GfK Custom Research grocery Nielsen PLMA

Who Is Today’s Private Brand Shopper? PLMALive!

This month’s edition of PLMALive! The video magazine from the Private Label Manufacturers Association, “Who Is Today’s Primary Shopper?” The piece takes a look at the challenge of understanding today’s primary consumer. That’s why PLMA commissioned GfK Roper to survey consumers themselves and find out who is actually doing the shopping. Jodi Daley and PLMA president Brian Sharoff follow the trail with special interviews with James Russo, Sr. Vice President, Global Consumer Insights at Nielsen and Bryan Gildenberg, Chief Knowledge Officer at Kantar Retail.


Planet Retail

Global Private Brands: Trends to watch in 2013

\"\"The ever-changing retail landscape requires flexible responses. We\’re witnessing stores getting smaller and Private Label ranges broadening, and growing shopper demands but smaller budgets. So what does all this mean for Private Label?

Wednesday, November 28, 2012 3:00 PM – 4:00 pm GMT,  tune into the last in the series of Planet Retail and Trace One’s private label webcasts as Matthias Queck, Research Director, Planet Retail and Nick Martin, Senior Vice President, Trace One present “Global Private label: The grocery trends to watch out for in 2013.”

This webcast will help you:

  • Discover key trends that will shape private label development in the coming years
  • Ascertain the future of tiering in grocery private label retailing
  • Take inspiration from best practice examples
  • Identify key findings and implications

Register Today!


SymphonyIRI Announces Times & Trends Webinar

\"\"SymphonyIRI announced a webinar for their newest report, “TIMES & TRENDS: REVERSAL OF FORTUNE, \"\"National Brands Pick Up Gains on Private Labelhosted by Susan Viamari, Editor of Times & Trends, SymphonyIRI Group, Thursday, November 29th, 1:00 to 2:00 p.m. ET. The dramatic title continues the research trend of approaching the robust development and growth of customer focused Private Brand portfolios as if they are all the same. The report is sure to drum up a lot of profitable national business and hope but listen closely to the numbers and make your own assessments

Webinar Description:
It’s no secret that the struggling economy has been a boon for marketers of private label products. Not content to coast on increased consumer acceptance as a way to cut costs during the recession, retailers have intently focused on growing their store brand programs.  National brand manufacturers, meanwhile, have developed new strategies to protect their brands from private label encroachment by offering new value, quality and innovation.

Are you leveraging the right strategies to ensure your company’s success amid the fierce battle between national brands and private label products?

Based on SymphonyIRI’s newly released Times & Trends report, this webinar explores current and emerging trends around private label, as well as national brand efforts to protect and grow their position in the CPG marketplace.  This session digs even deeper and broader into this story than past private label analyses, with expanded coverage, which includes Walmart, military commissaries and select club and dollar retail chains as well as the traditional food, drug and mass outlet coverage historically included in Times & Trends analyses.

  • Understand the shoppers’ views and behaviors in relation to private label to ensure your products or stores best meet their definition of value.
  • Discover pockets of growth opportunity for your products among categories and stores.
  • Tailor marketing and product development efforts to address prevalent needs and wants across target shoppers.

Register Now!


Private Brand Continues to Grow in Europe

\"\"While Private Brands continue to grow across Europe, national brands are fighting hard to protect their share of the market, reveals a report launched today by grocery market measurement and consultancy firm SymphonyIRI Group.

The report – Private Label in Europe 2012 – shows that retailers’ Private Label (PL) share is still rising across Europe with an average value share of 35.6% and a unit share of 45.1%. The highest country value share is in the UK at 50.5%.

In Greece, PL has doubled its market share by value over the last five years to 14.3%. Even in France, where shoppers are less price-sensitive and national brands (NB) are still driving value sales growth in almost every category, consumers are beginning to switch to PL in larger numbers. An increase of 0.2% drives the value share of PL in France to 30.0%. Germany, with its strong economy, is the only country where NB are also driving unit sales. Although in other countries, PL sales are down in certain categories.

The way PL is perceived by shoppers has changed. The quality, variety and range of products is improving, retailers are awarding PL more prominence in-store to secure greater margins at the expense of small and mid-ranking NB, and they are spending more on marketing to reiterate that buying PL does not mean compromising on quality. Persuaded by these arguments, consumers are becoming less brand conscious, which is impacting loyalty – in Italy, for instance, 57% of shoppers now change their brand ‘very often’, up from just 16% in 2004.

Manufacturers are responding to the continued growth of PL with clever promotion and pricing strategies, the re-engineering of lines and the launch of new variants. They are also spending more time developing and adjusting their portfolio and how they approach individual retail chains.

