Brand vs Own Label Retailing - Ireland - April 2012
The economic downturn has altered consumers’ food shopping habits. Consumers are now more than ever looking for value for money when purchasing food items, and own-label products offer a cheaper alternative to branded goods. However, sales within a number of own-label sub-categories within Ireland have decreased since 2010 as brands have fought back, intensifying their value for money offering through various methods, including price promotions.
As Irish consumers become less brand-loyal, own-label sales will continue to grow provided that food retailers can further build on consumers’ positive perception towards these products. Growth will be dependent on food retailers continuing to diversify their product offering across a number of categories including value, standard, premium, better-for-you and fair trade ranges.
Some questions answered in the report include:
- Consumers’ uptake of own-label products has increased – What factors are driving the trend for the growth in own-label products and how have consumers’ perceptions of own-label changed during the economic downturn?
- Growth within own-label sub-categories – In what categories are own-label sales highest and/or showing growth, and in which categories do consumers show more allegiance to branded products?
- Channels to market – What are the most popular food retailers among Irish consumers and what is the role of discounters within the Irish grocery market?
- Innovations within food retailing –How is own-label retailing trying to capture branded sales through product development/promotions and technology advancement?
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