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Show Them your Private…Labels

Over the past few years private labels sales have continued to trend upward. Many factors have contributed to this with one of the biggest drivers being that consumers are no longer staying loyal to established brands. Millennials have really shaken up the grocery industry by being more likely to purchase private label products over name brands. Also, the stigma that private label brands are lower quality or cheap is starting to disappear. Private label products have also started branching out from mainly focusing on commodity items. Now you can find superior products and even organic offerings.  Consumer acceptance of private label has is at an all-time high. According to Nielsen research 65% of shoppers find them as good as name brand products and 43% consider private label quality better. So, with all of this to consider it would be highly important to have a strategy to take advantage of the private label brands in your store.

Kroger has taken on this challenge with their private label Treasure EmporiYum. Having put together a brand strategy that merges center store, shelf signage and online content to promote their exclusive brands. Their center store displays have real stopping power that draws in the customer and breaks up shopping habits. Whether it’s their unique end cap or a fridge fixed with a backlight sign showcasing a recipe whose ingredients are located in one area it catches shoppers’ attention. Kroger’s shelf signage also makes it fun to look for and find their EmporiYum products at the shelf by marking them with shelf signs that read “X marks the spot” They have come up with a unique way to highlight their private brands. To showcase their private label products, they offer a print or digital magazine that explains in detail the products that were chosen, ingredient information and recipes. Treasure EmporiYum also has a strong online presence allowing customers another cannel to connect. I use this as an example not only because Kroger is a major competitor but because of how cohesively and successfully they are promoting their own brands.

Best Choice, Always Save, Clearly Organic and Superior Selections are AWG’s private label brands. Partnering with the marketing team you could put together a similar and very successful private label strategy. All of our private label brands have established social media which could be highlighted or shared on your own social media platforms. These social media platforms could be managed right here at AWG ensuring the most up to date content is being pushed. If you want to showcase different recipes look no further with a different recipe every month you could stir up the interest of different Best Choice products on a monthly basis. Insignia has your shelves covered. Each cycle of signage you receive 4 private label shelf signs to display to draw attention to those private label products. Ecomm also has offerings for in-store signage that can be displayed in-store for all of the private label brands. These are just a few of the opportunities out there to take advantage of the private label brands in your store.  AWG is not only your partner for private label products, we also have the tools and team to help promote them.

According to Garett Chau Senior VP of professional services at Nielsen, “the top two things in a grocery store that generate sales are produce and private labels.” So, developing a winning strategy for your private labels is becoming increasingly important. Private labels are an essential part of a stores strategy to stay competitive and differentiate itself. Customer loyalty and capturing a greater share of wallet has also been shown with private label offerings. Stay relevant because all indications show that private labels will continue trending upwards in sales and market share. So don’t be afraid to show off your private….labels.

I grew up in a small town in Northern Missouri that if you blinked while driving through you’d miss it. After high school I attended Northwest Missouri State University (OABAAB) where I graduated with a degree in Marketing & Management. Outside of work I enjoy all Kansas City sports teams (even though the Chiefs constantly break my heart) and going to any concert in KC area worth listening to. I also enjoy the outdoors, my animals, and spending time with my family.