So despite the progress of PL, NB is still influential in many categories, often acting as category ‘sponsors’ and ‘signposts’ to tempt shoppers. However PL is responsible for a disproportionate share of growth in relation to its share of the market: in Italy, for instance, PL makes up almost 17% of total sales but was responsible for 40% of the value growth in the market.

“We are seeing dynamic change in what is already the most mature PL market in the world,” said Rod Street, Executive Vice President of International Consulting at SymphonyIRI Group. “However, almost all shoppers will continue to fill their shopping baskets with a mix of PL and brands. As a result in many categories PL could reach a ceiling regardless of how far retailers promote it.”

He continues: “Growth can only come if retailers and FMCG manufacturers have a deep understanding of what makes the grocery shopper tick, and are brave about innovation, which will be crucial to driving sales. Food manufacturers in particular need to review their brand propositions for saliency and value in the face of continued pressure on shoppers. This means working in partnership to analyze and act on shopper behavior, market insights and trends.”

The report explores current and emerging private label trends across Europe. It looks at key indicators such as the value and volume share of private label as well as the price and promotions pressure for FMCG products across seven European countries (France, Italy, Spain, the United Kingdom, Germany, the Netherlands and Greece). It covers grocery sales for the year ended 16 June 2012.

Source: www.internationalsupermarketnews

All Other CBX Perception Research Services

Private Brands Are The \”New Normal\”

\"\"The just completed wave of shopper research on Private Brand usage conducted by Perception Research Services (PRS), shows the vast majority of shoppers still purchase some Private Brand products on a regular basis (86% – on par with the 84% seen in November 2010).  This is true across income groups and other types of classification.

The latest data shows more types of Private Brand being purchased as significantly more shoppers claim to have bought more Private Brand products than they did in 2010 (38% vs 32%), and reported purchasing 54% more product categories (7.4 vs. 4.8).

High levels of Private Brand purchases continue for paper products, cereals, cleaning products and canned and frozen vegetables. And for the first time, cookies and salty snacks have now moved into the top tier of regularly purchased private label products as well.

Overall, the largest gains seen for Private Brand penetration were for:

  • soft drinks (carbonated & non- carbonated)
  • salty snacks
  • frozen meals
  • vitamins/medicines
  • cookies

Importantly, shoppers report feeling good about buying Private Brand products. Over half (51%) say they feel smart/savvy when they buy private label products; and very few – only 11% – say they feel self-conscious, with almost none – 3% – saying they feel embarrassed when doing so.

In some cases, shoppers are willing to go out of their way to buy some Private Brand products. This is especially true at specialty stores such as Trader Joe\’s and Whole Foods – known for high quality, distinctive offerings. This suggests that with the appropriate level of product innovation, private label products can turn a retail chain into a shopping destination.

However, within typical channels, there are some categories for which shoppers are resistant to buying private label, as roughly one third stated they would not buy Private Brand versions of each of the following:

  • personal products
  • vitamins/medicines
  • frozen meals

It would seem these types of products represent a bit more \”risk\” if the product quality is sub-par and in standard venues such as Grocery and Mass (where most private label purchases are made), the perceived quality seems lower in these categories.

\”In the major economic decline of the late 1920\’s, the rallying cry was \’a chicken in every pot\’. In these days of ongoing financial difficulty and uncertainty, it\’s more like \’a private label product in every cupboard,\’\” according to Jonathan Asher, Executive Vice President of PRS.

\”It used to be that buying private label products was a way to save a little money during the grocery trip – with many of these products bought by those in severe economic straits, or just a handful of them bought by many. Now, these products offer both cost savings and product quality across many categories, increasing their penetration and frequency as shoppers feel good about buying them – even if they don\’t feel the need to do so for economic reasons,\” he continued.

Mr. Asher states, \”It seems as if creating product innovations is the key to success – for Retailers to achieve additional growth in those categories that have been met with some resistance, and for National Brand Manufacturers, who must give shoppers a meaningful reason to pay more for their offerings. In the long run, increased innovation will be a winning formula for all.\”

This latest wave of research was conducted in April 2012 across the U.S., among roughly 600 primary household grocery shoppers aged 18-64.

Don’t miss Jonathan Asher, Executive Vice President, Director of Account Management, Perception Research Service at the PLBuyer: Private Label: the Next Generation Conference next week June 5-7, 2012, at the Hilton Chicago. He will be presenting with Todd Maute, Partner, CBX:

Packaging as a Marketing Tool
The Next Generation of Private Label uses packaging as a key marketing tool to convey brand essence and image. Learn how research and design are the foundation of building strong brands.