Category: RESEARCH

Categories
Nielsen

Nielsen Private Brand Outlook: US and Canada

\"\"In two separate reports, Nielsen looks at the impact the economy has had on consumers and private label growth in the U.S. and in Canada.

In the US, the not-so-Great Recession turned into a windfall for private label, stimulating consumer interest in and directing retailer focus on store brands. But since the end of 2008, private brand share growth has flattened as brands stepped up their promotion support and innovation efforts.

Open just about any cupboard in Canada, and you’ll find a private label product on the shelf. Despite posting $11.6 billion in sales and achieving nearly 100 percent penetration, Canadian private label products lagged behind total market growth as of August 2011.

Nielsen-Private-Label-Outlook-US.pdf
Private Label Outlook – US

Nielsen-Private-Label-Outlook-Canada.pdf
Private Label Outlook – Canada

Categories
RESEARCH

Global Food and Beverage Survey 2012 Features Private Label Manufacturing and Innovative Packaging & Trends

\"\"Reportlinker.com announces that a new market research report is available in its catalogue: The Global Food and Beverage Survey 2012: Private Label Manufacturing and Innovative Packaging, Trends and Opportunities, Budget Allocation and Key Growth Markets

Synopsis
The report is based on primary surveys conducted by Canadean accessing its B2B panels comprised of senior business decision makers. The opinions and forward looking statements on private label manufacturing and innovative packaging of 308 industry executives are captured in our in-depth survey, of which 53% represent directors, C-level executives and departmental heads.

The geographical scope of the research is global – drawing on the activity and expectations of leading industry players across the Americas, Europe, Asia-Pacific, Africa and Middle East.

The report analyzes the future growth of private label products, key demand drivers, advantages of private labels to manufacturers, new trends in private label manufacturing and projected change in sales of private labels. Additionally, this report also grants access to the opinions and strategies of business decision makers and examines their viewpoints on new packaging trends and their key drivers along with packaging techniques that ensure food safety. Furthermore, the report explores trends in expenditure on new packaging solutions, sustainable packaging initiatives and key demand drivers for environment friendly packaging in the global food and beverage industry.

Key topics covered include private label manufacturing in food and beverage industry and its future growth in 2012. The report also includes in-depth analysis on the principal drivers of private label products, their advantage to manufacturers and key markets for growth. The report also provides the reader with information on new trends in private label manufacturing including expected change in sales. Furthermore, the report also identifies new packaging techniques being used in the food and beverage industry to address food safety and trends in expenditure on new packaging solutions. The report also analyzes new packaging trends and key demand drivers for environment friendly packaging including popular materials used for sustainable packaging.

In this report, buyers identify the future growth of private label products; along with the new trends in private label manufacturing, and projected change in sales of private labels. Furthermore, this report also provides information on new packaging trends and their key drivers along with packaging techniques that ensure food safety.

The report provides qualitative analysis of Private Label Manufacturing and Innovative Packaging Trends and Opportunities, Budget Allocation and Key Growth Markets and also contains the full survey results.

Summary
\”Global Food and Beverage Survey 2012: \”Private Label Manufacturing and Innovative Packaging, Trends and Opportunities, Budget Allocation and Key Growth Markets\” is a new report by Canadean that analyzes principal drivers of private label products, their advantage to manufacturers and key markets for growth. The report also provides the reader with information on new trends in private label manufacturing including expected change in sales. Furthermore, the report also identifies new packaging techniques being used in the food and beverage industry to address food safety and trends in expenditure on new packaging solutions. The report also analyzes new packaging trends and key demand drivers for environment friendly packaging including popular materials used for sustainable packaging.

Scope
The report features the opinions of food and beverage industry respondents related to the following:- Prerequisites of private label agreements- Demand drivers for private label products- Key advantages of private labels to manufacturers- Key markets for growth of private label products- New trends in private label manufacturing- Expected change in sales of private labels- Key packaging materials- Packaging techniques for food safety- Expenditure on new packaging solutions- Important trends in packaging and its key drivers- Key demand drivers for environment friendly packaging and materials used for sustainable packaging

Key Highlights
The important demand drivers for private label products are \’better price\’, \’better value for money\’, \’better quality\’ and \’convenient package sizes\’.- Survey results show that 54% and 69% of food and beverage manufacturer respondents respectively expect sales of private labels to increase between 1% and 5% over the next 12 months. – According to food manufacturers, the most popular sustainable packaging materials are \’paper and board\’, \’glass\’, \’bioplastics\’ and \’degradable plastics\’.

