Private Label’s Role in Meeting Consumer’s Demands

Posted Friday, September 11, 2015

Cost-savings, improved quality and product innovation are among the top reasons shoppers fill their carts with private label CPG brands. Private labels have come a long way since their plain, generic looking inception. During the recession in 2008-09, many loyal, national brand consumers took notice of the private label brands found in the store aisles and were willing to try them for the first time simply because they cost less. (On average, private label brands cost 28% less.) They were surprised to find that these products were just as good as, or even better, than the brand they had been loyal to for all those years. “Even now when consumers feel that the economy is improving, 42% of consumers tell us they buy more private label or store brands than they used to... across all income levels, said Susan Viamari, VP of thought leadership for IRI.

Today, private labels are enhancing their existing lines and introducing new product selections, many of them of a healthy nature, across multiple

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Tags: beverage , KDM Merchandising Solutions , private label

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Consumers are Challenging Big Food Brands

Posted Friday, June 12, 2015

Our nation’s food brand manufacturers are being challenged by the growing number of consumers that wish to eat healthier. To them, Big Food = Bad Food. Food that contains artificial colors, artificial flavors, pesticides, preservatives, high fructose corn syrup, growth hormones, antibiotics, gluten, and genetically modified organisms (GMOs) would make most people cringe.

Consumers are making it clear that they want fresh, organic and minimally processed foods. Research found that 68% of global consumers want to be able to picture every ingredient on the label in their head, and 40% want food made with as few ingredients as possible.

A special report featured in Fortune titled “The War on Big Food” indicated that major packaged-food companies lost $4 billion in market share in 2014. Further, the top 25 U.S. food and beverage companies have lost $18 billion in market share since 2009.

“The search for authentic and simplified food has led organic food sales to more than

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Tags: beverage , food CPG , grocery , private label , supermarket

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Three Consumer Types Influencing Grocery Retailers

Posted Monday, July 28, 2014

75% of shoppers choose a store based on the produce dept. [PHOTO: KDM Retail]
75% of shoppers choose a store based on the produce dept. [PHOTO: KDM Retail]

Grocery shoppers are eating healthier, they are on the go, and they are on a budget. While the Millennial population may be a driving force affecting all three of these trends, consumers wanting healthier choices and a good value extend beyond Gen Y.

1. The Millennial Consumer

The Millennial generation has had a major impact on the transformation of the food retailing industry. They are known for being on the go, social and tech savvy. They are also looking for a good deal and want to eat healthy. They are likely to shop multiple channels for their groceries and they make more frequent trips. Millennials tend to do more recipe specific shopping, making the trip only for the needed ingredients for that day’s meal. In fact, 43% of this group creates their shopping lists around a recipe. Millennials are also more likely to make their shopping lists right before they head to the store, unlike many shoppers that create lists as they run out of items.

Grocery retailers have responded with

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Tags: grocery , KDM POP Print Solutions , KDM Retail , private label , supermarket

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How Private Labels are Winning at the Point of Purchase

Posted Friday, June 20, 2014

Target focuses on health and wellness. PHOTO Source: supermarketnews.com.
Target focuses on health and wellness. PHOTO Source: supermarketnews.com.

Private label consumer packaged goods (CPGs) brands have evolved over the past several years, and many are gaining popularity with consumers. During the U.S. recession in 08-09, many loyal national brand consumers took notice of the private label brands found in the grocery aisle and were willing to try them for the first time simply because the costs were lower. They were surprised to find that these products tasted just as good as, or even better, than the brand they had been loyal to for all those years. Unfortunately for the major brands, many of these consumers never went back.

Today, private label marketers are stepping up their packaging, merchandising and marketing strategies to attract consumers and win the battle over national brands. According to the IRi “CPG Times & Trends” study released in December, 2013, over 90% of consumers believe that private label brands deliver the same or better value as major brands, and 80% believe the quality is the same or better. The study

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Tags: CPG , KDM POP Print Solutions , private label , Target

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Key Trends for Grocery Retailers & Wholesalers

Posted Wednesday, May 08, 2013

submitted by Barry Hogan, Retail Specialist, KDM POP Solutions Group ~ 

We serve some of the nation’s largest supermarket and grocery retailers. We like to keep a finger on the pulse of this industry and often ask what our clients see as emerging trends. While there is a lot of variance in the responses, many can be bucketed into four common themes: grocery customers want value and they use technology to find it. On top of that, competition is evolving and capturing market share - both online and via their own brick-and-mortar stores.

Consumers Want Value
Since the recession of 2008, shoppers have become more price conscious. They’re working harder for less money and are focused on stretching every dollar to the max. Low price is important, but it’s not the end of the value conversation. Consumers are also looking for more variety and placing increased emphasis on locally-sourced items. They want better quality, including items that are more organic and healthy. They&

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Tags: eCommerce , grocery , interactive marketing , KDM , KDM POP Print Solutions , market-wise , millennials , private label , supermarket , Trouble in Aisle 5 , Walmart

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