.Is Private Brand Loyalty Permanent?
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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:
If you enjoyed this post, get FREE updates when you subscribe to Myprivatebrand’s Blog by Email.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”.
Private Brand Surges to 41% in England.
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This article from the London daily The Times reports on Private Brand growth in England and presents numbers provided by Datamonitor. According to the article: “that 41 per cent of all grocery sales at the end of July were own-label, up from 38.2 per cent in 2008.”
Own-label sales rise as shoppers rein in their spending
Figures by Datamonitor show that 41 per cent of all grocery sales at the end of July were own-label items
Packaged in cheap yellow or striped plastic, supermarket own-label groceries used to be avoided at all costs by the affluent shopper.
Yet as recession continues and the image of private-label products changes, these goods are gaining market share from their branded counterparts. Figures provided to The Times by Datamonitor show that 41 per cent of all grocery sales at the end of July were own-label, up from 38.2 per cent in 2008.
Own-label goods are 22 per cent cheaper than brands on average, according to Datamonitor, so it is not surprising that cash-strapped consumers would buy them in a recession.
Read the entire article. Own-label sales rise as shoppers rein in their spending
New Private Brand Ice Cream Tastes Great for Tesco.
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Tesco the English retailer who less than two years ago entered the US with stores in the West operating under the name ‘Fresh and Easy’ last week introduced redesigned premium Private Brand ice cream packaging.
The new designs are targeted at customers who would otherwise purchase national brand premium and super premium ice creams such as Ben & Jerry’s and Häagen-Dazs. The London design firm R Design created the new design. According to Designer Gareth Roberts the one-liter plastic tubs will feature “quirky and playful” designs including original illustrations and typography.
Credits: The DieLine & Packaging News UK
If you enjoyed this post, get FREE updates when you subscribe to Myprivatebrand’s Blog by Email.Great Holiday Commercials from Across the Sea!
Posted by: | CommentsIt’s Christmas Eve and I probably won’t post again for a few days so I thought I would leave you with a few great Christmas commercials from some European grocers.
A Great Commercial from Waitrose
A unusual, but well done commercial from Delhaize
Very Funny from Tesco
And a fun lifestyle ad from Marks & Spencer
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