Categories
RESEARCH

New Research: Marketing spend is good, more marketing spend is better

\"\"New research published in the Journal of Marketing attempts to explain how national brand marketers can protect market share and better compete with cheaper private label goods. The research further clarifies what every national brand and Private Brand marketer in America could already verify. “Marketing spend is good, more marketing spend is better.” The recommendations the study makes are almost universally true no matter who owns the brand or product. Yet it continues to validate a number of erroneous assumptions:

  1. Americans know who owns the brands they buy.
  2. Americans care who owns the brands they buy
  3. Private Brands are always cheaper copies of national brands.

In economic downturns, consumers are more receptive to the lure of private label packaged goods, which are often priced anywhere from 20% to 60% less than their branded counterparts. Because of consumers\’ price sensitivity in hard times, those are the times where private label brands can more easily capture market share. New research that analyzes sales data for products in more than 100 product categories shows how marketers\’ behavior during economic upswings and downswings impacts the popularity of private labels. The research, published in the January 2012 issue of the American Marketing Association\’s Journal of Marketing, also advises marketers on what they can do to take or protect share.

In analyzing more than 20 years of market share data, study authors Lien Lamey, Barbara Deleersnyder, Jan-Benedict E.M. Steenkamp author of the now classic book, “Private label strategy: How to meet the store brand challenge” and Marnik G. Dekimpe found that national marketers, through their actions in tough times, give ground to private label brands by cutting ad and promotional spending and holding back on product innovations that could help differentiate their products from private labels sold at cheaper prices. \”In contractions, national brand promotional activity declines relative to private-label activity, just when brands need it the most,\” the authors write. \”This results in a significant increase in private-label share in recessions, which subsequently leaves permanent scars on national brand performance.\”

The authors say brand manufacturers should try to maintain–or if possible even raise–current marketing spending during downswings because marketing plays an important role in helping protect market share. The authors suggest brand marketers work with retailers to run more price promotions on their national brands or lower prices temporarily to narrow the price spread between branded products and private labels.

The authors say retailers marketing their own private label products are getting it right by expanding retailer marketing and promotional activity in a way that gets their store brands into customers\’ carts. They say by getting customers to consume private-label products store brands will gain more customers and it will be difficult for brand manufacturers to win them back, even when the economy recovers.

More of the study\’s findings can be found in the article \”The Effect of Business Cycle Fluctuations on Private-Label Share: What has Marketing Conduct Got to Do With It?\” in the AMA\’s Journal of Marketing.

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Categories
Planet Retail

Private Label 2012: The Year of the Consumer the Webcast

\"\"Planet Retail is starting the New Year with a brand new webcast, Private Label 2012: The year of the consumer. Today’s customers are savvy, well informed and have higher expectations of food retailers. They are proud to be frugal and expect retailers to help them save money. These shoppers are trading up or down whenever they want, switching from brands to private labels (and sometimes back), as they are armed with a glut of information and empowered by price transparency. Fuelled by technology and social media, one of the biggest changes to have occurred in recent months is the rise of customer endorsement.

Tune-in to discover six key trends that will shape the world of Private Brand in 2012 and beyond:

  • Customer endorsement
  • Cherry picking the tiers
  • Technology
  • Brand emulation
  • From exclusivity to ubiquity
  • Globalisation

We all know that today\’s customers are savvy, well-informed and have higher expectations of food retailers. With the rise of customer endorsement in recent months, we\’re asking: Are you prepared for consumers in 2012?

Register for session one

Register for session two.

Categories
Planet Retail

Private Brand, 2012: Is this the year SHE matters?

\"\"Planet Retail’s new report looks at six key developments that will shape the landscape of Private Brand in 2012 and beyond.

Today’s customers are savvy, well informed and have higher expectations of food retailers. They are proud to be frugal and expect retailers to help them save money. These shoppers are trading up or down whenever they want, switching from brands to private labels (and sometimes back), as they are armed with a glut of information and empowered by price transparency. Fuelled by technology and social media, one of the biggest changes to have occurred in recent months is the rise of customer endorsement.

\"\"Building on the success of last year’s private label report, our latest update Private Labels, 2012: The year of the consumer, looks at six key developments that will shape the world of Private Brands in 2012 and beyond. These trends include:

  • Customer endorsement
  • Cherry picking the tiers
  • Technology
  • Brand emulation
  • From exclusivity to ubiquity
  • Globalization

Use this report to:

  • Forecast private label penetration across key markets;
  • Discover how key trends are used to drive private label to new levels;
  • Take inspiration from best practice examples around the globe to build shopper loyalty – from Loblaw in Canada to Migros in Switzerland; and
  • Understand the importance of private labels for the world’s key grocery retailers including Walmart, Carrefour and Tesco.
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